“South Korea's stock exchange (KRX) and the Cambodian government have agreed to set up a stock exchange in Phnom Penh in 2009, the latest signal of the optimism sweeping the fast growing but deeply impoverished country.
Most of the capital financing Cambodia's rapid growth has come from external sources, including foreign aid and growing foreign direct investment. A senior World Bank official in Phnom Penh said Cambodia would increasingly need to rely on domestic savings. …
In spite of the rapid expansion, it is far from clear that Cambodia's private sector, dominated by closely held family businesses, is ready to take the leap to go public. ‘The key issue will be to raise corporate governance standards,’ the World Bank official said.” [The Financial Times (UK)]
AFP adds that “Cambodia Tuesday signed an agreement with representatives from South Korea's stock exchange operator to establish Cambodia's first stock market in 2009, officials said.
The memorandum of understanding makes formal the planned joint venture between Cambodia and the Korea Exchange, Asia's fourth-largest bourse operator. …” [Agence France Presse/Factiva]
Reuters notes that “…KRX said in a statement the exchange and the Cambodian Finance Ministry were working on a detailed investment plan to set up the Cambodia Stock Exchange and a support system next year. The Cambodian government will own a minimum 51 percent in the new bourse while KRX will hold as much as 49 percent. KRX will also help the country set up a regulatory body to oversee stock trading, it said. …” - Source: By The World Bank
Comment and add to the story without registration, but keep the comments meaningful please. Links are not accepted.
