PHOTO
Baghdad, Iraq - Rabee Securities reports an 8.5% rise in the Rabee Securities Iraq Stock Exchange Index (RSISX Index) for September 2024, reflecting the strong performance of key companies across multiple sectors. The growth was driven by notable increases in share prices for companies such as Al-Mansour Bank, Asiacell, National Bank of Iraq, Commercial Bank of Iraq, and Bank of Baghdad. These companies’ robust performance contributed significantly to the overall index improvement. However, a decline in the share price of Iraqi for Seed Production partially limited the full extent of the index's growth.
The RSISX Total Return (RSISXTR) Index saw a higher increase of 9.6%, largely due to the absence of the diminishing effect of Baghdad Soft Drinks’ dividend payout, which amounted to IQD 0.29 per share, translating to a 7.0% yield. Additionally, Baghdad Soft Drinks and Modern Sewing distributed dividends in September, further boosting returns for shareholders. Modern Sewing's dividend payout was set at IQD 0.25 per share, offering a 2.8% yield.
While the total trading volume on the Iraq Stock Exchange (ISX) decreased by 28% from August to USD 41.8 million in September, excluding cross transactions, trading volumes surged by 24%, amounting to USD 31.9 million. The banking sector commanded the largest share of trading activity, accounting for 71.6% of the total volume, followed by the telecom sector at 10.8%, industry at 10.3%, agriculture at 3.9%, hotels and tourism at 1.9%, and services at 1.4%.
September was marked by impressive gains for several companies. Thirty-five companies saw an increase in share prices, with 29 rising by more than 5%, and 23 surpassing a 10% increase. Iraqi Engineering Works recorded the highest rise, with a remarkable 171.4% increase in share price. AL-Kindi of Veterinary Vaccines Drugs followed with a notable 50.6% increase, highlighting the strong performance of key players in the market.
In parallel to the stock market developments, September saw the signing of a pivotal agreement between the International Finance Corporation (IFC), a member of the World Bank Group, and the Central Bank of Iraq (CBI). This agreement aims to enhance environmental and social risk management in the banking sector and introduces a seven-year Sustainable Finance Roadmap, along with an Environmental, Social, and Governance (ESG) Code, to promote sustainable financing and strengthen Iraq’s financial infrastructure. Additionally, the governments of Iraq and the United States announced that the U.S.-led international mission in Iraq will continue through September 2025, providing further stability to the region.