Global exchange group Nasdaq OMX has agreed to provide trading technology and strategic advisory services to the Kuwait Stock Exchange (KSE) as part of a joint venture between the two bourses to develop Kuwait’s capital market.
Under the agreement Nasdaq OMX will deliver trading, surveillance and market surveillance to KSE, the group’s 11th technology customer in the Middle East. Nasdaq OMX will also provide strategic advisory services to the KSE management team to support the exchange’s compliance with international standards and its contribution to development of the national capital market.
As part of the initiative, KSE will implement a new electronic trading platform for equities, bonds and derivatives. The roll-out of initial product classes on the platform is scheduled for the first half of 2011.
“Kuwait is a key financial center in the Middle East region and we are confident that our collaboration with KSE will act to further attract investor awareness both to the exchange and Kuwait’s financial market as a whole,” said Lars Ottersgard, senior vice president of Nasdaq OMX Market Technology, in a statement.
“Nasdaq OMX’s experience and track record in implementing systems around and the world and particularly in this region, together with their ability to contribute to our development, led us to select them to work with us,” added a KSE spokesman. “KSE intends to use the new IT systems to introduce new products and services in the future. We also intend, with Nasdaq OMX’s help, to implement best practices and to ensure compliance with relevant international standards.”
In January 2009 Nasdaq OMX established a regional office in Dubai to examine new business opportunities and support existing customers in the Middle East, Africa and South Asia.