Stock trading value in equity market plummets to record low in March 2021

The value of shares traded on the Yangon Stock Exchange (YSX) in March 2021 sank to the lowest level in history with just K110 million in March 2021, the YSX’s monthly report indicated.
In February 2021, K442 million worth of 77,388 shares were traded on the exchange. The figures extended further drops to K110-million value of 19,816 shares in March 2021.
Additionally, the value of shares traded on the exchange in March 2021 drastically dropped compared with the figures in March 2020 (registered K1.425 billion valued 228,913 shares), the YSX’s monthly report indicated.
At present, shares of six listed companies — First Myanmar Investment (FMI), Myanmar Thilawa SEZ Holdings (MTSH), Myanmar Citizens Bank (MCB), First Private Bank (FPB), TMH Telecom Public Co. Ltd (TMH) and the Ever Flow River Group Public Co., Ltd (EFR) are being traded on the exchange.
The shares prices last month also declined as against the previous months. The price per share of FMI decreased to K9,400 in March 2021. Similarly, the share price of MTSH slid to K3,500. The stock prices slipped to K8,000 for MCB and K21,500 for FPB, while TMH’s share rate remained unchanged at K2,800. The share price of EFR last month was closed at K3,300.
Amid the COVID-19 crisis, Myanmar’s securities market has been able to continue operating without stopping trading.
In 2020, the value of stocks traded on the exchange peaked at K1.48 billion in February. In contrast, trading on the exchange registered an all-time low of K552.9 million in November due to the COVID-19 resurgences in Myanmar, the exchange’s monthly report showed.
According to the annual report released by the exchange, a total of K12.6 billion worth of 1.87 million shares by six listed companies were traded on the exchange in 2020, a significant drop compared to 2019.
Over 2.4 million shares from five listed companies, valued at K13.39 billion, were traded on the exchange in 2019.
In 2016, only three companies were traded on the YSX — FMI, MTSH, and MCB. One more public company, FPB, was listed on the YSX in 2017. In 2018, TMH debuted on the exchange. EFR entered the exchange in 2020.
Moreover, Amata Holding Public Co., Ltd. (AMATA) released a statement that the listing date will be postponed for a certain period, and the rescheduled listing date will be announced in due time, YSX notified on 26 February 2021.
The stock markets worldwide have reported their most significant declines since the 2008 financial crisis. Similarly, the local equities market is also scared by the COVID-19 crash, a market observer points out.
At present, people are keeping emergency savings rather than investing in the COVID-19 crisis and current political conditions, he added.
Next, the Securities and Exchange Commission of Myanmar (SECM) has allowed foreigners to invest in the local equity market from 20 March 2020.
Furthermore, YSX launched a pre-listing board (PLB) on 28 September 2020 to provide unlisted public companies with fund-raising opportunities and build a bridge toward listing on YSX, YSX stated.
The YSX was launched four years ago to improve the private business sector. It disseminates rules and regulations regarding the stock exchange and knowledge of share trading through stock investment seminars. The stock exchange has also sought the government’s support to get more public companies to participate in the stock market and help more institutional investors, such as financing companies, investment banks, and insurance companies, to emerge.
Amid the COVID-19 crisis, Myanmar’s securities market has been able to continue operating without stopping trading.
According to the annual report released by the exchange, a total of K12.6 billion worth of 1.87 million shares by six listed companies were traded on the Yangon Stock Exchange (YSX) in 2020, a significant drop compared to 2019.
Over 2.4 million shares from five listed companies, valued at K13.39 billion, were traded on the exchange in 2019. — KK/GNLM