What Is the Bahrain Stock Exchange?
The Bahrain Stock Exchange, abbreviated as BSE, was a stock exchange headquartered in Manama, Bahrain.
Understanding Bahrain Stock Exchange (BSE)
The Bahrain Stock Exchange was established in 1987 but did not begin operating until 1989. The exchange traded both equities and indexes along with derivative instruments on those securities. Once known as the Bahrain Stock Exchange, the organization has now changed its name and operates as a shareholding company under the name of the Bahrain Bourse, or BHB for short.
According to the Bahrain Bourse official website, the Bourse is a self-regulated multi-asset marketplace that serves investors, issuers, and intermediaries with services that include offering listing, trading, settlement, and depository services for financial institutions. The Bahrain Bourse lists four key growth pillars that guide their business and direct their interactions with stakeholders as: Origination, Innovation, Collaboration, and a Pioneering Spirit.
The website also explains that the Bahrain Bourse is a licensed institution under the supervision of the Central Bank of Bahrain and as such, must operate within their legal framework. The Law No. (57) of 2009 converted the original Bahrain Stock Exchange to the new a closed Joint Stock Company under the name of Bahrain Bourse B.S.C.(c).
History of the Bahrain Stock Exchange
The Bahrain Stock Exchange (BSE) officially began operations in June 17, 1989, with just under 30 listed companies. Since then, the stock exchange has undergone a lot of growth and success, with stakeholders’ involvement and the support of the Government of Kingdom of Bahrain. In 2010, the Bahrain Stock Exchange was dissolved and replaced as a shareholding company with the new name of Bahrain Bourse.
Today, the exchange lists around 50 companies. The Bahrain Bourse operates autonomously but is supervised by an independent board of directors and is chaired by the governor of the Central Bank of Bahrain. Since becoming a shareholding company, the Bahrain Bourse has joined several regional and international organizations that bolster its operations and strengthen its abilities, including the Union of Arab Stock Exchanges, the Federation of Euro-Asian Stock Exchanges, the World Federation of Exchanges, the Africa & Middle East Depositories Association, and the Association of National Numbering Agencies. All of the relationships the shareholding company has made help boost its position on the global market. The Bahrain Bourse publishes monthly, quarterly, and annual reports for its shareholders and investors with updates on its financial position in the market.