Bahrain Bourse signs agreement with Kuwait Clearing Company

Kuwait, May. 5. (BNA) -- Bahrain Bourse (BHB) today signed a joint agreement with the Kuwait Clearing Company at the latter's premises here. The agreement was signed by Shaikh Khalifa bin Ibrahim Al-Khalifa, Deputy CEO and Chief Operating Officer of Bahrain Bourse and Mr. Othman Ibrahim Al-Issa, Chief Executive Officer of Kuwait Clearing Company. The agreement sets new technical arrangements and procedures that implement an electronic mechanism to promptly transfer the shares of Bahraini Companies listed on Kuwait Stock Exchange as well as the shares of Kuwaiti Companies listed on Bahrain Bourse once they are settled. Shaikh Khalifa Al-Khalifa was pleased to sign such agreement. "The agreement comes in line with the joint efforts to strengthen the link between systems and institutions in the financial sector in the GCC countries," he stressed. Shaikh Khalifa Al-Khalifa also clarified, "The agreement will greatly facilitate investors’ procedures of transferring shares they trade in on both exchanges with a high level of confidentiality, security, and precision. "The agreement will reflect positively on the Bahraini and Kuwaiti markets, given that Kuwaiti investors comprise 30% of the shares of Bahraini Companies," he added. Mr. Othman Al-Issa, CEO of Kuwait Clearing Company expressed his delightedness for signing this agreement emphasizing that Kuwait Clearing Company developed this system to facilitate all procedures for investors that will, in return, reflect positively on the economy of Bahrain and Kuwait. "The same link has been provided to Dubai Financial Market and Abu Dhabi Securities Exchange," he added. Mr. Al-Issa clarified, "This agreement is important in various aspects as it will help in organizing work and facilitating the technical procedures for cross-listed companies in Bahrain and Kuwait. This will result in setting a clear way for both parties to develop the joint cooperation between them." "According to this agreement, the electronic transfer of shares listed on both exchanges will take place once settled, thereby facilitating the transfer of shares to investors," he added. Mr. Al-Issa said that Kuwait Clearing Company and Bahrain Bourse are keen to keep information confidential, and ensure the exchange of information between the two parties safely and accurately. W H Q