GEORGETOWN, Guyana (AP):
IN THE first day of trading on the Guyana Stock Exchange, only four companies offered shares and there were no buyers but officials expressed confidence that trading would pick up.
The opening yesterday puts Guyana in league with Barbados, Trinidad, Jamaica and the islands of the Organisation of Eastern Caribbean States in offering public trading of stocks.
"We expect things will pick up in the near future," exchange chief Clarence Perry said.
The British Government helped establish the exchange with US$3.3 million (Guy$587.8 million) to buy equipment, rent office space and pay the salaries of less than a dozen staff members.
The Private Sector Commission had been clamouring for an exchange for years, complaining that lending rates at commercial banks were too high to raise capital to expand operations and serve companies that need quick capital.
"Equity would be cheaper to raise if we have companies trading their shares publicly," said exchange executive, Chandra Gajraj.
Initially, trading will take place one day a week, but the frequency will increase over the next year, Perry said.
Guyana is a former British colony in South America of nearly 700,000 residents.
