Insufficient development of Armenian capital market saves it from crisis

PanARMENIAN.Net - The first IPO in the Armenian fund market is expected in the current yeer, NASDAQ OMX Armenia Stock Exchange Director Armen Melikyan told a press conference today. Recently many companies have ensured a high growth and are ready to use new instruments to attract investments, specifically via IPO. "If we have 20 companies making IPO by 2010, that would mean that the Armenian capital market rapidly develops….Armenian capital market is in a better state than the markets in developed countries", Armen Melikyan said.



Since the Armenian capital market is not developed enough, the global crisis will not have the same impact on it as on the capital markets of Europe, Russia and other developed countries. Anyway, it will not avoid the crisis, he explained.



NASDAQ OMX Armenia Director is sure that IPO makes an enterprise more open for public, opens a way to cheaper funds and allows reducing cost of investments.