PRESS OF UZBEKISTAN
January 29, 2016
UZBEK REPUBLICAN COMMODITY EXCHANGE SELLS GOODS WORTH 8.8 TRILLION SOUMS IN 2015
On 23 January, the Central office of the Uzbek Republican commodity exchange (UZEX) saw an expanded Board session on results of exchange activity in 2015 and the tasks set for 2016. The session was attended by the heads of subdivisions of the Central apparatus and regional branches.
During the discussion of the results of this work, it was noted that the year 2015 saw positive results in attracting entrepreneurs to an electronic trading due to the increase of sales volume of goods and commodities in exchange trading by 9.5% and by creating favorable conditions on all trading platforms of the exchange.
The share of small business and private entrepreneurship in the total volume of transactions concluded at UZEX increased from 67% to 81%. In particular, business entities purchased products worth 5.1 trillion soums and sold own products by nearly 2 trillion soums, which exceeds indicators of 2014 by 20%. Settlement and clearing house registered about 6.5 million new customers, 95% of which are small businesses. (currency rates of CB RU from 29.01.2016, 1$= 2831.49 soums)
The total amount of goods sold at UZEX amounted to 8.8 trillion soums. Including, the volume of exchange trading comprised 6.9 trillion soums, exhibition and fair trading - 1.1 trillion soums, public procurement – 497.1 billion soums, corporate procurement – 344.3 billion soums, with the amount of transactions executed in the new trading platform \"Electronic catalog\" reaching 46.7 billion soums.
The growth in sales volume and expanding the range of commodities contributed to the creation of favorable market conditions in some segments of the stock market. In particular, the weighted average cement prices decreased by 20%, liquefied gas by 21.5%. Enterprises sellers received additional income due to the formation of market prices at 2.4 trillion soums. Due to the mechanism of collateral transactions, the level of execution of obligations under commercial agreements increased by 97%. 77 new trading platforms started their activity in different regions of the country.
Positive trading dynamics was observed in the system of exhibition and fair trades, the volume of which compared to 2014 increased by 8% and amounted to 1.1 trillion soums. The total number of participants of fair trades increased by 34%, indicating the rapid development on the stock exchange of B2B (\"business to business\") model of E-commerce.
The main innovation last year was the launch of a new trading system on public procurement – \"electronic catalog\" (catalog.uzex.uz), which has significantly simplified the procedure of purchasing by budgetary organizations of essential commodities. Since the beginning of the operation of the system or from June to December 2015, the electronic catalog saw deals signed worth 46.7 billion soums, with budget savings amounting to 12 billion soums.
The volume of public procurement in the system \"D-xarid\" increased by 5.7% and amounted to 497.1 billion soums. Budget savings due to lower prices in the bidding process amounted to 139.8 billion soums having grown in comparison to 2014 at 19%. The share of small businesses in the supply of goods on public procurement via electronic auction trades made up 99% of the number and volume of transactions.
During the reporting period, the volume of electronic trading on corporate procurement in the system \"E-xarid\" in aggregate terms reached 344.3 billion soums, financial savings increased by 6.8% or up to 68.4 billion soums. The share of small businesses in the delivery of corporate procurement via electronic auction trades made up 98% of the number concluded and 96% of the total amount of transactions.
The session also reviewed issues related to corporate governance of UZEX. Pursuant to the Decree of the President of the Republic of Uzbekistan \"On measures on introduction of modern methods of corporate governance in joint stock companies\", a new organizational structure has been established at the exchange. The reorganization of the management of the company was aimed at the solution of tasks on the development of new directions and wide introduction of ICT in the stock market, improving financial status, as well as the efficient management and personnel policies of the exchange.
Following the session, on the basis of objectives set by the government, priority directions of development of UZEX for 2016 were worked out. Those directions include, among others: increasing access of businesses to commercial resources, further implementation of modern IT technologies in business processes, enhancement of the electronic trading systems and improving the efficiency of corporate governance of the company.