Stock market is essentialStability and security needed to attract investments [Archives:2004/717/Business & Economy]

March 4 2004

Unquestionably, capitalists and businessmen will not venture to begin investment and partnerships with us until they are confident that the elements of stability and security exist.
As long as Yemen's financial situations are still without a stock-exchange market, capitalists will still be hesitant, even if facilities and feasibility study are made available for them to establish investment projects.
Local and foreign private sectors wish to find a stock exchange market through which to do their works and financial transfers easily and assuredly. Whenever the private sector feels that economic and political situations in the country are stable, and growth indicators are positive, investment will come.
It is certain that capitalists would desire to hold partnership with the government side for the establishment of a long-awaited stock exchange market to adjust investment transactions and to feel confident in the future of the country's economy.
Such a market has become necessary and establishing it is a joint concern shared by all: government, establishments, official and trade and private companies as well as the private or mixed sector.
The longer the establishment of the market is delayed the farther the distance would be between the success of investment and failure of investors in managing their projects.
Surprisingly, the committee entrusted with preparation of establishing the market announces repeatedly that it has been about to declare the establishment of the market and then it would turn back, as if the whole question has become intricate and there is no hope in the establishment of the market in Yemen.
It is certain that the private sector and government concerned parties are capable, if they joined forces, to overcome the impediments of the inception of the stock exchange market, according to modern ways, and connecting it to banking procedures necessary for running the market.
It is necessary that various sectors to cooperate for establishing the stock exchange in Yemen in order to ensure development of investment process and improvement of performance of investment and economic climate in general.
Thus there must be a co-ordination among banks, companies and various firms to accelerate the formation of the stock exchange market that has been waited for so long.