The cumulated capitalisation of BSE and Rasdaq amounts to around RON 100 bln., which accounts for about one quarter of the estimated GDP for this year, RON 390 bln., according to those declared by the general director of BSE, Stere Farmache, cited by Mediafax.

Therefore, BSE intends to become a reference market in the region, conditional upon being consistent in covering the next steps provided by the development strategy and with support from authorities. “In 2003, our target was that once with Romania EU accession, the Stock Exchange would meet three development terms.

An internal consolidation has been achieved through the merger with Rasdaq, the capitalisation of the two markets accounts for almost 30 per cent of GDP, considering that our intention was 30-40 per cent and we register a daily average value of transactions of USD 21 M, compares to our target of USD 15-20 M”, according to those affirmed by Farmache during the Exchange Fair organised in Bucharest by the Brokers’ Association.

The privatistaion of the important companies by listing them at BSE, to the detriment of “strategic partners”, and awareness raising in relation to the capital market among the people would result in a consolidation of BSE and a victory of the economy, according to those declared by the suspended President, Traian Basescu. He referred to the evolution of Transelectrica quotation, showing that having a 10 per cent participation listed has led to the company acquiring a value that no other strategic privatisation partner would have been able to provide. He considered that it would be difficult soon for a company to use other means for fund raising than the free system of the stock exchange. “It is only the market that sets the value of a company and many companies achieve their real value only after having been listed”, Basescu added.

BSE intends to invest this year EUR 300,000 in shares in international stock exchanges, Farmache added. The investments are included in BSE business plans for this year, approved on Friday by shareholders. BSE business plan for this year provides for investments in IT, around EUR 1 M, and the achievement, among others, of a project that makes the stock exchange more accessible to international brokers. At the same time, BSE considers the acquisition of a venue in Bucharest.

BSE intends to reach this year a net profit amounting to RON 13.26 M, less than last year value, according to the budget approved on Friday by shareholders, Farmache informed. The profit prognosis is based on the achievement of a daily average value of transactions of EUR 15 M.

Last Friday, BSE shareholders approved the raise of the capital up to RON 49.43 M, by capitalising the reserves made from the net profit corresponding to 2006, amounting to RON 14.59 M, Farmache added.

The operation will be performed by means of an issuance of 1.45 new million shares, ordinary and preferential, with a nominal value of RON 10. Thus, the Stock Exchange does not pay dividends to the shareholders.

In 2006, BSE registered a net profit amounting to RON 15.6 M, with total revenues amounting to RON 33.4 M, according to the financial status for 2006 approved by General Shareholders Meeting of BSE, according to Rompres.