Course work: development of the stock exchange, as a factor to attract foreign capital into the economy of the Republic of Tajikistan

As of 1 January 2008. number of joint stock companies listed in the Registry of Joint Stock Companies Agency, made ​​in 1450, in 2008 there were 55 issues of shares of joint stock companies. The significant increase in the actual amount of outstanding shares as of January 1, 2009 up to 430 million dollars. U.S. due to the acquisition of shares under construction hydropower assets.

The volume of trading on an organized market of financial instruments for the year 2008

organizer of trade	Trading volume in the primary market by types of instruments traded				The trading volume in the secondary market by types of instruments traded				Total trading volume on the primary and secondary market	Trading volume / GDP
	Акции	Облигации	….	Total trading volume in the primary market	Акции	Облигации	….	Общий объем торгов на вторичном рынке
Tajik Central Stock Exchange	-	-	-	-	-	-	-	-	-	-
dealer's activity	-	-	-	-	-	-	-	-	-	-
The activities of registrars	6	-	-	6	-	-	-	-	6	0.1
TOTAL

 

In 2008, the Tajik Central Stock Exchange granted a license to carry out exchange activities, but its activities to date at the beginning. From other occupations deal in shares carry only independent registrars.

The number of organizations engaged in a certain kind of professional activity in the securities market

Professional activity	По  состоянию на 01.01.08 г.		По  состоянию на 01.01.09 г.
	Всего	В т.ч. банки	Всего	В т.ч. банки
Brokerage and (or) dealer	-	-	1	-
Maintain register of securities holders	4	-	6	1
Investment portfolio management	-	-	-	-
Investment management of pension assets	-	-	-	-
depositary activity	-	-	-	-

2.3. Setting activities aimed at improving the regulation of the securities market.

- Proposals to the Code of Administrative Liability regarding securities transactions, which adopted a law and entered into force on 1 April 2009;

- A change in the law "On Joint Stock Companies", in protecting the rights of shareholders.

Also currently a draft Law "On the Securities Market" in the new edition and the draft Law "On state regulator in the securities market."

3.3 Features of the development of the financial market in the Republic of Tatarstan

Under current conditions in the Republic of Tajikistan important role for financial services in the implementation of economic reforms. However, the state of the financial services market is characterized as non-developing market economy, is not serving the effective attraction of investment resources. In our view, overcome the economic crisis recession investment depends largely on how quickly and in what capacity the financial services market can find its place in the economy of the Republic of Tajikistan. Establishment of an effective mechanism of the market for financial services will allow for the concentration and integration of internal and external financial resources in the investment trade turnover. Financial services is an element of the financial, economic and social systems of the state.

One of the main problems encountered in the establishment of the financial services market, is, in our opinion, the formation mechanism of its operation, ensuring the achievement of the goal of a market and the conditions for its effective operation.

Issues of development of financial services in the Republic of Tajikistan to be addressed anew in accordance with the current requirements of the market economy as the market of financial services to acquire independence in Tajikistan did not exist. In a market economy, a comprehensive study of the problems of the financial services market involves its system analysis. For the efficient functioning of financial services should draw on the experience of developed countries, particularly those in transition. However, the study investigated the problem of many issues in the mainstream of the requirements and objectives of a modern market economy is still far from its finality.

Analysis of the current state of the financial services market of the republic and world trends showed that the market of financial services is an effective mechanism for seeking financial resources for the needs of the economy of the Republic of Tajikistan, the opening of internal resources, external financial resources. Formation of financial services - is a natural stage of development of the economy of the republic as a whole, and he, in turn, is the main key to a market economy.

The extensive development of joint-stock form of enterprises has not yet become effective factor in attracting investments in the stock market. The share capital is used mainly for control of the business and does not play a significant role in attracting investment for the majority of private companies, despite the fact that the joint stock companies by virtue of their performance were the dominant legal form of economic entities in the world. The activities of the company is closely linked to the stock market. It is formed by the primary issue of shares. Expanding its activities, attracting investment through the issue of securities, changes owners, and reselling the shares closed at liquidation stocks. From this we can conclude that the more joint-stock companies of the republic issue securities, the primary market is becoming saturated, and eventually it becomes necessary to implement them quickly, which leads to the development of the secondary market, which, to date, does not operate in the Republic of Tajikistan. 

The basic shortcomings, identify trends and patterns of development and the basic ways of improving the performance of banks based on the development of micro-credit and the introduction of new services provided by banks.

The basic directions of development programs of public and private financial business in financial services, which includes the following tasks:

1. Form the legal framework, to develop regulations governing the organization and functioning of the IFS and establishing rules of conduct of professional participants of the stock market, as well as regulating the technology of trading on the exchange and OTC markets, the types of transactions in this market, as well as credit and loan markets.
2. To improve the organizational structure of a component of the financial services market - the stock market, which includes:

• regulatory agencies and control;

• professional participants of the securities market;

• issuers and purchasers of securities;

• self-regulatory organization of professional participants, including stock exchanges and OTC quotation system;

• depositories and registrars;

3. To create the infrastructure of the stock market, which provides a process initial public offerings and their treatment in the secondary market;

4. To establish an effective system of regulation of the financial business on the stock market, bank credit and loans;

5. Mechanisms to ensure systematic training of qualified specialists in the field of finance;

6. Improve the mechanisms for providing banking services to the population and the economy by improving the equity of banks in the property, receiving bank guarantee itself and issued guarantees fulfillment of liability, trusts, commodity commissions, factoring, leasing, and warehousing operations, as well as additional services;

7. Promote the integration of the stock and credit markets and the Republic of Tajikistan in the world system.

The study found that the development of the market for financial services is a key factor in determining the prospects for long-term investment of foreign investors into the country. Found that in the course of integration important point stands awareness and preparedness of the domestic market participants, the use of methods and tools used by foreign investors in the placement of free funds in the form of portfolio investment.

Thus, in the Republic of Tajikistan, the development of financial services in free competition will improve the efficiency of services provided to the population, and has made significant investments to develop the national economy.