Kuwait stock exchange delays trading debut

The Kuwait Stock Exchange postponed the listing of its shares as government operations came to a halt amid the coronavirus outbreak.

The stock exchange, whose listing was initially set for April 19, did not announce a new date for the listing but said it will be “in due time based on the date identified by the Capital Markets Authority (CMA)”.

If the listing had gone ahead, Kuwait’s would have been the second stock exchange in the Gulf region to list its shares after Dubai.

The coronavirus outbreak has disrupted business in the region, with countries imposing varying degrees of lockdowns. Among the major deals delayed are Kuwait Finance House KSCP’s $8.8 billion merger with Bahrain’s Ahli United Bank BSC and Saudi Telecom’s plan to acquire a stake in Vodafone Egypt.

Boursa Kuwait replaced the Kuwait Stock Exchange in 2014. A market development programme led by the CMA in collaboration with Boursa Kuwait and the Kuwait Clearing Company introduced reforms to increase competitiveness and liquidity, reinforce transparency and management, elevate investor confidence and attract international, regional, and domestic investments.

FTSE Russell granted Kuwait emerging market status in September 2017, S&P Dow Jones Global Benchmark Indices upgraded it in December 2018. MSCI, the index compiler was set to upgrade Kuwait to emerging market status in May, but this has been postponed until November.