Emerging Stock Markets Factbook 1999 (Global Stock Markets Factbook)

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Public Disclosure Authorized

Public Disclosure Authorized

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Emerging Stock Markets Factbook 1999

Emerging Stock Markets Factbook 1999

Emerging Stock Markets Factbook 1999 Copyright © 1999 International Finance Corporation 2121 Pennsylvania Avenue, N.W. Washington, D.C. 20433 U.S.A. First Printing April 1999 ISBN 0−8213−4403−X STOCK NO. D14403 All rights reserved. May not be reproduced in whole or in part by any means without the written consent of the International Finance Corporation. This information is based on data obtained from sources that the IFC considers to be reliable, but is not guaranteed as to accuracy and does not purport to be complete. This information shall not be construed, implicitly or explicitly, as containing any investment recommendations and, accordingly, the IFC is not registered under the U.S. Investment Advisers Act of 1940. This information does not constitute an offer of or an invitation by or on behalf of IFC to purchase or sell any of the shares mentioned, nor should it be considered as investment advice. The denominations and geographical names in this publication are used solely for the convenience of the reader and do not imply the expression of any opinion whatsoever on the part of the IFC, the World Bank, or other affiliates, concerning the legal status of any country, territory, city, area, or of its authorities, or concerning the delimitation of its boundaries or national affiliation. The IFC may, from time to time, have a financial interest in the securities mentioned or included in the calculation of the IFC Indexes. The Emerging Markets Data Base is a service of IFC's Financial Markets Advisory Department. Any views expressed herein are those of the authors and do not necessarily represent the views of the World Bank or the International Finance Corporation. Published annually in the United States of America break

Preface This edition of the Emerging Stock Markets Factbook is the thirteenth in the IFC's annual series tracking the development of equity markets in developing countries. IFC's efforts were the first to pull together in a single volume the various time series of market data on the leading stock markets of the developing world. The Factbook is designed to serve as a reference for institutional investors, fund managers, investment bankers, academics, economists, consultants, and journalists. Many of the tables and charts draw on data from more than Emerging Stock Markets Factbook 1999

1

Emerging Stock Markets Factbook 1999 75 emerging markets. Additionally, market profiles have been compiled for all 51 of the IFC Index markets in 1998. The Factbook is divided into an introductory section and seven chapters. The introduction includes background information on IFC and the IFC indexes. Chapter 1 begins with a description of emerging markets in general and emerging stock market performance and characteristics in particular. Chapter 2 details the performance and characteristics of world stock markets since 1989. Chapter 3 begins the discussion on IFC indexes, with detailed statistics on the IFC Global Indexes. Chapters 4 and 5 parallel this discussion, with details on the IFC Investable Indexes and IFC Frontier Indexes. A much−expanded Chapter 6 incorporates data summaries as well as market, political, and economic analyses for all 33 IFC daily index markets and 18 IFC monthly frontier index markets. Chapter 7 provides data summaries for markets not currently included in IFC Index coverage. Stock exchange addresses, names of top officials, telephone and fax numbers, and web site addresses can be found in Chapters 6 and 7. Appendices provide sources and data notes, investor information, and information on IFC's Emerging Markets Data Base (EMDB). IFC is proud to continue building its coverage of emerging markets and providing the most complete and accurate data available. A member of the World Bank Group, IFC is the largest multilateral source of direct loan and equity financing for private sector projects in developing countries. EMDB, recognized as the world's premier source for reliable and comprehensive information on stock markets in developing countries, serves as a vital statistical resource for the international financial community and for IFC in its investment and advisory work.break

Contents The International Finance Corporation

link

Emerging Markets Data Base

link

Evolution of the IFC Indexes for Emerging Markets

link

Introduction to the IFC Indexes

link

IFC Daily Index Coverage, Base Periods, and Dates of Inclusion

link

IFC Daily Index Coverage Map

link

IFC Frontier Index Coverage, Base Periods, and Dates of Inclusion

link

IFC Frontier Index Coverage Map

link

Acknowledgments

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1 Introduction to Emerging Markets Relative Characteristics of Emerging Markets Emerging Market Classification

link

World Economic Statistics

link

Aggregate Net Long−Term Resource Flows to Emerging Markets link World GNP and GNP Per Capita Contents

link 2

Emerging Stock Markets Factbook 1999 Emerging Stock Market Performance Overview of Emerging Stock Markets in 1998

link

2 World Stock Markets World Stock Market Statistics World Stock Market Performance, 1998

link

World Stock Market Turnover, 1998

link

World Market Capitalization, 19891998

link

Market Capitalization, Analysis and Summary

link

World Value Traded, 19891998

link

World Number of Listed Domestic Companies, 19891998

link

World Rankings of Market Capitalization, Value Traded, and Number of Listed Domestic Companies, 1998

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World Ranking of Average Company Size, 1998

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Local Stock Market Price Indexes Emerging Markets Local Stock Market Price Indexes, 1998

link

Frontier Emerging Markets Local Stock Market Price Indexes, 1998

link

Emerging Markets Local Stock Market Price Indexes, 19891998

link

Frontier Emerging Markets Local Stock Market Price Indexes, 19891998

link

Currency Exchange Rates per US$ Emerging Markets Currency Exchange Rates per US$, 1998

link

Frontier Emerging Markets Currency Exchange Rates per US$, 1998

link

Emerging Markets Currency Exchange Rates per US$, 19891998 link Frontier Emerging Markets Currency Exchange Rates per US$, 19891998

link

3 IFC Global Indexes Introduction Market Weights in the IFCG Composite Index, End−1998

link

Market Concentration in the IFCG Indexes, End−1998

link

Comparative Valuations of the IFCG Indexes, End−1998

link

IFCG Price Indexes 1998 Performance Summary

Contents

link

3

Emerging Stock Markets Factbook 1999 1998 High, Low, Close

link

Regional vs. Developed Market Performance, 1998

link

Regional vs. Developed Market Performance, 19891998

link

IFCG Price Indexes, 1998

link

IFCG Price Indexes, 19891998

link

Statistics of the IFCG Price Indexes

link

IFCG Price Index Correlations

link

IFCG Total Return Indexes 1998 Performance Summary

link

1998 High, Low, Close

link

Regional vs. Developed Market Performance, 1998

link

Regional vs. Developed Market Performance, 19891998

link

IFCG Total Return Indexes, 1998

link

IFCG Total Return Indexes, 19891998

link

Statistics of the IFCG Total Return Indexes

link

IFCG Total Return Index Correlations

link

IFCG Industry Indexes Industry Weights in the IFCG Composite Index, End−1998

link

Industry Concentration in the IFCG Composite Index, End−1998

link

Industry Distribution by Market Cap of IFCG Composite Index, 1998

link

Industry Weights by Market Cap of IFCG Composite Index, 1998 link Industry Distribution by Number of Stocks in IFCG Composite Index, 1998

link

IFCG Industry Price Indexes, 1998 Performance Summary

link

IFCG Industry Price Indexes, 1998

link

IFCG Industry Price Indexes, 19891998

link

IFCG Industry Total Return Indexes, 1998 Performance Summary link IFCG Industry Total Return Indexes, 1998

link

IFCG Industry Total Return Indexes, 19891998

link

4 IFC Investable Indexes Introduction Market Weights in the IFCI Composite Index, End−1998

link

Comparative Valuations of the IFCI Indexes, End−1998

link

Contents

4

Emerging Stock Markets Factbook 1999 IFCI Price Indexes 1998 Performance Summary

link

1998 High, Low, Close

link

Regional vs. Developed Market Performance, 1998

link

Regional vs. Developed Market Performance, 19891998

link

IFCI Price Indexes, 1998

link

IFCI Price Indexes, 19891998

link

Statistics of the IFCI Price Indexes

link

IFCI Price Index Correlations

link

IFCI Total Return Indexes 1998 Performance Summary

link

1998 High, Low, Close

link

Regional vs. Developed Market Performance, 1998

link

Regional vs. Developed Market Performance, 19891998

link

IFCI Total Return Indexes, 1998

link

IFCI Total Return Indexes, 19891998

link

Statistics of the IFCI Total Return Indexes

link

IFCI Total Return Index Correlations

link

IFCI Industry Indexes Industry Weights in the IFCI Composite Index, End−1998

link

Industry Concentration in the IFCI Composite Index, End−1998

link

Industry Distribution by Market Cap of IFCI Composite Index, 1998

link

Industry Weights by Market Cap of IFCI Composite Index, 1998

link

Industry Distribution by Number of Stocks in IFCI Composite Index, 1998

link

IFCI Industry Price Indexes, 1998 Performance Summary

link

IFCI Industry Price Indexes, 1998

link

IFCI Industry Price Indexes, 19891998

link

IFCI Industry Total Return Indexes, 1998 Performance Summary link IFCI Industry Total Return Indexes, 1998

link

IFCI Industry Total Return Indexes, 19891998

link

5 IFC Frontier Indexes Introduction

Contents

5

Emerging Stock Markets Factbook 1999 Market Weights in the IFCG Frontier Composite Index, End−1998

link

1998 Performance Summary

link

IFCG Frontier Price Indexes, 1998

link

IFCG Frontier Price Indexes, 19951998

link

IFCG Frontier Total Return Indexes, 1998

link

IFCG Frontier Total Return Indexes, 19951998

link

Comparative Valuations of the IFCG Frontier Indexes, End−1998 link 6 IFC Index Market Profiles Market and Data Summaries Argentina

link

Bangladesh

link

Botswana

link

Brazil

link

Bulgaria

link

Chile

link

China

link

Colombia

link

Cote d'Ivoire

link

Croatia

link

Czech Republic

link

Ecuador

link

Egypt

link

Estonia

link

Ghana

link

Greece

link

Hungary

link

India

link

Indonesia

link

Israel

link

Jamaica

link

Jordan

link

Kenya

link

Contents

6

Emerging Stock Markets Factbook 1999 Korea

link

Latvia

link

Lithuania

link

Malaysia

link

Mauritius

link

Mexico

link

Morocco

link

Nigeria

link

Pakistan

link

Peru

link

Philippines

link

Poland

link

Portugal

link

Romania

link

Russia

link

Saudi Arabia

link

Slovakia

link

Slovenia

link

South Africa

link

Sri Lanka

link

Taiwan, China

link

Thailand

link

Trinidad & Tobago

link

Tunisia

link

Turkey

link

Ukraine

link

Venezuela

link

Zimbabwe

link

7 Other Equity Market Profiles Data Summaries for Markets Not Included in IFC Index Market Coverage in 1998 Armenia

link

Azerbaijan

link

Bahrain

link

Contents

7

Emerging Stock Markets Factbook 1999 Barbados

link

Bolivia

link

Costa Rica

link

El Salvador

link

Fiji

link

Guatemala

link

Honduras

link

India—Calcutta

link

India—Delhi

link

India—Madras

link

India—National

link

India—OTC

link

Iran

link

Kazakhstan

link

Lebanon

link

Macedonia

link

Malta

link

Moldova

link

Mongolia

link

Namibia

link

Nepal

link

Oman

link

Panama

link

Paraguay

link

Swaziland

link

Uruguay

link

Uzbekistan

link

WestBank and Gaza

link

Zambia

link

Appendix 1 Sources and Notes Stock Market Reference List

link

Notes on Macroeconomic Data

link

Currency Notes

link

Contents

8

Emerging Stock Markets Factbook 1999 Standard Industrial Classification (SIC) Codes

link

Appendix 2 Investor Information Foreign Investment Ceiling for Listed Stocks in Emerging Markets

link

Withholding Taxes in Emerging Markets

link

Benchmarks for Settlement, Safekeeping, and Operational Risk

link

Global Trading Costs

link

Investment Regulations Summary for Entering and Exiting Emerging Markets

link

Appendix 3 IFC's Emerging Markets Data Base EMDB Publications and Products

link

Subscription Information

link

News Service Access to Indexes

link

The International Finance Corporation The International Finance Corporation (IFC) is the world's largest multilateral source of financing for private enterprise in emerging economies. Its mandate is to promote the growth of productive and profitable private enterprises in its developing member countries. A member of the World Bank Group, IFC is owned by 174 countries. Since its establishment in 1956, IFC has committed more than $23 billion in financing for its own account and has arranged $17 billion in syndications and underwriting for 2,067 businesses in 134 developing countries. IFC supports its clients with a full array of financial and advisory services. Project financing is offered through loans, equity, and specialized financial instruments such as hedging and swap facilities. IFC mobilizes additional financing through loan syndications and securities underwritings. Through its advisory services and technical assistance, the Corporation helps private businesses increase their chances of success, and assists governments in creating environments that encourage private investment. IFC's Central Financial Markets Advisory Department has been at the forefront of the Corporation's efforts to increase the flow of portfolio investment to the developing world. Beginning with the Korea Fund in 1984, IFC has sponsored or invested in more than 30 collective investment vehicles such as country, regional, and global funds.

Emerging Markets Data Base The Emerging Markets Data Base (EMDB) serves as a vital statistical resource for IFC and the international financial community in its investment and advisory work. Now in its second decade, the data base has gained recognition as the world's premier source for reliable and comprehensive information and statistics on stock markets in developing countries. With information collected since 1975, the data base covers 51 markets, providing regular updates on almost 2,300 stocks comprising its IFC Global Index series and almost 1,200 stocks in its IFC Investable Index series.

The International Finance Corporation

9

Emerging Stock Markets Factbook 1999 Using a sample of stocks in each market, IFC calculates indexes of stock market performance designed to serve as benchmarks that are consistent across national boundaries. This eliminates the inconsistencies that make it difficult to compare locally−produced indexes with differing methodologies. Monthly indexes are available from the end of 1975, weekly indexes from the end of 1988, and daily indexes from October 1995. EMDB products are available in computerized form and as publications. The data base provides three levels of computerized data: comprehensive data on individual stocks covered in all markets; data series for each index computed; and data series for each market covered. Delivery options and information on publications are described in Appendix 3. EMDB also maintains a comprehensive emerging markets web site (www.ifc.org/emdb ).break

Guayaquil Stock Exchange in Ecuador Photo taken by Carlos Julio Gonzalez

Evolution of the IFC Indexes for Emerging Markets IFC began producing its own standardized stock indexes for developing countries in mid−1981. The initiative was taken in response to the need for better means to evaluate the performance of these stock markets than local stock price indexes, which are each calculated in their own way and based on stocks selected by different criteria. With common data structures, IFC's own indexes could also be easily linked into composite, regional, and industry indexes, which could better measure return and diversification benefits from broad−based emerging market investment. The original IFC indexes were calculated only once a year, used month−end prices, were based on the 10 to 20 most active stocks in each of 10 emerging markets, and were equally weighted and available on a "price only" and total return basis. Nine of the 10 markets had a history back to December 1975; one (Jordan) had a base in January 1978, when the Amman Financial Market first opened. In addition to individual market indexes, IFC prepared a Composite Index. Gradually, calculation periods increased to once a quarter using month−end prices. In late 1985, in response to growing interest in emerging markets among the international fund management community (which was due in part to information conveyed by the original IFC indexes), IFC decided to revamp the methodology it used from equal weighting to market capitalization weighting, improve the timeliness of calculating its month−end indexes from a quarterly lag to a one−month lag, expand the number of stocks covered, and increase the number of markets covered from 10 to 17. IFC also added regional indexes for Latin America and Asia to supplement an all−market Composite Index. Evolution of the IFC Indexes for Emerging Markets

10

Emerging Stock Markets Factbook 1999 The new IFC indexes launched in January 1987 proved very popular with IFC's client base. Other markets were added to IFC coverage in 1989 (Portugal and Turkey) and 1990 (Indonesia). In response to user demand, IFC again improved the timeliness of index calculation from month−end (with a considerable lag) to week−end (with a one−week lag), beginning in 1988. From 1988 until 1992, IFC devoted its index efforts to expanding the number of stocks covered in the indexes and adding to the number of data variables available for each stock. In mid−1991, IFC also released its IFC Industry indexes, which sorted the stocks of the IFC Composite Index into their respective sector and industry categories. By 1992, the need for more sophisticated indexes for institutional investment in emerging markets had become pressing. IFC responded by tightening features of its basic index methodology and by introducing a new set of indexes in March 1993. These indexes, called the IFC Investable indexes, were designed specifically to be benchmarks for international portfolio managers. The former series of IFC indexes were renamed the IFC Global indexes to distinguish them from the new series. In Fall 1995, IFC began calculating the IFCG and IFCI Index series on a daily basis. In January 1996, IFC began adjusting its indexes for cross−holding of shares. The adjustments eliminated distortions caused by double−counting of share capitalization and thereby reduced the weights of several IFC index stocks and markets where cross−holding is prevalent. At the same time, IFC began excluding government holdings that accounted for more than 10 percent of an index constituent's total market capitalization. Taken together, adjustments for cross−holdings and government ownership helped IFC more accurately approximate free float. In September 1996, IFC began calculating monthly indexes for 14 "frontier" markets—Bangladesh, Botswana, Bulgaria, Cote d'Ivoire, Ecuador, Ghana, Jamaica, Kenya, Lithuania, Mauritius, Slovakia, Slovenia, Trinidad & Tobago, and Tunisia. In December 1995, IFC introduced a global frontier composite index with monthly coverage. In early 1999, IFC introduced a new data feature to the EMDB 2000 product, the BARRA TED consensus earnings module. Produced in conjunction with BARRA's The Estimate Directory, the module adds brokers' one−year and two−year consensus net profits, earnings−per−share, and dividend per−share forecasts for almost all IFC Index constituent companies to EMDB 2000. Also of note in 1999 is the IFC's first "graduation" of an index market. On March 31, 1999, Portugal was removed from both the IFC Global and Investable indexes. IFC is pleased to have chronicled the market's journey and is proud to see it transition to "developed market" status. Detailed descriptions of historical as well as on−going changes to the IFC indexes can be found at the Emerging Markets Data Base website (www.ifc.org/emdb ) in the form of special announcements and technical notes.break

Introduction to the IFC Indexes The IFC Global and IFC Investable indexes have many common features. Both series are market capitalization weighted, with period data linked by the chained−Paasche method. Both series are calculated on a price and a total return basis, in local currency and U.S. dollar terms. IFC prepares composite, regional, sector, and industry indexes for each series. Calculations of all IFC indexes include the preparation of such valuation ratios as Price−Earnings, Price−Book Value, and Cash Dividend Yield.

Introduction to the IFC Indexes

11

Emerging Stock Markets Factbook 1999 The IFC indexes have become widely accepted in the international investment community, forming the basis for index funds (funds managed so as to replicate an index's return) and structured financial instruments such as swaps and indexlinked warrants. IFC Global Indexes The IFC Global (IFCG) indexes are the core of the IFC family of emerging market indexes. All of the constituents of the IFC Industry and IFC Investable indexes are selected from the constituents of IFC Global indexes; a stock must qualify for an IFCG Index to be considered for inclusion in any other IFC Index. IFCG indexes are intended to represent the performance of the most active stocks in their respective stock markets, and to be the broadest possible indicator of market movements. In order to ensure that the indexes capture the real market, the target aggregate market capitalization of IFCG Index constituents for 1994 forward is 60% to 75% of the total capitalization of all listed shares on the local stock exchange. IFCG indexes are built from the "bottom up", that is, IFC analysts do not look at composite, regional or industry balances in overall market capitalization in determining stock coverage for each IFCG Index. For instance, IFC does not attempt to require that Argentina's share of total emerging market capitalization is represented in the IFCG Composite Index, or that the share of the Argentine oil industry in the capitalization of the Bolsa de Valores de Buenos Aires is replicated in the IFCG Argentina Index. Selection guidelines are described in The IFC Indexes, which can be obtained by contacting EMDB or visiting the EMDB website at www.ifc.org/emdb . Once a market is qualified as "emerging" (see Chapter 1) and IFC views the market as appropriate for an IFC index, EMDB market analysts begin the stock selection process. This begins with a survey of the market and all listed companies and shares, and is repeated each year during an annual review process. The IFCG Composite and the IFCG Regional indexes consist of all the constituents of the respective individual market IFCG indexes, with any new IFCG indexes being added to the these indexes according to pre−announced schedules. IFC Investable Indexes These indexes are designed to measure the type of returns foreign portfolio investors might receive from investing in emerging market stocks that are legally and practically available to them. The calculation methodology for the IFCI indexes is the same as for the IFCG (i.e., market capitalization weighting, chained−Paasche method of calculation, and price and total return series) applied to a subset of IFCG index constituents that IFC has determined to be "investable," that is, stocks which are available to foreign institutional investors, and which pass screens for minimum size and liquidity. IFC Industry Indexes While most analyses of emerging stock markets focus on country or regional−level factors and index movements, IFC recognizes that industry analysis is also a valuable tool in the international portfolio selection process. Accordingly, IFC codes the stocks in its Emerging Markets Data Base by sector and industry to permit creation of the IFC Industry indexes. The IFC Industry indexes are subsets of the IFCG and IFCI Composite indexes—that is, IFC calculates both global and investable industry indexes. As a matter of standard practice, the industry indexes are prepared only on a composite index basis. IFC has not prepared regional or market−level industry indexes because the number of stocks included in some of these categories are too few to generate significant statistics. If a market's securities IFC Global Indexes

12

Emerging Stock Markets Factbook 1999 have not yet been added to an IFC Composite Index, they are not eligible for an IFC Industry Index. IFC publishes nine sector and 23 industry indexes for both the IFCG and the IFCI Industry iIdex series. The nine sector indexes capture all the stocks in the composite indexes, while the 23 industry indexes focus on the most significant industries represented in those indexes.break

IFC Daily Index Coverage, Base Periods, and Dates of Inclusion Coverage

Dates of Inclusion Global Indexes (IFCG)

Monthly Weekly Daily

Base Latin period Composite America Asia (=100.00) Index Index Index

Investabl EMEA Index

Base period Composi (=100.00) Index

Latin America Argentina

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Dec−88

Dec−88

Brazil

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Dec−88

Dec−88

Chile

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Dec−88

Dec−88

Colombia

Dec−84 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Feb−91

Feb−91

Mexico

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Dec−88

Dec−88

Peru

Dec−92 Dec−92 Oct−95 Dec−92

Jan−94

Jan−94

−

−

Dec−92

Jan−94

Venezuela

Dec−84 Dec−88 Oct−95 Dec−84

Dec−84

Dec−84

−

−

Jan−90

Jan−90

China

Dec−92 Dec−92 Oct−95 Dec−92

Oct−95

−

Oct−95 −

Dec−92

Oct−95

India

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Nov−92

Nov−92

Indonesia

Dec−89 Sep−90 Oct−95 Dec−89

Dec−89

−

Dec−89 −

Sep−90

Sep−90

Korea

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Jan−92

Jan−92

Malaysia*

Dec−84 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Dec−88

Dec−88*

Pakistan

Dec−84 Mar−91 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Mar−91

Mar−91

Philippines

Dec−84 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Dec−88

Dec−88

Sri Lanka

Dec−92 Dec−92 Oct−95 Dec−92

Jan−94

−

Jan−94 −

Dec−92

Jan−94

Taiwan, China

Dec−84 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Jan−91

Jan−91

Thailand

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

−

Dec−84 −

Dec−88

Dec−88

Asia

Europe

IFC Daily Index Coverage, Base Periods, and Dates of Inclusion

13

Emerging Stock Markets Factbook 1999 Czech Republic Dec−93 Dec−93 Oct−95 Dec−93

Jan−96

−

−

Dec−95 Dec−93

Jan−96

Greece

Dec−75 Dec−88 Oct−95 Dec−84

Dec−84

−

−

Dec−95 Dec−88

Dec−88

Hungary

Dec−92 Dec−92 Oct−95 Dec−92

Apr−94

−

−

Dec−95 Dec−92

Apr−94

Poland

Dec−92 Dec−92 Oct−95 Dec−92

Apr−94

−

−

Dec−95 Dec−92

Apr−94

Portugal

Jan−86

Dec−88 Oct−95 Jan−86

Jan−86

−

−

Dec−95 Dec−88

Dec−88

Russia

Dec−95 Dec−95 Dec−95 Dec−95

Jan−97

−

−

Dec−95 Feb−97

Nov−97

Slovakia

Dec−95 Feb−97 Feb−97 Dec−95

Nov−97

−

−

Dec−95 Feb−97

Nov−97

Turkey

Dec−86 Dec−88 Oct−95 Dec−86

Dec−86

−

−

Dec−95 Aug−89

Aug−89

Egypt

Dec−95 Dec−95 Dec−95 Dec−95

Jan−97

−

−

Dec−95 Feb−97

Nov−97

Israel

Dec−96 Jan−97 Feb−97 Dec−96

Nov−97

−

−

Dec−95 Dec−96

Nov−97

Jordan

Dec−78 Dec−88 Oct−95 Dec−84

Dec−84

−

−

Dec−95 Dec−88

Dec−88

Morocco

Dec−95 Dec−95 Dec−95 Dec−95

Jan−97

−

−

Dec−95 Feb−97

Nov−97

Nigeria

Dec−84 Jul−93

Oct−95 Dec−84

Dec−84

−

−

Dec−95 −

−

Saudi Arabia

Dec−97 Dec−97 Dec−97 Dec−97

Nov−98

−

−

Nov−98 −

−

South Africa

Dec−92 Dec−92 Oct−95 Dec−92

Apr−95

−

−

Dec−95 Dec−92

Apr−95

Zimbabwe

Dec−75 Jul−93

Dec−84

−

−

Dec−95 Jun−93

Apr−94

Mideast/Africa

Oct−95 Dec−84

Note: Malaysia was dropped from the IFC Investable Composite and Asia indexes on September 30, 1998.

IFC Daily Index Coverage Map: (World Bank, March 1999)

IFC Daily Index Coverage Map: (World Bank, March 1999)

14

Emerging Stock Markets Factbook 1999

This map was produced by the Map Design Unit of The World Bank. The boundaries, colors, denominations and any other do not imply, on the part of The World Bank Group, any judgmnet on the legal status of any territory, or any endorsement

IFC Frontier Index Coverage, Base Periods, and Dates of Inclusion Coverage

Dates of Inclusion Global Indexes (IFCG)

Investable Inde

Base Latin period Composite America Asia Monthly Weekly Daily (=100.00) Index Index Index

Base La EMEA period Composite Am Index (=100.00) Index In

Bangladesh

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Botswana

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Bulgaria

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Cote d'Ivoire Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Croatia

Dec−97 −

−

Dec−97

Dec−97*

−

−

−

−

−

−

Ecuador

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Estonia

Dec−97 −

−

Dec−97

Dec−97*

−

−

−

−

−

−

Ghana

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Jamaica

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Kenya

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Frontier Markets

IFC Frontier Index Coverage, Base Periods, and Dates of Inclusion

15

Emerging Stock Markets Factbook 1999 Latvia

Dec−97 −

−

Dec−97

Dec−97*

−

−

−

−

−

−

Lithuania

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Mauritius

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Romania

Dec−97 −

−

Dec−97

Dec−97*

−

−

−

−

−

−

Slovenia

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Trinidad & Tobago

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Tunisia

Dec−95 −

−

Dec−95

Dec−95*

−

−

−

−

−

−

Ukraine

Dec−97 −

−

Dec−97

Dec−97*

−

−

−

−

−

−

Note: Date of inclusion in the IFCG Frontier Composite Index.

IFC Frontier Index Coverage Map: (World Bank, March 1999)

This map was produced by the Map Design Unit of The World Bank. The boundaries, colors, denominations and any other do not imply, on the part of The World Bank Group, any judgmnet on the legal status of any territory, or any endorsement

Acknowledgments EMDB Staff Management Group IFC Frontier Index Coverage Map: (World Bank, March 1999)

16

Emerging Stock Markets Factbook 1999 Teresa Barger Peter Wall Betsy Lay, staff assistant Publications/Website Graeme Littler, managing editor Lisa Balcazar, graphic designer Steven Qualiana, copy editor Market Analysts William V. Todd, senior market analyst Mikhail Belikov Miguel Buckenmeyer Brian Casabianca Enrique Esteban Irina Kulish Derek Lachman Shannon Laughlin Natalya Tverskaya, Factbook coordinator Sara Ugarte Database Systems Kyuee−Ha Pahk, head—database systems Jong S. Kim Hwajung Lee Anju Nundy Ali Sher Index/Derivatives Products Madhumita Dutta−Sen, head—new products Mari Ishii, head—fixed−income project Jin K. Du, analyst—fixed−income project Quantitative Services and Client Relations Steven Banowit, head—quantitative services and client relations Ryan Carrier, marketing officer Stephanie Hughes, client relations officer André Léger, client relations officer Stock Exchanges IFC conducts an annual survey of the world's stock exchanges as the basis for the figures presented in this Factbook. IFC acknowledges the contribution made by the stock exchanges listed in the Stock Market Reference List in Appendix 1. Correspondents IFC wishes to thank its network of correspondents for additional information in this Factbook: break

IFC Frontier Index Coverage Map: (World Bank, March 1999)

17

Emerging Stock Markets Factbook 1999 Argentina

Banco Roberts

Bangladesh

Equity Resources Ltd.

Botswana

Stockbrokers Botswana Ltd.

Brazil

Lopes Filho & Associados Consultores de Investimentos

Bulgaria

Global Finance

Chile

Julio Salas M Y Asociados

China

Stock Exchange Executive Council

Colombia

Corredores Asociados S.A.

Cote d'Ivoire

Hudson Finance

Croatia

CA IB Securities

Czech Republic

Zivnostenska Banka, Prague Stock Exchange

Ecuador

Bolsa de Valores de Guayaquil

Egypt

EFG−Hermes

Estonia

Talinvest Suprema Securities

Ghana

Gold Coast Securities Ltd.

Greece

Alpha Brokerage S.A.

Hungary

Budapest Stock Exchange, Concorde Securities

India

Crisil Research & Information Services

Indonesia

Institute for Economic and Financial Research

Israel

Bank Hapoalim

Jamaica

Barita Investments Ltd.

Jordan

Amman Financial Market

Kenya

Loita Asset Management Ltd.

Korea

Korea Securities Finance Corp.

Latvia

Riga Stock Exchange

Lithuania

VB Vilfima Securities

Malaysia

Maxis Sdn. Bhd.

Mauritius

Newton Securities Ltd.

Mexico

Casa de Bolsa Bancomer S.A.

Morocco

Upline Securities S.A.

IFC Frontier Index Coverage Map: (World Bank, March 1999)

18

Emerging Stock Markets Factbook 1999 Nigeria

Securities Transactions & Trust Co.

Pakistan

Jahangir Siddiqui Ltd.

Peru

G&B Sociedad Agente de Bolsa

Philippines

Technistock Corporation

Poland

BRE Brokers Warsaw Stock Exchange

Portugal

Banco Finantia

Romania

Bucharest Investment Group, RASDAQ Trading System, Bucharest Stock Exchange

Russia

Skate−Press Consulting Agency

Saudi Arabia

Saudi Arabian Monetary Agency

Slovakia

CA IB Securites a.s., o.c.p.

Slovenia

CA IB Securites a.s., o.c.p.

South Africa

HSBC Simpson McKie

Sri Lanka

Eagle NDB Fund Management Ltd.

Taiwan, China

Wellphone Securities

Thailand

Mutual Fund Public Co. Ltd.

Trinidad & Tobago Fleming Ansa Merchant Bank Ltd. Tunisia

Tunisie Valeurs

Turkey

TEB Ekonomi Arastirmalasi A.S.

Ukraine

Finance and Credit Investment, PFTS Trading System

Venezuela

Merinvest

Zimbabwe

Sagit Stockbrokers (Pvt.) Ltd.

1— Introduction to Emerging Markets Emerging Market Classification The term "emerging market" implies a stock market that is in transition, increasing in size, activity, or level of sophistication. Most often the term is defined by a number of parameters that attempt to assess a stock market's relative level of development and / or an economy's level of development.

1— Introduction to Emerging Markets

19

Emerging Stock Markets Factbook 1999 In general, IFC classifies a stock market as "emerging" if it meets at least one of two general criteria: (i) it is located in a low− or middle−income economy as defined by the World Bank, and (ii) its investable market capitalization is low relative to its most recent GDP figures. Until 1995, IFC's definition of an emerging stock was based entirely on the World Bank's classification of low− and middle−income economies. If a country's GNP per capita did not achieve the World Bank's threshold for a high−income country, the stock market in that country was said to be "emerging." More recently, this definition has proved to be less than satisfactory due to wide fluctuations in dollar−based GNP per capita figures. Dollar−based GNP figures have been significantly impacted by severe swings in exchange rates, especially in Asia. Moreover, reported GNP figures, which take significant time to prepare, are often out−of−date by the time they are released. Accordingly, IFC has adopted new criteria for a market to graduate from index coverage. To graduate from index coverage, GNP per capita for an economy should exceed the World Bank's upper income threshold for at least three consecutive years. The three year minimum limits the possibility that the GNP per capita level is biased by an overvalued currency. For a new market to be included in IFC index coverage, the market must be located in an economy whose GNP per capita places it in the World Bank's lower and middle income classifications in at least one of the last three years. Based on 1997 data, economies with a GNP per capita of $9,656 and above were classified as high income countries. Another typical characteristic of an emerging stock market is its relatively small investable market capitalization relative to gross domestic product. Investable market capitalization is a market's capitalization after removing holdings not truly "in the market" for foreign portfolio investors. Non−investable holdings include, but are not limited to, large block holdings and parts of companies that are inaccessible due to foreign investment limits. For a market to graduate from index coverage it should have an investable market capitalization−to−GDP ratio near the average of markets commonly accepted as developed for three consecutive years. In summary, for a market to graduate from IFC Index coverage two criteria must be met: i) GNP per capita must be in the high income economy range for three consecutive years, and ii) the investable market capitalization to GDP ratio must be near the average of developed markets for three consecutive years. New markets being added to IFC Index coverage must have GNP per capita levels below the upper income economy threshold defined by the World Bank in at least one of the last three years. Stock markets that retain or introduce investment restrictions such as foreign limits, capital controls, extensive government involvement with listed companies, and other legislated restraints on market activity, particularly on foreign investors, are generally considered emerging markets. Pervasive investment restrictions on foreign portfolio investment should not exist in developed stock markets, and their presence is a sign that the market is not yet "developed." There are also many qualitative features to consider about specific stock markets. Areas such as operational efficiency of stock markets, quality of market regulation, supervision and enforcement, corporate governance practices, minority shareholder rights, transparency, and level of accounting standards are all important characteristics for investors to consider in their tolerance for any specific emerging market exposure.break

World Economic Statistics 1997

World Economic Statistics 1997

20

Emerging Stock Markets Factbook 1999 GNP /a

GNP per capita

Agriculture Investment Average annual inflation rate

Curren accou balanc

PPP / b Intl. dollars 1997

Avg. annual real growth, % % of GDP 1990−97 1997

% of GDP % 1997 1990−97

% of G 1997

..

..

..

..

..

..

Economy

US$ millions 1997

US$ a/ 1997

Afghanistan

..

..

Albania

2,540

760

2,170

d

2.2

62.6

12.2

58.1

−11.1

Algeria

43,927

1,500

4,250

d

−1.6

11.4

25.7

23.8

..

American Samoa

..

..

e

..

..

..

..

..

..

Andorra

..

..

f

..

..

..

..

..

..

Angola

3,012

260

820

−10.0

9.3

24.7

1,091.4

42.9

Antigua and Barbuda

489

7,380

8,650

1.8

3.8

46.6

2.6

−0.1

Argentina

319,293

8,950

10,100

4.2

6.6

20.1

12.2

−3.1

Armenia

2,112

560

2,540

−10.7

40.6

9.4

482.8

−18.6

Aruba

..

..

..

−0.6

..

..

4.5

..

Australia

382,705

20,650

19,510

2.4

3.2

20.2

1.7

−3.2

Austria

225,373

27,920

22,010

1.1

1.4

24.0

2.6

−2.2

Azerbaijan

3,886

510

1,520

−16.0

21.9

28.1

447.8

−18.2

Bahamas, The

..

..

f

..

−2.0

..

..

2.9

−7.0

Bahrain

..

..

e

..

2.6

0.9

5.4

1.2

10.2

Bangladesh

44,090

360

1,090

3.3

23.8

20.9

3.6

−2.2

Barbados

..

..

..

−0.9

§

§

0.8

5.2

Belarus

22,082

2,150

4,820

−5.6

14.1

25.7

561.4

−3.5

Belgium

272,382

26,730

23,090

1.3

1.2

17.6

2.6

5.6

Belize

614

2,670

4,080

0.3

23.5

23.6

3.7

−6.1

Benin

2,227

380

1,260

1.7

38.4

18.5

10.6

..

Bermuda

..

..

..

..

..

..

..

..

Bhutan

315

430

..

2.0

37.6

42.7

9.7

−15.8

Bolivia

7,564

970

2,810

2.0

16.3

18.7

10.4

−8.8

Bosnia and Herzegovina

..

..

..

..

..

..

..

..

Botswana

5,070

3,310

7,430

1.3

3.4

25.9

10.2

12.3

World Economic Statistics 1997

c

f

e

f

c

d

21

Emerging Stock Markets Factbook 1999 Brazil

784,044

4,790

6,350

1.9

8.1

21.3

475.7

−4.1

Brunei

..

..

..

−2.1

2.7

..

1.6

..

Bulgaria

9,750

1,170

3,870

−2.0

23.3

11.8

109.5

4.4

Burkina Faso

2,579

250

1,000

d

0.8

35.4

25.4

6.9

..

Burundi

924

140

620

d

−5.9

53.3

6.8

10.7

0.4

Cambodia

3,162

300

1,290

d

2.7

51.1

16.1

37.8

−6.9

Cameroon

8,610

620

1,770

−3.3

40.9

16.2

6.4

−1.3

Canada

594,976

19,640

21,750

0.8

§

17.6

1.4

−1.5

Cape Verde

436

1,090

2,950

1.0

8.7

34.2

5.3

−7.0

Cayman Islands

..

..

..

..

..

..

..

Central African Republic

1,104

320

1,310

d

−1.0

54.1

9.0

5.9

..

Chad

1,629

230

950

d

1.0

38.8

19.4

7.3

..

Channel Islands

..

..

..

..

..

..

..

..

Chile

70,510

4,820

12,240

6.4

7.5

26.9

10.2

−5.3

China

1,055,372

860

3,070

10.0

18.7

38.2

11.2

3.3

Hong Kong, China 163,834 /g

25,200

24,350

3.3

0.1

34.5

6.7

−1.5

Colombia 87,125 (table continued on next page)

2,180

6,570

2.6

11.5

18.8

22.4

−5.9

f

f

f

d

..

(table continued from previous page) World Economic Statistics 1997 (Cont.) GNP /a

GNP per capita

Economy

US$ millions 1997

US$ a/ 1997

PPP / b Intl. dollars 1997

Comoros

209

400

1,530

Congo, Dem. Rep.

5,201

110

760

Congo, Rep.

1,827

670

Costa Rica

9,275

2,680

World Economic Statistics 1997

Agriculture Investment Average annual inflation rate

Curre accou balanc

Avg. annual real growth, % % of GDP 1990−97 1997

% of GDP % 1997 1990−97

% of G 1997

d

−3.1

38.7

21.3

3.9

−8.8

d

−9.6

57.9

7.1

2,012.8

..

1,290

−2.9

9.5

26.0

8.9

−11.0

6,510

2.3

14.7

26.8

18.0

−2.7 22

Emerging Stock Markets Factbook 1999 Côte d'Ivoire

10,152

710

1,690

0.9

27.3

16.0

9.3

0.3

Croatia

19,343

4,060

4,930

2.7

12.4

14.8

218.1

−4.5

Cuba

..

..

h

..

..

..

..

..

..

Cyprus

..

..

f

..

2.6

§

§

4.2

−2.5

Czech Republic

53,952

5,240

10,380

−0.3

§

33.9

17.1

−6.3

Denmark

184,347

34,890

23,450

2.5

4.0

19.4

1.9

0.5

Djibouti

..

..

..

..

3.6

9.5

4.6

−4.7

Dominica

225

3,040

4,020

0.7

20.5

33.0

3.7

−16.9

Dominican Republic 14,148

1,750

4,690

3.5

12.4

24.5

11.5

−0.8

Ecuador

18,785

1,570

4,700

0.9

12.1

20.2

33.3

−3.8

Egypt, Arab Rep.

72,164

1,200

3,080

2.8

17.7

17.7

10.5

3.8

El Salvador

10,704

1,810

2,860

3.5

12.9

15.0

9.8

0.9

Equatorial Guinea

444

1,060

..

12.1

23.1

96.5

14.7

−132.

Eritrea

852

230

1,040

2.9

9.3

40.9

12.7

−3.2

Estonia

4,899

3,360

5,090

−2.8

7.2

29.8

92.2

−12.0

Ethiopia

6,507

110

500

2.2

55.5

19.1

8.9

−7.1

Faeroe Islands

..

..

..

..

..

..

..

..

Fiji

2,007

2,460

3,860

0.4

17.6

12.4

3.5

0.5

Finland

127,398

24,790

19,660

0.9

4.0

16.6

1.8

5.4

France

1,541,630

26,300

22,210

1.0

2.3

17.1

1.8

2.8

French Guiana

..

..

f

..

..

..

..

..

..

French Polynesia

..

..

f

..

..

..

..

..

..

Gabon

4,752

4,120

6,560

−0.1

7.5

26.3

8.5

2.0

Gambia, The

407

340

1,440

−0.6

29.9

17.7

4.7

−5.8

Georgia

4,656

860

1,980

−14.9

31.6

7.2

1,033.2

−6.5

Germany

2,320,985

28,280

21,170

0.7

1.1

21.2

2.5

−0.1

Ghana

6,982

390

1,610

1.4

35.8

24.1

29.2

−4.7

Greece

122,430

11,640

12,540

1.0

10.7

19.5

12.2

−3.7

Greenland

..

..

..

..

..

..

..

..

Grenada

300

3,140

4,760

1.3

9.7

33.3

3.2

−19.6

Guadeloupe

..

..

e

..

..

..

..

..

..

Guam

..

..

f

..

..

..

..

..

..

Guatemala

16,582

1,580

4,060

1.5

23.6

13.8

12.2

−3.5

Guinea

3,830

550

1,790

2.7

22.6

21.8

6.2

−2.3

World Economic Statistics 1997

h

f

f

d

d

d

23

Emerging Stock Markets Factbook 1999 Guinea−Bissau

264

230

..

Guyana

677

800

2,800

Haiti

2,864

380

1,260

Honduras

4,426

740

Hungary

45,760

4,510

Iceland

..

..

f

1.0

53.8

23.9

45.3

−10.2

d

12.9

§

32.2

26.7

−21.8

d

−4.4

30.3

10.2

25.3

−4.7

2,260

1.0

19.7

32.0

20.4

−6.1

6,970

0.2

6.0

27.4

22.8

−2.2

..

0.4

11.2

17.6

3.1

−1.8

(table continued on next page)

(table continued from previous page) World Economic Statistics 1997 (Cont.) GNP /a

GNP per capita

Curren accou balanc

Agriculture Investment Average annual inflation rate

US$ a/ 1997

PPP / b Intl. dollars 1997

Avg. annual real growth, % % of GDP 1990−97 1997

% of GDP % 1997 1990−97

% of G 1997

357,391

370

1,660

4.3

25.3

24.0

8.8

−1.5

Indonesia

221,533

1,110

3,390

5.9

16.0

30.9

8.6

−2.3

Iran, Islamic Rep.

108,614

1,780

5,690

1.9

25.2

29.3

32.5

3.7

Iraq

..

..

..

..

..

..

..

..

Ireland

65,137

17,790

17,420

5.6

5.8

17.9

1.8

2.6

Isle of Man

..

..

..

..

..

..

..

..

Israel

94,402

16,180

17,680

2.6

..

21.8

11.4

−5.1

Italy

1,160,444

20,170

20,100

1.0

2.8

17.1

4.6

2.9

Jamaica

3,956

1,550

3,330

0.8

8.0

34.5

32.8

−9.1

Japan

4,812,103

38,160

24,400

1.4

1.9

29.9

0.5

2.3

Jordan

6,755

1,520

3,350

2.8

3.5

28.5

3.3

−2.9

Kazakhstan

21,317

1,350

3,530

−7.4

12.0

15.6

440.4

−4.1

Kenya

9,654

340

1,160

−0.3

28.8

19.1

16.0

−3.7

Kiribati

76

910

..

−0.6

§

§

7.0

..

Korea, Dem. Rep.

..

..

..

..

..

..

..

..

Economy

US$ millions 1997

India

World Economic Statistics 1997

h

e

h

24

Emerging Stock Markets Factbook 1999 Korea, Rep.

485,209

10,550

13,430

6.0

5.7

35.0

5.3

−1.8

Kuwait

..

..

..

17.5

0.4

13.5

..

25.7

Kyrgyz Republic

2,211

480

2,180

−9.7

44.6

21.7

199.1

−7.9

Lao PDR

1,924

400

1,300

3.9

52.1

28.7

12.2

−12.8

Latvia

5,995

2,430

3,970

−7.3

7.4

19.7

87.7

−6.2

Lebanon

13,900

3,350

6,090

4.9

12.4

26.7

27.7

−23.3

Lesotho

1,368

680

2,490

2.5

11.5

85.5

8.0

..

Liberia

..

..

c

..

..

..

..

..

..

Libya

..

..

e

..

..

..

..

..

..

Liechtenstein

..

..

f

..

..

..

..

..

..

Lithuania

8,360

2,260

4,140

−7.1

12.8

26.5

140.3

−10.2

Luxembourg

..

..

f

..

0.2

1.0

21.2

2.3

..

Macao

..

..

f

..

..

..

§

7.5

..

Macedonia, FYR

2,187

1,100

3,180

−2.1

12.0

19.5

60.5

−12.5

Madagascar

3,575

250

900

−1.6

31.6

11.8

23.6

−3.8

Malawi

2,129

210

700

0.8

36.3

12.3

33.8

..

Malaysia

98,195

4,530

7,730

5.8

12.1

42.8

4.5

−4.9

Maldives

301

1,180

3,340

4.3

..

..

9.1

−4.6

Mali

2,656

260

720

0.3

49.2

23.3

10.0

−7.0

Malta

3,498

9,330

13,380

3.0

§

24.9

3.6

−5.0

Marshall Islands

97

1,610

..

..

§

..

7.0

..

Martinique

..

..

..

..

..

..

..

..

Mauritania

1,093

440

1,650

1.5

25.5

17.5

6.0

2.1

Mauritius

4,444

3,870

9,230

3.7

8.9

27.6

6.4

−2.6

Mayotte

..

..

..

..

..

..

..

..

Mexico

348,627

3,700

8,110

0.2

5.3

26.4

19.3

−1.8

Micronesia, Fed. Sts.

213

1,920

..

−1.8

..

..

3.4

..

Moldova

1,974

460

1,450

−10.8

31.4

24.2

22.5

−15.8

Monaco

..

..

..

..

..

..

..

..

f

f

e

f

d

d

d

d

d

d

(table continued on next page)

(table continued from previous page)

World Economic Statistics 1997

25

Emerging Stock Markets Factbook 1999 World Economic Statistics 1997 (Cont.) GNP /a

GNP per capita

Economy

US$ millions 1997

US$ a/ 1997

PPP / b Intl. dollars 1997

Mongolia

998

390

1,490

Morocco

34,380

1,260

3,210

Mozambique

2,405

140

690

Myanmar

..

..

Namibia

3,428

2,110

5,100

Nepal

4,863

220

Netherlands

403,057

25,830

c

Agriculture Investment Average annual inflation rate

Curren accoun balanc

Avg. annual real growth, % % of GDP 1990−97 1997

% of GDP % 1997 1990−97

% of G 1997

−1.4

36.8

22.4

89.3

4.1

0.2

15.3

20.6

3.8

−0.3

2.6

31.0

29.5

45.9

−15.6

..

58.6

12.9

24.2

..

1.1

10.7

19.8

9.4

5.9

1,090

2.2

41.4

21.4

9.7

−9.3

21,300

1.9

3.1

19.9

2.0

5.9

d

d

.. d

Netherlands Antilles ..

..

f

..

..

..

..

..

..

New Caledonia

..

..

f

..

..

..

..

..

..

New Zealand

59,539

15,830

15,780

1.2

§

21.5

1.7

−8.6

Nicaragua

1,907

410

1,820

d

1.6

34.2

27.7

67.7

−22.1

Niger

1,962

200

830

d

−1.9

38.0

10.8

7.2

−8.1

Nigeria

33,393

280

860

0.7

32.7

15.3

42.6

1.4

Northern Mariana Islands

..

..

..

..

..

..

..

..

Norway

158,973

36,100

24,260

3.8

2.2

23.4

1.9

5.3

Oman

..

..

..

−0.4

§

§

−2.9

−6.6

Pakistan

64,638

500

1,580

2.0

24.7

15.2

11.3

−6.0

Palau

..

..

..

..

6.8

..

..

..

Panama

8,373

3,080

6,890

3.0

8.2

29.1

2.8

−0.9

Papua New Guinea

4,185

930

..

2.5

28.2

37.0

6.7

5.9

Paraguay

10,183

2,000

3,860

0.0

22.6

22.8

16.1

−4.7

Peru

63,672

2,610

4,580

4.6

6.9

24.6

40.1

−5.3

Philippines

88,372

1,200

3,670

1.6

18.7

24.8

8.6

−5.2

Poland

138,909

3,590

6,510

4.2

6.4

22.2

29.5

−4.2

Portugal

109,472

11,010

14,180

2.0

3.9

24.3

6.3

−1.8

World Economic Statistics 1997

f

e

e

26

Emerging Stock Markets Factbook 1999 Puerto Rico

..

..

e

..

..

§

§

..

..

Qatar

..

..

f

..

−5.3

..

..

..

..

Reunion

..

..

f

..

..

..

§

..

..

Romania

31,787

1,410

4,270

−0.1

19.6

21.5

124.0

−6.7

Russian Federation

394,861

2,680

4,280

−7.9

8.0

21.9

298.8

0.6

Rwanda

1,680

210

650

−5.7

37.5

10.8

19.3

−5.0

Samoa

199

1,140

3,570

0.7

§

§

2.9

4.7

São Tomé and Principe

40

290

..

−1.7

23.3

49.8

56.9

..

Saudi Arabia

143,430

7,150

10,540

−2.5

6.3

20.3

1.8

0.2

Senegal

4,777

540

1,690

0.0

18.5

18.7

6.5

−1.3

Seychelles

537

6,910

..

1.7

4.1

36.0

1.4

−11.7

Sierra Leone

762

160

410

−5.7

50.1

−5.1

34.5

−14.6

Singapore

101,834

32,810

29,230

6.7

0.1

37.4

2.9

15.4

Slovak Republic

19,801

3,680

7,860

0.3

4.8

35.5

12.6

−7.0

Slovenia

19,550

9,840

11,880

4.2

4.6

24.0

32.3

0.2

Solomon Islands

350

870

2,270

1.0

..

..

9.9

−7.4

Somalia

..

..

..

..

..

..

..

South Africa

130,151

3,210

7,190

−0.2

4.5

15.9

10.1

−1.5

Spain

569,637

14,490

15,690

1.3

3.5

20.6

4.6

0.5

c

d

d

d

.. d

(table continued on next page)

(table continued from previous page) World Economic Statistics 1997 (Cont.) GNP /a

GNP per capita

Agriculture Investment Average annual inflation rate

Curren accou balanc

Economy

US$ millions 1997

US$ a/ 1997

PPP / b Intl. dollars 1997

Sri Lanka

14,781

800

2,460

4.0

22.2

24.4

9.8

−2.6

St. Kitts and Nevis

256

6,260

7,770

4.0

5.6

46.4

4.0

..

World Economic Statistics 1997

Avg. annual real growth, % % of GDP 1990−97 1997

% of GDP % 1997 1990−97

% of G 1997

27

Emerging Stock Markets Factbook 1999 St. Lucia

558

3,510

5,030

2.8

10.7

19.0

2.9

−13.4

St. Vincent and the Grenadines

272

2,420

4,060

1.8

12.6

31.6

3.0

−12.8

Sudan

7,917

290

1,370

3.7

..

..

81.6

−19.5

Suriname

544

1,320

..

−0.5

§

§

138.0

21.8

Swaziland

1,458

1,520

3,690

−0.6

18.7

33.9

12.7

−3.7

Sweden

231,905

26,210

19,010

0.2

§

14.6

2.6

3.2

Switzerland

305,238

43,060

26,580

−0.5

..

20.3

1.9

6.9

Syrian Arab Republic

16,643

1,120

3,000

3.3

§

29.3

8.9

3.2

Tajikistan

2,010

330

1,100

−16.1

§

17.4

394.3

−4.2

Tanzania / i

6,632

210

620

0.9

47.3

20.4

25.2

−7.9

Thailand

165,759

2,740

6,490

5.9

11.2

35.0

4.8

−2.0

Togo

1,485

340

1,460

−1.2

41.8

15.7

8.9

..

Tonga

177

1,810

..

1.4

37.1

§

3.8

..

Trinidad and Tobago 5,553

4,250

6,460

0.5

1.7

21.8

7.2

5.5

Tunisia

19,433

2,110

5,050

2.0

13.1

26.6

5.0

−3.4

Turkey

199,307

3,130

6,470

2.3

15.1

25.1

79.3

−1.4

Turkmenistan

2,987

640

1,410

−14.6

§

§

1,074.2

1.0

Uganda

6,608

330

1,160

4.4

43.8

15.3

17.5

−7.9

Ukraine

52,625

1,040

2,170

−12.6

12.3

20.1

591.0

−2.7

United Arab Emirates

..

..

..

−3.8

§

§

..

..

United Kingdom

1,231,269

20,870

20,710

1.9

1.8

15.9

3.2

0.6

United States

7,783,092

29,080

29,080

1.7

1.8

17.5

2.1

−2.0

Uruguay

20,035

6,130

9,110

3.5

8.5

12.8

45.4

−1.6

Uzbekistan

24,236

1,020

..

−5.6

30.6

18.8

442.5

−2.3

Vanuatu

238

1,340

3,230

−3.5

24.7

..

4.8

−7.7

Venezuela

79,317

3,480

8,660

−0.2

4.1

17.7

50.0

5.4

Vietnam

24,008

310

1,590

6.1

26.2

29.0

19.7

−7.5

f

d

d

d

Virgin Islands (U.S.) ..

..

f

..

..

..

..

..

..

West Bank and Gaza ..

..

h

..

..

..

..

..

..

Yemen, Rep.

4,405

270

720

−1.5

17.6

21.2

26.7

2.4

Yugoslavia, FR (Serb. / Mont.)

..

..

..

..

..

..

..

..

World Economic Statistics 1997

h

28

Emerging Stock Markets Factbook 1999 Zambia

3,536

370

910

−0.9

16.4

14.9

72.4

..

Zimbabwe

8,208

720

2,240

−0.7

18.6

18.7

22.4

..

.. Not available. § See map for range estimate.

Notes: Figures in italics are for years other than those specified; the number 0 or 0.0 means zero or less than half the unit shown and not known more precisely. a. Atlas

power parity; see the technical notes. c. Estimated to be low income ($785 or less). d. Estimate is based on regression; others are extrapolated from the 1993 Internation Programme survey. e. Estimated to be upper middle income ($3,126 to $9,655). f. Estimated to be high income ($9,656 or more). g. References to GNP relate to GDP. h middle income ($786 to $3,125). i. Data cover mainland Tanzania only. Source: World Bank Atlas 1999. World Bank: Washington, D.C.

Aggregate Net Long−Term Resource Flows to Emerging Markets: (US$ Billions) Type of finance

1990

1991

1992

1993

1994

1995

1996

1997

1998p

Official flows

56.9

62.6

54.0

53.3

45.5

53.4

32.2

39.1

47.9

Private flows

43.9

60.5

98.3

167.0

178.1

201.5

275.9

299.0

227.1

From international capital markets 19.4

26.2

52.2

100.0

89.6

96.1

149.5

135.5

72.1

Private debt flows

15.7

18.6

38.1

49.0

54.4

60.0

100.3

105.3

58.0

Commercial banks

3.2

4.8

16.3

3.3

13.9

32.4

43.7

60.1

25.1

Bonds

1.2

10.8

11.1

37.0

36.7

26.6

53.5

42.6

30.2

Others

11.4

3.0

10.7

8.6

3.7

1.0

3.0

2.6

2.7

Portfolio equity flows

3.7

7.6

14.1

51.0

35.2

36.1

49.2

30.2

14.1

Foreign direct investment

24.5

34.4

46.1

67.0

88.5

105.4

126.4

163.4

155.0

Net long−term resource flows

100.8

123.1

152.3

220.2

223.6

254.9

308.1

338.1

275.0

of which official (%)

56.4

50.9

35.5

24.2

20.3

20.9

10.5

11.6

17.4

of which portfolio, equity (%)

3.7

6.2

9.3

23.2

15.7

14.2

16.0

8.9

5.1

p: preliminary

Source: World Bank, Debtor Reporting System

Aggregate Net Long−Term Resource Flows to Emerging Markets: (US$ Billions)

29

Emerging Stock Markets Factbook 1999 World GNP and GNP Per Capita, 1997

GNP Per Capita This map was produced by the Map Design Unit of The World Bank. The boundaries, colors, denominations, and any othe do not imply, on the part of The World Bank Group, any judgement on the legal status of any territory, or any edorsement o World Bank income grouping *

Number of GNP economies (US$ billions)

Population (millions)

GNP per capita (US$)

Low

61

712

2,036

350

Lower−middle

59

2,803

2,283

1,230

Upper−middle

36

2,609

574

4,540

High

54

24,001

927

25,890

Emerging Markets

156

6,124

4,893

1,252

Developed Markets

54

24,001

927

25,890

World

210

30,125

5,820

5,176

Note: Low income defined as per capita GNP of $785 or less, lower−middle ($786−$3,125), upper−middle ($3,126 to $9,655), and upper income ($9,656 or more).

World GNP and GNP Per Capita, 1997

30

Emerging Stock Markets Factbook 1999

Emerging Markets' Share of World GNP, 1997

Emerging Markets' Share of World Population, 1997

Key Trends in Emerging Stock Markets in 1998 The Year in Review

IFCI and IFCG Composite Index returns indicate that 1998 was the worst year ever for emerging markets. It appeared that everything that could go wrong in emerging markets did go wrong during the year. The term "contagion" was used liberally by the financial press to describe the ripple effect of one country's economic problems and related misfortunes in other markets. The contagion had its beginning in July 1997, when a sharp decline in the value of the Thai baht initiated major risk reassessments throughout the Asia region. Eventually risk reassessments spread throughout Europe, Africa, and Latin America, underpinning sharp declines in both currencies and equities in those regions. Stock markets in countries with the weakest macroeconomic fundamentals generally suffered the sharpest losses, but countries with stronger economic policies and more robust financial sectors were not able to escape effects of the contagion completely. Key Trends

Emerging market performance on a country−by−country basis was overwhelmingly negative in 1998, with 24 of 31 markets tracked by the IFCI Composite registering losses. Of the seven IFCI markets posting gains, only five markets, Greece, Korea, Morocco, Portugal, and Thailand registered double−digit gains. On a regional level, losses were generally steepest in Europe and Latin America, but no region was completely exempt from the contagion that effectively swept through all emerging markets. The IFCI Composite Index fell 24.1% in 1998, the steepest one−year decline in the index's 11−year history. The IFCI Latin America and IFCI EMEA indexes, fell 38.0% and 22.6%, respectively, during the year, while the IFCI Asia Index, after falling more than 57% in 1997, registered a much more modest 0.7% decline. Performance of the broader IFCG Index—which does not consider foreign investment restrictions—mirrored the IFCI, with the IFCG Composite Index falling 22.9% during the year. The IFCG Latin America, EMEA, and Asia indexes fell 38.2%, 27.3%, and 6.8%, respectively, in 1998. The smaller, less active frontier markets tracked by IFC followed the downward trend of the most heavily Key Trends in Emerging Stock Markets in 1998

31

Emerging Stock Markets Factbook 1999 capitalized emerging markets. The IFC Frontier Composite, a new index introduced in 1998, registered a 17.2% decline for the year. On a country−by−country basis, performance in the frontier markets was more mixed with 7 of 18 markets posting gains. The African and Caribbean regions were generally the strongest, with the IFCG indexes for Trinidad and Tobago, Ghana, and Kenya posting returns of 17.5%, 17.3%, and 13.8% in dollars, respectively. Equity returns in emerging markets were vastly different from returns registered in non−Asian developed markets. During the year, the S&P 500 soared 28.4%, powered by a surge in the most heavily capitalized issues. Equities in developed European markets also climbed with the FTSE−100, CAC−40, and DAX indexes gaining 14.5%, 31.5%, and 18.5%, respectively. Japan's Nikkei 225 Index lost 9.3% as conditions in that market remained unfavorable. The contagion that rippled through the emerging market universe during the year severely crippled capital flows. Preliminary estimates by the World Bank indicate that net portfolio flows to emerging markets plummeted to just $14.1 billion in 1998, the lowest level since 1992. The $14.1 billion total registered during the year was less than half of the 1997 total and only 29% of the total portfolio flows recorded in 1996. While private debt and equity flows to emerging markets declined to three−year lows, official flows reached three−year highs. The poor performance of emerging markets in 1998 was visibly reflected in key market statistics such as market capitalization and value traded. Aggregate market capitalization of emerging markets contracted from approximately $2.2 trillion in 1997 to $1.9 trillion in 1998, the second consecutive annual decline. The decline in emerging market capitalization combined with expanding capitalization levels in developed markets lowered emerging markets' share of total world capitalization to 6.9%, the lowest percentage since 1990. Value traded also showed a significant decline in 1998, with aggregate turnover falling to $1.96 trillion from $2.71 trillion in 1997. Emerging markets' share of total world trading slipped to 8.8% in 1998 from 13.9% in 1997 as developed markets recorded sharply higher trading activity. Taiwan, China represented approximately 45% of emerging marketcontinue

turnover, despite a 38% decline in that country's trading during 1998. The number of listed companies in emerging markets surged to 26,360 in 1998 from 19,747 in 1997 due to the inclusion of RASDAQ−traded stocks in Romania, which boosted the number of listed issues by nearly 5,700. The disparity in valuation ratios and dividend yields between emerging markets and developed markets continued to widen in 1998. The IFCI Composite P / E was 15.9 at the end of 1998 as compared to P / Es of 30.2, 20.4, and 185.2 for the U.S., U.K., and Japan. The P / BV of the IFCI Composite fell to 1.3 at the end of 1998, a six−year low, while P / BVs in the U.S., U.K., and Japan stood at 5.1, 3.8, and 1.6, respectively. Moreover, dividend yields in emerging markets climbed to their highest level since 1991, reaching 2.9% in 1998, up from 2.5% in 1997. Spread of Contagion and Emerging Market Performance

The contagion had its start in 1997, ending a period of robust Asian growth that had been underpinned by low−cost foreign borrowing and stable yet overvalued currencies. In mid−1997, speculators sensed weakness in the Thai baht and mounted attacks on the currency. The baht's devaluation in July soon triggered similar devaluations throughout the region. Indonesia, South Korea, and Thailand were the hardest hit by the falling currencies with the IFC Investable indexes for those countries declining 73%, 70%, and 68%, respectively, in the last six months of 1997. At the start of 1998, the contagion appeared to have stalled as Asian currencies stabilized and as several equity markets in the region, most notably Korea, registered gains. The region, however, quickly succumbed to a second Spread of Contagion and Emerging Market Performance

32

Emerging Stock Markets Factbook 1999 round of downward pressure, as continued high interest rates and the rapid depreciation of the Japanese yen threatened East Asian GDP and export growth. Continued concern over the health of the Japanese economy, a major investor and trading partner for Asian economies, as well as balance−of−payments concerns stemming from Russia, caused the IFCI Composite to sink 12.8 and 10.5% in April and May, respectively. As effects of the initial Asian crisis on emerging markets began to diminish by mid−summer 1998, the crash of the Russian financial system in August caused a second sharp downturn in emerging markets. In late spring, the ruble came under mounting pressure to devalue as signs of macroeconomic imbalances and political reshuffling triggered investor concerns. Most importantly, the government began covering a growing budget deficit, which resulted from record−low oil prices and poor tax collection, by increasing its level of expensive short−term borrowing. By summer, investors began to question the ability of the government to service its debt as currency reserves rapidly depleted, sending the interest rates on government debt even higher. In August, Russia devalued the ruble, defaulted on short−term domestic bonds, and declared a moratorium on commercial debt payments. As a result, the IFCI Russia Index plunged 84.2% in 1998. Eastern European markets also suffered heavy losses as a result of their trading and investment links to Russia as the IFCI Eastern Europe Index (including Russia) tumbled 59%. The contagion effect was rekindled by the Russian debacle, as investors feared that countries with similar macroeconomic imbalances would be the next targets. Latin American stock markets, which had fallen only 16.5% in the first six months of 1998, largely from high interest rates, were the obvious candidates, given falling international commodity prices and, consequently, growing current account deficits. The largest country, Brazil, became the driver of the third wave of emerging market fallout, given high fiscal and current account deficits. More fiscally disciplined countries, such as Argentina, Chile, and Mexico, were also punished alongside Brazil in 1998, although largely from severely high interest rates. Latin American market returns were slightly differentiated for all of 1998, however, as countries with fewer macroeconomic imbalances fared better. Argentine and Chilean shares emerged the least affected of all Latin American countries, posting IFC Investable Index losses of 28.5% and 29.8%, respectively, while Brazil registered losses of 43.0% in 1998. Since December 1997, emerging markets have seen their fortunes rise and fall quite dramatically. A brief (one month) run−up in share prices (IFCI Composite up 10%, Asia up 25%, EMEA up 6%, and Latin America up 5%) in February 1998 was thought to be a sign of recovery. In−soft

stead, a sense of hope turned out to be false as shares continued to cede ground until September 1998. Since September, emerging markets have once again been on the track to recovery: The IFCI Composite has gained 17%, Asia has increased 41%, Europe / Middle East / Africa has risen 13%, and Latin America has gained 7%. By the end of 1998, the IFCI Composite Index stood at about half of its July 1997 level, having fallen about 45% in a 17−month period. In spite of the overall magnitude of the correction, the timing of losses followed an east−west trajectory so that by the time Latin American stocks were plunging, Asian equities were booming. The continued troubles of Latin America compared to the structural reform and simultaneous gains in share prices underway in Asia may mean that investors have returned to the practice of assessing risk on a country−by−country basis rather than viewing emerging markets and regions as one asset class. This may be good news for governments considering privatization. In the absence of other foreseeable catastrophes, the introduction of structural reforms, including privatization, should encourage investors and lift stock markets, thus helping reformist governments increase the gains from privatization.break

Spread of Contagion and Emerging Market Performance

33

Emerging Stock Markets Factbook 1999

IFCI Composite Index: Major Events in 1998

2— World Stock Markets World Stock Market Performance, 1998: (Ranked by % Change in Price Indexes in US$)

Rank

Market

% change in price index

1

Korea*

118.8

51

India*

−15.3

2

Greece*

91.2

52

Israel*

−16.0

3

Finland

81.2

53

HongKong

−18.2

4

Japan

70.1

54

Taiwan, China*

−19.9

5

Belgium

56.7

55

Sri Lanka*

−20.9

6

Italy

51.2

56

Jamaica*

−21.3

7

Panama

48.6

57

China*

−23.3

8

Spain

47.9

58

Saudi Arabia*

−26.8

9

Barbados

47.6

59

Argentina*

−28.4

2— World Stock Markets

Rank

Market

% change in price index

34

Emerging Stock Markets Factbook 1999 10

France

41.6

60

Nigeria*

−28.4

11

Netherlands

40.3

61

Indonesia*

−29.3

12

Portugal*

38.2

62

Egypt*

−29.5

13

Thailand*

31.9

63

Chile*

−30.0

14

Norway

28.6

64

Bulgaria*

−30.1

15

Morocco*

27.4

65

South Africa*

−30.5

16

Germany

27.1

66

Croatia*

−33.8

17

US.

26.7

67

Ecuador*

−36.9

18

Cyprus

23.2

68

Bangladesh*

−38.5

19

Switzerland

21.4

69

Mexico*

−38.8

20

Costa Rica

19.6

70

Lithuania*

−39.2

21

Slovenia*

19.0

71

Peru*

−39.7

22

Malta

17.9

72

Brazil*

−42.6

23

Ireland

17.8

73

Colombia*

−43.6

24

Trinidad & Tobago*

17.5

74

Namibia

−46.4

25

Ghana

17.3

75

Swaziland

−48.6

26

U.K.

15.8

76

Zambia

−50.0

27

Australia

14.2

77

Venezuela*

−51.8

28

Kenya*

13.8

78

Oman

−52.5

29

Palestine

11.4

79

Turkey*

−53.1

30

Philippines*

9.8

80

Slovakia*

−53.9

31

Botswana*

9.2

81

Zimbabwe*

−59.2

32

Bermuda

8.8

82

Pakistan*

−59.5

33

Jordan*

8.3

83

Estonia*

−65.4

34

Sweden

7.8

84

Latvia*

−67.4

35

Cote d'Ivoire*

4.4

85

Romania*

−67.7

36

Austria

2.9

86

Ukraine*

−82.3

37

Denmark

1.5

87

Russia*

−87.5

38

Mauritius*

1.4

39

Luxembourg

0.0

Regional Indexes

40

Malaysia*

−1.6

1

MSCI World

22.8

41

NewZealand

−1.9

2

MSCI EAFE

18.2

42

Nepal

−4.0

3

FT, EuroPac

16.9

2— World Stock Markets

35

Emerging Stock Markets Factbook 1999 43

Iran

−6.0

4

IFCI Asia

−0.7

44

Tunisia*

−6.4

5

IFCG Asia

−6.8

45

Singapore

−9.0

6

IFCI EMEA

−22.6

46

Canada

−9.8

7

IFCG Composite −22.9

47

Czech Republic* −10.0

8

IFCI Composite

−24.1

48

Hungary*

−10.8

9

IFCG EMEA

−27.3

49

Paraguay

−12.1

10

IFCI Latin America

−38.0

50

Poland*

−12.2

11

IFCG Latin America

−38.2

Notes: Markets marked by an asterisk indicate IFC Global Index as source; developed market returns come from a variety of sources, including Reuters and Bloomberg; other markets' returns are based on local stock exchange index results, converted into U.S. dollars.

Top 25 Performing Stock Markets in 1998 (% of change))

World Stock Market Turnover, 1998

World Stock Market Turnover, 1998

36

Emerging Stock Markets Factbook 1999

Rank

Market

Turnover ratio (%) Rank

Market

Turnover ratio (%)

1

Taiwan, China*

323.0

46

Mexico*

27.3

2

Spain

201.9

47

Saudi Arabia*

26.9

3

Korea*

176.2

48

Israel*

26.6

4

Germany

144.9

49

Latvia*

23.9

5

Turkey*

144.9

50

Egypt*

22.2

6

China*

130.1

51

Peru*

19.0

7

Estonia*

116.9

52

Lithuania*

16.0

8

Hungary*

111.3

53

Sri Lanka*

14.8

9

Pakistan*

111.1

54

Venezuela*

13.6

10

U.S.

106.2

55

Lebanon

12.4

11

Italy

104.1

56

Jordan*

11.6

12

Switzerland

100.8

57

West Bank & Gaza

11.0

13

Portugal*

93.4

58

Botswana*

10.5

14

Greece*

82.3

59

Zimbabwe*

10.1

15

Ireland

81.8

60

Morocco*

9.9

16

Slovakia*

74.3

61

Guatemala

9.6

17

Sweden

73.9

62

Colombia*

9.4

18

Romania*

72.1

63

Iran

9.3

19

Thailand*

71.0

64

Russia*

9.1

20

Netherlands

70.7

65

Tunisia*

8.2

21

Brazil*

70.4

66

Ecuador*

7.4

22

Norway

69.4

67

Chile*

7.1

23

France

68.7

68

Bermuda

6.8

24

Canada

67.0

69

Armenia

5.9

25

Bangladesh*

61.7

70

Mauritius*

5.8

26

New Zealand

56.2

71

Trinidad & Tobago*

5.0

27

India*

55.2

72

Nigeria*

4.9

28

Poland*

54.7

73

Ghana*

4.8

29

Hong Kong

54.4

74

Fiji

4.4

30

U.K.

53.4

75

Paraguay

4.3

World Stock Market Turnover, 1998

37

Emerging Stock Markets Factbook 1999 31

Finland

53.0

76

Kenya*

4.1

32

Australia

51.9

77

Panama

3.8

33

Singapore

50.5

78

Luxembourg

3.4

34

Austria

47.4

79

Croatia (FYR)*

2.8

35

Japan

40.3

80

Ukraine*

2.5

36

Czech Republic*

38.2

81

Cote d'Ivoire*

2.5

37

Indonesia*

37.9

82

Bulgaria*

2.4

38

Slovenia (FYR)*

34.4

83

Namibia

2.3

39

Oman

33.8

84

Barbados

1.9

40

Malaysia*

30.0

85

Uruguay

1.9

41

Philippines*

30.0

86

Jamaica*

1.9

42

South Africa*

29.1

87

El Salvador

1.9

43

Belgium

28.9

88

Bolivia

1.9

44

Argentina*

28.8

89

Nepal

1.7

45

Cyprus

27.7

90

Swaziland

0.0

Notes: Asterisks indicate market turnover for markets covered by IFC Indexes in 1998. Ratios for each market are calculated in dollar terms by dividing total 1998 value traded by average market capitalization for 1997 and 1998.

World Stock Market Turnover, 1998

38

Emerging Stock Markets Factbook 1999 Top 25 Market Indexes by Turnover Ratios, 1998

World Market Capitalization, 1989−1998: (US$ Millions; End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Argentina*

4,225

3,268

18,509

18,633

43,967

36,864

37,783

44,679

59,25

Armenia

−

−

−

−

−

0

3

7

16

Azerbaijan

−

−

−

−

−

−

−

−

−

Bahrain

−

−

−

−

−

−

−

−

−

Bangladesh*

476

321

269

314

453

1,049

1,338

4,551

1,537

Barbados

−

282

308

259

328

518

494

770

1,141

Bolivia

−

−

−

−

−

24

97

114

328

Botswana*

−

−

261

295

261

377

398

326

614

Brazil*

44,368

16,354

42,759

45,261

99,430

189,281

147,636

216,990

255,4

Bulgaria*

−

−

−

−

−

−

61

7

2

Chile*

9,587

13,645

27,984

29,644

44,622

68,195

73,860

65,940

72,04

China*

−

−

2,028

18,255

40,567

43,521

42,055

113,755

206,3

Colombia*

1,136

1,416

4,036

5,681

9,237

14,028

17,893

17,137

19,52

Costa Rica

−

−

−

475

434

−

−

781

820

Cote d'Ivoire*

531

549

541

483

414

428

866

914

1,276

Croatia (FYR)*

−

−

−

−

−

514

581

2,975

4,246

Czech Republic*

−

−

−

−

−

5,938

15,664

18,077

12,78

Dominican Republic

−

−

−

−

−

−

−

−

140

Ecuador*

−

−

−

69

1,098

2,496

2,631

1,946

2,128

Egypt*

1,711

1,765

2,651

3,259

3,814

4,263

8,088

14,173

20,83

El Salvador

−

−

−

−

−

−

−

452

499

Estonia*

−

−

−

−

−

−

−

−

1,101

Fiji

−

−

−

−

−

32

67

82

93

Ghana*

−

−

76

84

118

1,873

1,649

1,492

1,138

Greece*

6,376

15,228

13,118

9,489

12,319

14,921

17,060

24,178

34,16

Guatemala

−

−

−

−

−

−

124

168

139

Emerging Markets

World Market Capitalization, 1989−1998: (US$ Millions; End of Period Levels)

39

Emerging Stock Markets Factbook 1999 Honduras

−

−

40

−

−

270

338

−

−

Hungary*

−

−

505

562

812

1,604

2,399

5,273

14,97

India*

27,316

38,567

47,730

65,119

97,976

127,515

127,199

122,605

128,4

Indonesia*

2,254

8,081

6,823

12,038

32,953

47,241

66,585

91,016

29,10

Iran

−

−

34,282

33,663

1,304

2,770

6,552

17,024

15,12

Israel*

8,227

3,324

6,176

29,634

50,773

32,730

36,399

35,934

45,26

Jamaica*

957

911

1,034

3,227

1,469

1,753

1,270

1,887

2,206

Jordan*

2,162

2,001

2,512

3,365

4,891

4,594

4,670

4,551

5,446

Kazakhstan

−

−

−

−

−

−

−

−

−

Kenya*

499

453

453

637

1,060

3,082

1,886

1,846

1,824

Korea*

140,946

110,594

96,373

107,448

139,420

191,778

181,955

138,817

41,88

Latvia*

−

−

−

−

−

−

10

151

337

Lebanon

−

−

−

−

−

−

400

−

2,904

Lithuania*

−

−

−

−

−

−

157

900

1,693

Malaysia*

39,842

48,611

58,627

94,004

220,328

199,276

222,729

307,179

93,60

Malta

−

−

−

−

−

52

154

61

281

Mauritius*

−

268

312

416

791

1,514

1,331

1,676

1,665

Mexico*

22,550

32,725

98,178

139,061

200,671

130,246

90,694

106,540

156,5

Mongolia

−

−

−

−

−

−

27

26

54

Morocco*

621

966

1,528

1,909

2,651

4,376

5,951

8,705

12,17

Macedonia

−

−

−

−

−

−

−

−

−

Moldova

−

−

−

−

−

−

−

−

−

Namibia

−

−

−

21

28

201

189

473

689

Nepal

−

−

−

−

−

264

244

207

200

Nigeria*

1,005

1,372

1,882

1,221

1,029

2,711

2,033

3,560

3,646

Oman

−

−

−

1,061

1,088

1,705

1,978

2,662

7,108

Pakistan*

2,457

2,850

7,326

8,028

11,602

12,263

9,286

10,639

10,96

Panama

−

−

−

226

419

698

831

1,279

2,175

Paraguay

−

−

−

−

24

46

144

383

389

Peru*

931

812

1,118

2,630

5,113

8,178

11,795

12,291

17,58

Philippines*

11,965

5,927

11,386

15,282

40,327

55,519

58,859

80,649

31,36

Poland*

−

−

144

222

2,706

3,057

4,564

8,390

12,13

Portugal*

10,618

9,201

9,613

9,213

12,417

16,249

18,362

24,660

38,95

Romania*

−

−

−

−

−

52

100

57

627

World Market Capitalization, 1989−1998: (US$ Millions; End of Period Levels)

40

Emerging Stock Markets Factbook 1999 Russia* − (table continued on next page)

−

244

218

18

151

15,863

37,230

128,2

(table continued from previous page) Market

1989

1990

1991

1992

1993

1994

1995

1996

19

Saudi Arabia*

−

−

48,213

54,960

52,773

38,686

40,907

45,861

59

Slovakia*

−

−

−

−

−

1,093

1,235

2,182

1,8

Slovenia (FYR)* −

−

−

−

−

595

311

663

1,6

South Africa*

131,060

137,540

168,497

103,537

171,942

225,718

280,526

241,571

23

Sri Lanka*

427

917

1,936

1,439

2,498

2,884

1,998

1,848

2,0

Swaziland

−

17

27

111

297

338

339

471

12

Taiwan, China*

237,012

100,710

124,864

101,124

195,198

247,325

187,206

273,608

28

Thailand*

25,648

23,896

35,815

58,259

130,510

131,479

141,507

99,828

23

Trinidad & Tobago*

411

696

671

510

485

663

1,125

1,405

3,1

Tunisia*

638

533

711

814

956

2,561

3,927

4,263

2,3

Turkey*

6,783

19,065

15,703

9,931

37,496

21,605

20,772

30,020

61

Uruguay

−

−

−

−

251

170

183

266

21

Uzbekistan

−

−

−

−

−

−

−

128

46

Ukraine*

−

−

−

−

−

−

−

−

3,6

Venezuela*

1,472

8,361

11,214

7,600

8,010

4,111

3,655

10,055

14

West Bank & Gaza

−

−

−

−

−

−

−

−

66

Zambia

−

−

−

−

−

−

19

195

70

Zimbabwe*

1,067

2,395

1,394

628

1,433

1,828

2,038

3,635

1,9

IFC Index Markets

745,278

613,322

873,214

964,503

1,684,608

1,906,185

1,916,867

2,246,635

2,1

745,278

613,621

907,871

1,000,319

1,688,781

1,913,273

1,929,050

2,272,184

2,2

Emerging Markets (cont.)

All Emerging Markets

World Market Capitalization, 1989−1998: (US$ Millions; End of Period Levels)

41

Emerging Stock Markets Factbook 1999 Developed Markets Australia

140,956

107,611

144,867

135,451

203,964

219,188

245,218

494,503

69

Austria

22,261

11,476

7,689

21,750

28,437

30,272

32,513

33,953

35

Belgium

74,596

65,449

71,319

64,172

78,067

84,103

104,960

119,831

13

Bermuda

−

−

−

−

−

−

−

−

1,4

Canada

291,328

241,920

266,874

243,018

326,524

315,009

366,344

486,268

56

Cayman Islands

−

−

−

−

−

−

−

−

42

Cyprus

−

−

1,290

1,183

981

1,334

2,516

2,355

2,0

Denmark

40,152

39,063

44,841

32,635

41,785

54,399

56,223

71,688

93

Finland

30,652

22,721

14,271

12,202

23,562

38,278

44,138

63,078

73

France

364,841

314,384

348,083

350,858

456,111

451,263

522,053

591,123

67

Germany

365,176

355,073

393,454

348,138

463,476

470,519

577,365

670,997

82

Hong Kong

77,496

83,397

121,986

172,106

385,247

269,508

303,705

449,381

41

Iceland

−

−

−

−

−

484

720

1,210

−

Ireland

−

−

−

−

−

8,408

25,817

12,243

24

Italy

169,417

148,766

158,865

129,191

136,153

180,135

209,522

258,160

34

Japan

4,392,597

2,917,679 3,130,863

2,399,004

2,999,756

3,719,914

3,667,292

3,088,850

2,2

Kuwait

9,932

−

−

−

10,049

10,850

14,353

21,840

2,5

Luxembourg

10,348

10,456

11,308

11,936

19,337

28,511

30,443

32,692

33

Netherlands

157,789

119,825

136,158

134,594

181,876

283,251

356,481

378,721

46

New Zealand

13,487

8,835

14,336

15,348

25,597

27,217

31,950

38,641

90

Norway

25,285

26,130

22,043

17,821

27,380

36,469

44,587

57,423

66

Singapore

35,925

34,308

47,637

48,818

132,742

134,516

148,004

150,215

10

Spain

122,652

111,404

147,928

98,969

119,264

154,858

197,788

242,779

29

Sweden

119,285

97,929

100,913

78,376

107,376

130,939

178,049

247,217

27

Switzerland

170,936

160,044

173,881

195,285

271,713

284,092

433,621

402,104

57

U.A.E.

−

−

−

−

−

−

−

−

−

U.K.

826,598

848,866

987,952

927,129

1,151,646

1,210,245

1,407,737

1,740,246

1,9

U.S.

3,505,686

3,059,434 4,087,660

4,485,040

5,136,199

5,067,016

6,857,622

8,484,433

11

Developed Markets

10,967,395 8,784,770 10,434,218 9,923,024

12,327,242 13,210,778 15,859,021 18,139,951 21

11,712,673 9,398,391 11,342,089 10,923,343 14,016,023 15,124,051 17,788,071 20,412,135 23

World Market Capitalization, 1989−1998: (US$ Millions; End of Period Levels)

42

Emerging Stock Markets Factbook 1999 World Total

Notes: See Stock Market Reference List in Appendix 1 for stock exchanges included in each market total. Asterisks indica in 1998.

Market Capitalization Analysis and Summary The map on the opposite page illustrates market capitalizations of world economies based on figures reported in IFC's 1999 Global Survey of Stock Exchanges (see pages 16 and 17 for data). The table beneath the map shows that while 95% of the darkest shaded regions are emerging markets, 61% of the medium−shaded regions are emerging markets, as are 18% of the lighter regions. Overall, the market capitalization of emerging markets represented 7% of world total market capitalization in 1998. Emerging market capitalization reached almost 13% of the world total in 1994, but has decreased steadily since then to just under 7%. The dollar size of emerging markets has also dropped significantly (down 16.2%) from its peak of $2.27 trillion in 1996. Over the same period, the market capitalization of developed markets surged 40.9% to $25.55 trillion. The diagram below is a plot of 1997 GNP per capita versus 1997 market capitalization as a percentage of GNP.* It includes the 25 largest emerging markets by market capitalization and the 10 largest developed markets by market capitalization. Emerging markets are shown with black squares, while blue squares indicate developed markets. The diagram reveals that relative to the size of their domestic economies, many emerging markets are as large or larger than the stock markets of developed economies, suggesting that market size is heavily influenced by factors such as institutional arrangements in the financial system, and the interaction of monetary, fiscal, and regulatory policies. It is also apparent that relative stock market development is not necessarily related to current per capita income levels. Because market capitalization is a function of stock market prices, the ratios depicted below fluctuate and should be used cautiously to form only a part of any consideration of a market's relative size and stage of development.break

GNP Per Capita vs Market Capitalization as a Percentage of GNP, 1997 Source: IFC Emerging Markets Data Base, and the World Bank. Notes: End−1997 values of GNP and market cap are used because of lags in reporting of GNP data.

Market Capitalization Analysis and Summary

43

Emerging Stock Markets Factbook 1999

World Market Capitalization, 1998 This map was produced by the Map Design Unit of The World Bank. The boundaries, colors, denominations and any other do not imply, on the part of The World Bank Group, any judgement on the legal status of any territory, or any endorsement Mkt cap grouping Number (US$ millions) of markets

Market cap (US$ millions)

Of which emerging

Share of group (%)

10,000 or less

53

84,640

80,491

95%

10,001−100,000

28

1,224,143

785,670

64%

100,001−1,000,000 17

6,737,986

1,042,257 15%

1,000,001 or more 4

19,415,344

0

0%

Total surveyed

27,462,113

190,258

7%

102

Emerging Markets' Share of World Market Cap, 1998

Market Capitalization Analysis and Summary

44

Emerging Stock Markets Factbook 1999

Emerging Markets' Share of World Market Cap, 1989−1998

World Value Traded, 1989−1998: (US$ Millions; End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Argentina*

1,916

852

4,824

15,679

10,339

11,372

4,594

4,382

25,702

Armenia

−

−

−

−

−

0

1

0

1

Azerbaijan

−

−

−

−

−

−

−

−

−

Bahrain

−

−

−

−

−

−

−

−

−

Bangladesh*

5

6

3

11

15

107

158

722

384

Barbados

−

10

9

2

4

6

3

6

23

Bolivia

−

−

−

−

−

0

1

1

1

Botswana*

−

−

8

15

20

31

38

31

74

Brazil*

16,762

5,598

13,373

20,525

57,409

109,498

79,186

112,108

203,260

Bulgaria*

−

−

−

−

−

−

4

0

−

Chile*

866

783

1,900

2,029

2,797

5,263

11,072

8,460

7,445

China*

−

−

820

16,715

43,395

97,526

49,774

256,008

369,574

Colombia*

74

71

203

554

732

2,191

1,254

1,360

1,894

Costa Rica

−

−

−

11

11

10

16

15

−

Cote d'Ivoire*

5

18

7

4

6

12

14

19

24

Croatia (FYR)*

−

−

−

−

−

252

47

227

343

Czech Republic*

−

−

−

−

−

1,328

3,630

8,431

7,055

Dominican Republic

−

−

−

−

−

−

−

−

−

Ecuador*

−

−

−

−

41

73

234

120

186

Emerging Markets

World Value Traded, 1989−1998: (US$ Millions; End of Period Levels)

45

Emerging Stock Markets Factbook 1999 Egypt*

91

126

139

195

170

757

677

2,463

5,859

El Salvador

−

−

−

−

−

−

−

10

15

Estonia*

−

−

−

−

−

−

−

−

1,484

Fiji

−

−

−

−

−

0

0

0

2

Ghana*

−

−

0

0

5

75

22

17

47

Greece*

549

3,924

2,443

1,605

2,713

5,145

6,091

8,283

21,146

Guatemala

−

−

−

−

−

−

5

4

1

Honduras

−

−

1

10

23

0

0

1

0

Hungary*

−

−

117

38

99

270

355

1,641

7,684

India*

17,362

21,918

24,295

20,597

21,879

27,290

13,738

26,599

53,954

Indonesia*

541

3,992

2,922

3,903

9,158

11,801

14,403

32,142

41,650

Iran

−

−

5,217

6,995

311

424

741

2,617

1,212

Israel*

3,909

5,535

8,389

14,694

30,327

25,110

9,155

8,045

10,727

Jamaica*

90

32

95

386

336

158

341

39

−

Jordan*

652

407

432

1,317

1,377

626

517

297

501

Kazakhstan

−

−

−

−

−

−

−

−

−

Kenya*

−

10

11

12

14

62

65

67

104

Korea*

121,264

75,949

85,464

116,101

211,710

286,056

185,197

177,266

170,237

Latvia*

−

−

−

−

−

−

−

12

84

Lebanon

−

−

−

−

−

−

−

−

640

Lithuania*

−

−

−

−

−

−

37

47

239

Malaysia*

6,888

10,871

10,657

21,730

153,661

126,458

76,822

173,568

147,036

Malta

−

−

−

−

−

3

16

2

3

Mauritius*

−

6

5

10

39

85

70

78

137

Mexico*

6,232

12,212

31,723

44,582

62,454

82,964

34,377

43,040

52,646

Mongolia

−

−

−

−

−

−

2

8

15

Morocco*

16

62

49

70

498

788

2,426

432

1,048

Macedonia

−

−

−

−

−

−

−

−

−

Moldova

−

−

−

−

−

−

−

−

−

Namibia

−

−

−

−

−

18

3

41

24

Nepal

−

−

−

−

−

14

18

5

5

Nigeria*

4

11

9

14

10

18

14

72

132

Oman

−

−

−

102

108

242

211

545

3,880

Pakistan*

193

231

620

980

1,844

3,198

3,210

6,054

11,476

World Value Traded, 1989−1998: (US$ Millions; End of Period Levels)

46

Emerging Stock Markets Factbook 1999 Panama

−

−

−

1

7

70

9

24

42

Paraguay

−

−

−

−

3

6

22

30

20

Peru*

90

99

130

417

1,672

3,080

3,935

3,805

4,082

Philippines*

2,410

1,216

1,506

3,104

6,785

13,949

14,727

25,519

19,783

Poland*

−

−

28

167

2,170

5,134

2,770

5,538

7,977

Portugal*

1,912

1,687

2,818

3,455

4,835

5,275

4,233

7,147

20,932

Romania*

−

−

−

−

−

3

1

6

268

−

−

−

−

268

465

2,958

16,362

Russia* − (table continued on next page)

(table continued from previous page) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Saudi Arabia*

−

−

2,274

3,653

4,629

6,632

6,194

6,773

16,549

Slovakia*

−

−

−

−

−

120

832

2,321

2,165

Slovenia (FYR)* −

−

−

−

−

366

345

401

352

South Africa*

7,095

8,158

8,051

7,767

13,049

15,607

17,048

27,202

44,893

Sri Lanka*

7

39

104

114

385

700

221

134

311

Swaziland

−

−

0

0

0

2

−

2

378

Taiwan, China*

965,840

715,005

365,232

240,667

346,487

711,346

383,099

470,193

1,297,

Thailand*

13,452

22,894

30,089

72,060

86,934

80,188

57,000

44,365

23,119

Trinidad & Tobago*

35

55

80

22

56

52

137

107

134

Tunisia*

32

19

30

33

46

296

663

281

285

Turkey*

798

5,841

8,571

8,191

23,242

21,692

51,392

36,831

59,105

Uruguay

−

−

−

−

14

12

5

4

3

Uzbekistan

−

−

−

−

−

−

−

70

35

Ukraine*

−

−

−

−

−

−

−

−

−

Venezuela*

93

2,232

3,240

2,631

1,874

936

510

1,275

3,858

West Bank & Gaza

−

−

−

−

−

−

−

−

25

Zambia

−

−

−

−

−

−

−

3

9

Emerging Markets (cont.)

World Value Traded, 1989−1998: (US$ Millions; End of Period Levels)

47

Emerging Stock Markets Factbook 1999 Zimbabwe*

36

IFC Index Markets

77

20

53

255

532

1,169,219 899,910

610,738

624,067

1,103,265 1,664,334 1,041,244

1,507,141

2,660,

1,169,219 899,920

615,965

631,188

1,103,746 1,665,141 1,042,297

1,510,529

2,666,

Australia

44,786

40,113

46,834

45,771

67,712

94,726

98,654

237,292

310,86

Austria

11,706

18,609

7,039

4,931

6,561

16,380

25,759

20,528

24,630

Belgium

7,708

6,425

6,209

8,030

11,199

12,820

15,249

26,120

29,713

Bermuda

−

−

−

−

−

−

−

−

96

Canada

90,120

71,278

78,160

83,448

142,222

161,058

183,686

265,360

355,58

Cayman Islands

−

−

−

−

−

−

−

−

−

Cyprus

−

−

65

89

29

85

301

462

319

Denmark

14,463

11,105

9,289

15,806

20,989

27,421

25,942

34,667

46,878

Finland

7,363

3,933

1,550

2,292

8,112

13,194

19,006

22,422

36,368

France

107,286

116,893

113,573

121,842

174,283

307,686

364,550

277,100

405,52

Germany

628,630

501,805

379,383

446,019

302,985

460,617

573,549

768,745

1,029,

Hong Kong

34,584

34,633

38,607

78,598

131,550

147,158

106,888

166,419

489,36

Iceland

−

−

−

−

−

19

44

92

181

Ireland

−

−

−

−

−

4,380

13,241

4,655

15,168

Italy

38,926

42,566

24,991

28,100

65,770

117,894

86,904

102,351

198,23

Japan

2,800,695 1,602,388 995,939

635,261

954,341

1,121,438 1,231,552

1,251,998

1,251,

Kuwait

1,709

−

−

−

2,612

1,948

6,389

19,203

34,576

Luxembourg

106

87

135

118

1,104

269

205

534

562

Netherlands

89,848

40,199

38,971

45,511

67,185

170,596

248,606

339,500

284,86

New Zealand

3,027

1,933

2,892

3,168

6,785

7,162

8,407

8,882

24,648

Norway

12,489

13,996

11,642

10,151

8,751

8,817

24,420

35,882

46,421

Singapore

13,711

20,293

18,074

14,084

81,623

81,054

60,461

42,739

63,954

Spain

38,389

40,967

40,591

39,987

47,156

61,452

59,791

250,951

453,01

Sweden

17,420

17,571

21,662

28,395

43,593

85,407

93,197

136,898

176,17

Switzerland

−

−

68,836

75,407

167,880

226,723

310,928

392,783

494,91

All Emerging Markets

51

176

150

Developed Markets

World Value Traded, 1989−1998: (US$ Millions; End of Period Levels)

48

Emerging Stock Markets Factbook 1999 U.A.E.

−

−

−

−

−

−

−

−

−

U.K.

320,268

278,740

315,279

382,996

423,526

464,085

510,131

578,471

829,13

U.S.

2,015,544 1,751,252 2,183,910 2,081,658 3,354,961 3,564,315 5,108,591

7,121,487

10,216

Developed Markets

6,298,778 4,614,786 4,403,631 4,151,662 6,090,929 7,156,704 9,176,451

12,105,541 16,818

World Total

7,467,997 5,514,706 5,019,596 4,782,850 7,194,675 8,821,845 10,218,748 13,616,070 19,484

Notes : Table contains annual total turnover of listed company shares. See Stock Market Reference List in Appendix 1 for included in each market total. Asterisks indicate IFC Index markets in 1998.

World Number of Listed Domestic Companies, 1989−1998: (End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Argentina*

178

179

174

175

180

156

149

147

136

Armenia

−

−

−

−

−

1

1

10

59

Azerbaijan

−

−

−

−

−

−

−

−

−

Bahrain

−

−

−

−

−

−

−

−

−

Bangladesh*

116

134

138

145

153

170

183

186

202

Barbados

−

14

14

15

16

19

18

19

18

Bolivia

−

−

−

−

−

2

7

10

11

Botswana*

−

−

9

11

11

11

12

12

12

Brazil*

592

581

570

565

550

544

543

551

536

Bulgaria*

−

−

−

−

−

16

26

15

15

Chile*

213

215

221

245

263

279

284

291

764

China*

−

−

14

52

183

291

323

540

743

Colombia*

82

80

83

80

89

113

190

189

189

Costa Rica

78

−

82

93

118

116

118

114

114

Cote d'Ivoire*

23

23

25

27

24

27

31

31

35

Croatia (FYR)*

−

−

−

2

−

29

61

66

77

Czech Republic*

−

−

−

−

−

1,024

1,635

1,588

276

Emerging Markets

World Number of Listed Domestic Companies, 1989−1998: (End of Period Levels)

49

Emerging Stock Markets Factbook 1999 Dominican Republic −

−

−

−

−

−

−

−

6

Ecuador*

−

−

−

65

142

145

40

42

41

Egypt*

510

573

627

656

674

700

746

649

654

El Salvador

−

−

−

−

−

−

−

49

59

Estonia*

−

−

−

−

−

−

−

−

22

Fiji

−

−

−

−

−

4

4

4

8

Ghana*

−

−

13

15

15

17

19

21

21

Greece*

119

145

126

129

143

216

212

224

230

Guatemala

−

−

−

−

−

−

7

9

7

Honduras

−

−

26

44

69

82

99

111

119

Hungary*

−

−

21

23

28

40

42

45

49

India*

2,407

2,435

2,556

2,781

3,263

4,413

5,398

5,999

5,843

Indonesia*

57

125

141

155

174

216

238

253

282

Iran

−

−

97

118

124

147

169

220

263

Israel*

262

216

229

377

558

638

654

655

640

Jamaica*

45

44

44

48

50

50

51

46

49

Jordan*

106

105

101

103

101

95

97

98

139

Kazakhstan

−

−

−

−

−

−

−

−

−

Kenya*

57

54

53

57

56

56

56

56

58

Korea*

626

669

686

688

693

699

721

760

776

Latvia*

−

−

−

−

−

−

17

34

51

Lebanon

−

−

−

−

−

−

3

−

9

Lithuania*

−

−

−

−

−

13

351

460

607

Malaysia*

251

282

321

369

410

478

529

621

708

Malta

−

−

−

−

−

4

5

6

6

Mauritius*

−

13

20

22

30

35

28

40

40

Mexico*

203

199

209

195

190

206

185

193

198

Mongolia

−

−

−

−

−

−

461

449

434

Morocco*

71

71

67

62

65

51

44

47

49

Macedonia

−

−

−

−

−

−

−

−

−

Moldova

−

−

−

−

−

−

−

−

−

Namibia

−

−

−

3

4

8

10

12

13

Nepal

−

−

−

−

−

72

83

90

98

Nigeria*

111

131

142

153

174

177

181

183

182

World Number of Listed Domestic Companies, 1989−1998: (End of Period Levels)

50

Emerging Stock Markets Factbook 1999 Oman

52

55

58

60

62

67

80

94

114

Pakistan*

440

487

542

628

653

724

764

782

781

Panama

−

−

−

13

11

15

16

19

21

Paraguay

−

−

−

−

3

9

30

60

60

Peru*

256

294

298

287

233

218

246

231

248

Philippines*

144

153

161

169

178

189

205

216

221

Poland*

−

−

9

16

22

44

65

83

143

Portugal*

182

181

180

191

183

195

169

158

148

Romania*

−

−

−

−

−

4

7

17

76

−

13

26

51

72

170

73

208

Russia* − (table continued on next page)

(table continued from previous page) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Saudi Arabia*

−

−

59

60

65

68

69

70

70

Slovakia*

−

−

−

−

−

18

18

816

872

Slovenia (FYR)*

−

−

24

−

16

25

17

21

26

South Africa*

748

732

688

683

647

640

640

626

642

Sri Lanka*

176

175

178

190

200

215

226

235

239

Swaziland

−

1

2

4

4

4

4

6

4

Taiwan, China*

181

199

221

256

285

313

347

382

404

Thailand*

175

214

276

305

347

389

416

454

431

Trinidad & Tobago* 31

30

29

28

26

27

27

23

24

Tunisia*

−

13

−

17

19

21

26

30

34

Turkey*

50

110

134

145

152

176

205

229

257

Uruguay

39

36

26

26

21

21

20

18

16

Uzbekistan

−

−

−

−

−

−

−

4

−

Ukraine*

−

−

−

−

−

−

−

−

−

Venezuela*

74

76

87

91

93

90

90

87

91

WestBank & Gaza

−

−

−

−

−

−

−

−

27

Emerging Markets (cont.)

World Number of Listed Domestic Companies, 1989−1998: (End of Period Levels)

51

Emerging Stock Markets Factbook 1999 Zambia

−

−

−

−

−

−

2

6

6

Zimbabwe*

54

57

60

62

62

64

64

64

64

IFC Index Markets

8,540

8,995

9,549

10,354

11,451

14,397

16,817

18,639

18,603

All Emerging Markets

8,709

9,101

9,854

10,730

11,883

14,968

17,954

19,949

20,075

Australia

1,258

1,089

957

1,030

1,070

1,186

1,178

1,190

1,219

Austria

81

97

105

112

111

111

109

106

101

Belgium

184

182

183

171

165

155

143

139

138

Bermuda

−

−

−

−

−

−

−

−

33

Canada

1,146

1,144

1,086

1,119

1,124

1,185

1,196

1,265

1,362

Cayman Islands

−

−

−

−

−

−

−

−

2

Cyprus

−

−

40

39

39

38

41

39

40

Denmark

257

258

261

257

257

252

213

237

237

Finland

78

73

63

61

57

65

73

71

124

France

668

578

551

786

472

459

450

686

683

Germany

628

413

428

665

426

417

678

681

700

Hong Kong

284

284

333

386

450

529

518

561

658

Iceland

−

−

−

−

−

24

27

32

41

Ireland

−

−

−

−

−

80

80

76

83

Italy

217

220

224

228

210

223

250

244

235

Japan

2,019

2,071

2,107

2,118

2,155

2,205

2,263

2,334

2,387

Kuwait

52

−

−

−

47

48

52

60

74

Luxembourg

54

54

70

59

62

60

61

54

56

Netherlands

313

260

204

187

245

317

217

217

201

New Zealand

242

171

139

123

136

173

169

158

190

Norway

122

112

112

115

120

132

151

158

196

Singapore

136

150

166

163

178

240

212

223

303

Spain

423

427

433

399

376

379

362

357

384

Sweden

135

258

230

205

205

228

223

229

245

Switzerland

177

182

182

180

215

237

233

213

216

U.A.E.

−

−

−

−

−

−

−

−

−

Developed Markets

World Number of Listed Domestic Companies, 1989−1998: (End of Period Levels)

52

Emerging Stock Markets Factbook 1999 U.K.

2,015

1,701

1,623

1,874

1,646

2,070

2,078

2,433

2,046

U.S.

6,727

6,599

6,742

6,699

7,246

7,692

7,671

8,479

8,851

Developed Markets

17,216

16,323

16,239

16,976

17,012

18,505

18,648

20,242

20,805

World Total

25,925

25,424

26,093

27,706

28,895

33,473

36,602

40,191

40,880

Notes: Table contains the total number of domestic companies, excluding investment companies. See Stock Market Refere Appendix 1 for stock exchanges included in each market total. Asterisks indicate IFC Index markets in 1998.

World Rankings of Market Capitalization, Value Traded, and Number of Listed Domestic Companies, 1998: (Ranked by End−1998 Levels)

Rank

Market

Total market cap (US$ millions)

1

U.S.

13,451,352

1

U.S.

13,148,480

1

U.S.

8,450

2

Japan

2,495,757

2

Germany

1,390,798

2

India*

5,860

3

U.K.

2,374,273

3

U.K.

1,167,382

3

Romania*

5,753

4

Germany

1,093,962

4

Japan

948,522

4

Japan

2,416

5

France

991,484

5

Taiwan, China*

884,698

5

U.K.

2,399

6

Australia

874,283

6

Spain

699,034

6

Canada

1,384

7

Switzerland

689,199

7

Switzerland

637,344

7

Australia

1,162

8

Netherlands

603,182

8

France

572,151

8

Bulgaria*

998

9

Italy

569,731

9

Italy

475,791

9

Egypt*

861

10

Canada

543,394

10

Australia

407,420

10

China*

853

11

Spain

402,180

11

Netherlands

379,166

11

Slovakia*

837

12

Hong Kong

343,394

12

Canada

372,082

12

Pakistan*

773

13

Sweden

278,707

13

China*

284,766

13

Korea*

748

14

Taiwan, China*

260,015

14

Hong Kong

205,918

14

Germany

741

15

Belgium

245,657

15

Sweden

203,690

15

Malaysia*

736

16

China*

231,322

16

Brazil*

146,594

16

France

711

Rank

Market

Total value traded (US$ millions)

Rank

Market

Numbe listed d compa

World Rankings of Market Capitalization, Value Traded, and Number of Listed Domestic Companies, 53 1998: (Ra

Emerging Stock Markets Factbook 1999 17

South Africa*

170,252

17

Korea*

137,859

17

South Africa*

668

18

Brazil*

160,887

18

Turkey*

68,646

18

Hong Kong

658

19

Finland

154,518

19

India*

64,498

19

Israel*

650

20

Korea*

114,593

20

Finland

60,321

20

Brazil*

527

21

India*

105,188

21

South Africa*

58,444

21

Spain

484

22

Denmark

98,881

22

Belgium

55,360

22

Taiwan, China* 437

23

Malaysia*

98,557

23

Singapore

50,735

23

Mongolia

430

24

Singapore

94,469

24

New Zealand

50,514

24

Thailand*

418

25

Mexico*

91,746

25

Portugal*

47,577

25

Singapore

321

26

New Zealand

89,373

26

Greece*

46,999

26

Italy

320

27

Greece*

79,992

27

Norway

42,638

27

Indonesia*

287

28

Portugal*

62,954

28

Mexico*

33,841

28

Chile*

277

29

Norway

56,285

29

Malaysia*

28,835

29

Turkey*

277

30

Chile*

51,866

30

Ireland

22,126

30

Czech Republic*

261

31

Argentina*

45,332

31

Thailand*

20,734

31

Sweden

258

32

Saudi Arabia*

42,563

32

Austria

16,566

32

Peru*

257

33

Israel*

39,628

33

Hungary*

16,135

33

Greece*

244

34

Luxembourg

35,403

34

Argentina*

15,078

34

Iran

242

35

Philippines*

35,314

35

Saudi Arabia*

13,712

35

Denmark

242

36

Thailand*

34,903

36

Israel*

11,291

36

Russia*

237

37

Austria

34,106

37

Philippines*

9,992

37

Norway

236

38

Turkey*

33,646

38

Indonesia*

9,709

38

Sri Lanka*

233

39

Ireland

29,956

39

Pakistan*

9,102

39

Switzerland

232

40

Egypt*

24,381

40

Poland*

8,921

40

Philippines*

221

Notes: Market cap ranking based on end−1998 total market values of listed domestic companies; value traded ranking bas end−1998 total value traded of listed domestic company shares; ranking of number of listed companies based on end−1998 excluding listed investment funds where possible. See Stock Market Reference List in Appendix 1 for stock exchanges inc each market total. World Rankings of Average Company Size, 1998: (US$ Millions; Ranked by End−1998 Levels)

World Rankings of Average Company Size, 1998: (US$ Millions; Ranked by End−1998 Levels)

54

Emerging Stock Markets Factbook 1999 Rank

Market

Ave. company size*

Rank Market

Ave. company size*

1

Switzerland

2,970.7

52

Ghana*

65.9

2

Netherlands

2,845.2

53

Croatia (FYR)*

63.8

3

Italy

1,780.4

54

Iran

61.5

4

Belgium

1,682.6

55

Israel*

61.0

5

U.S.

1,591.9

56

Tunisia*

59.7

6

Germany

1,476.3

57

Cyprus

58.2

7

France

1,394.5

58

Cote d'Ivoire*

51.9

8

Finland

1,197.8

59

Botswana*

51.7

9

Sweden

1,080.3

60

Bermuda

46.9

10

Japan

1,033.0

61

Mauritius*

46.2

11

U.K.

989.7

62

Czech Republic*

46.1

12

Spain

831.0

63

Peru*

45.3

13

Australia

752.4

64

Jamaica*

43.7

14

Luxembourg

668.0

65

Ecuador*

41.3

15

New Zealand

662.0

66

Jordan*

38.9

16

Taiwan, China*

595.0

67

Zambia

36.6

17

Saudi Arabia*

575.2

68

Kenya*

34.9

18

Hong Kong

521.9

69

Oman

33.5

19

Mexico*

472.9

70

WestBank & Gaza

29.5

20

Portugal*

466.3

71

Namibia

28.6

21

Denmark

408.6

72

Egypt*

28.3

22

Canada

392.6

73

Bahrain

25.3

23

Ireland

379.2

74

Guatemala

24.6

24

Austria

355.3

75

Estonia*

20.0

25

Argentina*

348.7

76

Zimbabwe*

19.6

26

Greece*

327.8

77

India*

18.0

27

Brazil*

305.3

78

El Salvador

17.9

28

Morocco*

295.8

79

Lithuania*

17.9

29

Singapore

294.3

80

Swaziland

17.0

30

China*

271.2

81

Malta

16.0

World Rankings of Average Company Size, 1998: (US$ Millions; Ranked by End−1998 Levels)

55

Emerging Stock Markets Factbook 1999 31

Hungary*

255.1

82

Nigeria*

15.5

32

South Africa*

254.9

83

Costa Rica

13.5

33

Norway

238.5

84

Uruguay

11.0

34

Bolivia

230.1

85

Fiji

9.8

35

Lebanon

198.8

86

Sri Lanka*

7.3

36

Chile*

187.2

87

Pakistan*

7.0

37

Cayman Islands

160.0

88

Paraguay

5.7

38

Philippines*

159.8

89

Latvia*

5.5

39

Trinidad & Tobago*

156.9

90

Bangladesh*

5.0

40

Korea*

153.2

91

Honduras

4.9

41

Malaysia*

133.9

92

Ukraine*

4.6

42

Panama

124.0

93

Macedonia

4.0

43

Turkey*

121.5

94

Nepal

2.6

44

Barbados

120.6

95

Kazakhstan

2.1

45

Poland*

103.3

96

Azerbaijan

1.5

46

Slovenia (FYR)*

87.5

97

Slovakia*

1.2

47

Russia*

86.9

98

Bulgaria*

1.0

48

Thailand*

83.5

99

U.A.E.

0.7

49

Colombia*

81.9

100

Armenia

0.2

50

Venezuela*

80.7

101

Romania*

0.2

51

Indonesia*

77.0

102

Mongolia

0.1

Notes: Average company size is calculated by dividing end−1998 total market capitalization of listed domestic companies in US$ millions by end−1998 number of listed domestic companies, excluding listed investment funds where possible. See Stock Market Reference List in Appendix 1 for stock exchanges included in each market's total.

World Rankings of Average Company Size, 1998: (US$ Millions; Ranked by End−1998 Levels)

56

Emerging Stock Markets Factbook 1999

Top 25 Markets by Average Company Size, 1998

Emerging Markets Local Stock Market Price Indexes, 1998: (End of Period Levels) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

19,551

20,909

14,488

16,344

Latin America Argentina

Bolsa Indice General (1977=0.0001)

21,046 22,725

23,395 23,230

20,543

Brazil

IBOVESPA (1968=0.000000001)

9,720

11,947 11,677

9,847.0 9,678.0 10,707.0 6,472.0 6,593.0

Chile

IGPA (Jan. 1980=100)

4,321.6 4,514.4

4,833.2 4,589.5 4,318.0 4,065.4 4,119.6

3,257.4 3,268.6

Colombia

IBB (Jan. 2, 1991=100) 1,362.2 1,185.4

1,179.0 1,233.4 1,183.9 1,123.5 1,073.4

902.4

Mexico

BMV General (Oct. 1978=0.7816)

4,569.4 4,784.5

5,016.2 5,098.5 4,530.0 4,282.6 4,245.0

2,991.9 3,569.9

Peru

IGBVL (Dec. 1991=100)

1,624.7 1,585.8

1,705.8 1,889.5 1,815.1 1,641.6 1,714.7

1,265.5 1,246.9

7,332.8 7,175.6

7,685.8 6,079.9 6,175.7 4,770.5 4,848.0

2,904.0 3,893.9

Venezuela Indice de Capitalizacion (Dec. 1993=1,000)

10,571

860.6

Asia

Emerging Markets Local Stock Market Price Indexes, 1998: (End of Period Levels)

57

Emerging Stock Markets Factbook 1999 China

Shanghai S.E. Comp. (Dec. 19, 1990=100)

1,222.9 1,206.5

1,242.2 1,343.3 1,411.2 1,339.2 1,316.9

1,150.2 1,242.9

India

BSE 200 Index (1989−90=100)

313.6

348.3

376.6

398.3

375.7

325.8

324.5

305.1

320.4

Indonesia

JSE Composite (Aug. 10, 1982=100)

485.9

482.4

541.4

460.1

420.5

445.9

481.7

342.4

276.2

Korea

KSE Composite (Jan. 1980=100)

558.3

548.4

481.0

421.2

336.6

297.9

343.3

310.2

310.3

Malaysia

KLSE Composite (Jan. 569.5 1977=100)

745.4

719.5

626.0

538.2

455.6

402.7

302.9

373.5

Pakistan

KSE 100 Index (Nov. 1, 1991=1,000)

1,553.1 1,562.2 1,040.2 879.6

920.5

970.8

1,111.5

1,609.2 1,650.3

Philippines PSE Composite (Jan. 2, 1,948.0 2,266.3 1985=100)

2,238.4 2,181.3 2,011.5 1,760.1 1,607.6

1,192.3 1,259.6

Sri Lanka

CSE Sensitive Share (Jan. 1985=100)

1,016.4 1,075.9

1,111.5 1,236.6 1,024.1 842.0

701.0

Taiwan, China

TSE Average (1966=100)

8,085.5 9,202.6

9,091.2 8,304.2 7,903.3 7,548.8 7,653.5

6,550.1 6,834.0

Thailand

SET (Apr. 30, 1975=100)

495.2

528.4

459.1

412.1

325.6

267.3

266.7

214.5

253.8

Czech Republic

PX 50 (April 1994=1,000)

455.7

477.4

505.0

500.9

454.0

467.0

491.3

377.4

359.8

Greece

ASE General (1980=100)

1,395.4 1,419.2

2,005.8 2,621.4 2,591.0 2,365.5 2,797.4

2,175.5 2,120.9

Hungary

BSE BUX (Jan. 2, 1992=1,000)

7,421.7 8,256.9

8,656.2 8,552.2 7,057.1 7,805.7 8,215.3

5,252.5 4,571.1

Poland

WIG All Share Perf. (Apr. 1991=1,000)

14,602 17,621

16,864 17,744

11,636

Portugal

BVL General (Jan. 1988=1,000)

2,193.2 2,428.9

2,805.2 3,004.9 2,926.1 2,751.1 2,819.3

2,436.9 2,025.7

Russia

ASP General 100 (June 1,321.4 1,329.4 20, 1994=100)

1,401.6 1,336.7 872.7

734.1

697.5

503.1

726.3

Slovakia

SAX (Dec. 1992=100)

154.8

139.2

108.0

111.3

113.5

100.8

Turkey

National−100 (Jan. 1986=1)

3,547.2 3,272.2

3,259.1 4,194.5 3,727.8 4,100.0 4,322.3

2,635.1 2,265.9

EFG (Jan. 2,

5,044.9 5,021.5

5,239.5 5,150.5 4,741.2 4,504.8 4,498.8

3,918.8 4,155.7

893.5

710.6

Europe

150.1

130.7

15,683

111.8

15,729

16,534

12,238

Mideast/Africa Egypt

Emerging Markets Local Stock Market Price Indexes, 1998: (End of Period Levels)

58

Emerging Stock Markets Factbook 1999 1993=1,000) Israel

Tel Aviv 100 (Dec. 1991=100)

267.1

282.3

302.8

307.4

326.8

319.0

318.6

293.6

280.8

Jordan

AFM (Dec.91=100)

166.8

168.4

165.8

170.3

180.3

174.6

180.2

179.5

171.3

Morocco

Upline Securities (Dec. 89,538 94,369.0 98,838 111,066 118,141 116,933 115,198 125,711 121,836 31, 1989=10,000)

Nigeria

NSE All Share (1984=100)

6,435.6 6,426.2

6,298.5 6,113.9 6,033.9 5,892.1 5,817.0

5,795.7 5,697.7

Saudi Arabia

NCFEI (Feb. 1985=100)

1,942.5 1,817.8

1,678.0 1,784.1 1,783.3 1,736.9 1,733.4

1,658.4 1,630.1

South Africa

JSE Overall (Jan. 1960=100)

6,550.3 7,095.7

7,578.9 8,235.5 7,629.6 6,771.6 7,020.4

4,923.4 5,098.6

7,895.7 7,879.5

8,795.7 7,724.7 7,307.2 7,417.9 7,003.1

5,577.7 5,730.7

Zimbabwe ZSE Industrial (Dec. 31, 1966=100)

Emerging Markets Local Stock Market Price Indexes, 1998: (Monthly % Changes) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

O

Latin America Argentina

Bolsa Indice General (1977=0.0001)

−8.78

7.98

2.95

−0.71

−11.57 −4.83

6.94

−30.70 12.80

1

Brazil

IBOVESPA (1968=0.000000001)

−4.67

8.76

13.02

−2.26

−15.67 −1.72

10.63

−39.55 1.87

6

Chile

IGPA (Jan. 1980=100)

−9.86

4.46

7.06

−5.04

−5.92

−5.85

1.33

−20.93 0.35

3

Colombia

IBB (Jan. 2, 1991=100)

−4.85

−12.98 −0.54

4.62

−4.01

−5.11

−4.46

−15.93 −4.63

−

Mexico

BMV General (Oct. 1978=0.7816)

−12.62 4.71

4.84

1.64

−11.15 −5.46

−0.88

−29.52 19.32

1

Peru

IGBVL (Dec. 1991=100)

−9.45

−2.39

7.57

10.77

−3.94

4.45

−26.20 −1.47

−

Venezuela

Indice de Capitalizacion (Dec. 1993=1,000)

−15.29 −2.14

7.11

−20.89 1.57

−22.75 1.62

−40.10 34.09

−

China

Shanghai S.E. Comp. (Dec. 19, 1990=100)

3.54

−1.34

2.96

8.14

5.06

−5.10

−12.66 8.06

−

India

BSE 200 Index (1989−90=100)

−12.60 11.04

8.15

5.75

−5.66

−13.28 −0.40

−5.98

−

20.97

12.24

−15.01 −8.62

6.05

−28.91 −19.36 8

−9.56

Asia

Indonesia

−0.73

Emerging Markets Local Stock Market Price Indexes, 1998: (Monthly % Changes)

−1.66

8.03

5.02

59

Emerging Stock Markets Factbook 1999 JSE Composite (Aug. 10, 1982=100) Korea

KSE Composite (Jan. 1980=100)

48.37

−1.77

−12.29 −12.44 −20.08 −11.51 15.26

Malaysia

KLSE Composite (Jan. 1977=100)

−4.19

30.88

−3.47

−13.00 −14.02 −15.35 −11.63 −24.77 23.31

8

Pakistan

KSE 100 Index (Nov. 1, 1991=1,000)

−7.85

2.55

−5.89

0.59

−33.42 −15.44 4.65

5.46

−

Philippines

PSE Composite (Jan. 2, 1985=100)

3.00

16.34

−1.23

−2.55

−7.79

−25.84 5.65

3

Sri Lanka

CSE Sensitive Share (Jan. 1985=100)

−4.83

5.85

3.31

11.26

−17.18 −17.78 6.12

−21.54 1.38

1

Taiwan, China

TSE Average (1966=100)

−0.74

13.82

−1.21

−8.66

−4.83

−14.42 4.33

3

Thailand

SET (Apr. 30, 1975=100)

32.88

6.70

−13.12 −10.23 −21.00 −17.89 −0.23

−19.57 18.31

3

Czech Republic

PX 50 (April 1994=1,000) −8.00

4.76

5.78

−0.81

−9.36

2.86

5.20

−23.18 −4.66

7

Greece

ASE General (1980=100)

−5.69

1.71

41.33

30.69

−1.16

−8.71

18.26

−22.23 −2.51

1

Hungary

BSE BUX (Jan. 2, 1992=1,000)

−7.22

11.25

4.84

−1.20

−17.48 10.61

5.25

−36.06 −12.97 1

Poland

WIG All Share Perf. (Apr. −0.45 1991=1,000)

20.68

−4.30

5.22

−11.61 0.29

5.12

−29.63 5.18

Portugal

BVL General (Jan. 1988=1,000)

−53.40 10.74

15.49

7.12

−2.62

2.48

−13.56 −16.87 1

Russia

ASP General 100 (June 20, −25.44 0.61 1994=100)

5.43

−4.63

−34.72 −15.88 −4.98

−27.88 44.37

Slovakia

SAX (Dec. 1992=100)

−15.16 −3.07

−7.22

−6.15

−14.43 −3.42

3.02

2.03

Turkey

National−100 (Jan. 1986=1)

2.79

−7.75

−0.40

28.70

−11.13 9.99

5.42

−39.03 −14.01 −

Egypt

EFG (Jan. 2, 1993=1,000)

−5.98

−0.46

4.34

−1.70

−7.95

−4.99

−0.13

−12.89 6.04

−

Israel

Tel Aviv 100 (Dec. 1991=100)

−8.21

5.68

7.28

1.52

6.32

−2.38

−0.13

−7.85

−4.37

−

Jordan

AFM (Dec. 91=100)

−1.42

0.95

−1.57

2.74

5.85

−3.14

3.17

−0.38

−4.59

−

Morocco

Upline Securities (Dec. 31, 1.06 1989=10,000)

5.40

4.74

12.37

6.37

−1.02

−1.48

9.13

−3.08

−

−12.49 −8.67

−4.49

1.39

−9.66

0.05

14.49

2

Europe

−5.98

0

1

−11.25 −

Mideast/Africa

Emerging Markets Local Stock Market Price Indexes, 1998: (Monthly % Changes)

60

Emerging Stock Markets Factbook 1999 Nigeria

NSE All Share (1984=100) −0.08

−0.15

−1.99

−2.93

−1.31

−2.35

−1.27

−0.37

−1.69

−

Saudi Arabia

NCFEI (Feb. 1985=100)

−

−6.42

−7.69

6.32

−0.04

−2.60

−0.20

−4.33

−1.71

−

South Africa

JSE Overall (Jan. 1960=100)

5.62

8.33

6.81

8.66

−7.36

−11.25 3.67

−29.87 3.56

1

Zimbabwe

ZSE Industrial (Dec. 31, 1966=100)

9.72

−0.21

11.63

−12.18 −5.40

1.52

−20.35 2.74

1

−5.59

Frontier Emerging Markets Local Stock Market Price Indexes, 1998: (End of Period Levels)

Note: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index for Cote d'Ivoire. Frontier Emerging Markets Local Stock Market Price Indexes, 1998: (Monthly % Changes) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oc

Frontier Markets Bangladesh

DSE All Share Price (1985=100)

−1.98

−7.32

−6.22 −10.92 9.36

7.69

−3.56

−10.49 2.85

−1

Botswana

Botswana DCI (1989=100)

1.31

4.68

7.90

12.48

5.23

−1.09

1.05

1.76

−2.53

−0

Bulgaria

BSE Composite (Dec. 1992=100)

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.0

1.18

1.27

3.61

3.52

2.12

1.89

1.18

Cote d'Ivoire BRVM All−Share (Sept. −1.66 16, 1998=100)

Frontier Emerging Markets Local Stock Market Price Indexes, 1998: (End of Period Levels)

//

− 1.0

61

Emerging Stock Markets Factbook 1999 Croatia

CROBEX (July 1, 1997=1,000)

Ecuador

−8.80

12.22

0.27

−9.22

−11.65 0.00

−3.73

−41.71 21.24

7.0

BVG (Jan. 3, 1994=100) −0.87

4.20

4.31

0.21

−0.66

1.83

3.49

−3.60

−1

Estonia

TALSE (June 3, 1996=100)

−1.20

−13.39 13.40 −9.37

−16.71 −31.73 5.15

7.92

−31.61 −6

Ghana

GSE All Share Index (1990−93=100)

9.98

15.21

30.96 39.50

−13.17 −5.67

4.33

−3.16

−12.85 −8

Jamaica

JSE (June 30, 1969=100)

−1.35

4.38

1.57

−3.21

2.60

5.97

15.97

−0.14

−5.47

−1

Kenya

NSE (Jan. 1, 1964=100) 7.40

0.42

−4.43 −6.17

0.05

−3.58

−1.39

−0.19

−1.83

−2

Latvia

Dow Jones RSE (Apr. 2, −5.92 1996=100)

0.05

−5.92 −6.84

−13.16 −16.54 −0.37

−39.60 −8.80

−2

Lithuania

LITIN−G (Jan. 2, 1996=1,000)

−10.16 −1.09

7.98

−3.49

−4.64

−3.84

−6.64

−10.08 −10.78 −8

Mauritius

SEMDEX (July 5, 1989=100)

3.72

2.18

4.42

5.16

0.40

2.40

12.68

−2.27

Romania

BET (Sept. 19, 1997=1,000)

−3.99

11.55

−2.29 1.46

−17.59 −4.50

−11.74 −35.63 −18.18 0.4

Slovenia

SSEI (Dec. 1993=1,000) 0.77

4.84

9.78

2.63

0.00

0.45

12.60

−5.86

−1.25

−5

Trinidad & Tobago

TTSE (Jan. 1983=100)

2.35

2.22

3.62

4.29

0.70

8.27

1.75

8.36

−4.87

−0

Tunisia

BVM General (Sept. 30, 0.96 1990=100)

0.50

0.74

−0.09

−0.65

−1.03

−0.79

1.53

0.28

0.5

Ukraine

PFTS (Oct. 10, 1997=100)

−15.89 −9.01

−2.96

−3.05 −11.00 −17.83 −20.04 13.55

−10.40 −2

−33.19 −14.70 −2

Note: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index for Cote d'Ivoire.

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

Latin America Argentina

Bolsa Indice General (1977=0.0001)

717.2

2,202.9

17,856.0 13,427.5 20,607.2 15,855.6 16,237.8 18,494.9

Brazil

IBOVESPA (1968=0.000000001)

0.006

0.025

0.608

6.781

375.5

4,353.9

4,299.0

7,039.9

Chile

IGPA (Jan. 1980=100)

757.6

1,166.7

2,483.7

2,733.5

3,915.5

5,425.2

5,740.0

4,902.6

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (End of Period Levels)

62

Emerging Stock Markets Factbook 1999 Colombia

IBB (Jan. 2, 1991=100)

975.9

1,392.3 // 358.1

499.9

749.1

889.9

755.0

844.1

Mexico

BMV General (Oct. 1978=0.7816)

418.9

628.8

1,431.5

1,759.4

2,602.6

2,375.7

2,778.5

3,361.0

Peru

IGBVL (Dec. 1991=100)

0.336

25.800

100.0

372.9

930.5

1,414.9

1,243.4

1,429.0

Venezuela

Indice de Capitalizacion (Dec. 1993=1,000)

2,754.0 17,881.9 29,316.6 19,874.1 1,000.0 1,348.8

//

2,019.4

6,690.1

China

Shanghai S.E. Comp. (Dec. 19, 1990=100)

−

−

India

BSE 200 Index (1989−90=100)

839.9

Indonesia

JSE Composite (Aug. 10, 1982=100)

Korea

Asia

292.8

780.4

833.8

647.9

555.2

917.0

1,040.7 // 233.6

314.8

407.5

442.5

313.7

305.1

399.7

417.8

247.4

274.3

588.8

469.6

513.8

637.4

KSE Composite (Jan. 1980=100)

909.7

696.1

610.9

678.4

866.2

1,027.4

882.9

651.2

Malaysia

KLSE Composite (Jan. 1977=100)

565.3

505.9

556.2

644.0

1,275.3

971.2

995.2

1,238.0

Pakistan

KSE 100 Index (Nov. 1, 1991=1,000)

277.3

308.5

718.2 //

2,049.1

1,497.8

1,339.9

Philippines

PSE Composite (Jan. 2, 1985=100)

1,110.6 653.1

Sri Lanka

CSE Sensitive Share (Jan. 341.7 1985=100)

Taiwan, China Thailand

1,243.7 2,164.3

1,154.3

1,272.4

3,241.9

2,785.8

2,594.2

3,170.6

1,198.6

826.6

1,442.4

1,438.8

990.5

897.7

TSE Average (1966=100) 9,624.2 4,530.2

4,600.7

3,377.1

6,070.6

7,124.7

5,173.7

6,933.9

SET (Apr. 30, 1975=100) 879.2

612.9

711.4

893.4

1,682.8

1,360.1

1,280.8

831.6

Czech Republic

PX 50 (April 1994=1,000) −

−

−

−

−

557.2

425.9

539.6

Greece

ASE General (1980=100) 459.4

932.0

809.7

672.3

958.7

868.9

914.1

933.5

Hungry

BSE BUX (Jan. 2, 1992=1,000)

−

−

837.6

890.9

1,264.1

1,470.1

1,528.9

4,134.3

Poland

WIG All Share Perf. (Apr. − 1991=1,000)

−

919.1

1,040.7

12,439.0 7,473.1

7,585.9

14,342.8

Portugal

BVL General (Jan. 1988=1,000)

3,287.0 2,143.4

1,977.7

1,637.9 // 848.0

919.9

887.7

1,163.5

−

−

−

−

−

534.5

680.3

Europe

Russia

−

−

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (End of Period Levels)

63

Emerging Stock Markets Factbook 1999 ASP General 100 (June 20, 1994=100) Slovakia

SAX (Dec. 1992=100)

−

−

−

−

109.6

214.3

153.8

179.0

Turkey

National−100 (Jan. 1986=1)

22.2

32.6

43.7

40.0

206.8

272.6

400.2

975.9

Mideast/Africa Egypt

EFG (Jan. 2, 1993=1,000) −

−

−

1,000.0

1,377.0

3,537.3

3,269.6

4,615.1

Israel

Tel Aviv 100 (Dec. 1991=100)

−

−

313.9

191.6

270.1

163.8

186.7

184.8

Jordan

AFM (Dec. 91=100)

93.3

80.4

100.0

129.9

158.4

143.6

159.2

153.5

Morocco

Upline Securities (Dec. 31, 1989=10,000)

122.6

158.6

187.5

201.8

259.8

342.3 // 41,929.0

Nigeria

NSE All Share (1984=100)

325.3

513.8

784.0

1,107.6

1,543.8

2,205.0

5,092.1

6,992.1

Saudi Arabia

NCFEI (Feb. 1985=100)

−

−

178.8

188.9

179.3

128.2

136.8

153.1

South Africa

JSE Overall (Jan. 1960=100)

2,976.0 2,719.7

3,440.3

3,259.0

4,893.0

5,867.0

6,228.0

6,657.5

Zimbabwe

ZSE Industrial (Dec. 31, 1966=100)

869.1

1,953.6

865.6

2,325.3

3,160.8

3,972.6

8,786.3

2,282.6

56,034.0

Notes: In India, IFC switched from using the F.E. Bombay Index to the BSE 200 because the latter is more representative of market movements. For the same reason, IF

SPB Index in Pakistan to the KSE Index. In Venezuela, the Indice de Capitalization replaced the New BVC Index. In Colombia, the IBB Index replaced the General Ind replaced the IMGA Index with the Upline Securities Index in 1998. All local index time series in this Factbook have been adjusted to reflect the new indexes for as far b is available.

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (Annual % Change) Market

1989

1990

1991

1992

1993

1994

1995

199

−24.80

53.47

−23.06

2.41

13.9

Latin America Argentina

Bolsa Indice General (1977=0.0001)

17,231.80 207.15

710.57

Brazil

IBOVESPA (1968=0.000000001)

1,762.49

308.44

2,315.58 1,015.65 5,437.20 1,059.65 −1.26

63.7

Chile

IGPA (Jan. 1980=100)

64.76

54.00

112.88

−14

Colombia

IBB (Jan. 2, 1991=100)

11.90

42.67 //

10.06

43.24

38.56

5.80

− 39.60

49.85

18.80

−15.16 11.8

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (Annual % Change)

64

Emerging Stock Markets Factbook 1999 Mexico

BMV General (Oct. 1978=0.7816)

98.04

50.11

Peru

IGBVL (Dec. 1991=100)

3,817.90

Venezuela

Indice de Capitalizacion (Dec. 1993=1,000)

−28.80

127.66

22.91

47.93

−8.72

16.96

20.9

7,578.57 287.60

272.90

149.53

52.06

−12.12 14.9

549.31

63.95

−32.21 // −

34.88

49.72

−

−12.87

6.84

−22.30

−14.31 65.1

29.45

8.59

−29.11 −2.

231

Asia China

Shanghai S.E. Comp. (Dec. − 19, 1990=100)

−

India

BSE 200 Index (1989−90=100)

32.38

23.90 //

Indonesia

JSE Composite (Aug. 10, 1982=100)

31.04

4.53

−40.79

10.87

114.66

−20.24

9.41

Korea

KSE Composite (Jan. 1980=100)

0.28

−23.48

−12.24

11.05

27.68

18.61

−14.06 −26

Malaysia

KLSE Composite (Jan. 1977=100)

58.17

−10.51

9.94

15.79

98.03

−23.85

2.47

Pakistan

KSE 100 Index (Nov. 1, 1991=1,000)

5.55

11.25

132.80 // −

74.02

−5.32

−26.90 −10

Philippines

PSE Composite (Jan. 2, 1985=100)

31.24

−41.19

76.74

10.23

154.79

−12.84

−6.88

Sri Lanka

CSE Sensitive Share (Jan. 1985=100)

−

99.09

76.19

−31.04

74.50

−0.25

−31.16 −9.

Taiwan, China

TSE Average (1966=100)

88.00

−52.93

1.56

−26.60

79.76

17.36

−27.38 34.0

Thailand

SET (Apr. 30, 1975=100)

127.34

−30.29

16.07

25.58

88.36

−19.18

−5.83

Czech Republic PX 50 (April 1994=1,000)

−

−

−

−

−

−

−23.56 26.7

Greece

ASE General (1980=100)

64.29

102.87

−13.12

−16.97

42.60

−9.37

5.20

2.12

Hungary

BSE BUX (Jan. 2, 1992=1,000)

−

−

−

6.36

41.89

16.30

4.00

170

Poland

WIG All Share Perf. (Apr. 1991=1,000)

−

−

−

13.23

1,095.25 −39.92

1.51

89.0

Portugal

BVL General (Jan. 1988=1,000)

39.52

−34.79

−7.73

−17.18 // −

8.48

−3.50

31.0

Russia

ASP General 100 (June 20, − 1994=100)

−

−

−

−

−

−

−

Slovakia

SAX (Dec. 1992=100)

−

−

−

−

95.6

−28.23 16.3

− 34.76

24.0

24.4

22.2

−35

Europe

−

Emerging Markets Local Stock Market Price Indexes, 1989−1998: (Annual % Change)

65

Emerging Stock Markets Factbook 1999 Turkey

National−100 (Jan. 1986=1)

493.07

46.85

34.05

−8.47

417.00

31.82

46.81

143

Egypt

EFG (Jan. 2, 1993=1,000)

−

−

−

−

37.70

156.89

−7.57

41.1

Israel

Tel Aviv 100 (Dec. 1991=100)

−

−

−

−38.96

40.97

−39.36

13.98

−1.

Jordan

AFM (Dec. 91=100)

10.41

−13.83

24.38

29.90

21.94

−9.34

10.86

−3.

Morocco

Upline Securities (Dec. 31, 1989=10,000)

−26.60

29.36

18.22

7.63

28.74

31.76 //

Nigeria

NSE All Share (1984=100) 39.26

57.95

52.59

41.28

39.38

42.83

130.93 37.3

Saudi Arabia

NCFEI (Feb. 1985=100)

−

−

−

5.65

−5.08

−28.50

6.71

11.9

South Africa

JSE Overall (Jan. 1960=100)

−

−8.61

26.50

−5.27

50.14

19.91

6.15

6.90

Zimbabwe

ZSE Industrial (Dec. 31, 1966=100)

−

162.64

−14.41

−55.69

168.63

35.93

25.68

121

Mideast/Africa

− 33.6

Notes: In India, IFC switched from using the F.E. Bombay Index to the BSE 200 because the latter is more representative movements. For the same reason, IFC switched from using the SPB Index in Pakistan to the KSE Index. In Venezuela, the Capitalization replaced the New BVC Index. In Colombia, the IBB Index replaced the General Index. In Morocco, IFC rep Index with the Upline Securities Index in 1998. All local index time series in this Factbook have been adjusted to reflect th far back as data for these indexes is available. Frontier Emerging Markets Local Stock Market Price Indexes, 1989−1998: (End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

Frontier Markets Bangladesh

DSE All Share Price (1985=100)

467.8

350.8

296.3

369.6

391.8

845.6

834.7

2,300.1

Botswana

Botswana DCI (1989=100)

−

230.4

271.7

273.7

278.5

312.9

332.8

352.2

Bulgaria

BSE Composite (Dec. 1992=100)

−

−

−

−

118.4

113.6

104.3

77.6

Cote d'Ivoire*

BRVM All−Share (Sept. 16, 1998=100)

106.9

103.7

102.2

62.9

90.5

125.6

277.2

357.8

Croatia

CROBEX (July 1, 1997=1,000)

−

−

−

−

−

−

−

1,000.0

Frontier Emerging Markets Local Stock Market Price Indexes, 1989−1998: (End of Period Levels)

66

Emerging Stock Markets Factbook 1999 Ecuador

BVG (Jan. 3, 1994=100)

−

−

−

−

−

174.6

154.4

198.8

Estonia

TALSE (June 3, 1996=100)

−

−

−

−

−

−

−

−

Ghana

GSE All Share Index (1990−93=100)

−

−

−

79.1

170.8

371.7

298.1

360.8

Jamaica

JSE (June 30, 1969=100) 2,075.8 2,539.4 7,681.5 25,745.9 13,099.7 16,676.7 14,267.0 16,616.0

Kenya

NSE (Jan. 1, 1964=100)

815.8

915.3

958.3

1,167.3

2,513.7

4,559.4

3,468.9

3,114.1

Latvia

Dow Jones RSE (Apr. 2, 1996=100)

−

−

−

−

−

−

−

−

Lithuania

LITIN−G (Jan. 2, 1996=1,000)

−

−

−

−

−

−

−

1,327.5

Mauritius

SEMDEX (July 5, 1989=100)

−

171.2

154.2

183.2

302.6

473.7

344.4

353.5

Romania

BET (Sept. 19, 1997=1,000)

−

−

−

−

−

−

−

−

Slovenia

SSEI (Dec. 1993=1,000)

−

−

−

−

1,000.0

1,396.8

1,448.8

1,183.3

Trinidad &Tobago

TTSE (Jan. 1983=100)

48.7

83.1

81.8

60.2

82.5

88.6

150.2

167.4

Tunisia

BVM General (Sept. 30, 1990=100)

−

127.8

170.6

199.4

251.0

507.2

534.7

570.6

Ukraine

PFTS (Oct. 10, 1997=100)

−

−

−

−

−

−

−

−

Note: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index for Cote d'Ivoire.

Frontier Emerging Markets Local Stock Market Price Indexes, 1989−1998: (Annual % Change) Market

1989

1990

1991

1992

1993

1994

1995

1996

1

−12.3

−25.0

−15.5

24.7

6.0

115.8

−1.3

175.6

−

Frontier Markets Bangladesh

DSE All Share Price (1985=100)

Botswana

Botswana DCI (1989=100) −

−

17.9

0.7

1.8

12.4

6.4

5.8

1

Bulgaria

BSE Composite (Dec. 1992=100)

−

−

−

−

−

−4.1

−8.2

−25.6

0

Cote d'Ivoire

BRVM All−Share (Sept. 16, 1998=100)

1.7

−3.0

−1.4

−38.5

43.9

38.8

120.7

29.1

2 −

Frontier Emerging Markets Local Stock Market Price Indexes, 1989−1998: (Annual % Change)

67

Emerging Stock Markets Factbook 1999 Croatia

CROBEX (July 1, 1997=1,000)

−

−

−

−

−

−

−

−

−

Ecuador

BVG (Jan. 3, 1994=100)

−

−

−

−

−

−

−11.6

28.8

9

Estonia

TALSE (June 3, 1996=100)

−

−

−

−

−

−

−

−

−

Ghana

GSE All Share Index (1990−93=100)

−

−

−

−

116.1

117.6

−19.8

21.0

4

Jamaica

JSE (June 30, 1969=100)

44.2

22.3

202.5

235.2

−49.1

27.3

−14.4

16.5

1

Kenya

NSE (Jan. 1, 1964=100)

−5.0

12.2

4.7

21.8

115.3

81.4

−23.9

−10.2

0

Latvia

Dow Jones RSE (Apr. 2, 1996=100)

−

−

−

−

−

−

−

−

−

Lithuania

LITIN−G (Jan. 2, 1996=1,000)

−

−

−

−

−

−

−

−

4

Mauritius

SEMDEX (July 5, 1989=100)

−

−

−9.9

18.8

65.2

56.5

−27.3

2.6

1

Romania

BET (Sept. 19, 1997=1,000)

−

−

−

−

−

−

−

−

−

Slovenia

SSEI (Dec. 1993=1,000)

−

−

−

−

−

−

3.7

−18.3

1

Trinidad & Tobago

TTSE (Jan. 1983=100)

50.3

70.6

−1.6

−26.4

37.0

7.4

69.5

11.5

1

Tunisia

BVM General (Sept. 30, 1990=100)

−

−

33.5

16.9

25.9

102.1

5.4

6.7

−

Ukraine

PFTS (Oct. 10, 1997=100) −

−

−

−

−

−

−

−

−

Note: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index for Cote d'Ivoire.

Emerging Markets Currency Exchange Rates per US$, 1998: (End of Period Levels) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

O

Argentina

0.9996

0.9995

0.9999

0.9999

0.9995

0.9999

0.9995

0.9998

0.9999

0.

Brazil

1.1231

1.1302

1.1371

1.1440

1.1502

1.1566

1.1630

1.1769

1.1852

1.

Chile

455.000

449.650

453.750

452.750

454.950

466.500

465.950

472.650

467.250

46

Colombia

1,342.400 1,343.150 1,361.000 1,364.350 1,397.600 1,371.620 1,372.350 1,442.350 1,559.050 1,

Mexico

8.4600

Latin America

8.5235

8.5180

8.4895

8.8160

8.9860

8.9215

Emerging Markets Currency Exchange Rates per US$, 1998: (End of Period Levels)

9.9695

10.1900

68

10

Emerging Stock Markets Factbook 1999 Peru

2.7715

2.8140

2.8085

2.8230

2.8618

2.9395

2.9285

3.0140

3.0535

3.

Venezuela

510.680

517.000

524.800

536.225

538.500

552.755

562.855

582.005

573.375

56

China

8.2785

8.2789

8.2793

8.2779

8.2793

8.2797

8.2799

8.2800

8.2780

8.

India

38.8200

39.3500

39.4825

39.7150

41.6750

42.3750

42.5400

42.5200

42.4028

42

Indonesia

10,500.00 8,850.00

8,650.00

8,075.00

11,300.00 14,800.00 13,150.00 11,200.00 10,700.00 7,

Korea

1,524.0

1,633.0

1,385.0

1,336.5

1,407.5

1,373.0

1,230.5

1,350.5

1,390.8

1,

Malaysia

4.1811

3.6750

3.6400

3.7400

3.8405

4.1475

4.1175

4.1853

3.8000

3.

Pakistan

44.0060

44.0060

44.1525

44.0700

44.4750

46.1050

49.3450

50.0075

50.1325

50

Philippines

42.6500

39.9000

37.9000

40.1500

38.9500

41.7000

42.1000

43.8000

43.7500

40

Sri Lanka

62.2500

61.7700

62.4300

63.3050

64.9300

65.4000

65.9250

66.3850

65.9850

67

Taiwan, China

34.0480

32.0760

32.8670

32.9745

33.9750

34.3605

34.3650

34.8550

34.3745

32

Thailand

52.7500

43.1000

39.2500

38.6750

40.3900

42.3000

40.8500

41.9000

39.5300

36

Czech Republic 35.2970

33.9970

34.2225

32.8675

32.9675

32.6345

30.8085

32.5070

30.2655

29

Greece

289.580

287.680

319.780

314.445

304.500

304.280

295.540

303.650

288.005

28

Hungary

208.065

208.695

213.305

210.955

214.065

218.780

215.960

224.280

218.600

21

Poland

3.5435

3.4775

3.4530

3.3965

3.4910

3.4870

3.4343

3.7250

3.5730

3.

Portugal

187.040

185.805

189.395

183.950

182.450

184.720

181.955

180.630

171.545

16

Russia

6.0423

6.0485

6.0980

6.1295

6.1695

6.2295

6.2810

9.9500

16.0250

16

Slovakia

35.5040

35.0060

35.5360

34.5050

34.4950

35.1340

34.7190

35.3500

34.7630

35

Turkey

218,725

230,875

243,055

250,025

258,320

266,400

271,250

277,590

277,615

28

Egypt

3.4125

3.4038

3.4063

3.4100

3.4113

3.4113

3.4245

3.4110

3.4100

3.

Israel

3.6003

3.5837

3.6024

3.7039

3.6544

3.6709

3.6458

3.7953

3.8453

4.

Jordan

0.7105

0.7110

0.7110

0.7115

0.7110

0.7110

0.7105

0.7120

0.7110

0.

Morocco

9.8620

9.8118

9.9126

9.7263

9.7090

9.7613

9.6870

9.6103

9.2488

9.

Nigeria

81.4750

84.8800

85.9000

86.0000

92.0000

86.4400

86.1800

89.7600

86.4000

86

Saudi Arabia

3.7506

3.7508

3.7502

3.7503

3.7510

3.7509

3.7507

3.7515

3.7510

3.

South Africa

4.9370

4.9415

5.0390

5.0565

5.1560

5.8900

6.1400

6.4253

5.8800

5.

Asia

Europe

Mideast/Africa

Emerging Markets Currency Exchange Rates per US$, 1998: (End of Period Levels)

69

Emerging Stock Markets Factbook 1999 Zimbabwe

17.0000

16.2000

16.1500

17.1000

17.9500

18.0100

19.6250

27.5000

32.5000

35

Emerging Markets Currency Exchange Rates per US$, 1998: (Monthly % Change) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Argentina

0.02

0.01

−0.04

0.00

0.04

−0.04

0.04

−0.03

−0.01

0.02

−0.

Brazil

−0.62

−0.63

−0.61

−0.60

−0.54

−0.55

−0.55

−1.18

−0.70

−0.65

−0.

Chile

−3.63

1.19

−0.90

0.22

−0.48

−2.48

0.12

−1.42

1.16

1.01

−1.

Colombia

−3.41

−0.06

−1.31

−0.25

−2.38

1.89

−0.05

−4.85

−7.49

−1.04

1.95

Mexico

−4.70

−0.74

0.06

0.34

−3.70

−1.89

0.72

−10.51 −2.16

0.66

1.13

Peru

−1.64

−1.51

0.20

−0.51

−1.36

−2.64

0.38

−2.84

−1.29

−0.47

−1.

Venezuela

−1.25

−1.22

−1.49

−2.13

−0.42

−2.58

−1.79

−3.29

1.51

1.02

−0.

China

0.01

0.00

0.00

0.02

−0.02

0.00

0.00

0.00

0.02

0.00

0.00

India

1.00

−1.35

−0.34

−0.59

−4.70

−1.65

−0.39

0.05

0.28

0.10

−0.

Indonesia

−47.67 18.64

2.31

7.12

−28.54 −23.65 12.55

17.41

4.67

40.79

2.36

Korea

11.22

−6.67

17.91

3.63

−5.04

2.51

11.58

−8.89

−2.89

5.40

5.90

Malaysia

−6.90

13.77

0.96

−2.67

−2.62

−7.40

0.73

−1.62

10.14

0.00

0.00

Pakistan

0.00

0.00

−0.33

0.19

−0.91

−3.54

−6.57

−1.32

−0.25

−1.50

1.80

Philippines

−6.45

6.89

5.28

−5.60

3.08

−6.59

−0.95

−3.88

0.11

8.43

2.41

Sri Lanka

−0.80

0.78

−1.06

−1.38

−2.50

−0.72

−0.80

−0.69

0.61

−1.63

−1.

Taiwan, China

−4.05

6.15

−2.41

−0.33

−2.94

−1.12

−0.01

−1.41

1.40

5.88

0.10

Thailand

−8.72

22.39

9.81

1.49

−4.25

−4.52

3.55

−2.51

6.00

7.58

1.79

Czech Republic

−1.77

3.82

−0.66

4.12

−0.30

1.02

5.93

−5.23

7.41

4.35

−4.

Greece

−2.03

0.66

−10.04 1.70

3.27

0.07

2.96

−2.67

5.43

2.30

−0.

Hungary

−1.85

−0.30

−2.16

1.11

−1.45

−2.16

1.31

−3.71

2.60

0.78

−1.

Poland

−0.52

1.90

0.71

1.66

−2.71

0.11

1.53

−7.80

4.25

3.70

−1.

Portugal

−1.71

0.66

−1.90

2.96

0.82

−1.23

1.52

0.73

5.30

1.05

−2.

Latin America

Asia

Europe

Emerging Markets Currency Exchange Rates per US$, 1998: (Monthly % Change)

70

Emerging Stock Markets Factbook 1999 Russia

−0.74

−0.10

−0.81

−0.51

−0.65

−0.96

−0.82

−36.87 −37.91 −4.04

−9.

Slovakia

−1.70

1.42

−1.49

2.99

0.03

−1.82

1.20

−1.79

1.69

−0.90

−3.

Turkey

−5.30

−5.26

−5.01

−2.79

−3.21

−3.03

−1.79

−2.28

−0.01

−3.61

−5.

Egypt

−0.29

0.26

−0.07

−0.11

−0.04

0.00

−0.39

0.40

0.03

−0.58

0.46

Israel

−1.75

0.46

−0.52

−2.74

1.35

−0.45

0.69

−3.94

−1.30

−10.14 2.09

Jordan

−0.17

−0.07

0.00

−0.07

0.07

0.00

0.07

−0.21

0.14

−0.14

0.00

Morocco

−1.22

0.51

−1.02

1.92

0.18

−0.54

0.77

0.80

3.91

0.36

−1.

Nigeria

−7.06

−4.01

−1.19

−0.12

−6.52

6.43

0.30

−3.99

3.89

0.23

0.29

Saudi Arabia

0.00

−0.01

0.02

0.00

−0.02

0.00

0.01

−0.02

0.01

0.01

0.00

South Africa

−1.43

−0.09

−1.93

−0.35

−1.93

−12.46 −4.07

−4.44

9.27

4.81

−1.

Zimbabwe

8.53

4.94

0.31

−5.56

−4.74

−0.33

−28.64 −15.38 −9.22

Europe/Mideast/Africa

−8.23

−3.

Frontier Emerging Markets Currency Exchange Rates per US$, 1998: (End of Period Levels) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

Frontier Markets Bangladesh

45.6604 46.4500 46.4500 46.4500 46.4500 46.4500 47.3084 47.3050 47.3088 47.3088 47

Botswana

3.8521

3.8536

3.8670

3.9047

3.9698

4.2571

4.6296

4.8733

4.4823

4.3649

4.

Bulgaria

1,809.2

1,820.2

1,834.0

1,795.5

1,782.4

1,810.2

1,769.0

1,791.8

1,673.2

1,647.5

1,

Cote d'Ivoire

615.50

607.93

619.42

601.40

591.02

605.04

596.50

601.25

559.90

554.10

56

Croatia

6.4390

6.4101

6.4907

6.4313

6.4541

6.4599

6.4124

6.5041

6.1781

6.1502

6.

Ecuador

4,527.4

4,545.4

4,887.0

5,079.1

5,203.3

5,274.0

5,360.8

5,463.2

6,097.0

6,728.0

6,

Estonia

14.6164 14.5197 14.7969 14.3500 14.2052 14.4588 14.2496 14.3000 13.3980 13.2440 13

Ghana

2,289.4

Jamaica

36.3223 36.0845 35.5000 36.4002 36.3522 36.2800 36.3100 36.3483 36.4856 37.1620 36

Kenya

60.0000 60.0000 60.0000 59.5500 63.5000 59.5000 59.0500 59.4000 60.0500 59.6500 60

Latvia

0.5903

0.5873

0.5933

0.5940

0.5970

0.6020

0.5990

0.6010

0.5830

0.5680

0.

Lithuania

4.0300

4.0300

4.0300

4.0300

4.0300

4.0300

4.0300

4.0300

4.0300

4.0300

4.

Mauritius

22.6695 22.9100 23.7370 23.8315 23.8910 24.2710 24.3720 24.5000 24.4500 24.5500 24

Romania

8,340.0

2,297.5

8,090.0

2,316.0

8,490.0

2,307.5

8,345.0

2,307.7

8,511.0

2,323.0

8,625.0

2,345.0

8,744.0

2,325.0

8,924.0

2,325.0

9,238.0

Frontier Emerging Markets Currency Exchange Rates per US$, 1998: (End of Period Levels)

2,352.5

9,592.0 71

2,

10

Emerging Stock Markets Factbook 1999 Slovenia

170.76

171.93

172.16

168.35

166.61

169.58

167.70

169.14

158.08

156.37

16

Trinidad & Tobago

6.2999

6.2999

6.2995

6.2998

6.2999

6.2998

6.2990

6.2950

6.2998

6.2998

6.

Tunisia

1.1500

1.1566

1.1801

1.1539

1.1525

1.1616

1.1485

1.1439

1.0939

1.0780

1.

Ukraine

1.9295

2.0149

2.0383

2.0425

2.0573

2.0647

2.1349

2.2500

3.4050

3.4270

3.

Frontier Emerging Markets Currency Exchange Rates per US$, 1998: (Monthly % Change) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

De

Bangladesh

−1.47

−1.70

0.00

0.00

0.00

0.00

−1.81

0.01

−0.01

0.00

0.00

0.0

Botswana

−1.33

−0.04

−0.35

−0.97

−1.64

−6.75

−8.05

−5.00

8.72

2.69

−1.00

−1.

Bulgaria

−1.86

−0.60

−0.75

2.14

0.73

−1.54

2.33

−1.27

7.09

1.56

−3.24

2.3

Cote d'Ivoire

−5.95

1.25

−1.86

3.00

1.76

−2.32

1.43

−0.79

7.39

1.05

−2.30

1.1

Croatia

−1.82

0.45

−1.24

0.92

−0.35

−0.09

0.74

−1.41

5.28

0.45

−3.41

1.6

Ecuador

−1.58

−0.40

−6.99

−3.78

−2.39

−1.34

−1.62

−1.87

−10.39

−9.38

4.07

−5.

Estonia

−1.65

0.67

−1.87

3.11

1.02

−1.75

1.47

−0.35

6.73

1.16

−3.00

2.3

Ghana

−2.00

−0.35

−0.80

0.37

−0.01

−0.66

−0.94

0.86

0.00

−1.17

0.53

−0.

Jamaica

−0.63

0.66

1.65

−2.47

0.13

0.20

−0.08

−0.11

−0.38

−1.82

0.71

−0.

Kenya

4.33

0.00

0.00

0.76

−6.22

6.72

0.76

−0.59

−1.08

0.67

−0.67

−3.

Latvia

−0.22

0.51

−1.01

−0.12

−0.50

−0.83

0.50

−0.33

3.09

2.64

−2.07

1.5

Lithuania

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.7

Mauritius

−2.15

−1.05

−3.48

−0.40

−0.25

−1.57

−0.41

−0.52

0.20

−0.41

−0.11

0.2

Romania

−3.24

3.09

−4.71

1.74

−1.95

−1.32

−1.36

−2.02

−3.40

−3.69

−4.86

−7.

Slovenia

−2.08

−0.68

−0.13

2.26

1.04

−1.75

1.12

−0.85

7.00

1.09

−4.06

0.9

Trinidad & Tobago

0.00

0.00

0.01

0.00

0.00

0.00

0.01

0.06

−0.08

0.00

0.00

0.1

Tunisia

−0.50

−0.57

−1.99

2.27

0.12

−0.78

1.14

0.40

4.57

1.47

−3.08

1.4

Ukraine

−1.74

−4.24

−1.15

−0.21

−0.72

−0.36

−3.29

−5.12

−33.92

−0.64

0.00

0.0

Frontier Markets

Emerging Markets Currency Exchange Rates per US$, 1989−1998: (End of Period Levels)

Frontier Emerging Markets Currency Exchange Rates per US$, 1998: (Monthly % Change)

72

Emerging Stock Markets Factbook 1999 Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1

Argentina

0.1360

0.5670

0.9990

0.9980

1.0000

1.0001

0.9999

0.9998

0.9998

0

Brazil

0.0113

0.1610

1.0902

12.2430

0.3209

0.8470

0.9720

1.0391

1.1161

1

Chile

294.110 336.860 374.870

382.330

431.040

401.050

406.650

424.350

438.500

4

Colombia

423.090 523.000 705.410

811.770

811.900

831.600

990.750

1006.095

1,296.650 1

Mexico

2.6835

2.9480

3.0890

3.1160

3.1090

4.9250

7.7050

7.8720

8.0620

9

Peru

0.0053

0.5400

0.9750

1.6350

2.1500

2.1810

2.3035

2.5970

2.7260

3

Venezuela

43.5000 49.7400 60.8000

78.1600

104.4600

169.8700 339.5406

476.2550

504.3000

5

China

−

5.2221

5.4342

5.7518

8.7000

8.4462

8.3174

8.2984

8.2796

8

India

16.840

18.150

25.800

28.680

31.130

31.369

35.165

35.825

39.210

4

Indonesia

1,797.0

1,889.0

1,984.0

2,063.5

2,103.0

2,198.0

2,286.5

2,362.5

5,495.0

7

Korea

677.400 714.500 758.700

788.400

808.100

788.500

775.750

845.500

1,695.000 1

Malaysia

2.6985

2.6150

2.6930

2.5535

2.5390

2.5255

3.8925

3

Pakistan

21.2500 21.7200 24.6000

25.5000

29.9800

30.7692

34.2158

40.0799

44.0060

4

Philippines

21.7700 27.2000 26.1500

25.6000

27.0000

24.4000

26.2300

26.3000

39.9000

3

Sri Lanka

40.0000 40.2400 42.7138

46.0000

49.5600

49.6650

53.5000

56.7300

61.7500

6

Taiwan, China

26.0500 26.6300 25.5000

25.1700

26.3600

26.2880

27.2870

27.5000

32.6680

3

Thailand

25.6100 25.3000 25.0500

25.4900

25.4800

25.1050

25.1900

25.6400

48.1500

3

−

−

28.1890

26.6660

27.2280

34.6735

3

Latin America

Asia

2.6983

2.7205

Europe Czech Republic −

−

−

Greece

156.300 159.500 175.000

215.300

249.350

240.600

236.580

246.710

283.710

2

Hungary

−

−

75.620

83.970

100.700

113.150

136.630

161.650

204.225

2

Poland

−

−

10,957.00 15,767.00 21,444.00 24,370.00 2.4668

2.8605

3.5250

3

Portugal

149.600 136.640 133.600

146.920

176.620

159.200

149.390

155.250

183.850

1

Russia

−

−

130.000

415.000

1,540.000 3,160.00

4,640.00

5,589.00

5,997.50 21.55

//

Slovakia

−

−

−

−

−

31.2770

29.6280

31.8950

34.9000

3

Turkey

2,293.00 2,898.00 5,025.00

8,540.00

14,570.00 38,700.0

60,900.0

109,095.0 207,125.0 3

//

Frontier Emerging Markets Currency Exchange Rates per US$, 1998: (Monthly % Change)

73

Emerging Stock Markets Factbook 1999

Mideast/Africa Egypt

2.5600

2.8736

3.3370

3.3280

3.3580

3.3970

3.3900

3.3929

3.4025

3

Israel

1.9630

2.0480

2.2830

2.7640

2.9860

3.0180

3.1361

3.2456

3.5374

4

Jordan

0.6376

0.6409

0.6730

0.6742

0.6870

0.7040

0.7090

0.7098

0.7093

0

Morocco

8.1218

8.0438

8.1499

8.8900

9.6900

9.1000

8.4690

8.7551

9.7415

9

Nigeria

7.4500

8.7000

9.8000

21.5000

40.0000

22.0000

86.1000

78.4000

75.7200

8

Saudi Arabia

−

−

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3

South Africa

2.5360

2.5500

2.7430

4.8420

4.2900

4.0750

3.6455

4.6775

4.8665

5

Zimbabwe

2.2448

2.6609

5.0355

5.4816

6.9351

8.3650

9.3188

10.8225

18.4500

3

Emerging Markets Currency Exchange Rates per US$, 1989−1998: (Annual % Change) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Argentina

−98.82

−76.01

−43.24

0.10

−0.20

−0.01

0.02

0.01

0.00

Brazil

−93.53

−92.98

−85.23

−91.10

−96.19

−

−12.86

−6.46

−6.90

Chile

−15.15

−12.69

−10.14

−1.95

−11.30

7.48

−1.38

−4.17

−3.23

Colombia

−20.58

−19.10

−25.86

−13.10

−0.02

−2.37

−16.06

−1.53

−22.41

Mexico

−13.55

−8.97

−4.56

−0.87

0.23

−36.87

−36.08

−2.12

−2.36

Peru

−

−99.02

−44.62

−40.37

−23.95

−1.42

−5.32

−11.30

−4.73

Venezuela

−14.48

−12.55

−18.19

−22.21

−25.18

−38.51

−49.97

−28.71

−5.56

China

−

−5.82

−5.52

−5.52

−33.89

3.00

1.55

0.23

0.23

India

−10.81

−7.22

−29.65

−10.04

−7.87

−0.76

−10.80

−1.84

−8.63

Indonesia

−4.43

−4.87

−4.79

−3.85

−1.88

−4.32

−3.87

−3.22

−57.01

Korea

1.11

−5.19

−5.83

−3.77

−2.44

2.49

1.64

−8.25

−50.12

Malaysia

0.43

0.01

−0.82

4.03

−2.90

5.46

0.57

0.53

−35.12

Pakistan

−12.94

−2.16

−11.71

−3.53

−14.94

−2.56

−10.07

−14.63

−8.92

Philippines

−4.92

−19.96

4.02

2.15

−5.19

10.66

−6.98

−0.27

−34.09

Sri Lanka

−

−0.60

−5.79

−7.14

−7.18

−0.21

−7.17

−5.69

−8.13

Latin America

Asia

Emerging Markets Currency Exchange Rates per US$, 1989−1998: (Annual % Change)

74

Emerging Stock Markets Factbook 1999 Taiwan, China

8.21

−2.18

4.43

1.31

−4.51

0.27

−3.66

−0.77

−15.82

Thailand

−1.64

1.23

1.00

−1.73

0.04

1.49

−0.34

−1.76

−46.75

Czech Republic

−

−

−

−

−

−

5.71

−2.06

−21.47

Greece

−5.50

−2.01

−8.86

−18.72

−13.66

3.64

1.70

−4.11

−13.04

Hungary

−

−

−

−9.94

−16.61

−11.00

−17.19

−15.48

−20.85

Poland

−

−

−

−30.51

−26.47

−12.01 −

−13.76

−18.85

Portugal

−1.93

9.48

2.28

−9.07

−16.82

10.94

6.57

−3.77

−15.56

Russia

−

−

−

−68.67

−73.05

−51.27

−31.90

−16.98

−6.81 −

Slovakia

−

−

−

−

−

−

5.57

−7.11

−8.61

Turkey

−21.28

−20.88

−42.33

−41.16

−41.39

−62.35

−36.45

−44.18

−47.33

Egypt

−

−10.91

−13.89

0.27

−0.89

−1.15

0.21

−0.09

−0.28

Israel

−

−4.15

−10.29

−17.40

−7.43

−1.06

−3.77

−3.37

−8.25

Jordan

−25.50

−0.51

−4.77

−0.18

−1.86

−2.41

−0.71

−0.11

0.07

Morocco

−

0.97

−1.30

−8.33

−8.26

6.48

7.45

−3.27

−10.13

Nigeria

−28.86

−14.37

−11.22

−54.42

−46.25

81.82

−74.45

9.82

3.54

Saudi Arabia

−

−

−

−

−

−

−

−

−

South Africa

−

−0.55

−7.04

−43.35

12.87

5.28

11.78

−22.06

−3.88

Zimbabwe

−13.45

−15.64

−47.16

−8.14

−20.96

−17.09

−10.24

−13.89

−41.34

Europe

//

Mideast/Africa

Frontier Emerging Markets Currency Exchange Rates per US$, 1989−1998: (End of Period Levels) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

Bangladesh

32.2700

35.7900

38.5800

39.1236

39.9400

39.8000

40.3000

42.6110

44.9905

Botswana

−

1.8605

2.0921

2.2311

2.5648

2.7178

2.8177

3.6550

3.8008

Bulgaria

−

−

−

−

−

−

71.5030

523.30

1,775.5

Frontier Markets

Frontier Emerging Markets Currency Exchange Rates per US$, 1989−1998: (End of Period Levels) 75

//

Emerging Stock Markets Factbook 1999 Cote d'Ivoire

289.400

256.450

259.000

271.490

294.775

523.000

490.550

519.980

578.850

Croatia

−

−

−

−

−

5.6290

5.3160

5.5400

6.3030

Ecuador

−

−

−

1,857.5

1,977.9

2,269.0

2,919.0

3,630.0

4,456.0

Estonia

−

−

−

−

−

−

−

−

14.3747

Ghana

−

−

390.630

520.000

815.000

1,051.00

1,455.00

1,740.23

2,243.64

Jamaica

6.4800

8.0380

21.4925

23.8500

28.5000

33.1030

39.9520

35.0328

36.0937

Kenya

21.6010

24.0840

28.0741

36.2163

68.3060

44.4000

55.9500

55.0000

62.6000

Latvia

−

−

−

−

−

−

0.5370

0.5560

0.5890

Lithuania

−

−

−

−

−

−

4.0030

4.0030

4.0300

Mauritius

−

14.1724

15.4000

15.4000

18.8430

18.8430

18.3335

19.9110

22.1815

Romania

−

−

−

−

−

2.7166

2,578.0

4,035.0

8,070.0

Slovenia

−

−

−

−

−

127.129

125.990

140.500

167.208

Trinidad & Tobago

4.2500

4.2500

4.2500

4.2872

5.8790

5.8431

5.9999

6.2450

6.2999

Tunisia

0.9046

0.8355

0.8588

0.9550

1.0460

0.9860

0.9700

0.9971

1.1443

Ukraine

−

−

−

−

−

−

−

−

1.8960

Frontier Emerging Markets Currency Exchange Rates per US$, 1989−1998: (Annual % Change) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

Bangladesh

−2.36

−9.84

−7.23

−1.39

−2.04

0.35

−1.24

−5.42

−5.29

−4.90

Botswana

−

−

−11.07

−6.23

−13.01

−5.63

−3.55

−22.91

−3.84

−14.71

Bulgaria

−

−

−

−

−

−

−

−86.34

−70.53

6.70

Cote d'Ivoire

4.65

12.85

−0.98

−4.60

−7.90

−43.64

6.62

−5.66

−10.17

3.27

Croatia

−

−

−

−

−

−

5.89

−4.04

−12.11

0.65

Ecuador

−

−

−

−

−6.08

−12.83

−22.27

−19.59

−18.54

−35.01

Estonia

−

−

−

−

−

−

−

−

−

7.77

Ghana

−

−

−

−24.88

−36.20

−22.45

−27.77

−16.39

−22.44

−4.33

Jamaica

−16.81

−19.38

−62.60

−9.88

−16.32

−13.91

−17.14

14.04

−2.94

−2.32

Kenya

−15.22

−10.31

−14.21

−22.48

−46.98

53.84

−20.64

1.73

−12.14

0.89

Latvia

−

−

−

−

−

−

−

−3.42

−5.60

3.15

Lithuania

−

−

−

−

−

−

−

0.00

−0.67

0.74

Frontier Markets

Frontier Emerging Markets Currency Exchange Rates per US$, 1989−1998: (Annual % Change)

76

Emerging Stock Markets Factbook 1999 Mauritius

−

−

−7.97

0.00

−18.27

0.00

2.78

−7.92

−10.24

−9.53

Romania

−

−

−

−

−

−

−

−36.11

−50.00

−26.31

Slovenia

−

−

−

−

−

−

0.90

−10.33

−15.97

3.60

Trinidad & Tobago

−0.14

0.00

0.00

−0.87

−27.08

0.61

−2.61

−3.92

−0.87

0.11

Tunisia

−1.37

8.27

−2.71

−10.07

−8.70

6.09

1.65

−2.72

−12.86

4.37

Ukraine

−

−

−

−

−

−

−

−

−

−44.67

3— IFC Global Indexes Market Weights in the IFCG Composite Index End−1998

Market

Weight in IFCG Market Number of Capitalization Composite Stocks (US$ millions) (%)

Latin America Argentina

32

24,894

2.89

Brazil

100

65,871

7.65

Chile

51

31,837

3.70

Colombia

24

6,337

0.74

Mexico

70

67,174

7.80

Peru

35

6,151

0.71

Venezuela

19

4,689

0.54

China

214

52,452

6.09

India

142

49,797

5.78

Indonesia

58

10,682

1.24

Korea

180

61,203

7.10

Malaysia

147

44,849

5.21

Pakistan

53

2,400

0.28

Philippines

59

21,969

2.55

Asia

3— IFC Global Indexes

77

Emerging Stock Markets Factbook 1999 Sri Lanka

51

1,036

0.12

Taiwan, China

106

138,369

16.06

Thailand

64

16,735

1.94

Czech Republic

37

4,204

0.49

Greece

56

40,891

4.75

Hungary

15

10,933

1.27

Poland

35

8,134

0.94

Portugal

22

34,574

4.01

Russia

32

7,453

0.87

Slovakia

19

600

0.07

Turkey

58

16,947

1.97

Egypt

66

5,848

0.68

Israel

49

16,373

1.90

Jordan

41

4,277

0.50

Morocco

18

9,674

1.12

Nigeria

28

1,942

0.23

Saudi Arabia

21

23,791

2.76

South Africa

67

68,672

7.97

Zimbabwe

24

653

0.08

Composite

1,993

861,413

100.00

Latin America

331

206,954

24.02

Asia

1,074

399,493

46.38

Europe

274

123,737

14.36

ME & Africa

314

131,230

15.23

Europe

Mideast/Africa

Regions

3— IFC Global Indexes

78

Emerging Stock Markets Factbook 1999

Weights in the IFCG Composite Index, End−1998

Stock Distribution by Region in the IFCG Composite Index, End−1998

Market Concentration in the IFCG Indexes End−1998: (Percent) Index stocks' share of total market cap

Index stocks' share of total value traded

10 largest index stocks' share of total market cap

10 most active index stocks' share of total value traded

Argentina

57.0

98.4

49.0

89.3

Brazil

60.7

65.2

24.8

54.1

Chile

67.9

81.5

43.1

60.4

Colombia

55.3

43.7

41.3

34.0

Mexico

73.6

80.7

41.4

50.8

Peru

58.5

81.3

48.2

62.0

Venezuela

65.2

77.3

61.2

71.3

China

45.0

26.0

17.5

5.5

India

66.4

74.1

33.2

51.7

Market

Latin America

Asia

Market Concentration in the IFCG Indexes End−1998: (Percent)

79

Emerging Stock Markets Factbook 1999 Indonesia

73.4

68.6

61.2

50.5

Korea

74.9

68.2

37.9

24.1

Malaysia

60.5

69.2

31.5

31.0

Pakistan

68.4

98.4

55.4

95.6

Philippines

75.9

83.0

55.4

54.9

Sri Lanka

67.0

70.2

38.9

49.5

Taiwan, China

61.4

44.4

27.3

19.9

Thailand

73.7

69.1

45.8

42.3

Czech Republic

74.2

87.4

65.1

77.0

Greece

66.5

65.2

53.1

49.0

Hungary

86.5

86.5

85.2

85.1

Poland

79.7

41.1

64.5

25.8

Portugal

77.6

68.8

70.2

60.5

Russia

51.8

88.2

48.1

86.4

Slovakia

75.2

45.0

70.5

42.0

Turkey

76.5

68.1

56.1

41.7

Egypt

42.0

51.2

21.0

28.7

Israel

66.9

81.4

38.1

50.4

Jordan

80.0

66.0

70.6

51.3

Morocco

73.1

74.7

63.3

70.4

Nigeria

68.5

81.7

43.3

68.7

Saudi Arabia

72.7

88.4

64.5

77.3

South Africa

53.1

56.0

26.8

26.7

Zimbabwe

54.2

78.8

48.2

69.6

Europe

Mideast/Africa

Market Concentration in the IFCG Indexes End−1998: (Percent)

80

Emerging Stock Markets Factbook 1999

IFCG Index Share of Total Market Capitalization in 1998 (percent)

Comparative Valuations of the IFCG Indexes End−1998 Price−earnings ratio End 1998

Relative to MSCI End World 1997

Argentina

13.41

0.46

Brazil

6.99

Chile

Price−book value ratio

Dividend yield

End 1998

Relative to MSCI End World 1997

End 1998

Relative to MSCI End World 1997

16.34

1.25

0.36

1.81

4.02

2.51

2.09

0.24

12.37

0.61

0.17

1.00

7.84

4.90

3.92

15.14

0.52

14.67

1.11

0.32

1.64

4.11

2.57

3.92

Colombia

11.84

0.41

15.51

0.77

0.22

1.12

5.14

3.21

2.89

Mexico

23.93

0.83

19.16

1.41

0.40

2.29

2.74

1.71

1.53

Peru

21.09

0.73

13.97

1.57

0.45

1.98

3.55

2.22

2.30

Venezuela

5.56

0.19

12.83

0.50

0.14

1.18

4.49

2.81

1.16

China

23.78

0.82

34.48

2.06

0.59

3.89

0.90

0.56

1.31

India

13.47

0.46

15.16

1.85

0.53

2.26

1.86

1.16

1.83

Market

Latin America

Asia

Comparative Valuations of the IFCG Indexes End−1998

81

Emerging Stock Markets Factbook 1999 Indonesia

−106.21 −

10.46

1.55

0.44

1.39

0.83

0.52

2.90

Korea

−47.12

−

17.86

0.92

0.26

0.51

0.94

0.59

3.02

Malaysia

21.06

0.73

9.53

1.29

0.37

1.39

2.53

1.58

3.99

Pakistan

7.59

0.26

14.76

0.92

0.26

2.25

13.02

8.14

3.20

Philippines

15.03

0.52

10.86

1.25

0.36

1.35

0.79

0.49

1.44

Sri Lanka

7.69

0.27

11.68

1.12

0.32

1.35

4.54

2.84

2.60

Taiwan, China

21.70

0.75

28.89

2.60

0.74

3.07

0.74

0.46

0.59

Thailand

−3.65

−0.13

−32.79

1.19

0.34

0.78

0.62

0.39

7.67

Czech Republic

−11.27

−

37.11

0.67

0.19

0.84

3.18

1.99

2.82

Greece

33.65

1.16

17.63

4.85

1.39

3.13

1.57

0.98

2.91

Hungary

16.96

0.58

27.35

3.21

0.92

4.20

1.09

0.68

0.46

Poland

10.71

0.37

11.38

1.54

0.44

1.69

1.52

0.95

1.50

Portugal

22.80

0.79

22.95

3.43

0.98

3.12

1.75

1.09

1.74

Russia

3.70

0.13

8.08

0.30

0.09

0.47

1.08

0.68

0.16

Slovakia

−174.16 −

15.98

0.27

0.08

0.54

3.32

2.08

2.89

Turkey

7.80

0.27

20.13

2.74

0.79

6.84

4.34

2.71

1.64

Egypt

8.72

0.30

11.53

2.60

0.74

3.95

7.39

4.62

3.44

Israel

13.35

0.46

14.29

1.20

0.34

1.41

1.90

1.19

1.70

Jordan

15.93

0.55

14.36

1.75

0.50

1.77

1.79

1.12

2.06

Morocco

21.24

0.73

18.31

3.60

1.03

3.54

1.82

1.14

1.47

Nigeria

10.14

0.35

8.09

1.67

0.48

2.30

5.07

3.17

5.69

Saudi Arabia

12.16

0.42

−

1.65

0.47

−

−

−

−

South Africa

10.09

0.35

10.82

1.53

0.44

1.59

3.24

2.03

2.50

Zimbabwe

5.83

0.20

10.28

1.26

0.36

1.68

2.79

1.74

2.94

Composite

18.01

0.62

16.00

1.38

0.40

1.54

2.55

1.59

2.47

Latin America

11.58

0.40

15.08

0.91

0.26

1.47

5.08

3.18

2.84

Asia

38.34

1.32

20.33

1.61

0.46

1.93

1.17

0.73

2.54

Europe

Mideast/Africa

Regions

Comparative Valuations of the IFCG Indexes End−1998

82

Emerging Stock Markets Factbook 1999 Europe

15.57

0.54

13.18

1.86

0.53

1.07

2.20

1.38

1.45

ME & Africa

11.27

0.39

11.51

1.60

0.46

1.70

3.24

2.03

2.53

Japan

185.20

6.39

41.90

1.60

0.46

1.77

1.00

0.63

0.90

U.K.

20.40

0.70

16.80

3.83

1.10

3.43

2.50

1.56

2.80

U.S.

30.20

1.04

22.90

5.14

1.47

4.20

1.30

0.81

1.60

MSCI World

29.00

1.00

23.20

3.49

1.00

3.08

1.60

1.00

1.80

Developed Markets

IFCG P/E Ratios, End−1998

Comparative Valuations of the IFCG Indexes End−1998

83

Emerging Stock Markets Factbook 1999 IFCG Dividend Yields, End−1998

IFCG Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

Market

% change in IFCG Price Index

Korea

118.8

2

Greece

91.2

3

Portugal

38.2

4

Thailand

31.9

5

Morocco

27.4

6

Philippines

9.8

7

Jordan

8.3

8

Malaysia

−1.6

9

Czech Republic

−10.0

10

Hungary

−10.8

11

Poland

−12.2

12

India

−15.3

13

Israel

−16.0

14

Taiwan, China

−19.9

15

Sri Lanka

−20.9

16

China

−23.3

17

Saudi Arabia

−26.8

18

Argentina

−28.4

19

Nigeria

−28.4

20

Indonesia

−29.3

21

Egypt

−29.5

22

Chile

−30.0

23

South Africa

−30.5

24

Mexico

−38.8

25

Peru

−39.7

26

Brazil

−42.6

Rank

Emerging Markets 1

IFCG Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

84

Emerging Stock Markets Factbook 1999

Regions

Developed Markets

27

Colombia

−43.6

28

Venezuela

−51.8

29

Turkey

−53.1

30

Slovakia

−53.9

31

Zimbabwe

−59.2

32

Pakistan

−59.5

33

Russia

−87.5

1

Asia

−6.7

2

Composite

−23.0

3

ME & Africa

−24.5

4

Europe

−28.6

5

Latin America

−38.3

1

U.S., S&P 500

26.7

2

U.K., FT−EuroPac

16.9

3

U.K., FT−SE 100

15.8

4

Japan, Nikkei

4.6

IFCG Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

85

Emerging Stock Markets Factbook 1999

Percent Change in IFCG Price Indexes, 1998

IFCG Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels) Market

End−1997 High

Date

Low

Date

End−1998

Argentina

1,817.1

1,849.1

Mar 26 880.7

Sep 10 1,300.6

Brazil

396.6

438.7

Apr 15 174.6

Sep 10 227.6

Chile

2,717.9

2,731.0

Jan 2

1,455.9

Sep 14 1,901.5

Colombia

1,802.3

1,781.8

Jan 2

716.7

Oct 15 1,016.9

Mexico

1,985.1

1,981.0

Jan 2

861.1

Sep 10 1,215.1

Peru

257.3

258.4

Jan 2

146.6

Sep 22 155.1

Latin America

IFCG Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

86

Emerging Stock Markets Factbook 1999 Venezuela

577.9

576.0

Jan 2

158.9

Sep 10 278.4

China

129.4

138.6

Jun 3

97.7

Aug 17 99.3

India

284.7

341.4

Apr 21 218.6

Oct 20 241.1

Indonesia

32.1

30.3

Jan 2

Sep 21 22.7

Korea

102.3

224.1

Dec 30 91.2

Jun 16

223.8

Malaysia

100.2

142.5

Feb 10 45.4

Sep 1

98.6

Pakistan

243.0

243.0

Jan 2

Oct 21 98.5

Philippines

1,423.4

1,900.3

Mar 25 780.9

Sep 11 1,563.3

Sri Lanka

89.3

101.3

Apr 24 51.7

Sep 4

70.6

Taiwan, China

876.7

1,020.1

Mar 2

Sep 3

701.8

Thailand

123.9

228.2

Mar 23 76.4

Sep 3

163.5

Czech Republic

52.7

57.6

Jul 21

Oct 6

47.4

Greece

463.2

885.6

Dec 31 428.5

Jan 29

885.6

Hungary

217.2

250.0

Apr 3

Sep 21 193.8

Poland

594.2

815.4

Mar 13 420.7

Oct 9

521.4

Portugal

1,143.7

1,874.9

Apr 22 1,167.2

Jan 2

1,580.3

Russia

621.2

634.4

Jan 5

38.9

Oct 2

77.4

Slovakia

102.7

103.0

Jan 2

42.6

Nov 24 47.3

Turkey

693.8

737.7

Jan 5

260.1

Oct 8

325.3

Egypt

163.8

164.2

Jan 2

111.5

Dec 9

115.4

Israel

121.9

135.7

Jun 8

85.6

Oct 8

102.4

Jordan

164.3

190.9

Aug 17 160.7

Feb 16 178.0

Morocco

190.7

266.5

Oct 8

187.5

Jan 20

243.0

Nigeria

81.8

80.8

Jan 2

57.6

Sep 9

58.5

Saudi Arabia

100.0

102.0

Jan 7

67.8

Dec 8

73.2

South Africa

182.4

241.5

Apr 20 103.5

Sep 11 126.8

Zimbabwe

430.2

557.5

Mar 31 159.0

Sep 24 175.4

Asia

8.7

77.7

572.6

Europe 37.8

125.5

Mideast/Africa

IFCG Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

87

Emerging Stock Markets Factbook 1999

Regions Composite

328.1

355.5

Apr 15 206.3

Sep 11 252.8

Latin America

811.6

817.7

Jan 2

371.4

Sep 10 501.7

Asia

226.0

268.7

Mar 2

153.0

Sep 1

210.7

Europe

214.2

240.4

Apr 22 109.7

Oct 5

152.7

Mideast/Africa

75.5

93.2

Apr 20 51.9

Sep 11 57.0

IFCG Price Indexes High and Low vs. 1997 Close

IFCG Price Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; End 1984=100)

IFCG Price Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; 88 End 1

Emerging Stock Markets Factbook 1999 Index

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

IFCG Composite 309.0

340.7

350.9

346.9

304.6

272.5

279.7

208.2

218.2

240.1

2

IFCG Latin America

717.0

749.5

797.6

783.0

683.5

644.7

666.3

442.7

468.9

500.2

5

IFCG Asia

223.6

263.4

260.2

241.9

212.7

185.4

188.1

156.5

169.2

188.8

2

IFCG EMEA*

114.1

120.8

127.9

138.2

121.8

107.0

110.6

79.3

78.7

87.2

8

U.S., S&P 500

586.2

627.4

658.8

664.8

652.2

678.0

670.1

572.4

608.1

656.9

6

U.K., FT−SE 100 626.3

666.4

697.1

695.6

671.8

682.9

670.2

616.8

604.0

639.1

6

Japan, Nikkei

292.7

297.3

276.6

264.2

252.4

254.5

253.2

223.0

219.8

259.8

2

FT, EuroPac

480.8

510.7

524.3

525.3

523.4

523.4

525.7

460.2

447.0

493.6

5

% change IFCG Composite −5.8

10.2

3.0

−1.1

−12.2

−10.5

2.6

−25.6

4.8

10.0

7

IFCG Latin America

−11.7

4.5

6.4

−1.8

−12.7

−5.7

3.4

−33.6

5.9

6.7

9

IFCG Asia

−1.1

17.8

−1.2

−7.0

−12.1

−12.8

1.5

−16.8

8.1

11.6

1

IFC GEMEA

−5.5

5.8

5.9

8.1

−11.9

−12.2

3.4

−28.3

−0.8

10.8

2

U.S., S&P 500

1.0

7.0

5.0

0.9

−1.9

3.9

−1.2

−14.6

6.2

8.0

5

U.K., FT−SE 100 5.6

6.4

4.6

−0.2

−3.4

1.7

−1.9

−8.0

−2.1

5.8

4

Japan, Nikkei

11.8

1.6

−7.0

−4.5

−4.5

0.9

−0.5

−11.9

−1.4

18.2

4

FT, EuroPac

4.6

6.2

2.7

0.2

−0.4

0.0

0.4

−12.5

−2.9

10.4

5

Index levels

Jan

Note: The base date for the IFCG EMEA Index is December 1995=100.

IFCG Price Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; 89 End 1

Emerging Stock Markets Factbook 1999 IFCG Regional Price Indexes vs. U.S. S&P 500, 1998 (daily; end−1997 = 100)

IFCG Price Indexes, Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values in US$; End 1984=100*)

Index levels

Index

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

IFCG Composite

339.9

234.8

271.5

267.8

439.6

430.0

370.4

391.8

328.1

252.8

IFCG Latin America

221.8

203.7

439.2

457.0

695.0

682.3

559.8

649.2

811.6

501.7

IFCG Asia

434.0

275.3

274.1

273.8

459.5

454.9

387.0

403.2

226.0

210.7

IFCG EMEA*

−

−

−

−

−

−

100.0

97.4

120.8

87.8

U.S., S&P 500

211.3

197.5

249.4

260.5

280.2

274.6

368.3

442.9

580.3

735.0

U.K., FT−SE 100

274.4

290.3

317.5

302.5

354.9

336.5

401.9

494.5

592.9

686.9

Japan, Nikkei

604.2

391.9

411.0

302.6

348.2

441.2

429.8

372.3

261.9

273.8

FT, EuroPac

435.3

324.5

357.2

303.5

391.1

418.9

453.8

470.3

459.7

537.5

51.7

−30.9

15.6

−1.4

64.1

−2.2

−13.9

5.8

−16.3

−22.9

IFCG Latin America

44.0

−8.1

115.6

4.0

52.1

−1.8

−18.0

16.0

25.0

−38.2

IFCG Asia

53.0

−36.6

−0.4

−0.1

67.8

−1.0

−14.9

4.2

−43.9

−6.8

IFCG EMEA

−

−

−

−

−

−

−

−2.6

24.0

−27.3

U.S., S&P 500

27.3

−6.6

26.3

4.5

7.6

−2.0

34.1

20.3

31.0

26.7

U.K., FT−SE 100

21.1

5.8

9.4

−4.7

17.3

−5.2

19.4

23.0

19.9

15.8

Japan, Nikkei

12.2

−35.1

4.9

−26.4

15.1

26.7

−2.6

−13.4

−29.7

4.6

FT, EuroPac

9.5

−25.5

10.1

−15.0

28.9

7.1

8.3

3.6

−2.3

16.9

IFCG % change Composite

Note: The base date for the IFCG EMEA Index is December 1995=100.

IFCG Price Indexes, Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values 90 in US$

Emerging Stock Markets Factbook 1999

IFCG Regional Price Indexes vs. U.S. S&P 500, 1989−1998 (monthly; end−1988=100)

IFCG Price Indexes 1998: (End−of−period Values in US$) Market

Base date (=100.0)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Argentina

Dec−84

1,647.9 1,779.6 1,842.7 1,804.3 1,582.6 1,486.3 1,587.9 1,068.5 1,209.9 1,378

Brazil

Dec−84

368.1

Chile

Dec−84

2,318.0 2,533.2 2,694.3 2,549.2 2,320.7 2,134.2 2,238.7 1,641.1 1,691.4 1,823

Colombia

Dec−84

1,614.5 1,410.8 1,378.1 1,412.7 1,299.0 1,244.2 1,135.4 903.8

799.0

Mexico

Dec−84

1,682.7 1,720.2 1,818.0 1,854.5 1,606.7 1,499.2 1,475.4 979.5

1,105.3 1,211

Peru

Dec−92

231.0

221.1

242.5

253.5

244.2

226.4

228.0

162.8

156.5

152.6

Venezuela

Dec−84

480.4

464.6

475.5

365.9

376.0

289.8

285.5

170.3

228.2

212.9

China

Dec−92

128.0

128.1

129.6

135.1

138.3

124.2

120.7

104.3

110.0

106.1

India

Dec−84

256.8

282.3

305.2

317.1

285.6

244.9

243.2

226.3

238.8

222.3

Indonesia

Dec−89

20.9

24.4

29.0

25.0

15.3

12.7

16.0

13.6

10.3

15.9

Korea

Dec−84

172.3

159.7

161.2

148.8

114.3

101.4

130.3

105.0

100.3

133.2

Malaysia

Dec−84

90.0

138.2

132.8

112.0

92.4

72.1

65.2

47.6

65.9

70.4

Pakistan

Dec−84

225.9

227.4

209.7

208.1

134.8

99.7

95.8

97.9

110.9

81.5

Philippines

Dec−84

1,367.2 1,727.0 1,809.0 1,648.6 1,575.4 1,282.6 1,161.7 844.6

891.0

1,309

Sri Lanka

Dec−92

83.9

89.7

Taiwan, China

Dec−84

829.2

1,009.9 955.3

Latin America

394.1

429.2

415.3

349.8

341.7

368.6

229.4

228.3

235.6

757.8

Asia

91.9

100.7

82.6

68.3

70.3

56.0

57.8

57.4

859.5

776.1

711.8

723.1

601.1

647.2

730.3

IFCG Price Indexes 1998: (End−of−period Values in US$)

91

Emerging Stock Markets Factbook 1999 Thailand

Dec−84

161.6

214.4

202.3

183.3

131.6

99.4

100.8

77.2

100.4

147.5

Czech Republic Dec−93

47.9

52.4

54.5

55.6

51.5

51.8

57.6

43.4

43.2

47.8

Greece

Dec−84

432.8

445.4

573.5

744.3

768.8

698.7

845.0

640.9

664.5

696.2

Hungary

Dec−92

195.9

216.4

239.0

233.9

202.8

214.0

232.9

143.9

141.3

166.5

Poland

Dec−92

601.6

756.9

725.1

785.3

681.4

691.0

740.4

461.9

490.4

521.6

Portugal

Jan−86

1,278.9 1,449.2 1,616.2 1,764.3 1,707.1 1,557.1 1,690.9 1,452.2 1,268.8 1,524

Russia

Dec−95

429.1

477.9

510.3

492.0

295.9

229.1

225.6

84.6

46.5

71.3

Slovakia

Dec−95

90.4

87.5

79.8

76.5

64.2

59.3

62.5

62.2

56.0

48.3

Turkey

Dec−86

658.1

582.2

541.9

676.3

567.7

596.9

599.7

355.9

313.0

299.8

Egypt

Dec−95

153.6

152.7

157.5

154.3

140.4

133.8

130.7

115.6

123.5

116.8

Israel

Dec−96

110.4

114.9

124.1

122.1

131.0

125.8

125.5

111.1

106.4

94.8

Jordan

Dec−84

163.5

165.0

162.9

168.2

182.3

174.6

186.0

186.3

179.3

168.5

Morocco

Dec−95

189.7

199.6

207.1

227.9

239.1

239.2

240.2

260.3

262.7

255.3

Nigeria

Dec−84

74.7

71.6

69.4

66.6

60.8

63.1

62.9

59.8

60.8

60.7

Saudi Arabia

Dec−97

100.3

94.0

88.9

96.1

95.2

92.2

92.4

87.5

85.9

77.2

South Africa

Dec−92

192.8

206.6

216.8

236.2

208.4

159.3

156.8

104.9

119.6

145.3

Zimbabwe

Dec−84

491.1

509.0

557.5

458.8

404.4

415.6

360.2

213.8

179.4

165.4

Europe

Mideast/Africa

IFCG Price Indexes 1998: (Monthly % Change in US$) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Argentina

−9.3

8.0

3.5

−2.1

−12.3

−6.1

6.8

−32.7

13.2

13.9

4.8

−9.9

Brazil

−7.2

7.1

8.9

−3.2

−15.8

−2.3

7.9

−37.8

−0.5

3.2

19.4

−19

Chile

−14.7

9.3

6.4

−5.4

−9.0

−8.0

4.9

−26.7

3.1

7.8

16.6

−10

Colombia

−10.4

−12.6

−2.3

2.5

−8.0

−4.2

−8.7

−20.4

−11.6

−5.2

25.5

6.9

Mexico

−15.2

2.2

5.7

2.0

−13.4

−6.7

−1.6

−33.6

12.8

9.6

−3.9

4.4

Peru

−10.2

−4.3

9.7

4.5

−3.7

−7.3

0.7

−28.6

−3.9

−2.5

16.6

−12

Latin America

IFCG Price Indexes 1998: (Monthly % Change in US$)

92

Emerging Stock Markets Factbook 1999 Venezuela

−16.9

−3.3

2.3

−23.0

2.8

−22.9

−1.5

−40.3

34.0

−6.7

7.5

21.6

China

−1.1

0.1

1.1

4.3

2.4

−10.2

−2.9

−13.6

5.5

−3.5

2.1

−8.4

India

−9.8

9.9

8.1

3.9

−9.9

−14.2

−0.7

−7.0

5.5

−6.9

−0.8

9.3

Indonesia

−35.0

16.8

19.2

−13.8

−38.8

−17.0

26.2

−15.5

−24.1

54.8

46.1

−2.5

Korea

68.5

−7.3

0.9

−7.7

−23.2

−11.2

28.4

−19.4

−4.4

32.8

22.5

37.1

Malaysia

−10.2

53.6

−3.9

−15.7

−17.5

−21.9

−9.6

−26.9

38.4

6.8

27.9

9.4

Pakistan

−7.0

0.7

−7.8

−0.8

−35.2

−26.1

−3.9

2.1

13.3

−26.5

33.4

−9.4

Philippines

−4.0

26.3

4.7

−8.9

−4.4

−18.6

−9.4

−27.3

5.5

46.9

17.0

2.1

Sri Lanka

−6.0

7.0

2.4

9.6

−17.9

−17.4

3.0

−20.4

3.2

−0.6

19.6

2.9

Taiwan, China

−5.4

21.8

−5.4

−10.0

−9.7

−8.3

1.6

−16.9

7.7

12.9

5.8

−9.1

Thailand

30.4

32.6

−5.6

−9.4

−28.2

−24.4

1.4

−23.4

30.1

46.9

13.7

−2.5

Czech Republic

−9.2

9.4

4.0

2.1

−7.4

0.5

11.2

−24.7

−0.5

10.7

−3.1

2.5

Greece

−6.6

2.9

28.8

29.8

3.3

−9.1

20.9

−24.2

3.7

4.8

15.4

10.2

Hungary

−9.8

10.5

10.5

−2.1

−13.3

5.5

8.8

−38.2

−1.8

17.9

8.7

7.1

Poland

1.2

25.8

−4.2

8.3

−13.2

1.4

7.1

−37.6

6.2

6.4

−7.0

7.5

Portugal

11.8

13.3

11.5

9.2

−3.2

−8.8

8.6

−14.1

−12.6

20.2

1.2

2.4

Russia

−30.9

11.4

6.8

−3.6

−39.9

−22.6

−1.5

−62.5

−45.0

53.2

42.3

−23

Slovakia

−11.9

−3.3

−8.7

−4.2

−16.1

−7.6

5.3

−0.4

−10.0

−13.7

−10.0

8.8

Turkey

−5.1

−11.5

−6.9

24.8

−16.1

5.1

0.5

−40.7

−12.1

−4.2

12.4

−3.5

Egypt

−6.2

−0.5

3.1

−2.0

−9.0

−4.7

−2.3

−11.6

6.8

−5.4

−2.6

1.4

Israel

−9.5

4.2

7.9

−1.5

7.2

−4.0

−0.3

−11.5

−4.2

−10.9

7.8

0.3

Jordan

−0.5

0.9

−1.3

3.3

8.4

−4.2

6.5

0.2

−3.8

−6.0

3.0

2.6

Morocco

−0.5

5.2

3.8

10.0

4.9

0.1

0.4

8.3

0.9

−2.8

−4.3

−0.6

Nigeria

−8.7

−4.1

−3.0

−4.1

−8.7

3.8

−0.3

−5.0

1.6

−0.1

1.0

−4.5

Saudi Arabia

0.3

−6.3

−5.4

8.1

−1.0

−3.1

0.2

−5.2

−1.9

−10.1

−1.9

−3.4

South Africa

5.7

7.1

4.9

9.0

−11.8

−23.5

−1.6

−33.1

14.0

21.5

−5.5

−7.7

Zimbabwe

14.2

3.7

9.5

−17.7

−11.8

2.8

−13.3

−40.6

−16.1

−7.8

−2.1

8.4

Asia

Europe

Mideast/Africa

IFCG Price Indexes 1998: (Monthly % Change in US$)

93

Emerging Stock Markets Factbook 1999 IFCG Price Indexes 1989−1998: (End−of−period Values in US$) Market

Base date (=100.0)

1989

1990

1991

1992

1993

1994

1995

1996

1997

Argentina

Dec−84

426.7

267.7

1,322.0

958.0

1,602.4

1,200.0

1,303.8

1,549.5

1,817.1

Brazil

Dec−84

126.3

41.3

102.7

101.1

193.4

324.2

252.4

329.1

396.6

Chile

Dec−84

638.6

838.8

1,593.5

1,788.8

2,315.8

3,269.7

3,175.2

2,629.4

2,717.9

Colombia

Dec−84

237.3

300.0

821.3

1,117.5

1,471.6

1,866.0

1,390.0

1,452.2

1,802.3

Mexico

Dec−84

609.1

760.8

1,540.2

1,848.0

2,715.1

1,585.6

1,157.3

1,344.5

1,985.1

Peru

Dec−92

−

−

−

100.0

134.9

205.2

224.3

225.8

257.3

Venezuela

Dec−84

80.7

551.8

792.9

454.2

406.5

296.0

202.3

469.1

577.9

China

Dec−92

−

−

−

100.0

92.5

60.7

51.8

98.2

129.4

India

Dec−84

208.7

243.4

283.7

346.4

405.6

431.9

279.9

270.2

284.7

Indonesia

Dec−89

100.0

98.9

57.1

57.7

120.5

95.7

105.2

124.1

32.1

Korea

Dec−84

650.8

483.4

406.5

420.9

507.7

590.5

549.3

334.1

102.3

Malaysia

Dec−84

158.5

137.7

150.7

187.8

374.7

289.2

294.4

361.9

100.2

Pakistan

Dec−84

126.1

132.2

345.3

274.7

418.6

377.8

254.6

199.1

243.0

Philippines

Dec−84

1,935.8

870.2

1,372.4

1,608.5

3,753.2

3,713.9

3,171.9

3,778.3

1,423.4

Sri Lanka

Dec−92

−

−

−

100.0

161.9

158.8

95.9

82.5

89.3

Taiwan, China

Dec−84

1,287.7

632.1

623.9

451.2

843.3

1,024.4

702.2

955.8

876.7

Thailand

Dec−84

497.4

381.1

445.7

605.6

1,192.9

1,036.2

998.6

618.6

123.9

Czech Republic Dec−93

−

−

−

−

100.0

80.4

63.1

75.7

52.7

Greece

Dec−84

287.9

559.9

437.6

292.1

339.2

332.3

350.7

347.1

463.2

Hungary

Dec−92

−

−

−

100.0

119.1

98.3

69.4

135.0

217.2

Poland

Dec−92

−

−

−

100.0

817.9

469.4

426.2

729.5

594.2

Portugal

Jan−86

820.4

565.2

556.7

431.2

570.9

665.0

637.6

796.5

1,143.7

Russia

Dec−95

−

−

−

−

−

−

100.0

255.9

621.2

Latin America

Asia

Europe

IFCG Price Indexes 1989−1998: (End−of−period Values in US$)

94

Emerging Stock Markets Factbook 1999 Slovakia

Dec−95

−

−

−

−

−

−

100.0

115.7

102.7

Turkey

Dec−86

642.2

601.3

336.2

152.1

477.1

268.1

232.2

330.6

693.8

Egypt

Dec−95

−

−

−

−

−

−

100.0

138.8

163.8

Israel

Dec−96

−

−

−

−

−

−

−

100.0

121.9

Jordan

Dec−84

102.3

100.7

106.7

129.1

156.0

137.8

152.4

147.0

164.3

Morocco

Dec−95

−

−

−

−

−

−

100.0

138.4

190.7

Nigeria

Dec−84

34.2

42.8

54.5

33.4

27.3

73.3

53.6

83.4

81.8

Saudi Arabia

Dec−97

−

−

−

−

−

−

−

−

100.0

South Africa

Dec−92

−

−

−

100.0

177.5

228.1

262.0

211.8

182.4

Zimbabwe

Dec−84

612.4

1,130.5

511.6

196.7

437.6

536.1

593.0

946.7

430.2

Mideast/Africa

IFCG Price Indexes 1989−1998: (Annual % Change in US$) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

Argentina

137.9

−37.3

393.9

−27.5

67.3

−25.1

8.6

18.8

17.3

−28.4

Brazil

34.4

−67.3

148.6

−1.5

91.3

67.6

−22.1

30.4

20.5

−42.6

Chile

35.4

31.4

90.0

12.3

29.5

41.2

−2.9

−17.2

3.4

−30.0

Colombia

3.8

26.4

173.8

36.1

31.7

26.8

−25.5

4.5

24.1

−43.6

Mexico

67.8

24.9

102.4

20.0

46.9

−41.6

−27.0

16.2

47.6

−38.8

Peru

−

−

−

−

34.9

52.1

9.3

0.7

13.9

−39.7

Venezuela

−34.5

583.9

43.7

−42.7

−10.5

−27.2

−31.7

131.9

23.2

−51.8

China

−

−

−

−

−7.5

−34.5

−14.5

89.4

31.8

−23.3

India

2.1

16.6

16.6

22.1

17.1

6.5

−35.2

−3.5

5.4

−15.3

Indonesia

−

−1.1

−42.3

1.0

109.1

−20.6

9.9

18.0

−74.2

−29.3

Korea

5.6

−25.7

−15.9

3.5

20.6

16.3

−7.0

−39.2

−69.4

118.8

Malaysia

40.5

−13.1

9.5

24.6

99.5

−22.8

1.8

22.9

−72.3

−1.6

Pakistan

−1.6

4.9

161.1

−20.5

52.4

−9.8

−32.6

−21.8

22.0

−59.5

Latin America

Asia

IFCG Price Indexes 1989−1998: (Annual % Change in US$)

95

Emerging Stock Markets Factbook 1999 Philippines

57.5

−55.0

57.7

17.2

133.3

−1.0

−14.6

19.1

−62.3

9.8

Sri Lanka

−

−

−

−

61.9

−1.9

−39.6

−14.0

8.2

−20.9

Taiwan, China

98.4

−50.9

−1.3

−27.7

86.9

21.5

−31.4

36.1

−8.3

−19.9

Thailand

93.6

−23.4

16.9

35.9

97.0

−13.1

−3.6

−38.1

−80.0

31.9

Czech Republic

−

−

−

−

−

−19.6

−21.5

20.0

−30.4

−10.0

Greece

67.4

94.5

−21.9

−33.3

16.1

−2.0

5.5

−1.0

33.5

91.2

Hungary

−

−

−

−

19.1

−17.5

−29.4

94.6

60.9

−10.8

Poland

−

−

−

−

717.9

−42.6

−9.2

71.1

−18.5

−12.2

Portugal

37.3

−31.1

−1.5

−22.6

32.4

16.5

−4.1

24.9

43.6

38.2

Russia

−

−

−

−

−

−

−

155.9

142.7

−87.5

Slovakia

−

−

−

−

−

−

−

15.7

−11.2

−53.9

Turkey

420.2

−6.4

−44.1

−54.8

213.7

−43.8

−13.4

42.4

109.9

−53.1

Egypt

−

−

−

−

−

−

−

38.8

18.0

−29.5

Israel

−

−

−

−

−

−

−

−

21.9

−16.0

Jordan

−4.1

−1.6

5.9

21.1

20.8

−11.7

10.6

−3.6

11.8

8.3

Morocco

−

−

−

−

−

−

−

38.4

37.8

27.4

Nigeria

10.2

25.1

27.4

−38.8

−18.2

168.8

−26.9

55.6

−1.9

−28.4

Saudi Arabia

−

−

−

−

−

−

−

−

−

−26.8

South Africa

−

−

−

−

77.5

28.5

14.8

−19.2

−13.9

−30.5

Zimbabwe

25.3

84.6

−54.7

−61.5

122.5

22.5

10.6

59.6

−54.6

−59.2

Europe

Mideast/Africa

Statistics of the IFCG Price Indexes: (US$; December 1993−December 1998) Number of months

Mean of Standard % change deviation

Annualized Correlation Annualized standard with mean deviation S&P 500

Argentina

60

0.15

9.73

1.80

33.71

0.64

Brazil

60

1.03

12.26

12.36

42.47

0.44

Market

Latin America

Statistics of the IFCG Price Indexes: (US$; December 1993−December 1998)

96

Emerging Stock Markets Factbook 1999 Chile

60

0.00

8.13

0.00

28.16

0.49

Colombia

60

−0.30

8.10

−3.60

28.06

0.12

Mexico

60

−0.61

11.45

−7.32

39.66

0.52

Peru

60

0.65

9.27

7.80

32.11

0.22

Venezuela

60

0.64

15.36

7.68

53.21

0.30

China

60

1.12

16.39

13.44

56.78

0.08

India

60

−0.55

8.03

−6.60

27.82

0.22

Indonesia

60

−1.33

16.73

−15.96

57.95

0.44

Korea

60

−0.28

15.52

−3.36

53.76

0.23

Malaysia

60

−1.31

13.80

−15.72

47.80

0.48

Pakistan

60

−1.75

11.17

−21.00

38.69

0.19

Philippines

60

−0.84

11.36

−10.08

39.35

0.51

Sri Lanka

60

−0.98

8.89

−11.76

30.80

0.34

Taiwan, China

60

0.08

8.94

0.96

30.97

0.40

Thailand

60

−2.19

14.75

−26.28

51.10

0.52

Czech Republic*

59

−1.58

7.61

−18.96

26.36

0.26

Greece

60

2.02

9.27

24.24

32.11

0.39

Hungary

60

1.62

12.92

19.44

44.76

0.52

Poland

60

0.34

14.78

4.08

51.20

0.38

Portugal

60

1.91

6.44

22.92

22.31

0.41

Russia*

35

3.11

25.60

37.32

88.68

0.41

Slovakia*

24

−3.38

7.46

−40.56

25.84

−0.25

Turkey

60

0.70

16.61

8.40

57.54

0.27

Egypt*

35

0.89

7.79

10.68

26.99

0.19

Israel*

24

0.32

6.78

3.84

23.49

0.51

Jordan

60

0.28

3.61

3.36

12.51

0.09

Asia

Europe

Mideast/Africa

Statistics of the IFCG Price Indexes: (US$; December 1993−December 1998)

97

Emerging Stock Markets Factbook 1999 Morocco*

35

2.73

4.72

32.76

16.35

−0.46

Nigeria

60

2.86

17.00

34.32

58.89

0.02

Saudi Arabia*

12

−2.47

4.46

−29.64

15.45

−0.18

South Africa

60

−0.17

8.62

−2.04

29.86

0.46

Zimbabwe

60

−0.70

12.07

−8.40

41.81

0.30

Composite

60

−0.71

6.32

−8.52

21.89

0.67

Latin America

60

−0.13

8.81

−1.56

30.52

0.59

Asia

60

−1.06

6.78

−12.72

23.49

0.56

EMEA*

35

−0.37

7.57

−4.44

26.22

0.62

Europe*

35

1.34

10.06

16.08

34.85

0.55

E. Europe*

35

0.23

13.94

2.76

48.29

0.53

ME & Africa*

35

−1.60

6.85

−19.20

23.73

0.56

Regions

Developed Markets U.S., S&P 500

60

1.70

4.00

20.40

13.86

1.00

U.K., FT100

60

1.18

3.77

14.16

13.06

0.64

Japan, Nikkei

60

−0.18

6.71

−2.16

23.24

0.40

FT, EuroPac

60

0.61

4.08

7.32

14.13

0.66

Note: Statistical data based on less than 60 months of results.

Statistics of the IFCG Price Indexes: (US$; December 1993−December 1998)

98

Emerging Stock Markets Factbook 1999

IFCG Price Index Annualized Standard Deviation, 1993−1998

IFCG Price Index Annualized Mean Return, 1993−1998

IFCG Price Index Correlations: (US$; December 1993−December 1998)

IFCG Price Index Correlations: (US$; December 1993−December 1998)

99

Emerging Stock Markets Factbook 1999

Note: Correlations are for a 60−month period ending in December 1998, except as noted on p.56. IFCG Price Index Correlations with S&P 500: (US$; December 1993−December 1998)

IFCG Price Index Correlations with S&P 500: (US$; December 1993−December 1998)

100

Emerging Stock Markets Factbook 1999

IFCG Price Index Correlations with S&P 500, 1993−1998

IFCG Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

Emerging Markets

Rank

Market

% change in IFCG Total Return Index

1

Korea

122.1

2

Greece

95.6

3

Portugal

40.2

4

Thailand

32.7

5

Morocco

29.7

IFCG Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

101

Emerging Stock Markets Factbook 1999

Regions

6

Philippines

10.8

7

Jordan

10.8

8

Malaysia

1.4

9

Czech Republic −7.8

10

Hungary

−9.8

11

Poland

−10.8

12

India

−13.6

13

Israel

−14.4

14

Sri Lanka

−17.3

15

Taiwan, China

−19.4

16

China

−22.6

17

Saudi Arabia

−23.4

18

Nigeria

−25.1

19

Egypt

−25.3

20

Argentina

−26.0

21

Chile

−27.5

22

South Africa

−28.4

23

Indonesia

−28.7

24

Mexico

−37.3

25

Peru

−38.0

26

Brazil

−38.9

27

Colombia

−40.7

28

Venezuela

−49.3

29

Turkey

−51.7

30

Slovakia

−52.9

31

Pakistan

−55.9

32

Zimbabwe

−57.8

33

Russia

−87.4

1

Asia

−5.5

2

Composite

−21.1

3

ME & Africa

−22.3

4

EMEA

−25.6

5

Europe

−27.3

IFCG Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

102

Emerging Stock Markets Factbook 1999

Developed Markets

6

Latin America

−35.7

7

E. Europe

−64.4

1

U.S., S&P 500

40.7

2

U.K., FT−EuroPac

19.3

Note: Neither local Japanese index (Nikkei or Topix) publish a total return index.

Percent Change in IFCG Total Return Indexes, 1998

IFCG Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

103

Emerging Stock Markets Factbook 1999 IFCG Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels) Market

End−1997 High

Date

Low

Date

End−1998

Argentina

2,746.2

2,818.0

Mar 26

1,361.6

Sep 10

2,032.5

Brazil

720.9

814.6

Apr 15

330.8

Sep 10

440.3

Chile

5,944.9

6,003.5

Mar 17

3,270.2

Sep 14

4,311.4

Colombia

3,978.1

3,934.9

Jan 2

1,638.0

Oct 15

2,357.1

Mexico

3,045.4

3,039.1

Jan 2

1,339.5

Sep 10

1,909.9

Peru

281.2

282.8

May 4

164.2

Sep 22

174.2

Venezuela

760.5

759.1

Jan 2

214.8

Sep 10

385.4

China

138.5

148.6

Jun 3

105.5

Aug 17 107.2

India

366.1

440.3

Apr 21

286.7

Oct 20

316.3

Indonesia

35.8

33.8

Jan 2

9.8

Sep 21

25.6

Korea

134.5

299.1

Dec 30

121.7

Jun 16

298.6

Malaysia

132.0

188.0

Feb 10

60.9

Sep 1

133.8

Pakistan

454.6

454.6

Jan 2

154.0

Oct 21

200.5

Philippines

1,890.6

2,528.3

Mar 25

1,043.1

Sep 11

2,095.7

Sri Lanka

100.9

115.6

Apr 24

60.3

Sep 4

83.5

Taiwan, China

1,025.0

1,193.8

Mar 2

672.9

Sep 3

826.2

Thailand

210.1

387.0

Mar 23

130.2

Sep 3

278.7

Czech Republic

56.2

62.9

Jul 31

41.3

Oct 6

51.8

Greece

1,065.2

2,083.8

Dec 31

985.5

Jan 29

2,083.8

Hungary

247.7

285.2

Apr 3

144.7

Sep 21

223.5

Poland

650.5

894.4

May 5

468.1

Oct 9

580.1

Portugal

1,567.4

2,585.9

Apr 22

1,599.6

Jan 2

2,198.0

Russia

638.7

652.3

Jan 5

40.5

Oct 2

80.4

Slovakia

109.1

109.4

Jan 2

46.3

Nov 24 51.4

Latin America

Asia

Europe

IFCG Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

104

Emerging Stock Markets Factbook 1999 Turkey

1,300.2

1,382.3

Jan 5

502.4

Oct 8

628.1

Egypt

183.1

183.5

Jan 2

131.3

Aug 28 136.8

Israel

124.4

139.0

Jun 8

88.3

Oct 8

106.5

Jordan

259.4

308.2

Aug 17 253.7

Feb 16

287.3

Morocco

199.4

283.6

Oct 8

196.0

Jan 20

258.6

Nigeria

216.7

214.0

Jan 2

158.9

Sep 9

162.4

Saudi Arabia

100.0

104.3

May 11 70.9

Dec 8

76.6

South Africa

207.1

276.0

Apr 20

119.7

Sep 11

148.4

Zimbabwe

1,092.4

1,430.2

Mar 31

416.9

Sep 24

460.9

Composite

446.4

486.5

Apr 15

285.7

Sep 11

352.2

Latin America

1,326.9

1,337.4

Jan 2

624.3

Sep 10

854.9

Asia

283.1

337.2

Mar 2

193.7

Sep 1

267.3

Europe

226.5

255.1

Apr 22

118.0

Oct 5

164.4

Mideast/Africa

79.7

98.9

Apr 20

55.7

Aug 28 61.9

Mideast/Africa

Regions

IFCG Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

105

Emerging Stock Markets Factbook 1999

IFCG Total Return Indexes High and Low vs. 1997 Close

IFCG Total Return Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; End 1984=100)

Index levels

Index

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

IFCG Composite

420.9

464.3

479.2

475.4

418.8

375.7

386.5

288.2

302.5

333.4

3

IFCG Latin America

1,174.2 1,228.6 1,312.2 1,298.9 1,137.8 1,074.9 1,115.6 743.7

789.2

845.2

9

IFCG Asia

280.5

330.5

326.7

304.0

267.8

234.1

237.7

198.1

214.3

239.3

2

IFCG EMEA*

120.3

127.4

135.3

146.5

129.8

114.4

118.5

85.1

84.5

93.8

9

952.1

1,020.8 1,073.0 1,083.8 1,065.2 1,108.5 1,096.7 938.3

998.4

1,079.6 1

IFCG Total Return Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values 106 in US$

Emerging Stock Markets Factbook 1999 U.S., S&P 500 FT, EuroPac

637.7

678.4

697.5

700.0

698.6

698.6

704.0

617.2

601.2

664.6

7

−5.7

10.3

3.2

−0.8

−11.9

−10.3

2.9

−25.4

4.9

10.2

7

IFCG Latin America

−11.5

4.6

6.8

−1.0

−12.4

−5.5

3.8

−33.3

6.1

7.1

9

IFCG Asia

−0.9

17.8

−1.1

−7.0

−11.9

−12.6

1.6

−16.7

8.2

11.7

1

IFCG EMEA

−5.5

5.9

6.2

8.3

−11.4

−11.8

3.6

−28.2

−0.7

11.0

2

U.S., S&P 500 10.6

7.2

5.1

1.0

−1.7

4.1

−1.1

−14.4

6.4

8.1

6

FT, EuroPac

6.4

2.8

0.4

−0.2

0.0

0.8

−12.3

−2.6

10.6

5

IFCG % change Composite

4.8

Note: The IFCG EMEA Index has a base date of December 1995=100.

IFCG Regional Total Return Indexes vs. U.S. S&P 500, 1998 (daily; rebased to end−1997=100)

IFCG Total Return Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values in US$; End 1984=100) Index

Index levels

1989

1990

1 991

1992

1993

1994

1995

1996

1997

1998

IFCG Composite 400.5

280.9

330.3

331.4

555.2

552.2

484.2

522.3

446.4

352.3

IFCG Latin America

289.8

279.0

623.7

659.3

1,032.2 1,030.9 866.8

1,032.5 1,326.9 854.9

IFCG Asia

490.7

313.5

315.2

319.3

543.2

545.9

470.2

497.3

283.1

267.4

IFCG EMEA*

−

−

−

−

−

−

100.0

100.3

127.3

94.7

251.9

244.1

318.3

342.7

376.9

381.8

524.7

645.6

860.8

1,210.9

IFCG Total Return Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−period 107Values i

Emerging Stock Markets Factbook 1999 U.S., S&P 500 FT, EuroPac

485.2

369.6

416.2

362.9

477.3

521.0

576.4

609.9

608.6

726.1

% change IFCG Composite 54.7

−29.9

17.6

0.3

67.5

−0.5

−12.3

7.9

−14.5

−21.1

IFCG Latin America

51.6

−3.7

123.5

5.7

56.6

−0.1

−15.9

19.1

28.5

−35.6

IFCG Asia

54.9

−36.1

0.5

1.3

70.1

0.5

−13.9

5.8

−43.1

−5.6

IFCG EMEA

−

−

−

−

−

−

−

0.3

26.9

−25.6

U.S., S&P 500

31.6

−3.1

30.4

7.6

10.0

1.3

37.4

23.0

33.3

40.7

FT, EuroPac

11.3

−23.8

12.6

−12.8

31.5

9.2

10.6

5.8

−0.2

19.3

Note. The IFCG EMEA Index has a base date of December 1995=100.

IFCG Regional Total Return Indexes vs. U.S. S&P 500, 1989−1998 (monthly; end−1988=100)

IFCG Total Return Indexes 1998: (End−of−period Values in US$) Market

Base date (= 100.0)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Argentina

Dec−84

2,501.4 2,711.7 2,808.3 2,760.5 2,428.3 2,280.6 2,447.2 1,652.0 1,870.7 2,135.7

Brazil

Dec−84

670.5

Chile

Dec−84

5,082.8 5,563.0 5,929.4 5,645.8 5,191.7 4,774.6 5,014.8 3,681.5 3,801.5 4,105.8

Colombia

Dec−84

3,570.4 3,125.7 3,058.7 3,152.8 2,906.7 2,792.4 2,559.7 2,051.1 1,821.1 1,737.1

Latin America

718.2

787.7

774.1

652.5

IFCG Total Return Indexes 1998: (End−of−period Values in US$)

638.0

693.5

434.6

433.0

108

451.0

Emerging Stock Markets Factbook 1999 Mexico

Dec−84

2,581.5 2,639.0 2,794.7 2,860.0 2,488.4 2,330.5 2,295.0 1,523.8 1,723.2 1,889.1

Peru

Dec−92

252.4

241.9

266.4

280.5

270.4

250.7

254.8

182.4

175.3

171.0

Venezuela

Dec−84

633.1

612.6

627.1

485.9

499.7

385.4

381.3

230.2

313.6

294.3

China

Dec−92

137.0

137.2

138.7

144.6

148.3

133.6

129.9

112.6

118.8

114.6

India

Dec−84

330.3

363.1

393.2

409.7

369.7

319.1

317.8

296.7

313.1

291.7

Indonesia

Dec−89

23.3

27.2

32.5

28.0

17.1

14.2

18.0

15.3

11.6

17.9

Korea

Dec−84

229.8

213.0

215.1

198.5

152.5

135.3

173.8

140.1

133.9

177.8

Malaysia

Dec−84

118.7

182.4

175.5

148.1

122.7

96.1

87.1

63.9

88.7

95.2

Pakistan

Dec−84

422.6

425.6

407.3

405.0

262.7

196.5

189.1

193.2

219.9

161.6

Philippines

Dec−84

1,815.9 2,295.4 2,406.9 2,194.4 2,098.9 1,710.9 1,549.6 1,126.6 1,192.0 1,751.2

Sri Lanka

Dec−92

94.9

101.6

Taiwan, China

Dec−84

970.3

Thailand

Dec−84

Asia

104.6

115.3

94.8

79.1

81.6

65.2

67.4

67.2

1,181.8 1,117.9 1,005.8 910.0

835.7

849.5

706.5

760.5

858.8

274.0

363.5

343.2

312.3

224.2

169.4

171.8

131.5

171.1

251.4

Czech Republic Dec−93

51.1

55.8

58.1

59.9

55.5

55.9

62.9

47.4

47.1

52.2

Greece

Dec−84

995.4

1,024.5 1,321.7 1,726.1 1,796.2 1,640.3 1,988.1 1,508.0 1,563.5 1,638.1

Hungary

Dec−92

223.4

246.8

272.6

266.8

232.7

246.7

268.4

165.9

162.9

192.0

Poland

Dec−92

658.6

828.7

793.8

863.4

749.4

765.4

823.3

513.8

545.6

580.3

Portugal

Jan−86

1,752.7 1,986.1 2,219.7 2,436.0 2,371.8 2,165.6 2,351.9 2,019.8 1,764.9 2,120.7

Russia

Dec−95

441.2

491.3

524.7

506.0

305.9

238.1

234.5

87.9

48.3

74.1

Slovakia

Dec−95

96.1

92.9

84.8

82.3

69.7

64.4

67.9

67.6

60.8

52.5

Turkey

Dec−86

1,233.3 1,090.9 1,018.3 1,273.1 1,095.6 1,152.1 1,157.6 686.9

604.4

578.9

Egypt

Dec−95

173.3

172.4

178.0

175.3

160.9

153.8

151.7

134.2

143.3

136.9

Israel

Dec−96

112.7

117.3

126.8

124.9

134.1

129.0

129.3

114.5

109.7

97.9

Jordan

Dec−84

258.1

260.4

259.0

269.9

294.1

281.9

300.1

300.8

289.4

272.0

Morocco

Dec−95

198.3

208.6

216.5

238.2

249.9

250.8

255.4

276.9

279.5

271.6

Nigeria

Dec−84

198.6

191.0

185.5

178.5

163.6

172.6

173.5

164.9

167.8

167.8

Saudi Arabia

Dec−97

100.3

95.2

92.9

100.5

99.5

96.5

96.6

91.6

89.8

80.7

Europe

Mideast/Africa

IFCG Total Return Indexes 1998: (End−of−period Values in US$)

109

Emerging Stock Markets Factbook 1999 South Africa

Dec−92

218.9

234.9

247.7

270.0

238.3

183.2

180.3

121.0

138.8

169.2

Zimbabwe

Dec−84

1,249.4 1,296.6 1,430.2 1,177.1 1,038.7 1,080.6 940.8

558.4

470.5

434.0

IFCG Total Return Indexes 1998: (Monthly % Change in US$) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Argentina

−8.9

8.4

3.6

−1.7

−12.0

−6.1

7.3

−32.5

13.2

14.2

5.2

−9.5

Brazil

−7.0

7.1

9.7

−1.7

−15.7

−2.2

8.7

−37.3

−0.4

4.2

19.5

−18.3

Chile

−14.5

9.4

6.6

−4.8

−8.0

−8.0

5.0

−26.6

3.3

8.0

16.9

−10.2

Colombia

−10.2

−12.5

−2.1

3.1

−7.8

−3.9

−8.3

−19.9

−11.2

−4.6

26.1

7.6

Mexico

−15.2

2.2

5.9

2.3

−13.0

−6.3

−1.5

−33.6

13.1

9.6

−3.9

5.2

Peru

−10.2

−4.2

10.1

5.3

−3.6

−7.3

1.6

−28.4

−3.8

−2.5

16.8

−12.8

Venezuela

−16.7

−3.2

2.4

−22.5

2.8

−22.9

−1.1

−39.6

36.2

−6.2

7.7

21.6

China

−1.1

0.1

1.1

4.3

2.5

−9.9

−2.8

−13.3

5.5

−3.5

2.1

−8.4

India

−9.8

9.9

8.3

4.2

−9.7

−13.7

−0.4

−6.7

5.5

−6.8

−0.7

9.3

Indonesia

−35.0

16.9

19.2

−13.9

−38.7

−16.9

26.7

−15.4

−24.1

54.7

46.3

−2.5

Korea

70.9

−7.3

1.0

−7.7

−23.2

−11.2

28.4

−19.4

−4.4

32.8

22.5

37.1

Malaysia

−10.1

53.7

−3.8

−15.6

−17.2

−21.6

−9.4

−26.6

38.7

7.3

28.1

9.8

Pakistan

−7.0

0.7

−4.3

−0.6

−35.1

−25.2

−3.7

2.2

13.8

−26.5

34.4

−7.7

Philippines

−4.0

26.4

4.9

−8.8

4.4

−18.5

−9.4

−27.3

5.8

46.9

17.0

2.3

Sri Lanka

−5.9

7.1

3.0

10.2

−17.8

−16.6

3.2

−20.1

3.4

−0.4

20.1

3.4

Taiwan, China

−5.3

21.8

−5.4

−10.0

−9.5

−8.2

1.6

−16.8

7.7

12.9

5.9

−9.1

Thailand

30.4

32.6

−5.6

−9.0

−28.2

−24.4

1.4

−23.4

30.1

46.9

13.7

−2.5

Czech Republic

−9.2

9.4

4.0

3.1

−7.4

0.7

12.6

−24.7

−0.5

10.7

−3.1

2.5

Greece

−6.6

2.9

29.0

30.6

4.1

−8.7

21.2

−24.2

3.7

4.8

15.4

10.2

Hungary

−9.8

10.5

10.5

−2.1

−12.8

6.0

8.8

−38.2

−1.8

17.9

8.7

7.1

Poland

1.2

25.8

−4.2

8.8

−13.2

2.1

7.6

−37.6

6.2

6.4

−7.0

7.5

Latin America

Asia

Europe

IFCG Total Return Indexes 1998: (Monthly % Change in US$)

110

Emerging Stock Markets Factbook 1999 Portugal

11.8

13.3

11.8

9.7

−2.6

−8.7

8.6

−14.1

−12.6

20.2

1.2

2.4

Russia

−30.9

11.4

6.8

−3.6

−39.5

−22.2

−1.5

−62.5

−45.0

53.2

42.3

−23.7

Slovakia

−12.0

−3.3

−8.7

−3.0

−15.3

−7.6

5.3

−0.4

−10.0

−13.7

−10.0

8.7

Turkey

−5.1

−11.5

−6.7

25.0

−13.9

5.2

0.5

−40.7

−12.0

−4.2

12.4

−3.5

Egypt

−5.4

−0.5

3.3

−1.5

−8.2

−4.4

−1.4

−11.6

6.8

−4.4

−1.5

1.5

Israel

−9.5

4.2

8.0

−1.5

7.4

−3.9

0.2

−11.5

−4.1

−10.8

8.0

0.7

Jordan

−0.5

0.9

−0.5

4.2

9.0

−4.2

6.5

0.2

−3.8

−6.0

3.0

2.6

Morocco

−0.5

5.2

3.8

10.0

4.9

0.4

1.9

8.4

0.9

−2.8

−4.3

−0.6

Nigeria

−8.4

−3.8

−2.9

−3.8

−8.4

5.5

0.5

4.9

1.7

0.0

1.4

−4.5

Saudi Arabia

0.3

−5.1

−2.4

8.1

−1.0

−3.1

0.2

−5.2

−1.9

−10.1

−1.8

−3.4

South Africa

5.7

7.3

5.4

9.0

−11.7

−23.1

−1.6

−32.9

14.7

21.9

−5.4

−7.3

Zimbabwe

14.4

3.8

10.3

−17.7

−11.8

4.0

−12.9

−40.6

−15.7

−7.8

−2.1

8.5

Mideast/Africa

IFCG Total Return Indexes 1989−1998: (End−of−period Values in US$) Market

Base date (=100.0)

1989

1990

1991

1992

1993

1994

1995

1996

199

Argentina

Dec−84

540.7

343.1

1,704.8

1,253.1

2,164.7

1,661.4

1,872.1

2,290.0

2,74

Brazil

Dec−84

170.7

58.6

158.4

158.9

316.9

538.2

429.3

577.2

720

Chile

Dec−84

1,026.0

1,440.9

2,853.9

3,315.6

4,462.9

6,470.7

6,508.0

5,575.3

5,94

Colombia

Dec−84

389.8

535.9

1,561.1

2,171.6

2,925.4

3,770.7

2,874.5

3,106.0

3,97

Mexico

Dec−84

802.7

1,041.0

2,152.4

2,608.2

3,909.8

2,320.9

1,717.9

2,024.2

3,04

Peru

Dec−92

−

−

−

100.0

137.2

210.6

233.8

241.1

281

Venezuela

Dec−84

89.4

627.4

907.4

523.6

487.3

362.2

255.5

609.5

760

China

Dec−92

−

−

−

100.0

92.7

62.1

54.4

104.2

138

India

Dec−84

240.7

285.9

338.5

416.0

494.0

530.7

349.2

341.8

366

Indonesia

Dec−89

100.0

99.4

57.4

59.0

126.0

101.6

113.8

136.4

35.8

Latin America

Asia

IFCG Total Return Indexes 1989−1998: (End−of−period Values in US$)

111

Emerging Stock Markets Factbook 1999 Korea

Dec−84

797.5

595.3

500.8

518.6

627.1

746.6

695.4

429.9

134

Malaysia

Dec−84

178.2

158.2

177.3

226.9

460.3

361.3

374.2

465.9

132

Pakistan

Dec−84

184.6

205.0

557.8

455.1

710.9

650.3

447.8

360.4

454

Philippines

Dec−84

2,371.5

1,094.0

1,738.5

2,056.8

4,831.5

4,802.3

4,125.5

4,965.0

1,89

Sri Lanka

Dec−92

−

−

−

100.0

165.4

164.8

102.3

90.8

100

Taiwan, China

Dec−84

1,407.1

690.8

686.6

503.7

952.2

1,166.2

808.7

1,110.8

1,02

Thailand

Dec−84

679.3

538.4

641.8

900.4

1,827.8

1,621.2

1,598.1

1,013.4

210

Czech Republic Dec−93

−

−

−

−

100.0

81.1

65.0

79.1

56.2

Greece

Dec−84

446.4

911.2

735.9

537.4

655.3

668.6

737.5

774.8

1,06

Hungary

Dec−92

−

−

−

100.0

124.6

105.5

76.9

152.1

247

Poland

Dec−92

−

−

−

100.0

839.6

484.0

450.4

784.2

650

Portugal

Jan−86

874.5

613.8

624.3

503.1

694.6

834.0

824.5

1,064.5

1,56

Russia

Dec−95

−

−

−

−

−

−

100.0

261.1

638

Slovakia

Dec−95

−

−

−

−

−

−

100.0

119.2

109

Turkey

Dec−86

849.0

825.3

480.5

227.0

759.0

449.7

402.1

599.0

1,30

Egypt

Dec−95

−

−

−

−

−

−

100.0

148.1

183

Israel

Dec−96

−

−

−

−

−

−

−

100.0

124

Jordan

Dec−84

121.4

126.6

145.8

181.8

225.7

203.7

229.5

226.6

259

Morocco

Dec−95

−

−

−

−

−

−

100.0

142.0

199

Nigeria

Dec−84

51.1

71.9

99.0

64.4

57.0

165.8

131.1

213.8

216

Saudi Arabia

Dec−97

−

−

−

−

−

−

−

−

100

South Africa

Dec−92

−

−

−

100.0

182.4

239.5

282.1

233.9

207

Zimbabwe

Dec−84

1,028.9

2,005.8

956.1

384.8

938.0

1,203.2

1,403.8

2,338.8

1,09

Europe

Mideast/Africa

IFCG Total Return Indexes 1989−1998: (Annual % Change in US$)

IFCG Total Return Indexes 1989−1998: (Annual % Change in US$)

112

Emerging Stock Markets Factbook 1999 Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

Argentina

175.9

−36.6

396.9

−26.5

72.7

−23.3

12.7

22.3

19.9

−26.0

Brazil

39.9

−65.7

170.4

0.3

99.4

69.8

−20.2

34.4

24.9

−38.9

Chile

51.2

40.4

98.1

16.2

34.6

45.0

0.6

−14.3

6.6

−27.5

Colombia

12.2

37.5

191.3

39.1

34.7

28.9

−23.8

8.1

28.1

−40.7

Mexico

73.4

29.7

106.8

21.2

49.9

−40.6

−26.0

17.8

50.4

−37.3

Peru

−

−

−

−

37.2

53.5

11.0

3.1

16.6

−38.0

Venezuela

−33.1

601.6

44.6

−42.3

−6.9

−25.7

−29.5

138.6

24.8

−49.3

China

−

−

−

−

−7.3

−33.0

−12.4

91.4

33.0

−22.6

India

4.3

18.8

18.4

22.9

18.8

7.4

−34.2

−2.1

7.1

−13.6

Indonesia

−

−0.6

−42.3

2.9

113.4

−19.3

12.0

19.8

−73.7

−28.7

Korea

7.0

−25.4

−15.9

3.6

20.9

19.1

−6.9

−38.2

−68.7

122.1

Malaysia

44.0

−11.2

12.1

27.9

102.9

−21.5

3.6

24.5

−71.7

1.4

Pakistan

6.4

11.1

172.1

−18.4

56.2

−8.5

−31.1

−19.5

26.1

−55.9

Philippines

59.5

−53.9

58.9

18.3

134.9

−0.6

−14.1

20.4

−61.9

10.8

Sri Lanka

−

−

−

−

65.4

−0.4

−38.0

−11.2

11.1

−17.3

Taiwan, China

100.0

−50.9

−0.6

−26.6

89.0

22.5

−30.7

37.4

−7.7

−19.4

Thailand

100.8

−20.7

19.2

40.3

103.0

−11.3

−1.4

−36.6

−79.3

32.7

Czech Republic

−

−

−

−

−

−18.9

−19.9

21.7

−29.0

−7.8

Greece

80.2

104.1

−19.2

−27.0

21.9

2.0

10.3

5.1

37.5

95.6

Hungary

−

−

−

−

24.6

−15.3

−27.1

97.8

62.9

−9.8

Poland

−

−

−

−

739.6

−42.4

−6.9

74.1

−17.0

−10.8

Portugal

40.1

−29.8

1.7

−19.4

38.1

20.1

−1.1

29.1

47.2

40.2

Russia

−

−

−

−

−

−

−

161.1

144.6

−87.4

Slovakia

−

−

−

−

−

−

−

19.2

−8.5

−52.9

Turkey

502.4

−2.8

−41.8

−52.8

234.3

−40.7

−10.6

49.0

117.1

−51.7

Latin America

Asia

Europe

IFCG Total Return Indexes 1989−1998: (Annual % Change in US$)

113

Emerging Stock Markets Factbook 1999 Mideast/Africa Egypt

−

−

−

−

−

−

−

48.1

23.6

−25.3

Israel

−

−

−

−

−

−

−

−

24.4

−14.4

Jordan

−1.1

4.2

15.1

24.7

24.2

−9.7

12.7

−1.3

14.5

10.8

Morocco

−

−

−

−

−

−

−

42.0

40.4

29.7

Nigeria

21.1

40.6

37.8

−34.9

−11.6

190.9

−20.9

63.0

1.4

−25.1

Saudi Arabia

−

−

−

−

−

−

−

−

−

−23.4

South Africa

−

−

−

−

82.4

31.3

17.8

−17.1

−11.5

−28.4

Zimbabwe

40.8

94.9

−52.3

−59.8

143.8

28.3

16.7

66.6

−53.3

−57.8

Statistics of the IFCG Total Return Indexes: (US$; December 1993−December 1998) Number of months

Mean of % Standard change deviation

Annualized Correlation Annualized standard with mean deviation S&P 500

Argentina

60

0.39

9.74

4.68

33.74

0.58

Brazil

60

1.31

12.26

15.72

42.47

0.41

Chile

60

0.28

8.19

3.36

28.37

0.41

Colombia

60

−0.04

8.12

−0.48

28.13

0.07

Mexico

60

−0.46

11.49

−5.52

39.80

0.45

Peru

60

0.82

9.32

9.84

32.29

0.17

Venezuela

60

0.88

15.42

10.56

53.42

0.24

China

60

1.25

16.39

15.00

56.78

0.07

India

60

−0.43

8.04

−5.16

27.85

0.17

Indonesia

60

−1.21

16.74

−14.52

57.99

0.35

Korea

60

−0.13

15.71

−1.56

54.42

0.40

Malaysia

60

−1.15

13.80

−13.80

47.80

0.44

Pakistan

60

−1.45

11.18

−17.40

38.73

0.17

Philippines

60

−0.77

11.35

−9.24

39.32

0.49

Sri Lanka

60

−0.74

8.91

−8.88

30.87

0.31

Market

Latin America

Asia

Statistics of the IFCG Total Return Indexes: (US$; December 1993−December 1998)

114

Emerging Stock Markets Factbook 1999 Taiwan, China

60

0.15

8.94

1.80

30.97

0.36

Thailand

60

−2.02

14.74

−24.24

51.06

0.59

Czech Republic* 59

−1.43

7.63

−17.16

26.43

0.21

Greece

60

2.35

9.30

28.20

32.22

0.33

Hungary

60

1.78

12.88

21.36

44.62

0.47

Poland

60

0.48

14.79

5.76

51.23

0.37

Portugal

60

2.14

6.37

25.68

22.07

0.46

Russia*

35

3.23

25.67

38.76

88.92

0.32

Slovakia*

24

−3.17

7.45

−38.04

25.81

−0.32

Turkey

60

1.02

16.56

12.24

57.37

0.25

Egypt*

35

1.30

7.94

15.60

27.50

0.13

Israel*

24

0.49

6.82

5.88

23.63

0.39

Jordan

60

0.47

3.63

5.64

12.57

0.07

Morocco*

35

2.91

4.67

34.92

16.18

−0.50

Nigeria

60

3.33

17.07

39.96

59.13

0.01

Saudi Arabia*

12

−2.11

4.29

−25.32

14.86

−0.06

South Africa

60

0.05

8.64

0.60

29.93

0.47

Zimbabwe

60

−0.37

12.09

−4.44

41.88

0.34

Composite

60

−0.54

6.33

−6.48

21.93

0.62

Latin America

60

0.10

8.83

1.20

30.59

0.52

Asia

60

−0.94

6.78

−11.28

23.49

0.54

EMEA*

35

−0.16

7.56

−1.92

26.19

0.56

Europe*

35

1.54

10.02

18.48

34.71

0.45

E. Europe*

35

0.33

13.93

3.96

48.25

0.41

ME & Africa*

35

−1.37

6.88

−16.44

23.83

0.57

Europe

Mideast/Africa

Regions

Statistics of the IFCG Total Return Indexes: (US$; December 1993−December 1998)

115

Emerging Stock Markets Factbook 1999 Developed Markets U.S., S&P 500

60

2.05

4.15

24.60

14.38

1.00

FT Europac

60

0.78

4.07

9.36

14.10

0.68

Note : Statistical data based on less than 60 months of results.

IFCG Total Return Index Annualized Standard Deviation, 1993−1998

IFCG Total Return Index Annualized Mean Return, 1993−1998

Statistics of the IFCG Total Return Indexes: (US$; December 1993−December 1998)

116

Emerging Stock Markets Factbook 1999 IFCG Total Return Index Correlations: (US$; December 1993−December 1998)

Notes: Correlations are for 60−month period ending in December 1998, except as noted on p. 68. IFCG Total Return Index Correlations with S&P 500: (US$; December 1993−December 1998)

IFCG Total Return Index Correlations: (US$; December 1993−December 1998)

117

Emerging Stock Markets Factbook 1999

IFCG Total Return Index Correlations with S&P 500, 1993−1998

Industry Weights in the IFCG Composite Index End−1998

SIC Sector/Industry

Market Number capitalization (US$ of millions) Stocks

Weight in IFCG Composite (%)

0

Agriculture/forestry/fishing

45

7,012

0.8

1

Mining

74

42,231

4.9

10

Metal Mining

43

15,299

1.8

2

Construction

76

14,134

1.6

15

General Building Contractors

42

9,200

1.1

3

Manufacturing

938

325,420

37.8

Industry Weights in the IFCG Composite Index End−1998

118

Emerging Stock Markets Factbook 1999 20

Food & Kindred Products

127

45,615

5.3

22

Textile Mill Products

53

8,648

1.0

23

Apparel & Other Textile Products

23

6,431

0.7

26

Paper & Allied Products

46

14,665

1.7

28

Chemicals & Allied Products

128

22,824

2.6

29

Petroleum Refining & Related Products

44

21,317

2.5

30

Rubber & Misc. Plastics Products

33

8,980

1.0

32

Cement & Glass Products

108

26,376

3.1

33

Primary Metal Industries

39

10,163

1.2

34

Fabricated Metal Products

51

7,310

0.8

36

Electric & Electronic Equipment

133

103,506

12.0

37

Transportation Equipment

53

12,730

1.5

39

Miscellaneous Manufacturing

35

15,080

1.8

4

Transportation/communication/utility 219

158,160

18.4

44

Water Transportation

20

6,409

0.7

48

Communications

81

100,358

11.7

49

Electric, Gas or Sanitary Services

88

46,618

5.4

5

Wholesale/retail trade

96

27,793

3.2

6

Finance/insurance/real estate

390

232,415

27.0

60

Banking

175

155,134

18.0

61

Credit Agencies Other Than Banks

36

5,290

0.6

62

Security & Commodity Brokers

28

6,677

0.8

63

Insurance

28

23,558

2.7

7

Services

52

12,341

1.4

70

Hotels & Other Lodging Places

23

3,506

0.4

9

Other/diversified holding companies 103

41,580

4.8

861,413

100.0

1,993

Industry Weights in the IFCG Composite Index End−1998

119

Emerging Stock Markets Factbook 1999 IFCG Composite Index

Weights in the IFCG Composite Index, End−1998

Stock Distribution by Industry in the IFCG Composite Index, End−1998

Industry Concentration in IFCG Composite Index End−1998: (Percent) Sector with largest share of market cap

Sector's share of market cap

Argentina

Mining

46.1

Brazil

Transportation / communication 50.7 / utility

Chile

Transportation / communication 45.6 / utility

Colombia

Finance / insurance / real estate

Mexico

Transportation / communication 30.8 / utility

Peru

Transportation / communication 34.6 / utility

Venezuela

Transportation / communication 44.9 / utility

Market

Latin America

44.6

Industry Concentration in IFCG Composite Index End−1998: (Percent)

120

Emerging Stock Markets Factbook 1999

Asia China

Manufacturing

41.9

India

Manufacturing

80.7

Indonesia

Manufacturing

67.0

Korea

Manufacturing

54.0

Malaysia

Transportation / communication 22.0 / utility

Pakistan

Manufacturing

55.7

Philippines

Finance / insurance / real estate

46.6

Sri Lanka

Finance / insurance / real estate

33.1

Taiwan, China

Manufacturing

67.6

Thailand

Finance / insurance / real estate

36.6

Europe Czech Republic Transportation / communication 53.3 / utility Greece

Finance / insurance / real estate

51.6

Hungary

Transportation / communication 51.1 / utility

Poland

Finance / insurance / real estate

46.1

Portugal

Finance / insurance / real estate

50.8

Russia

Mining

72.4

Slovakia

Manufacturing

82.8

Turkey

Finance / insurance / real estate

58.9

Egypt

Manufacturing

61.1

Israel

Manufacturing

39.3

Jordan

Finance / insurance / real estate

79.6

Morocco

Finance / insurance / real estate

65.5

Nigeria

Manufacturing

56.5

Saudi Arabia

Finance / insurance / real estate

74.7

South Africa

Finance / insurance/ real estate

37.9

Mideast/Africa

Industry Concentration in IFCG Composite Index End−1998: (Percent)

121

Emerging Stock Markets Factbook 1999 Zimbabwe

Finance / insurance/ real estate

57.7

IFCG Composite

Manufacturing

37.8

Share of Market Cap of Largest Sector, End−1998

Industry Distribution by Market Capitalization of IFCG Composite Index, 1998: (US$ Millions; End−1998)

Industry Distribution by Market Capitalization of IFCG Composite Index, 1998: (US$ Millions; End−1998) 122

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding. (table continued on next page)

(table continued from previous page)

Industry Distribution by Market Capitalization of IFCG Composite Index, 1998: (US$ Millions; End−1998) 123

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding.

Industry Weights by Market Capitalization of IFCG Composite Index, 1998: (% of Market Capitalization; End−1998)

Industry Weights by Market Capitalization of IFCG Composite Index, 1998: (% of Market Capitalization; 124 End−19

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding. (table continued on next page)

(table continued from previous page)

Industry Weights by Market Capitalization of IFCG Composite Index, 1998: (% of Market Capitalization; 125 End−19

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding.

Industry Distribution by Number of Stocks in IFCG Composite Index, 1998: (End−1998)

Industry Distribution by Number of Stocks in IFCG Composite Index, 1998: (End−1998)

126

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding. (table continued on next page)

(table continued from previous page)

Industry Distribution by Number of Stocks in IFCG Composite Index, 1998: (End−1998)

127

Emerging Stock Markets Factbook 1999

Note: Figures may not precisely add up due to rounding.

IFCG Industry Price Indexes 1998 Performance Summary: (US$; End 1984=100)

SIC

Sector/Industry

End− 1998

% change from End−1997

0

Agriculture/forestry/fishing

103.7

−7.0

1

Mining

110.2

−51.9

110

Metal Mining

74.8

−20.5

Construction

156.6

−20.0

IFCG Industry Price Indexes 1998 Performance Summary: (US$; End 1984=100)

128

Emerging Stock Markets Factbook 1999 2 215

General Building Contractors

165.9

−27.8

3

Manufacturing

333.8

−16.0

320

Food & Kindred Products

651.3

−15.2

322

Textile Mill Products

224.0

−25.9

323

Apparel & Other Textile Products

107.9

−29.7

326

Paper & Allied Products

460.6

−31.6

328

Chemicals & Allied Products

249.7

−20.7

329

Petroleum Refining & Related Products

153.1

−37.2

330

Rubber & Misc. Plastics Products

496.5

−16.7

332

Cement & Glass Products

600.7

−22.4

333

Primary Metal Industries

178.8

−11.7

334

Fabricated Metal Products

59.9

−40.1

336

Electric & Electronic Equipment

760.7

1.5

337

Transportation Equipment

235.6

−26.9

339

Miscellaneous Manufacturing

415.4

0.2

4

Transportation/communication/utility 1,199.6 −25.3

444

Water Transportation

185.6

448

Communications

4,228.2 −19.7

449

Electric, Gas or Sanitary Services

742.2

−38.1

5

Wholesale/retail trade

192.2

−28.4

6

Finance/insurance/real estate

140.7

−15.9

660

Banking

185.6

−14.9

661

Credit Agencies Other Than Banks

122.7

−28.6

662

Security & Commodity Brokers

29.3

199.1

663

Insurance

115.9

−18.8

7

Services

141.0

−18.0

1.1

IFCG Industry Price Indexes 1998 Performance Summary: (US$; End 1984=100)

129

Emerging Stock Markets Factbook 1999 770

Hotels & Other Lodging Places

98.3

−27.7

9

Other/diversified holding companies 139.9

−31.8

IFCG Composite Price Index

−22.9

252.8

Performance Highlights of IFCG Industry Sector Price Indexes (%)

IFCG Industry Price Indexes 1998: (End−of−period Values in US$; End 1984=100) SIC Sector/Industry

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

0

Agriculture/forestry/fishing

109.4

135.1

136.6

126.5

109.6

103.1

100.2

76.1

83.7

1

Mining

190.7

200.7

211.0

210.9

165.4

145.4

147.0

99.0

104.7

110 Metal Mining

90.9

95.3

100.6

105.9

93.3

85.6

87.4

69.0

80.1

2

181.4

211.9

208.0

197.9

175.8

155.2

155.4

117.6

130.3

215 General Building Contractors

210.8

237.8

236.4

230.8

204.8

182.2

181.4

135.6

145.9

3

385.4

429.9

437.8

430.8

381.3

339.2

350.4

278.6

287.8

Construction

Manufacturing

IFCG Industry Price Indexes 1998: (End−of−period Values in US$; End 1984=100)

130

Emerging Stock Markets Factbook 1999 320 Food & Kindred Products

743.9

780.4

824.6

842.3

764.6

691.2

715.3

547.6

567.1

322 Textile Mill Products

280.1

298.4

306.4

289.2

262.7

236.9

222.6

183.1

204.0

323 Apparel & Other Textile Products

142.0

148.4

158.7

159.1

136.2

128.2

116.0

92.8

101.0

326 Paper & Allied Products

583.5

635.4

705.9

687.5

623.6

559.0

527.6

422.5

392.9

328 Chemicals & Allied Products

300.0

312.7

321.9

322.2

289.0

260.7

263.0

223.1

228.6

329 Petroleum Refining & Related Products

231.7

238.4

239.6

245.1

204.3

182.9

192.1

129.1

138.6

330 Rubber & Misc. Plastics Products

583.0

658.8

642.4

612.8

557.4

500.7

486.1

369.5

421.9

332 Cement & Glass Products

702.6

748.6

803.0

825.5

735.2

662.8

669.2

518.8

532.4

333 Primary Metal Industries

216.1

227.0

237.0

245.8

204.3

181.9

194.3

148.8

148.3

334 Fabricated Metal Products

85.6

93.4

99.5

98.7

86.2

73.1

72.7

48.8

55.1

336 Electric & Electronic Equipment

803.0

999.4

951.0

894.1

792.2

680.0

742.2

602.3

618.6

337 Transportation Equipment

293.2

326.9

339.8

331.4

293.5

254.7

251.2

206.6

211.7

339 Miscellaneous Manufacturing

389.2

440.8

463.5

459.8

431.5

393.0

428.0

393.8

414.1

Transportation/communication/utility 1,487.2 1,604.2 1,708.0 1,664.0 1,429.2 1,347.9 1,415.7 957.8

1,041

4

444 Water Transportation

171.9

448 Communications

4,918.8 5,282.5 5,728.9 5,592.8 4,905.8 4,772.5 5,080.2 3,378.5 3,653

449 Electric, Gas or Sanitary Services

1,090.0 1,175.2 1,213.9 1,190.5 967.0

869.1

895.9

597.8

649.6

5

Wholesale/retail trade

246.5

256.9

262.2

257.8

231.7

212.0

215.3

161.7

169.8

6

Finance/insurance/real estate

161.4

180.1

184.2

183.6

166.9

148.8

152.2

113.1

116.2

660 Banking

209.9

234.0

239.0

239.0

218.3

196.6

204.7

151.7

155.2

661 Credit Agencies Other Than Banks

160.0

189.9

199.9

182.7

161.7

147.3

143.3

124.0

135.2

662 Security & Commodity Brokers

12.7

13.4

13.3

10.7

8.6

7.3

9.8

7.8

8.5

663 Insurance

141.0

161.0

161.4

156.1

141.1

124.0

122.7

97.0

101.3

7

171.6

195.0

202.0

196.6

169.7

135.4

133.9

104.8

112.1

128.9

151.3

154.7

147.9

126.3

101.7

102.3

86.5

92.4

Other/diversified holding companies 188.5

206.9

211.4

219.2

192.4

159.0

154.2

111.0

121.8

309.0

340.7

350.9

346.9

304.6

272.5

279.7

208.2

218.2

Services

770 Hotels & Other Lodging Places

9

190.2

207.6

195.0

185.2

165.2

IFCG Industry Price Indexes 1998: (End−of−period Values in US$; End 1984=100)

163.3

137.4

131

159.5

Emerging Stock Markets Factbook 1999 IFCG Composite Price Index IFCG Industry Price Indexes 1989−1998: (End−of−period Values in US$; End 1984=100) SIC Sector/Industry

1989

0

Agriculture/forestry/fishing

155.89 129.48 135.49 138.21 257.6

223.28 186.68 206.63 111.5

1

Mining

242.5

98.6

136.0

110.2

157.1

231.2

199.3

203.9

229.1

110 Metal Mining

184.2

70.0

77.2

62.1

98.5

174.7

133.3

127.1

94.2

2

537.9

338.4

336.5

356.0

639.2

564.3

483.7

461.0

195.8

215 General Building Contractors

531.0

290.2

382.9

375.3

651.9

504.2

400.1

403.5

229.8

3

424.9

288.4

358.7

327.8

498.5

540.9

432.1

450.1

397.2

320 Food & Kindred Products

436.8

302.6

517.8

508.8

848.0

809.6

753.1

769.3

767.9

322 Textile Mill Products

615.0

347.4

493.5

352.2

455.2

567.8

365.5

410.9

302.5

323 Apparel & Other Textile Products

286.0

190.8

227.5

228.2

268.3

286.7

158.3

154.5

153.5

326 Paper & Allied Products

738.8

538.8

677.8

564.5

740.7

1,072.9 869.3

803.8

673.2

328 Chemicals & Allied Products

399.4

292.2

316.7

296.7

415.8

464.4

341.3

358.8

314.8

329 Petroleum Refining & Related Products

197.3

112.6

134.7

107.6

211.7

277.8

194.3

254.9

243.6

330 Rubber & Misc. Plastics Products

782.3

424.7

488.1

432.9

705.0

753.9

550.2

783.2

596.0

332 Cement & Glass Products

1,025.5 722.5

985.9

925.1

1,448.7 1,377.3 1,083.4 1,050.7 774.0

333 Primary Metal Industries

312.4

218.0

233.9

224.5

328.4

379.7

252.9

227.5

202.5

334 Fabricated Metal Products

182.3

122.5

142.8

122.9

155.7

167.5

123.0

120.7

99.9

336 Electric & Electronic Equipment

626.3

371.8

407.5

358.7

593.9

733.0

702.7

614.6

749.4

337 Transportation Equipment

601.2

485.5

506.4

429.0

679.5

567.6

468.2

519.6

322.4

339 Miscellaneous Manufacturing

173.7

187.0

212.1

286.9

428.9

447.5

357.9

396.8

414.4

Transportation/communication/utility 670.1

567.2

941.7

1,047.5 1,678.8 1,613.2 1525.7 1,660.5 1,605

255.6

250.2

4

Construction

Manufacturing

1990

1991

1992

1993

363.1

1994

342.0

1995

306.1

1997

444 Water Transportation

355.2

183.5

448 Communications

830.3

1,090.6 2,829.8 3,315.7 5,724.0 4,622.5 4,583.5 5,055.8 5,264

IFCG Industry Price Indexes 1989−1998: (End−of−period Values in US$; End 1984=100)

289.9

1996

132

183.6

Emerging Stock Markets Factbook 1999 449 Electric, Gas or Sanitary Services

459.1

480.1

620.7

672.9

1030.6 1249.0 1148.4 1255.3 1199

5

Wholesale/retail trade

354.8

342.3

322.8

407.8

590.8

400.8

304.4

264.2

268.5

6

Finance/insurance/real estate

242.7

165.2

143.4

138.4

245.0

233.4

204.8

226.0

167.3

660 Banking

245.3

175.0

142.8

140.5

245.7

264.0

241.7

268.2

218.0

661 Credit Agencies Other Than Banks

377.1

267.7

280.6

302.5

658.0

600.3

514.0

373.5

172.0

662 Security & Commodity Brokers

131.4

90.0

79.2

77.6

95.9

79.8

61.5

44.8

9.8

663 Insurance

168.0

76.7

80.7

59.1

143.5

167.1

131.9

167.0

142.8

7

199.5

161.4

185.2

225.6

495.4

411.4

373.2

355.2

172.0

200.0

157.0

161.6

175.0

387.2

333.5

289.4

261.1

136.0

Other/diversified holding companies 213.5

193.0

214.1

225.3

445.1

338.0

320.3

345.4

205.1

IFCG Composite Price Index

234.8

271.5

267.8

439.6

430.0

370.4

391.8

328.1

Services

770 Hotels & Other Lodging Places

9

339.9

IFCG Industry Price Indexes 1989−1998: (Annual % Change in US$) SIC

Sector/Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

15.0

−16.9

4.6

2.0

86.4

−13.3

−16.4

10.7

−46.0

1

Mining

61.8

−59.3

37.9

−19.0

42.6

47.1

−13.8

2.3

12.4

110

Metal Mining

62.2

−62.0

10.3

−19.6

58.7

77.3

−23.7

−4.7

−25.9

2

Construction

38.1

−37.1

−0.6

5.8

79.5

−11.7

−14.3

−4.7

−57.5

215

General Building Contractors

77.5

−45.4

32.0

−2.0

73.7

−22.7

−20.6

0.9

−43.0

3

Manufacturing

50.5

−32.1

24.4

−8.6

52.1

8.5

−20.1

4.2

−11.8

320

Food & Kindred Products

90.5

−30.7

71.1

−1.8

66.7

−4.5

−7.0

2.2

−0.2

IFCG Industry Price Indexes 1989−1998: (Annual % Change in US$)

133

Emerging Stock Markets Factbook 1999 322

Textile Mill Products

63.8

−43.5

42.0

−28.6

29.3

24.7

−35.6

12.4

−26.4

323

Apparel & Other Textile Products

21.1

−33.3

19.3

0.3

17.5

6.9

−44.8

−2.5

−0.6

326

Paper & Allied Products

55.2

−27.1

25.8

−16.7

31.2

44.9

−19.0

−7.5

−16.2

328

Chemicals & Allied Products

23.9

−26.8

8.4

−6.3

40.2

11.7

−26.5

5.1

−12.3

329

Petroleum Refining & Related Products

17.9

−42.9

19.6

−20.1

96.7

31.3

−30.1

31.2

−4.4

330

Rubber & Misc. Plastics Products

55.0

−45.7

14.9

−11.3

62.9

6.9

−27.0

42.3

−23.9

332

Cement & Glass Products

111.5

−29.5

36.5

−6.2

56.6

−4.9

−21.3

−3.0

−26.3

333

Primary Metal Industries

16.8

−30.2

7.3

−4.0

46.3

15.6

−33.4

−10.0

−11.0

334

Fabricated Metal Products

39.4

−32.8

16.6

−13.9

26.7

7.5

−26.5

−1.9

−17.3

336

Electric & Electronic Equipment

63.6

−40.6

9.6

−12.0

65.6

23.4

−4.1

−12.5

21.9

337

Transportation Equipment

31.4

−19.2

4.3

−15.3

58.4

−16.5

−17.5

11.0

−38.0

339

Miscellaneous Manufacturing

34.4

7.6

13.4

35.3

49.5

4.3

−20.0

10.9

4.4

4

Transportation/communication/utility 57.7

−15.4

66.0

11.2

60.3

−3.9

−5.4

8.8

−3.3

444

Water Transportation

35.1

−48.3

39.3

−2.1

45.2

−5.8

−15.2

5.6

−40.0

448

Communications

79.1

31.3

159.5

17.2

72.6

−19.2

−0.8

10.3

4.1

449

Electric, Gas or Sanitary Services

50.6

4.6

29.3

8.4

53.2

21.2

−8.1

9.3

−4.5

5

Wholesale/retail trade

18.8

−3.5

−5.7

26.3

44.9

−32.2

−24.1

−13.2

1.6

6

Finance/insurance/real estate

53.9

−31.9

−13.2

−3.5

77.0

−4.8

−12.2

10.3

−26.0

660

Banking

49.2

−28.7

−18.4

−1.6

74.9

7.5

−8.4

11.0

−18.7

661

Credit Agencies Other Than Banks

129.1

−29.0

4.8

7.8

117.5

−8.8

−14.4

−27.3

−53.9

662

Security &Commodity Brokers

−14.6

−31.5

−12.0

−2.0

23.6

−16.8

−22.9

−27.1

−78.2

663

Insurance

116.0

−54.4

5.3

−26.7

142.7

16.5

−21.1

26.6

−14.5

7

Services

72.2

−19.1

14.8

21.8

119.6

−16.9

−9.3

−4.8

−51.6

770

Hotels & Other Lodging Places

73.4

−21.5

2.9

8.3

121.2

−13.9

−13.2

−9.8

−47.9

9

Other/diversified holding companies 55.1

−9.6

10.9

5.2

97.6

−24.1

−5.2

7.8

−40.6

−30.9

15.6

−1.4

64.1

−2.2

−13.9

5.8

−16.3

51.7

IFCG Industry Price Indexes 1989−1998: (Annual % Change in US$)

134

Emerging Stock Markets Factbook 1999 IFCG Composite Price Index IFCG Industry Total Return Indexes 1998 Performance Summary: (US$; End 1984=100) % change from End−1997

SIC

Sector/industry

End− 1998

0

Agriculture/forestry/fishing

158.8

−4.0

1

Mining

167.8

−50.1

110

Metal Mining

117.6

−15.0

2

Construction

198.7

−19.1

215

General Building Contractors

194.4

−27.1

3

Manufacturing

473.6

−14.3

320

Food & Kindred Products

957.4

−13.0

322

Textile Mill Products

286.3

−25.3

323

Apparel & Other Textile Products

136.9

−28.7

326

Paper & Allied Products

656.3

−29.4

328

Chemicals & Allied Products

451.8

−18.3

329

Petroleum Refining & Related Products

236.2

−35.9

330

Rubber & Misc. Plastics Products

660.4

−15.7

332

Cement & Glass Products

925.4

−20.2

333

Primary Metal Industries

245.3

−8.7

334

Fabricated Metal Products

86.0

−37.6

336

Electric & Electronic Equipment

950.2

2.1

337

Transportation Equipment

311.9

−25.8

339

Miscellaneous Manufacturing

571.7

1.5

4

Transportation/communication/utility

1,939.1

−23.1

IFCG Industry Total Return Indexes 1998 Performance Summary: (US$; End 1984=100)

135

Emerging Stock Markets Factbook 1999 444

Water Transportation

276.3

3.0

448

Communications

7,357.2

−17.8

449

Electric, Gas or Sanitary Services

1,587.0

−35.4

5

Wholesale/retail trade

277.1

−27.3

6

Finance/insurance/real estate

195.5

−14.2

660

Banking

266.0

−12.9

661

Credit Agencies Other Than Banks

183.8

−27.8

662

Security & Commodity Brokers

32.2

201.7

663

Insurance

187.1

−17.2

7

Services

184.4

−15.9

770

Hotels & Other Lodging Places

124.1

−26.3

9

Other/diversified holding companies

194.6

−29.6

IFCG Composite Total Return Index

352.2

−21.1

Performance Highlights of IFCG Industry Sector Total Return Indexes (%)

IFCG Industry Total Return Indexes 1998 Performance Summary: (US$; End 1984=100)

136

Emerging Stock Markets Factbook 1999 IFCG Industry Total Return Indexes 1998: (End−of−period Values in US$; End 1984=100) SIC Sector/Industry

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

0

Agriculture/forestry/fishing

163.2

201.9

204.4

189.3

164.2

156.0

151.8

115.4

127.7

1

Mining

280.5

295.8

311.8

313.2

246.4

217.0

219.6

149.3

158.3

110 Metal Mining

134.8

142.1

150.1

160.0

141.2

129.6

132.4

106.5

124.0

2

227.6

266.0

261.1

248.7

220.9

196.1

196.8

148.9

165.0

215 General Building Contractors

244.5

275.8

274.1

268.0

237.8

212.7

211.9

158.4

170.4

3

536.5

598.5

610.7

602.3

534.2

476.8

494.0

393.5

406.9

320 Food & Kindred Products

1,067.2 1,119.8 1,184.3 1,214.6 1,105.8 1,004.3 1,041.6 798.6

829.1

322 Textile Mill Products

354.9

378.2

388.6

366.8

333.8

301.4

284.1

233.7

260.4

323 Apparel & Other Textile Products

177.6

185.6

198.4

200.6

172.0

162.5

147.1

117.7

128.0

326 Paper & Allied Products

806.1

877.8

976.0

953.8

867.4

777.9

736.0

589.4

549.8

328 Chemicals &Allied Products

528.8

551.3

568.9

569.8

514.3

466.1

472.0

401.5

411.6

329 Petroleum Refining & Related Products

350.4

360.6

365.5

374.5

312.5

279.7

294.6

198.1

212.7

330 Rubber & Misc. Plastics Products

766.8

866.8

847.3

808.8

736.0

661.6

644.7

490.1

560.5

332 Cement & Glass Products

1,053.2 1,122.7 1,206.1 1,244.3 1,112.9 1,011.4 1,025.5 796.4

817.4

333 Primary Metal Industries

287.2

301.6

315.0

328.6

273.4

244.0

263.1

201.7

201.8

334 Fabricated Metal Products

119.6

130.7

139.2

138.3

121.6

103.4

103.7

69.6

78.7

336 Electric & Electronic Equipment

997.0

1,240.9 1,180.9 1,111.2 984.9

846.9

924.7

752.0

772.5

337 Transportation Equipment

382.3

426.2

443.1

433.3

384.5

336.3

332.0

273.4

280.1

339 Miscellaneous Manufacturing

529.2

599.3

632.7

627.6

589.4

537.4

585.6

541.3

569.2

4

Construction

Manufacturing

Transportation/communication/utility 2,336.8 2,522.5 2,693.9 2,645.9 2,281.0 2,156.2 2,268.8 1,539.4 1,675

444 Water Transportation

251.2

278.0

303.6

285.6

272.4

243.4

241.8

448 Communications

8,364.8 8,990.1 9,775.8 9,621.5 8,460.8 8,251.3 8,795.5 5,855.3 6,340

449 Electric, Gas or Sanitary Services

2,235.0 2,411.8 2,501.5 2,475.9 2,022.8 1,821.7 1,882.2 1,264.7 1,375

IFCG Industry Total Return Indexes 1998: (End−of−period Values in US$; End 1984=100)

203.8

137

236.5

Emerging Stock Markets Factbook 1999

5

Wholesale/retail trade

350.0

364.9

372.7

366.9

330.6

302.8

308.2

231.7

243.7

6

Finance/insurance/real estate

219.8

245.5

251.5

251.3

229.5

204.9

210.1

156.1

160.7

660 Banking

294.2

328.1

336.0

336.7

308.7

278.7

291.0

215.8

221.0

661 Credit Agencies Other Than Banks

236.9

281.2

296.5

271.0

241.3

219.9

214.4

185.6

202.4

662 Security & Commodity Brokers

13.9

14.6

14.5

11.7

9.4

8.0

10.7

8.5

9.4

663 Insurance

223.1

254.8

256.2

248.0

225.9

198.6

196.6

155.5

163.0

7

218.9

248.9

258.1

251.4

217.7

174.8

173.8

136.2

146.0

159.6

187.3

191.9

183.6

156.9

127.2

128.2

108.7

116.1

Other/diversified holding companies 254.3

279.3

286.3

297.4

261.9

217.3

211.0

152.1

167.2

IFCG Composite Total Return Index

464.3

479.2

475.4

418.8

375.7

386.5

288.2

302.5

Services

770 Hotels & Other Lodging Places

9

420.9

IFCG Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1984=100) SIC Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

189.1

161.0

172.1

181.6

348.6

307.0

262.8

298.7

165.5

1

Mining

295.4

122.6

171.5

143.9

210.9

316.8

280.5

294.6

336.2

110 Metal Mining

219.0

85.1

95.1

80.0

130.9

237.0

185.8

182.4

138.4

2

619.5

390.3

392.0

423.1

766.7

686.1

592.6

571.1

245.6

215 General Building Contractors

571.5

312.5

416.2

414.2

726.2

567.6

453.9

462.5

266.6

3

507.2

349.7

445.5

414.1

641.4

709.1

576.7

614.5

552.4

539.8

380.3

661.8

662.1

1,125.1 1,089.0 1,033.3 1,085.5 1,100

Construction

Manufacturing

320 Food & Kindred Products

IFCG Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1984=100)

138

Emerging Stock Markets Factbook 1999 322 Textile Mill Products

691.2

392.4

569.2

414.5

546.5

691.9

450.8

516.2

383.2

323 Apparel & Other Textile Products

316.6

213.3

258.2

262.4

315.0

340.3

191.1

189.8

191.9

326 Paper & Allied Products

896.6

665.3

850.2

717.9

956.2

1,401.7 1,158.0 1,092.3 930.0

328 Chemicals & Allied Products

524.4

401.3

480.9

459.4

658.7

751.9

562.2

610.9

553.2

329 Petroleum Refining & Related Products

248.7

144.9

178.5

145.3

290.7

388.1

276.9

375.6

368.2

330 Rubber & Misc. Plastics Products

868.6

474.8

558.5

510.3

851.7

932.4

695.3

1,012.2 783.8

332 Cement & Glass Products

1,322.7 942.9

1,310.8 1,254.3 2,010.0 1,948.7 1,564.1 1,547.5 1,160

333 Primary Metal Industries

358.4

254.3

278.7

270.5

400.5

472.2

320.3

294.0

268.7

334 Fabricated Metal Products

216.2

148.8

177.2

154.3

199.1

219.0

164.1

163.6

137.8

336 Electric & Electronic Equipment

715.0

426.2

472.2

420.8

704.6

885.8

855.5

756.0

930.4

337 Transportation Equipment

693.9

567.4

604.5

521.3

835.8

711.0

592.8

667.1

420.3

339 Miscellaneous Manufacturing

201.7

225.2

262.7

359.9

548.7

580.0

471.0

532.1

563.4

Transportation/communication/utility 904.2

779.3

1,324.3 1,498.8 2,456.4 2,402.6 2,310.2 2,555.0 2,521

230.4

327.7

4

444 Water Transportation

439.4

448 Communications

1,233.3 1,666.8 4,391.1 5,192.4 9,200.0 7,526.6 7,563.2 8,454.8 8,952

449 Electric, Gas or Sanitary Services

774.5

825.0

1,098.8 1,234.5 1,927.7 2,395.0 2,246.2 2,502.3 2,455

5

Wholesale/retail trade

437.6

428.3

411.0

529.2

781.1

537.6

414.0

364.1

381.3

6

Finance/insurance/real estate

282.1

194.6

171.7

169.8

307.1

299.2

267.9

301.2

227.8

660 Banking

284.6

206.0

171.6

174.0

312.0

344.8

322.4

365.6

305.4

661 Credit Agencies Other Than Banks

485.8

350.2

371.0

407.7

901.4

836.5

732.9

542.2

254.8

662 Security & Commodity Brokers

132.0

91.0

80.4

79.5

98.5

83.1

65.3 s

48.2

10.7

663 Insurance

249.6

114.3

120.6

89.1

217.9

254.3

203.4

260.6

225.9

7

216.5

184.5

215.9

268.8

594.9

498.7

459.0

443.3

219.2

216.4

178.8

186.7

206.3

458.8

398.3

349.0

318.6

168.4

Other/diversified holding companies 244.3

225.5

257.6

277.6

557.7

430.4

415.5

455.8

276.6

400.5

280.9

330.3

331.4

555.2

552.2

484.2

522.3

446.4

Services

770 Hotels & Other Lodging Places

9

328.1

489.3

467.7

405.7

IFCG Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1984=100)

438.7

139

268.1

Emerging Stock Markets Factbook 1999 IFCG Composite Total Return Index IFCG Industry Total Return Indexes 1989−1998: (Annual % Change in US$) SIC

Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

19.4

−14.9

6.9

5.5

92.0

−11.9

−14.4

13.6

−44.6

1

Mining

71.0

−58.5

39.9

−16.1

46.5

50.3

−11.5

5.0

14.1

110

Metal Mining

68.0

−61.1

11.7

−15.8

63.6

81.0

−21.6

−1.9

−24.1

2

Construction

39.2

−37.0

0.4

8.0

81.2

−10.5

−13.6

−3.6

−57.0

215

General Building Contractors

78.6

−45.3

33.2

−0.5

75.3

−21.8

−20.0

1.9

−42.4

3

Manufacturing

54.4

−31.1

27.4

−7.0

54.9

10.6

−18.7

6.6

−10.1

320

Food & Kindred Products

94.4

−29.6

74.0

0.0

69.9

−3.2

−5.1

5.1

1.4

322

Textile Mill Products

65.9

−43.2

45.0

−27.2

31.8

26.6

−34.8

14.5

−25.8

323

Apparel & Other Textile Products

23.1

−32.6

21.1

1.6

20.0

8.0

−43.8

−0.7

1.1

326

Paper & Allied Products

59.0

−25.8

27.8

−15.6

33.2

46.6

−17.4

−5.7

−14.9

328

Chemicals & Allied Products

34.9

−23.5

19.9

−4.5

43.4

14.1

−25.2

8.7

−9.4

329

Petroleum Refining & Related Products

21.7

−41.7

23.2

−18.6

100.1

33.5

−28.7

35.7

−2.0

330

Rubber & Misc. Plastics Products

58.2

−45.3

17.6

−8.6

66.9

9.5

−25.4

45.6

−22.6

332

Cement & Glass Products

116.0

−28.7

39.0

−4.3

60.2

−3.0

−19.7

−1.1

−25.0

333

Primary Metal Industries

19.5

−29.0

9.6

−2.9

48.1

17.9

−32.2

−8.2

−8.6

334

Fabricated Metal Products

44.4

−31.2

19.1

−12.9

29.1

10.0

−25.1

−0.3

−15.8

336

Electric & Electronic Equipment

65.9

−40.4

10.8

−10.9

67.5

25.7

−3.4

−11.6

23.1

337

Transportation Equipment

32.9

−18.2

6.5

−13.8

60.3

−14.9

−16.6

12.5

−37.0

339

Miscellaneous Manufacturing

38.7

11.7

16.6

37.0

52.4

5.7

−18.8

13.0

5.9

4

Transportation/communication/utility 66.2

−13.8

69.9

13.2

63.9

−2.2

−3.8

10.6

−1.3

444

Water Transportation

38.3

−47.6

42.3

0.1

49.1

−4.4

−13.3

8.1

−38.9

448

Communications

88.3

35.2

163.4

18.2

77.2

−18.2

0.5

11.8

5.9

IFCG Industry Total Return Indexes 1989−1998: (Annual % Change in US$)

140

Emerging Stock Markets Factbook 1999 449

Electric, Gas or Sanitary Services

74.4

6.5

33.2

12.3

56.2

24.2

−6.2

11.4

−1.9

5

Wholesale/retail trade

21.2

−2.1

−4.0

28.7

47.6

−31.2

−23.0

−12.1

4.7

6

Finance/insurance/real estate

55.1

−31.0

−11.8

−1.1

80.8

−2.6

−10.5

12.4

−24.4

660

Banking

50.5

−27.6

−16.7

1.4

79.3

10.5

−6.5

13.4

−16.5

661

Credit Agencies Other Than Banks

131.5

−27.9

5.9

9.9

121.1

−7.2

−12.4

−26.0

−53.0

662

Security & Commodity Brokers

−14.5

−31.1

−11.7

−1.2

24.0

−15.6

−21.5

−26.1

−77.9

663

Insurance

116.1

−54.2

5.6

−26.2

144.6

16.7

−20.0

28.1

−13.3

7

Services

74.9

−14.8

17.0

24.5

121.3

−16.2

−8.0

−3.4

−50.5

770

Hotels & Other Lodging Places

75.8

−17.3

4.4

10.5

122.4

−13.2

−12.4

−8.7

−47.1

9

Other/diversified holding companies 58.3

−7.7

14.2

7.7

100.9

−22.8

−3.5

9.7

−39.3

IFCG Composite Total Return Index

−29.9

17.6

0.3

67.5

−0.5

−12.3

7.9

−14.5

54.7

4— IFC Investable Indexes Market Weights in the IFCI Composite Index End−1998

Stocks

Weight in IFCI Market Capitalization Composite (US$ millions) (%)

Argentina

31

24,865

4.36

Brazil

90

60,771

10.64

Chile

40

30,348

5.32

Colombia

14

4,932

0.86

Mexico

57

61,990

10.86

Market

Latin America

4— IFC Investable Indexes

141

Emerging Stock Markets Factbook 1999 Peru

21

5,398

0.95

Venezuela

14

4,598

0.81

China

58

12,894

2.26

India

86

13,192

2.31

Indonesia

41

10,432

1.83

Korea

153

55,811

9.78

Malaysia

129

42,234

−

Pakistan

17

2,019

0.35

Philippines

38

10,482

1.84

Sri Lanka

5

342

0.06

Taiwan, China

106

47,875

8.39

Thailand

43

9,001

1.58

Czech Republic

13

2,966

0.52

Greece

54

40,816

7.15

Hungary

13

10,873

1.90

Poland

34

8,128

1.42

Portugal

22

31,438

5.51

Russia

13

5,075

0.89

Slovakia

5

509

0.09

Turkey

58

16,947

2.97

Egypt

34

4,814

0.84

Israel

46

16,282

2.85

Jordan

6

1,471

0.26

Morocco

10

7,801

1.37

South Africa

67

68,672

12.03

Zimbabwe

5

197

0.03

Asia

Europe

Mideast/Africa

4— IFC Investable Indexes

142

Emerging Stock Markets Factbook 1999 Regions Composite

1,194

570,936

100.00

Latin America

267

192,901

33.79

Asia

547

162,048

28.38

Europe

212

116,752

20.45

ME & Africa

168

99,236

17.38

Weights in the IFCI Composite Index, End−1998

Stock Distribution by Region in the IFCI Composite Index, End−1998

Comparative Valuations of the IFCI Indexes, End−1998 Price−earnings ratio

Price−book value

Dividend yield

ratio End 1998

Relative to MSCI End World 1997

End 1998

Relative to MSCI End End World 1997 1998

Relative to MSCI End World 1997

Argentina

13.22

0.46

16.22

1.25

0.36

1.83

4.03

2.52

2.09

Brazil

7.08

0.24

12.85

0.60

0.17

0.99

7.23

4.52

3.43

Chile

14.77

0.51

14.77

1.17

0.34

1.66

4.20

2.63

3.94

Colombia

10.41

0.36

15.89

0.73

0.21

1.18

5.56

3.48

2.94

Mexico

21.31

0.73

14.73

1.44

0.41

2.32

2.97

1.86

1.49

Market

Latin America

Comparative Valuations of the IFCI Indexes, End−1998

143

Emerging Stock Markets Factbook 1999 Peru

21.07

0.73

14.13

1.56

0.45

1.98

3.83

2.39

2.30

Venezuela

5.46

0.19

13.41

0.53

0.15

1.24

4.43

2.77

1.09

China

12.74

0.44

10.16

1.02

0.29

1.11

0.96

0.60

1.57

India

11.46

0.40

15.41

1.75

0.50

2.49

1.91

1.19

1.45

Indonesia

108.81

3.75

10.91

1.66

0.48

1.45

0.83

0.52

1.76

Korea

−50.69

−

17.98

0.92

0.26

0.50

0.62

0.39

1.25

Malaysia

19.89

0.69

9.41

1.29

0.37

1.41

2.53

1.58

3.98

Pakistan

5.73

0.20

12.53

1.22

0.35

2.58

14.69

9.18

2.81

Philippines

15.00

0.52

10.83

1.37

0.39

1.38

0.72

0.45

1.33

Sri Lanka

8.11

0.28

17.01

1.20

0.34

1.60

2.86

1.79

1.25

Taiwan, China

21.49

0.74

29.02

2.63

0.75

3.20

0.84

0.53

0.50

Thailand

−6.45

−

−68.71

1.49

0.43

1.01

0.75

0.47

5.19

Czech Republic

48.17

1.66

−566.30 0.81

0.23

0.91

0.17

0.11

0.34

Greece

33.66

1.16

17.64

4.87

1.40

3.15

1.57

0.98

2.89

Hungary

17.02

0.59

27.39

3.21

0.92

4.22

1.07

0.67

0.40

Poland

10.74

0.37

11.38

1.54

0.44

1.69

1.52

0.95

1.50

Portugal

23.15

0.80

23.92

3.52

1.01

3.20

1.68

1.05

1.38

Russia

10.39

0.36

15.22

0.62

0.18

0.54

1.12

0.70

−

Slovakia

7.37

0.25

10.77

0.31

0.09

0.63

3.83

2.39

−

Turkey

7.80

0.27

20.13

2.74

0.79

6.84

4.34

2.71

1.64

Egypt

8.64

0.30

11.21

2.74

0.79

4.06

6.75

4.22

−

Israel

13.18

0.45

14.14

1.21

0.35

1.42

1.91

1.19

1.70

Jordan

16.31

0.56

15.30

1.65

0.47

1.94

2.27

1.42

1.63

Morocco

19.52

0.67

17.10

3.37

0.97

3.46

2.03

1.27

−

South Africa

10.09

0.35

10.82

1.53

0.44

1.59

3.24

2.03

2.51

Zimbabwe

5.36

0.18

12.80

2.38

0.68

2.87

3.43

2.14

1.46

Asia

Europe

Mideast/Africa

Comparative Valuations of the IFCI Indexes, End−1998

144

Emerging Stock Markets Factbook 1999 Regions Composite

15.87

0.55

14.64

1.30

0.37

1.51

2.94

1.84

2.54

Latin America

11.34

0.39

14.24

0.92

0.26

1.50

4.99

3.12

2.65

Asia

51.69

1.78

15.11

1.34

0.38

1.55

0.96

0.60

2.68

Europe

17.28

0.60

18.52

2.56

0.73

1.32

2.09

1.31

1.42

ME & Africa

10.91

0.38

11.49

1.57

0.45

1.67

3.21

2.01

2.21

Japan

185.20

6.39

41.90

1.60

0.46

1.77

1.00

0.63

0.90

U.K.

20.40

0.70

16.80

3.83

1.10

3.43

2.50

1.56

2.80

U.S.

30.20

1.04

22.90

5.14

1.47

4.20

1.30

0.81

1.60

MSCI World

29.00

1.00

23.20

3.49

1.00

3.08

1.60

1.00

1.80

Developed Markets

IFCI Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

Emerging Markets

Rank Market

% change in IFCI Price Index

1

Korea

120.7

2

Greece

91.2

3

Portugal

38.4

4

Thailand

34.3

5

Morocco

28.7

6

Philippines

9.2

7

Jordan

3.0

8

Malaysia

−2.9

9

Czech Republic

−7.3

10

Hungary

−10.8

11

Poland

−12.3

12

Israel

−16.0

13

Taiwan, China

−17.9

14

India

−23.0

IFCI Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

145

Emerging Stock Markets Factbook 1999

Regions

Developed

15

Indonesia

−28.1

16

Argentina

−28.5

17

Sri Lanka

−29.2

18

Chile

−29.8

19

South Africa

−30.3

20

Egypt

−30.9

21

Mexico

−38.9

22

Peru

−39.3

23

Brazil

−43.0

24

Colombia

−46.8

25

Venezuela

−50.5

26

China

−52.6

27

Turkey

−53.1

28

Slovakia

−56.0

29

Zimbabwe

−58.1

30

Pakistan

−61.9

31

Russia

−84.2

1

Asia

−0.6

2

Europe

−20.5

3

EMEA

−22.6

4

Composite

−24.1

5

ME & Africa

−25.0

6

Latin America

−38.1

7

E. Europe

−58.6

1

U.S., S&P 500

26.7

2

FT, EuroPac

16.9

3

U.K., FT−SE 100

15.8

4

Japan, Nikkei

4.6

IFCI Price Indexes 1998 Performance Summary: (Ranked by 1998 % Changes in US$)

146

Emerging Stock Markets Factbook 1999

Percent Change in IFCI Price Indexes, 1998

IFCI Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels) Market

End−1997 High

Date

Low

Date

End−1998

Argentina

1,115.8

1,134.9

Mar 26 538.8

Sep 10 797.7

Brazil

482.6

537.6

Mar 23 206.8

Sep 10 275.1

Chile

642.6

646.3

Mar 17 343.2

Sep 14 451.3

Colombia

825.4

815.3

Jan 2

304.4

Oct 15 439.4

Mexico

788.2

786.2

Jan 2

342.5

Sep 10 481.6

Peru

221.4

222.6

Jan 2

127.2

Sep 22 134.4

Venezuela

915.0

912.2

Jan 2

253.2

Sep 10 453.3

Latin America

IFCI Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

147

Emerging Stock Markets Factbook 1999

Asia China

55.3

55.1

Jan 2

21.3

Aug 28 26.2

India

83.4

97.0

Apr 21

58.7

Nov 27 64.2

Indonesia

33.7

31.8

Jan 2

9.2

Sep 21 24.2

Korea

24.0

53.1

Dec 30

21.6

Jun 16

53.0

Malaysia

91.2

130.2

Feb 10

40.9

Sep 1

88.5

Pakistan

248.4

248.4

Jan 2

74.7

Oct 21 94.6

Philippines

112.8

153.2

Mar 25 62.0

Sep 11 123.1

Sri Lanka

116.3

138.7

Apr24

57.8

Sep 4

82.4

Taiwan, China

141.1

167.9

Mar 2

96.3

Sep 3

115.8

Thailand

47.0

86.3

Mar 23 31.6

Sep 3

63.2

Czech Republic

54.7

60.2

Apr 29

37.9

Oct 6

50.8

Greece

324.0

619.3

Dec 31

299.7

Jan 29

619.3

Hungary

314.7

362.5

Apr3

181.6

Sep 21 280.6

Poland

596.8

818.9

Mar 13 422.6

Oct 9

523.6

Portugal

211.1

344.5

Apr 22

215.5

Jan 2

292.0

Russia

148.7

153.8

Jan 5

10.8

Oct 5

23.5

Slovakia

99.2

99.4

Jan 2

38.7

Nov 20 43.6

Turkey

312.1

331.9

Jan 5

117.0

Oct 8

146.3

Egypt

93.2

93.5

Jan 2

62.2

Dec 9

64.5

Israel

121.7

135.6

Jun 8

85.5

Oct 8

102.2

Jordan

210.3

238.5

Aug 17 203.3

Nov 17 216.6

Morocco

130.3

184.8

Sep 18

127.7

Jan 20

South Africa

179.8

237.8

Apr 20

102.3

Sep 11 125.2

Zimbabwe

251.7

327.2

Mar 31 94.2

Oct 13 105.3

246.0

267.4

Apr 21

Sep 11 186.8

Europe

Mideast/Africa

167.6

Regions Composite

147.9

IFCI Price Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Levels)

148

Emerging Stock Markets Factbook 1999 Latin America

677.5

682.2

Jan 2

308.2

Sep 10 419.7

Asia

107.7

134.1

Mar 2

67.8

Sep 1

107.0

EMEA

188.5

220.6

Apr 22

106.8

Oct 5

149.8

IFCI Price Indexes High and Low vs. 1997 Close

IFCI Price Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; End 1988=100)

Index levels

Index

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

IFCI Composite

229.6

252.9

262.1

261.7

228.1

204.2

211.9

152.0

159.1

177.0

190

IFCI Latin America

598.1

627.2

665.9

654.4

570.7

538.2

557.7

368.1

392.3

420.9

459

IFCI Asia

105.4

131.4

128.4

115.1

96.7

82.2

85.8

69.4

75.7

89.2

100

IFCI EMEA

142.2

150.5

159.2

173.8

154.9

136.2

141.0

101.3

101.1

112.4

115

IFCI Price Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; 149 End 19

Emerging Stock Markets Factbook 1999

U.S., S&P 500 352.9

377.8

396.7

400.3

392.7

408.2

403.5

344.7

366.2

395.6

419

U.K., FT−SE 100

276.3

294.0

307.5

306.9

296.4

301.a3 295.7

272.1

266.5

282.0

293

Japan, Nikkei

54.3

55.2

51.3

49.0

46.8

47.2

47.0

41.4

40.8

48.2

50.1

FT, EuroPac

120.9

128.4

131.9

132.1

131.6

131.6

132.2

115.7

112.4

124.1

130

−6.7

10.1

3.6

−0.1

−12.8

−10.5

3.8

−28.3

4.6

11.3

7.4

IFCI Latin America

−11.7

4.9

6.2

−1.7

−12.8

−5.7

3.6

−34.0

6.6

7.3

9.1

IFCI Asia

−2.2

24.7

−2.3

−10.3

−16.0

−15.0

4.4

−19.1

9.1

17.8

12.9

IFCI EMEA

−3.7

5.8

5.8

9.2

−10.9

−12.1

3.5

−28.2

−0.2

11.2

2.4

U.S., S&P 500 1.0

7.0

5.0

0.9

−1.9

3.9

−1.2

−14.6

6.2

8.0

5.9

U.K., FT−SE 100

5.6

6.4

4.6

−0.2

−3.4

1.7

−1.9

−8.0

−2.1

5.8

4.1

Japan, Nikkei

11.8

1.6

−7.0

−4.5

−4.5

0.9

−0.5

−11.9

−1.4

18.2

4.0

FT, EuroPac

4.6

6.2

2.7

0.2

−0.4

0.0

0.4

−12.5

−2.9

10.4

5.3

IFCI % change Composite

Note : The IFCI Composite and regional indexes do not include all markets. See base date table in introduction for details.

IFCI Regional Price Indexes vs. U.S. S&P 500, 1998: (daily; end−1997=100)

IFCI Price Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values in US$; End 1988=100)

IFCI Price Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values 150in US$; E

Emerging Stock Markets Factbook 1999

Index levels

% change

Index

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

IFCI Composite

155.5

147.4

200.5

202.9

355.6

307.4

275.8

295.0

246.0

186.8

IFCI Latin America

164.9

174.0

406.3

415.4

650.6

580.2

471.7

538.0

677.5

419.7

IFCI Asia

150.0

118.2

129.7

149.8

290.8

249.4

232.2

252.8

107.7

107.0

IFCI EMEA

168.7

184.6

126.1

79.8

169.3

118.5

141.6

134.3

147.7

114.3

U.S., S&P 500

127.3

118.9

150.2

156.9

168.7

165.4

221.8

266.7

349.4

442.6

U.K., FT−SE 100 121.1

128.1

140.1

133.5

156.6

148.5

177.4

218.2

261.6

303.1

Japan, Nikkei

112.2

72.8

76.3

56.2

64.7

81.9

79.8

69.1

48.6

50.9

FT, EuroPac

109.5

81.6

89.9

76.3

98.4

105.4

114.2

118.3

115.6

135.2

IFCI Composite

55.5

−5.2

36.1

1.2

75.3

−13.6

−10.3

7.0

−16.6

−24.1

IFCI Latin America

64.9

5.6

133.5

2.2

56.6

−10.8

−18.7

14.0

25.9

−38.0

IFCI Asia

50.0

−21.2

9.8

15.5

94.1

−14.2

−6.9

8.9

−57.4

−0.7

IFCI EMEA

68.7

9.4

−31.7

−36.7

112.3

−30.0

19.5

−5.2

10.0

−22.6

U.S., S&P 500

27.3

−6.6

26.3

4.5

7.6

−2.0

34.1

20.3

31.0

26.7

U.K., FT−SE 100 21.1

5.8

9.4

−4.7

17.3

−5.2

19.4

23.0

19.9

15.8

Japan, Nikkei

12.2

−35.1

4.9

−26.4

15.1

26.7

−2.6

−13.4

−29.7

4.6

FT, EuroPac

9.5

−25.5

10.1

−15.0

28.9

7.1

8.3

3.6

−2.3

16.9

Note: The IFCI Composite and regional indexes do not include all markets. See base date table in introduction for details.

IFCI Price Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−period Values 151in US$; E

Emerging Stock Markets Factbook 1999 IFCI Regional Price Indexes vs. U.S. S&P 500, 1989−98 (monthly; end−1988=100)

IFCI Price Indexes 1998: (End−of−period Values in US$) Market

Base date (=100.0)

Jan

Argentina

Dec−88

Brazil

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

1,011.7 1,092.3 1,131.0 1,107.2 970.6

911.4

973.9

654.7

741.9

845.7

Dec−88

449.7

483.4

525.2

509.2

427.0

417.5

453.1

275.7

275.0

285.2

Chile

Dec−88

547.7

599.3

637.6

603.1

548.6

504.4

529.9

387.2

399.3

431.1

Colombia

Feb−91

743.6

641.7

619.1

639.4

583.5

552.3

513.8

398.3

345.3

326.9

Mexico

Dec−88

666.7

683.7

719.6

734.3

636.3

595.9

586.7

390.2

442.6

487.1

Peru

Dec−92

197.7

190.1

210.1

220.4

212.5

197.6

198.4

141.0

136.4

132.2

Venezuela

Jan−90

765.3

743.3

768.0

592.7

601.7

458.2

459.8

273.0

366.3

344.2

China

Dec−92

39.3

54.1

50.8

44.5

40.9

36.0

27.7

21.4

28.5

28.3

India

Nov−92

74.2

81.9

87.5

90.3

79.9

68.8

67.8

62.4

65.7

60.0

Indonesia

Sep−90

21.9

25.5

30.5

26.3

16.1

13.5

17.0

14.3

10.9

16.9

Korea

Jan−92

40.8

37.7

38.0

35.1

27.1

24.1

30.9

24.8

23.6

31.0

Malaysia

Dec−88

82.1

126.0

120.6

101.7

83.6

65.2

59.0

43.0

59.4

63.2

Pakistan

Mar−91

229.8

231.7

212.3

211.4

132.4

98.0

93.8

96.8

109.6

78.0

Philippines

Dec−88

111.0

139.1

146.1

132.8

125.5

103.0

93.6

66.7

74.7

107.2

Sri Lanka

Dec−92

109.7

116.2

122.2

138.3

106.8

78.6

87.1

64.8

63.8

64.6

Taiwan, China

Jan−91

135.2

167.1

156.2

140.1

127.6

115.4

121.5

101.6

107.0

119.4

Thailand

Dec−88

63.9

81.8

76.5

69.9

51.5

39.8

40.9

31.7

42.7

59.1

Czech Republic Dec−93

49.7

54.0

58.2

59.8

51.3

54.0

59.8

41.7

42.9

49.7

Greece

Dec−88

302.8

311.5

401.3

520.9

537.9

488.8

591.0

448.1

464.6

486.7

Hungary

Dec−92

283.9

313.6

346.5

339.0

293.7

310.1

337.4

208.2

204.5

241.2

Latin America

Asia

Europe

IFCI Price Indexes 1998: (End−of−period Values in US$)

152

Emerging Stock Markets Factbook 1999 Poland

Dec−92

604.1

760.2

728.2

788.7

684.3

693.9

743.5

463.9

492.5

523.8

Portugal

Dec−88

234.9

265.8

294.9

323.9

314.5

288.8

310.5

267.4

232.0

281.8

Russia

Feb−97

103.2

118.0

123.4

119.5

71.8

56.5

56.8

23.5

13.6

20.3

Slovakia

Feb−97

87.5

84.6

78.4

75.0

61.4

56.4

59.9

59.7

52.8

44.7

Turkey

Aug−89

296.1

261.9

243.8

304.2

255.4

268.5

269.8

160.1

140.8

134.9

Egypt

Feb−97

87.4

87.3

91.2

88.6

80.6

76.1

75.0

66.0

70.6

65.8

Israel

Dec−96

110.2

114.7

123.9

122.0

130.9

125.8

125.4

111.0

106.3

94.7

Jordan

Dec−88

207.8

210.9

206.0

217.7

228.1

221.3

232.5

232.7

220.0

206.1

Morocco

Feb−97

129.4

136.9

141.9

156.3

164.3

164.6

165.3

180.3

181.2

176.1

South Africa

Dec−92

190.0

203.4

213.4

232.5

205.2

157.0

154.7

103.6

118.1

143.6

Zimbabwe

Jun−93

269.4

279.2

327.2

268.8

243.7

245.1

217.3

126.0

108.1

97.7

Mideast/Africa

IFCI Price Indexes 1998: (Monthly % Change in US$) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Argentina

−9.3

8.0

3.5

−2.1

−12.3

−6.1

6.9

−32.8

13.3

14.0

4.7

−9.9

Brazil

−6.8

7.5

8.6

−3.1

−16.1

−2.2

8.5

−39.2

−0.2

3.7

19.7

−19.4

Chile

−14.8

9.4

6.4

−5.4

−9.0

−8.1

5.0

−26.9

3.1

8.0

16.8

−10.4

Colombia

−9.9

−13.7

−3.5

3.3

−8.7

−5.4

−7.0

−22.5

−13.3

−5.3

30.2

3.2

Mexico

−15.4

2.6

5.3

2.0

−13.3

−6.4

−1.5

−33.5

13.4

10.0

−5.4

4.6

Peru

−10.7

−3.8

10.5

4.9

−3.6

−7.0

0.4

−28.9

−3.3

−3.1

18.0

−13.8

Venezuela

−16.4

−2.9

3.3

−22.8

1.5

−23.8

0.3

−40.6

34.2

−6.0

7.9

22.1

China

−28.9

37.5

−6.1

−12.4

−8.1

−12.0

−22.9

−22.8

33.3

−0.7

1.4

−8.9

India

−11.0

10.4

6.8

3.2

−11.5

−13.9

−1.5

−7.9

5.3

−8.7

−1.5

8.6

Indonesia

−34.8

16.5

19.4

−13.6

−38.7

−16.6

26.1

−15.6

−24.3

55.9

46.5

−2.3

Korea

69.9

−7.6

0.7

−7.5

−22.9

−11.0

28.0

−19.8

−4.7

31.4

24.0

37.9

Malaysia

−10.0

53.5

−4.2

−15.7

−17.8

−22.0

−9.5

−27.2

38.3

6.4

28.2

9.2

Latin America

Asia

IFCI Price Indexes 1998: (Monthly % Change in US$)

153

Emerging Stock Markets Factbook 1999 Pakistan

−7.5

0.8

−8.4

−0.4

−37.4

−26.0

−4.3

3.1

13.2

−28.8

35.3

−10.3

Philippines

−1.6

25.3

5.0

−9.1

−5.5

−17.9

−9.2

−28.7

12.1

43.4

15.5

−0.6

Sri Lanka

−5.7

5.9

5.2

13.2

−22.8

−26.4

10.8

−25.6

−1.5

1.3

20.8

5.5

Taiwan, China

−4.2

23.6

−6.5

−10.3

−8.9

−9.6

5.3

−16.4

5.3

11.6

6.8

−9.2

Thailand

35.8

28.1

−6.6

−8.6

−26.4

−22.8

2.9

−22.5

34.8

38.2

9.5

−2.3

Czech Republic

−9.1

8.6

7.7

2.9

−14.2

5.2

10.6

−30.3

3.0

15.7

−3.2

5.6

Greece

−6.6

2.9

28.8

29.8

3.3

−9.1

20.9

−24.2

3.7

4.8

15.4

10.3

Hungary

−9.8

10.5

10.5

−2.2

−13.4

5.6

8.8

−38.3

−1.8

17.9

8.7

7.1

Poland

1.2

25.8

−4.2

8.3

−13.2

1.4

7.1

−37.6

6.2

6.4

−7.0

7.5

Portugal

11.3

13.2

10.9

9.8

−2.9

−8.2

7.5

−13.9

−13.3

21.5

0.9

2.7

Russia

−30.6

14.4

4.6

−3.1

−39.9

−21.4

0.6

−58.7

−41.9

48.5

45.3

−20.3

Slovakia

−11.8

−3.3

−7.4

−4.3

−18.1

−8.2

6.2

−0.3

−11.6

−15.3

−11.4

10.0

Turkey

−5.1

−11.5

−6.9

24.8

−16.1

5.1

0.5

−40.7

−12.1

−4.2

12.4

−3.5

Egypt

−6.3

−0.1

4.5

−2.9

−9.0

−5.6

−1.4

−12.0

7.0

−6.8

−3.3

1.3

Israel

−9.4

4.1

8.0

−1.5

7.3

−3.9

−0.3

−11.5

−4.2

−11.0

7.7

0.2

Jordan

−1.2

1.5

−2.3

5.7

4.8

−3.0

5.1

0.1

−5.5

−6.3

3.0

2.0

Morocco

−0.7

5.8

3.7

10.1

5.1

0.2

0.4

9.0

0.5

−2.8

−3.9

−1.0

South Africa

5.7

7.1

4.9

9.0

−11.8

−23.5

−1.5

−33.0

14.0

21.5

−5.5

−7.7

Zimbabwe

7.1

3.6

17.2

−17.8

−9.3

0.6

−11.3

−42.0

−14.2

−9.6

−0.9

8.8

Europe

Mideast/Africa

IFCI Price Indexes 1989−1998: (End−of−period Values in US$) Market

Base date (=100.0)

1989

1990

1 991

1992

1993

1994

1995

1996

1997

Argentina

Dec−88

257.7

146.2

791.5

579.6

994.0

734.4

800.9

950.6

1,115.8

Brazil

Dec−88

118.6

34.7

125.9

125.0

232.7

384.4

305.3

396.4

482.6

Chile

Dec−88

136.0

182.2

367.6

418.5

551.8

784.3

748.5

620.2

642.6

Latin America

IFCI Price Indexes 1989−1998: (End−of−period Values in US$)

154

Emerging Stock Markets Factbook 1999 Colombia

Feb−91

−

−

310.9

425.2

644.7

811.6

598.1

633.1

825.4

Mexico

Dec−88

225.3

278.3

582.8

676.0

1,006.4

607.9

453.2

529.7

788.2

Peru

Dec−92

−

−

−

100.0

120.9

178.3

197.2

196.8

221.4

Venezuela

Jan−90

−

684.6

1,063.8

519.6

591.9

495.0

334.4

728.0

915.0

China

Dec−92

−

−

−

100.0

149.3

75.9

54.1

73.7

55.3

India

Nov−92

−

−

−

93.7

116.5

123.5

80.4

78.8

83.4

Indonesia

Sep−90

−

96.3

57.4

58.7

124.7

99.8

109.7

127.6

33.7

Korea

Jan−92

−

−

−

98.2

118.2

136.8

125.9

77.3

24.0

Malaysia

Dec−88

143.3

126.7

135.9

163.6

339.1

268.8

271.2

336.6

91.2

Pakistan

Mar−91

−

−

304.1

200.2

388.0

366.1

242.6

195.7

248.4

Philippines

Dec−88

159.2

65.7

111.7

133.5

336.7

298.1

259.6

293.6

112.8

Sri Lanka

Dec−92

−

−

−

100.0

177.2

172.0

104.1

95.1

116.3

Taiwan, China

Jan−91

−

−

101.9

73.8

135.2

164.6

112.8

153.3

141.1

Thailand

Dec−88

198.5

145.1

171.6

230.4

477.6

383.5

375.8

221.4

47.0

Czech Republic

Dec−93

−

−

−

−

100.0

80.2

60.0

70.2

54.7

Greece

Dec−88

189.3

368.6

288.6

195.3

227.7

225.7

241.6

242.4

324.0

Hungary

Dec−92

−

−

−

100.0

166.7

151.8

98.4

196.8

314.7

Poland

Dec−92

−

−

−

100.0

817.9

469.4

426.4

732.3

596.8

Portugal

Dec−88

138.1

89.6

91.7

77.3

113.8

121.1

115.8

146.1

211.1

Russia

Feb−97

−

−

−

−

−

−

−

−

148.7

Slovakia

Feb−97

−

−

−

−

−

−

−

−

99.2

Turkey

Aug−89

282.5

278.8

145.2

68.5

212.6

120.7

104.5

148.7

312.1

Egypt

Feb−97

−

−

−

−

−

−

−

−

93.2

Israel

Dec−96

−

−

−

−

−

−

−

100.0

121.7

Jordan

Dec−88

96.0

99.4

99.9

116.8

165.6

150.0

184.7

186.7

210.3

Morocco

Feb−97

−

−

−

−

−

−

−

−

130.3

South Africa

Dec−92

−

−

−

100.0

176.4

224.7

258.1

208.6

179.8

Asia

Europe

Mideast/Africa

IFCI Price Indexes 1989−1998: (End−of−period Values in US$)

155

Emerging Stock Markets Factbook 1999 Zimbabwe

Jun−93

−

−

−

−

202.1

244.7

274.7

473.5

251.7

IFCI Price Indexes 1989−1998: (Annual % Change in US$) Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

Argentina

157.7

−43.3

441.5

−26.8

71.5

−26.1

9.1

18.7

17.4

−28.5

Brazil

18.6

−70.8

263.2

−0.7

86.2

65.2

−20.6

29.8

21.8

−43.0

Chile

36.0

34.0

101.8

13.9

31.8

42.1

−4.6

−17.1

3.6

−29.8

Colombia

−

−

−

36.7

51.6

25.9

−26.3

5.9

30.4

−46.8

Mexico

125.3

23.5

109.4

16.0

48.9

−39.6

−25.5

16.9

48.8

−38.9

Peru

−

−

−

−

20.9

47.5

10.6

−0.2

12.5

−39.3

Venezuela

−

−

−55.4

−51.2

13.9

−16.4

−32.4

117.7

25.7

−50.5

China

−

−

−

−

49.3

−49.2

−28.7

36.3

−25.0

−52.6

India

−

−

−

−

24.3

6.0

−34.9

−2.0

5.8

−23.0

Indonesia

−

−

−40.4

2.2

112.4

−20.0

9.9

16.4

−73.6

−28.1

Korea

−

−

−

−

20.4

15.8

−7.9

−38.7

−68.9

120.7

Malaysia

43.3

−11.6

7.2

20.4

107.3

−20.7

0.9

24.1

−72.9

−2.9

Pakistan

−

−

−

−34.2

93.8

−5.6

−33.7

−19.3

26.9

−61.9

Philippines

59.2

−58.7

70.0

19.6

152.1

−11.5

−12.9

13.1

−61.6

9.2

Sri Lanka

−

−

−

−

77.2

−3.0

−39.5

−8.6

22.3

−29.2

Taiwan, China

−

−

−

−27.6

83.2

21.7

−31.5

35.9

−8.0

−17.9

Thailand

98.5

−26.9

18.2

34.2

107.3

−19.7

−2.0

−41.1

−78.8

34.3

Czech Republic

−

−

−

−

−

−19.8

−25.2

16.9

−22.0

−7.3

Greece

89.3

94.7

−21.7

−32.3

16.6

−0.9

7.0

0.3

33.7

91.2

Hungary

−

−

−

−

66.7

−8.9

−35.1

99.9

60.0

−10.8

Poland

−

−

−

−

717.9

−42.6

−9.2

71.8

−18.5

−12.3

Portugal

38.1

−35.2

2.3

−15.7

47.3

6.4

−4.4

26.2

44.4

38.4

Latin America

Asia

Europe

IFCI Price Indexes 1989−1998: (Annual % Change in US$)

156

Emerging Stock Markets Factbook 1999 Russia

−

−

−

−

−

−

−

−

−

−84.2

Slovakia

−

−

−

−

−

−

−

−

−

−56.0

Turkey

−

−1.3

−47.9

−52.8

210.6

−43.2

−13.4

42.3

109.9

−53.1

Egypt

−

−

−

−

−

−

−

−

−

−30.9

Israel

−

−

−

−

−

−

−

−

21.7

−16.0

Jordan

−4.0

3.6

0.5

16.9

41.7

−9.4

23.1

1.1

12.6

3.0

Morocco

−

−

−

−

−

−

−

−

−

−28.7

South Africa

−

−

−

−

76.4

27.4

14.8

−19.2

−13.8

−30.3

Zimbabwe

−

−

−

−

−

21.1

12.3

72.4

−46.8

−58.1

Mideast/Africa

Statistics of the IFCI Price Indexes: (US$; December 1993−December 1998) Number of months

Mean of % change

Annualized Correlation Standard Annualized standard with Deviation Mean deviation S&P500

Argentina

60

0.13

9.75

1.56

33.77

0.64

Brazil

60

1.07

12.51

12.84

43.34

0.46

Chile

60

−0.01

8.08

−0.12

27.99

0.49

Colombia

60

−0.28

8.59

−3.36

29.76

0.14

Mexico

60

−0.51

11.36

−6.12

39.35

0.53

Peru

60

0.61

9.43

7.32

32.67

0.23

Venezuela

60

0.90

15.85

10.80

54.91

0.31

China

60

−2.08

12.62

−24.96

43.72

0.38

India

60

−0.67

8.14

−8.04

28.20

0.22

Indonesia

60

−1.28

16.76

−15.36

58.06

0.44

Korea

60

−0.26

15.54

−3.12

53.83

0.24

Malaysia

60

−1.28

14.04

−15.36

48.64

0.47

Pakistan

60

−1.56

12.25

−18.72

42.44

0.17

Market

Latin America

Asia

Statistics of the IFCI Price Indexes: (US$; December 1993−December 1998)

157

Emerging Stock Markets Factbook 1999 Philippines

60

−1.03

11.44

−12.36

39.63

0.55

Sri Lanka

60

−0.72

10.35

−8.64

35.85

0.38

Taiwan, China

60

0.13

8.99

1.56

31.14

0.38

Thailand

60

−2.32

14.26

−27.84

49.40

0.52

Czech Republic* 59

−1.56

8.77

−18.72

30.38

0.41

Greece

60

2.09

9.35

25.08

32.39

0.39

Hungary

60

1.85

14.62

22.20

50.65

0.48

Poland

60

0.35

14.77

4.20

51.16

0.39

Portugal

60

1.79

6.59

21.48

22.83

0.43

Russia*

22

−3.20

26.73

−38.40

92.60

0.57

Slovakia*

22

−3.88

7.99

−46.56

27.68

−0.25

Turkey

60

0.72

16.59

8.64

57.47

0.27

Egypt*

22

−2.30

5.21

−27.60

18.05

0.33

Israel*

24

0.31

6.78

3.72

23.49

0.51

Jordan

60

0.52

3.70

6.24

12.82

0.12

Morocco*

22

2.12

5.21

25.44

18.05

−0.57

South Africa

60

−0.18

8.63

−2.16

29.90

0.46

Zimbabwe

60

−0.24

12.31

−2.88

42.64

0.28

Composite

60

−0.81

7.01

−9.72

24.28

0.68

Latin America

60

−0.29

9.07

−3.48

31.42

0.59

Asia

60

−1.26

8.81

−15.12

30.52

0.55

EMEA

60

−0.37

7.40

−4.44

25.63

0.52

Europe*

35

1.18

9.82

14.16

34.02

0.53

E. Europe*

35

−1.13

12.54

−13.56

43.44

0.52

ME & Africa*

35

−1.75

7.26

−21.00

25.15

0.58

Europe

Mideast/Africa

Regions

Statistics of the IFCI Price Indexes: (US$; December 1993−December 1998)

158

Emerging Stock Markets Factbook 1999 Developed Markets U.S., S&P 500

60

1.70

4.00

20.40

13.86

1.00

U.K., FT−SE 100

60

1.18

3.77

14.16

13.06

0.64

Japan, Nikkei

60

−0.18

6.71

−2.16

23.24

0.40

FT, EuroPac

60

0.61

4.08

7.32

14.13

0.66

Note: Statistical data based on less than 60 months of data.

IFCI Price Index Annualized Standard Deviation, 1993−1998

Statistics of the IFCI Price Indexes: (US$; December 1993−December 1998)

159

Emerging Stock Markets Factbook 1999 IFCI Price Index Annualized Mean Return, 1993−1998

IFCI Price Index Correlations: (US$ December 1993−December 1998)

Note : Correlations are for a 60−month period ending in December 1998, except as noted on page 100. Correlations with S&P 500: (US$; December 1993−December 1998)

IFCI Price Index Correlations: (US$ December 1993−December 1998)

160

Emerging Stock Markets Factbook 1999

IFCI Price Index Correlations with S&P 500, 1993−1998

IFCI Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

Emerging Markets

Rank

Market

% change in IFCI Total Return Index

1

Korea

124.3

2

Greece

95.6

3

Portugal

40.4

4

Thailand

35.4

5

Morocco

31.1

6

Philippines

10.1

7

Jordan

5.8

8

Malaysia

0.1

9

Czech Republic −7.0

10

Hungary

−9.9

IFCI Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

161

Emerging Stock Markets Factbook 1999

Regions

Developed Markets

11

Poland

−10.8

12

Israel

−14.4

13

Taiwan, China

−17.3

14

India

−21.5

15

Argentina

−26.1

16

Egypt

−27.0

17

Chile

−27.2

18

Sri Lanka

−27.3

19

Indonesia

−27.5

20

South Africa

−28.2

21

Mexico

−37.4

22

Peru

−37.6

23

Brazil

−39.5

24

Colombia

−44.0

25

Venezuela

−47.7

26

China

−50.9

27

Turkey

−51.7

28

Slovakia

−54.9

29

Zimbabwe

−56.8

30

Pakistan

−58.3

31

Russia

−84.0

1

Asia

0.8

2

Europe

−19.0

3

EMEA

−20.8

4

Composite

−22.0

5

ME & Africa

−22.9

6

Latin America

−35.6

7

E. Europe

−58.1

1

U.S., S&P 500

40.7

2

FT, EuroPac

19.3

IFCI Total Return Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

162

Emerging Stock Markets Factbook 1999 Note: Neither local Japanese index (Nikkei or Topix) publish a total return index.

Percent Change in IFCI Total Return Indexes, 1998

IFCI Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Values) Market

End−1997 High

Date

Low

Date

End−1998

Argentina

1,579.8

1,620.3

Mar 26

780.5

Sep 10

1,167.9

Brazil

652.3

742.3

Apr 15

291.2

Sep 10

394.7

Chile

999.9

1,010.6

Mar 17

548.2

Sep 14

727.7

Colombia

998.8

987.2

Jan 2

382.0

Oct 15

559.6

Mexico

921.4

919.1

Jan 2

406.2

Sep 10

576.7

Peru

241.1

245.1

May 4

142.0

Sep 22

150.5

Latin America

IFCI Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Values)

163

Emerging Stock Markets Factbook 1999 Venezuela

1,093.7

1,092.1

Jan 2

311.1

Sep 10

571.5

China

62.5

62.2

Jan 2

25.0

Aug 28 30.7

India

89.0

103.8

Apr 21

63.9

Nov 27 69.9

Indonesia

37.3

35.2

Jan 2

10.2

Sep 21

27.0

Korea

26.3

59.2

Dec 30

24.1

Jun 16

59.1

Malaysia

111.4

159.3

Feb 10

50.9

Sep 1

111.5

Pakistan

302.9

302.9

Jan 2

97.3

Oct 21

126.4

Philippines

122.9

167.3

Mar 25

67.9

Sep 11

135.3

Sri Lanka

124.4

149.4

Apr 24

63.3

Sep 4

90.5

Taiwan, China

151.2

180.2

Mar 2

103.7

Sep 3

124.9

Thailand

60.0

110.0

Mar 23

40.6

Sep 3

81.2

Czech Republic

55.2

60.8

Jul 21

38.4

Oct 6

51.3

Greece

529.3

1,035.4

Dec 31

489.8

Jan 29

1,035.4

Hungary

350.3

403.5

Apr 3

204.2

Sep 21

315.6

Poland

653.4

898.3

May 5

470.1

Oct 9

582.6

Portugal

269.5

442.3

Apr 22

275.1

Jan 2

378.3

Russia

148.8

153.9

Jan 5

10.9

Oct 5

23.7

Slovakia

102.7

103.0

Jan 2

41.1

Nov 20 46.3

Turkey

450.9

479.4

Jan 5

174.2

Oct 8

217.8

Egypt

97.2

97.4

Jan 2

68.5

Dec 9

71.0

Israel

124.3

138.9

Jun 8

88.3

Oct 8

106.3

Jordan

272.7

317.6

Aug 17 265.1

Feb 16

288.4

Morocco

132.9

192.0

Sep 18

130.3

Jan 20

174.1

South Africa

204.1

271.9

Apr 20

118.4

Sep 11

146.6

Zimbabwe

293.3

383.9

Mar 31

113.2

Oct 13

126.7

Asia

Europe

Mideast/Africa

Regions IFCI Total Return Indexes 1998 High, Low, Close: (US$; Year−end and Daily Closing Values)

164

Emerging Stock Markets Factbook 1999 Composite

307.3

336.5

Apr 21

188.4

Sep 11

239.7

Latin America

873.5

879.8

Jan 2

408.2

Sep 10

563.1

Asia

129.4

161.4

Mar 2

82.4

Sep 1

130.3

Europe

200.9

236.0

Apr 22

115.9

Oct 5

162.6

Mideast/Africa

75.4

94.8

Apr 20

51.8

Aug 28 58.2

IFCI Total Return Indexes High and Low vs. 1997 Close

IFCI Total Return Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values in US$; End 1988=100)

Index levels

Index

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

IFCI Composite

287.2

316.5

328.9

329.8

288.6

259.1

269.4

193.7

203.0

226.3

243

772.4

810.7

863.7

856.3

749.5

707.9

735.9

487.4

520.5

560.2

611

IFCI Latin America

IFCI Total Return Indexes Regional vs. Developed Market Performance, 1998: (End−of−period Values 165in US$;

Emerging Stock Markets Factbook 1999 IFCI Asia

126.9

158.2

154.8

138.9

116.9

99.6

104.1

84.3

92.1

108.5

122

IFCI EMEA

201.0

212.9

225.8

247.0

221.4

195.3

202.5

145.6

145.6

162.2

166

U.S., S&P 500 497.3

533.1

560.4

566.1

556.3

578.9

572.8

490.1

521.5

563.8

598

FT, EuroPac

146.2

155.5

159.9

160.5

160.2

160.2

161.4

141.5

137.8

152.4

160

−6.6

10.2

3.9

0.3

−12.5

−10.2

4.0

−28.1

4.8

11.5

7.5

IFCI Latin America

−11.6

5.0

6.5

−0.9

−12.5

−5.6

4.0

−33.8

6.8

7.6

9.2

IFCI Asia

−1.9

24.7

−2.2

−10.2

−15.9

−14.8

4.5

−19.0

9.2

17.9

13.0

IFCI EMEA

−3.7

5.9

6.1

9.4

−10.4

−11.8

3.7

−28.1

0.0

11.4

2.5

U.S., S&P 500 10.6

7.2

5.1

1.0

−1.7

4.1

−1.1

−14.4

6.4

8.1

6.1

FT, EuroPac

6.4

2.8

0.4

−0.2

0.0

0.8

−12.3

−2.6

10.6

5.5

IFCI % change Composite

4.8

Note: The IFCI Composite and regional indexes do not include all markets. See base date table in introduction for details.

IFCI Regional Total Return Indexes vs. U.S. S&P 500, 1998: (daily; end−1997=100)

IFCI Total Return Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−Period Values in US$; End 1988=100)

Index levels

Index

1989

1990

1991

1992

1 993

1994

1995

1996

1997

1998

IFCI Composite

161.5

158.0

220.4

227.7

408.9

359.8

329.5

360.4

307.3

239.7

IFCI Latin

176.2

192.3

460.0

475.8

764.9

693.3

576.5

675.7

873.5

563.1

IFCI Total Return Indexes Regional vs. Developed Market Performance, 1989−1998: (End−of−Period 166Values in

Emerging Stock Markets Factbook 1999 America

% change

IFCI Asia

154.1

124.5

139.9

165.8

327.7

285.8

270.1

298.5

129.4

130.3

IFCI EMEA

175.8

200.2

141.7

95.4

212.2

154.6

189.4

185.0

208.8

165.3

U.S., S&P 500

131.6

127.5

166.2

179.0

196.8

199.4

274.1

337.2

449.6

632.4

FT, EuroPac

111.3

84.7

95.4

83.2

109.4

119.5

132.1

139.8

139.5

166.5

IFCI Composite

61.5

−2.2

39.5

3.3

79.6

−12.0

−8.4

9.4

−14.7

−22.0

IFCI Latin America

76.2

9.1

139.2

3.5

60.7

−9.4

−16.9

17.2

29.3

−35.5

IFCI Asia

54.1

−19.2

12.4

18.5

97.6

−12.8

−5.5

10.5

−56.6

0.7

IFCI EMEA

75.8

13.9

−29.2

−32.7

122.4

−27.1

22.5

−2.3

12.9

−20.8

U.S., S&P 500

31.6

−3.1

30.4

7.6

10.0

1.3

37.4

23.0

33.3

40.7

FT, EuroPac

11.3

−23.8

12.6

−12.8

31.5

9.2

10.6

5.8

−0.2

19.3

Note: The IFCI Composite and regional indexes do not include all markets. See base date table in introduction for details.

IFCI Regional Total Return Indexes vs. U.S. S&P 500, 1989−1998: (monthly; end−1988=100)

IFCI Total Return Indexes 1998: (End−of−period Values in US$)

IFCI Total Return Indexes 1998: (End−of−period Values in US$)

167

Emerging Stock Markets Factbook 1999 Market

Base date (=100.0)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Argentina

Dec−88

1,438.7 1,559.3 1,614.8 1,587.0 1,395.3 1,310.2 1,406.2 948.3

1,074.7 1,227.5

Brazil

Dec−88

609.2

655.0

716.5

706.8

593.3

580.5

633.5

388.1

387.6

405.4

Chile

Dec−88

854.3

936.2

998.2

950.1

873.0

802.7

844.2

617.9

638.4

690.6

Colombia

Feb−91

901.6

779.5

753.5

783.5

716.9

680.3

635.6

496.3

432.0

411.6

Mexico

Dec−88

779.4

799.3

843.1

863.2

751.1

706.0

695.7

462.7

526.2

579.2

Peru

Dec−92

215.3

207.4

229.9

243.0

234.5

218.0

220.9

157.5

152.3

147.6

Venezuela

Jan−90

916.2

890.2

920.2

715.3

726.5

553.6

558.1

335.6

458.4

433.3

China

Dec−92

44.4

61.1

57.4

50.3

46.7

41.6

32.3

25.1

33.4

33.2

India

Nov−92

79.2

87.4

93.6

96.8

85.8

74.4

73.4

67.9

71.5

65.3

Indonesia

Sep−90

24.3

28.3

33.8

29.2

17.9

14.9

18.9

16.0

12.1

18.9

Korea

Jan−92

45.4

42.0

42.3

39.1

30.2

26.9

34.4

27.6

26.3

34.5

Malaysia

Dec−88

100.4

154.2

147.8

124.8

102.9

80.6

73.1

53.5

74.2

79.3

Pakistan

Mar−91

280.3

282.7

270.2

269.4

169.0

126.7

121.5

125.3

142.7

101.5

Philippines

Dec−88

121.0

151.8

159.6

145.1

137.2

112.7

102.4

73.0

82.0

117.7

Sri Lanka

Dec−92

117.5

124.4

131.5

149.0

115.0

86.1

95.4

71.0

69.9

70.8

Taiwan, China

Jan−91

145.1

179.3

167.6

150.3

137.2

124.2

130.9

109.4

115.2

128.7

Thailand

Dec−88

81.4

104.3

97.5

89.8

66.1

51.1

52.6

40.7

54.9

75.9

Czech Republic Dec−93

50.2

54.5

58.7

60.4

51.8

54.5

60.4

42.2

43.4

50.2

Greece

Dec−88

494.7

509.2

657.1

858.3

892.9

815.4

988.0

749.1

776.7

813.7

Hungary

Dec−92

315.9

349.0

385.7

377.3

328.8

348.5

379.3

234.1

230.0

271.3

Poland

Dec−92

661.5

832.3

797.3

867.2

752.7

768.8

826.9

516.1

548.0

582.8

Portugal

Dec−88

299.8

339.4

377.4

416.2

406.9

374.0

402.2

346.4

300.5

365.1

Russia

Feb−97

103.2

118.1

123.5

119.7

72.4

57.1

57.5

23.8

13.8

20.5

Slovakia

Feb−97

90.6

87.6

81.2

78.8

65.2

59.9

63.6

63.5

56.1

47.5

Turkey

Aug−89

427.7

378.3

353.1

441.5

379.9

399.5

401.4

238.2

209.6

200.8

Latin America

Asia

Europe

IFCI Total Return Indexes 1998: (End−of−period Values in US$)

168

Emerging Stock Markets Factbook 1999

Mideast/Africa Egypt

Feb−97

91.1

91.0

95.3

93.1

85.6

81.2

81.0

71.2

76.2

71.7

Israel

Dec−96

112.5

117.1

126.6

124.8

134.1

129.0

129.2

114.4

109.7

97.9

Jordan

Dec−88

269.6

273.6

268.7

288.8

303.8

294.7

309.7

310.0

293.0

274.5

Morocco

Feb−97

132.0

139.6

144.8

159.4

167.5

168.2

171.6

187.3

188.2

183.0

South Africa

Dec−92

215.7

231.4

243.9

265.9

234.7

180.6

178.0

119.6

137.1

167.2

Zimbabwe

Jun−93

314.5

326.0

383.9

315.5

286.4

292.6

260.1

150.8

129.9

117.5

IFCI Total Return Indexes 1998: (Monthly % Change in US$) Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Argentina

−8.9

8.4

3.6

−1.7

−12.1

−6.1

7.3

−32.6

13.3

14.2

5.1

−9.5

Brazil

−6.6

7.5

9.4

−1.3

−16.1

−2.2

9.1

−38.7

−0.1

4.6

19.8

−18.7

Chile

−14.6

9.6

6.6

−4.8

−8.1

−8.1

5.2

−26.8

3.3

8.2

17.1

−10.0

Colombia

−9.7

−13.5

−3.3

4.0

−8.5

−5.1

−6.6

−21.9

−13.0

−4.7

30.8

3.9

Mexico

−15.4

2.6

5.5

2.4

−13.0

−6.0

−1.5

−33.5

13.7

10.1

−5.5

5.3

Peru

−10.7

−3.7

10.9

5.7

−3.5

−7.0

1.3

−28.7

−3.3

−3.1

18.2

−13.7

Venezuela

−16.2

−2.8

3.4

−22.3

1.6

−23.8

0.8

−39.9

36.6

−5.5

8.0

22.1

China

−28.9

37.6

−6.1

−12.3

−7.1

−11.1

−22.3

−22.3

33.3

−0.7

1.5

−8.9

India

−11.0

10.4

7.0

3.5

−11.3

−13.3

−1.3

−7.6

5.3

−8.6

−1.5

8.6

Indonesia

−34.8

16.5

19.4

−13.6

−38.6

−16.6

26.6

−15.5

−24.3

56.0

46.6

−2.3

Korea

72.5

−7.6

0.8

−7.5

−22.9

−10.9

28.0

−19.8

−4.7

31.3

24.0

37.9

Malaysia

−9.9

53.6

−4.2

−15.6

−17.5

−21.7

−9.2

−26.9

38.7

6.9

28.4

9.6

Pakistan

−7.5

0.9

−4.4

−0.3

−37.3

−25.0

−4.1

3.1

13.9

−28.8

36.4

−8.8

Philippines

−1.6

25.4

5.1

−9.1

−5.4

−17.9

−9.2

−28.7

12.4

43.5

15.5

−0.4

Sri Lanka

−5.5

5.9

5.7

13.3

−22.8

−25.1

10.8

−25.6

−1.5

1.3

21.1

5.5

Taiwan, China

−4.0

23.6

−6.6

−10.3

−8.7

−9.5

5.4

−16.4

5.3

11.6

6.9

−9.1

Thailand

35.8

28.2

−6.5

−7.9

−26.4

−22.8

2.9

−22.5

34.8

38.2

9.5

−2.3

Latin America

Asia

IFCI Total Return Indexes 1998: (Monthly % Change in US$)

169

Emerging Stock Markets Factbook 1999

Europe Czech Republic

−9.1

8.6

7.7

2.9

−14.2

5.3

10.9

−30.2

2.9

15.7

−3.2

5.6

Greece

−6.5

2.9

29.0

30.6

4.0

−8.7

21.2

−24.2

3.7

4.8

15.4

10.3

Hungary

−9.8

10.5

10.5

−2.2

−12.9

6.0

8.8

−38.3

−1.8

17.9

8.7

7.1

Poland

1.2

25.8

−4.2

8.8

−13.2

2.1

7.6

−37.6

6.2

6.4

−7.0

7.5

Portugal

11.3

13.2

11.2

10.3

−2.2

−8.1

7.5

−13.9

−13.3

21.5

0.9

2.7

Russia

−30.6

14.4

4.6

−3.1

−39.5

−21.1

0.6

−58.7

−41.9

48.4

45.4

−20.3

Slovakia

−11.8

−3.3

−7.3

−3.0

−17.2

−8.2

6.2

−0.3

−11.6

−15.3

−11.4

10.0

Turkey

−5.1

−11.5

−6.7

25.0

−13.9

5.2

0.5

−40.7

−12.0

−4.2

12.4

−3.5

Egypt

−6.2

−0.1

4.7

−2.3

−8.1

−5.2

−0.2

−12.1

7.0

−5.9

−2.3

1.3

Israel

−9.4

4.1

8.1

−1.4

7.5

−3.8

0.2

−11.5

−4.2

−10.8

7.9

0.7

Jordan

−1.2

1.5

−1.8

7.5

5.2

−3.0

5.1

0.1

−5.5

−6.3

3.0

2.0

Morocco

−0.7

5.8

3.7

10.1

5.1

0.4

2.0

9.1

0.5

−2.8

−3.9

−1.0

South Africa

5.7

7.3

5.4

9.0

−11.7

−23.1

−1.5

−32.8

14.7

21.9

−5.4

−7.3

Zimbabwe

7.2

3.7

17.7

−17.8

−9.2

2.2

−11.1

−42.0

−13.9

−9.6

−0.9

8.8

1994

1995

Mideast/Africa

IFCI Total Return Indexes 1989−1998: (End−of−period Values in US$) Market

Base date (=100.0)

1989

1990

1991

1992

1993

1996

1997

19

Argentina

Dec−88

304.6

175.2

954.6

709.3

1,257.1 951.9

1,077.1 1,315.9 1,579.8 1,

Brazil

Dec−88

123.1

37.6

144.6

146.1

283.7

474.5

386.1

518.5

652.3

39

Chile

Dec−88

152.7

221.3

466.8

550.8

755.9

1,103.7 1,091.4 935.5

999.9

72

Colombia

Feb−91

−

−

324.3

454.5

703.6

901.7

680.4

742.9

998.8

55

Mexico

Dec−88

229.8

292.3

625.3

729.9

1,106.6 679.1

513.0

607.9

921.4

57

Peru

Dec−92

−

−

−

100.0

122.8

182.2

204.7

209.4

241.1

15

Venezuela

Jan−90

−

703.5

1,103.8 544.3

639.7

547.0

381.6

859.9

1,093.7 57

Latin America

IFCI Total Return Indexes 1989−1998: (End−of−period Values in US$)

170

Emerging Stock Markets Factbook 1999 Asia China

Dec−92

−

−

−

100.0

149.8

78.2

58.3

82.1

62.5

30

India

Nov−92

−

−

−

93.8

118.2

126.4

83.5

82.9

89.0

69

Indonesia

Sep−90

−

96.3

57.4

59.7

129.3

105.1

117.7

139.1

37.3

27

Korea

Jan−92

−

−

−

99.8

121.5

144.0

132.8

82.9

26.3

59

Malaysia

Dec−88

147.4

133.5

147.2

182.6

385.0

310.9

319.2

401.7

111.4

11

Pakistan

Mar−91

−

−

320.6

215.1

433.1

413.9

280.4

231.5

302.9

12

Philippines

Dec−88

161.0

68.0

116.5

140.5

356.1

316.4

277.2

316.9

122.9

13

Sri Lanka

Dec−92

−

−

−

100.0

179.3

175.6

108.4

100.4

124.4

90

Taiwan, China

Jan−91

−

−

102.6

75.4

139.7

171.5

118.9

163.2

151.2

12

Thailand

Dec−88

205.8

155.6

187.6

259.8

555.6

454.7

454.4

273.4

60.0

81

Czech Republic

Dec−93

−

−

−

−

100.0

80.4

60.4

70.6

55.2

51

Greece

Dec−88

205.4

421.7

341.4

253.4

311.4

322.0

360.7

384.3

529.3

1,

Hungary

Dec−92

−

−

−

100.0

174.1

160.8

106.8

216.5

350.3

31

Poland

Dec−92

−

−

−

100.0

839.6

484.0

450.6

787.4

653.4

58

Portugal

Dec−88

140.7

93.1

98.0

85.6

130.5

142.9

140.2

182.3

269.5

37

Russia

Feb−97

−

−

−

−

−

−

−

−

148.8

23

Slovakia

Feb−97

−

−

−

−

−

−

−

−

102.7

46

Turkey

Aug−89

287.5

294.7

159.9

78.8

260.6

155.9

139.4

207.7

450.9

21

Egypt

Feb−97

−

−

−

−

−

−

−

−

97.2

71

Israel

Dec−96

−

−

−

−

−

−

−

100.0

124.3

10

Jordan

Dec−88

98.6

105.6

113.4

136.1

197.9

183.5

229.1

236.5

272.7

28

Morocco

Feb−97

−

−

−

−

−

−

−

−

132.9

17

South Africa

Dec−92

−

−

−

100.0

181.3

236.0

278.0

230.6

204.2

14

Zimbabwe

Jun−93

−

−

−

−

205.5

258.4

301.7

538.6

293.3

12

Europe

Mideast/Africa

IFCI Total Return Indexes 1989−1998: (Annual % Change in US$)

IFCI Total Return Indexes 1989−1998: (Annual % Change in US$)

171

Emerging Stock Markets Factbook 1999 Market

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

Argentina

204.6

−42.5

444.9

−25.7

77.2

−24.3

13.1

22.2

20.1

−26.1

Brazil

23.1

−69.5

285.1

1.0

94.2

67.3

−18.6

34.3

25.8

−39.5

Chile

52.7

44.9

110.9

18.0

37.2

46.0

−1.1

−14.3

6.9

−27.2

Colombia

−

−

−

40.2

54.8

28.2

−24.5

9.2

34.5

−44.0

Mexico

129.8

27.2

113.9

16.7

51.6

−38.6

−24.5

18.5

51.6

−37.4

Peru

−

−

−

−

22.8

48.3

12.4

2.3

15.2

−37.6

Venezuela

−

−

56.9

−50.7

17.5

−14.5

−30.2

125.3

27.2

−47.7

China

−

−

−

−

49.8

−47.8

−25.5

40.9

−23.9

−50.9

India

−

−

−

−

26.1

6.9

−34.0

−0.7

7.3

−21.5

Indonesia

−

−

−40.4

3.9

116.7

−18.7

12.0

18.2

−73.2

−27.5

Korea

−

−

−

−

21.7

18.5

−7.8

−37.6

−68.2

124.3

Malaysia

47.4

−9.4

10.3

24.1

110.9

−19.2

2.7

25.9

−72.3

0.1

Pakistan

−

−

−

−32.9

101.3

−4.4

−32.3

−17.4

30.9

−58.3

Philippines

61.0

−57.8

71.3

20.6

153.5

−11.1

−12.4

14.3

−61.2

10.1

Sri Lanka

−

−

−

−

79.3

−2.1

−38.3

−7.4

24.0

−27.3

Taiwan, China

−

−

−

−26.5

85.3

22.7

−30.7

37.3

−7.4

−17.3

Thailand

105.8

−24.4

20.6

38.5

113.8

−18.2

−0.1

−39.8

−78.1

35.4

Czech Republic

−

−

−

−

−

−19.6

−24.9

16.9

−21.8

−7.0

Greece

105.4

105.3

−19.0

−25.8

22.9

3.4

12.0

6.6

37.7

95.6

Hungary

−

−

−

−

74.1

−7.7

−33.6

102.6

61.8

−9.9

Poland

−

−

−

−

739.6

−42.4

−6.9

74.7

−17.0

−10.8

Portugal

40.7

−33.9

5.2

−12.6

52.5

9.5

−1.8

30.0

47.8

40.4

Russia

−

−

−

−

−

−

−

−

−

−84.0

Slovakia

−

−

−

−

−

−

−

−

−

−54.9

Turkey

−

−2.5

−45.8

−50.7

230.6

−40.2

−10.6

49.0

117.1

−51.7

Latin America

Asia

Europe

IFCI Total Return Indexes 1989−1998: (Annual % Change in US$)

172

Emerging Stock Markets Factbook 1999 Mideast/Africa Egypt

−

−

−

−

−

−

−

−

−

−27.0

Israel

−

−

−

−

−

−

−

−

24.3

−14.4

Jordan

−1.4

7.1

7.3

20.1

45.4

−7.3

24.8

3.2

15.3

5.8

Morocco

−

−

−

−

−

−

−

−

−

31.1

South Africa

−

−

−

−

−81.3

30.2

17.8

−17.1

−11.5

−28.2

Zimbabwe

−

−

−

−

−

25.8

16.8

78.5

−45.5

−56.8

Statistics of the IFCI Total Return Indexes: (US$; December 1993−December 1998)

Number Mean of Standard of months % change Deviation

Annualized Correlation Annualized standard with S&P mean deviation 500

Argentina

60

0.38

9.76

4.56

33.81

0.58

Brazil

60

1.34

12.51

16.08

43.34

0.42

Chile

60

0.27

8.14

3.24

28.20

0.41

Colombia

60

−0.03

8.61

−0.36

29.83

0.09

Mexico

60

−0.36

11.41

−4.32

39.53

0.46

Peru

60

0.77

9.47

9.24

32.81

0.18

Venezuela

60

1.16

15.91

13.92

55.11

0.26

China

60

−1.83

12.65

−21.96

43.82

0.28

India

60

−0.55

8.14

−6.60

28.20

0.17

Indonesia

60

−1.16

16.77

−13.92

58.09

0.35

Korea

60

−0.10

15.78

−1.20

54.66

0.40

Malaysia

60

−1.12

14.04

−13.44

48.64

0.43

Pakistan

60

−1.27

12.27

−15.24

42.50

0.16

Philippines

60

−0.97

11.44

−11.64

39.63

0.53

Sri Lanka

60

−0.59

10.35

−7.08

35.85

0.35

Taiwan, China

60

0.20

8.99

2.40

31.14

0.35

Thailand

60

−2.16

14.24

−25.92

49.33

0.60

Market

Latin America

Asia

Statistics of the IFCI Total Return Indexes: (US$; December 1993−December 1998)

173

Emerging Stock Markets Factbook 1999

Europe Czech Republic*

59

−1.55

8.77

−18.60

30.38

0.35

Greece

60

2.44

9.38

29.28

32.49

0.33

Hungary

60

1.97

14.60

23.64

50.58

0.43

Poland

60

0.48

14.77

5.76

51.16

0.38

Portugal

60

2.00

6.53

24.00

22.62

0.48

Russia*

22

−3.16

26.69

−37.92

92.46

0.46

Slovakia*

22

−3.61

8.02

−43.32

27.78

−0.31

Turkey

60

1.03

16.55

12.36

57.33

0.25

Egypt*

22

−1.87

5.14

−22.44

17.81

0.27

Israel*

24

0.48

6.81

5.76

23.59

0.38

Jordan

60

0.70

3.74

8.40

12.96

0.09

Morocco*

22

2.30

5.15

27.60

17.84

−0.59

South Africa

60

0.04

8.65

0.48

29.96

0.47

Zimbabwe

60

0.03

12.31

0.36

42.64

0.29

Composite

60

−0.62

7.02

−7.44

24.32

0.62

Latin America

60

−0.07

9.09

−0.84

31.49

0.52

Asia

60

−1.14

8.80

−13.68

30.48

0.53

EMEA

60

−0.13

7.40

−1.56

25.63

0.49

Europe*

35

1.41

9.78

16.92

33.88

0.44

E. Europe*

35

−1.04

12.51

−12.48

43.34

0.41

ME & Africa*

35

−1.52

7.29

−18.24

25.25

0.58

U.S., S&P 500

60

2.05

4.15

24.60

14.38

1.00

FT Europac

60

0.78

4.07

9.36

14.10

0.68

Mideast/Africa

Regions

Developed Markets

Statistics of the IFCI Total Return Indexes: (US$; December 1993−December 1998)

174

Emerging Stock Markets Factbook 1999 Note: Statistical data based on less than 60 months of data.

IFCI Total Return Index Annualized Standard Deviation, 1993−1998

IFCI Total Return Annualized Mean Return, 1993−1998

IFCI Total Return Index Correlations: (USS; December 1993−December 1998)

IFCI Total Return Index Correlations: (USS; December 1993−December 1998)

175

Emerging Stock Markets Factbook 1999

Note: Correlations are for a 60−month period ending in December 1998, except on page 112. IFCI Total Return Index Correlations with S&P 500: (US$; December 1993−December 1998)

IFCI Total Return Index Correlations with S&P 500: (US$; December 1993−December 1998)

176

Emerging Stock Markets Factbook 1999

IFCI Total Return Index Correlations with S&P 500, 1993−1998

Industry Weights in the IFCI Composite Index End−1998 Weight in IFCI Market capitalization Composite (US$ millions) (%)

SIC

Sector/Industry

Number of Stocks

0

Agriculture/forestry/fishing

10

1,438

0.3

1

Mining

50

38,089

6.7

110

Metal Mining

30

13,133

2.3

2

Construction

48

6,674

1.2

215

General Building Contractors

28

3,835

0.7

3

Manufacturing

567

185,293

32.5

320

Food & Kindred Products

79

35,083

6.1

Industry Weights in the IFCI Composite Index End−1998

177

Emerging Stock Markets Factbook 1999 322

Textile Mill Products

30

3,198

0.6

323

Apparel & Other Textile Products

14

2,254

0.4

326

Paper & Allied Products

29

11,421

2.0

328

Chemicals & Allied Products

72

13,363

2.3

329

Petroleum Refining & Related Products

33

14,243

2.5

330

Rubber & Misc. Plastics Products

18

3,350

0.6

332

Cement & Glass Products

64

18,029

3.2

333

Primary Metal Industries

27

5,940

1.0

334

Fabricated metal products

30

5,239

0.9

336

Electric & Electronic Equipment

93

49,512

8.7

337

Transportation Equipment

30

4,988

0.9

339

Miscellaneous Manufacturing

16

4,297

0.8

4

Transportation/communication/utility 144

130,689

22.9

444

Water Transportation

11

2,600

0.5

448

Communications

65

91,847

16.1

449

Electric, Gas or Sanitary Services

56

34,657

6.1

5

Wholesale/retail trade

56

24,037

4.2

6

Finance/insurance/real estate

236

150,434

26.3

660

Banking

125

101,550

17.8

661

Credit Agencies Other Than Banks

17

2,089

0.4

662

Security & Commodity Brokers

15

5,147

0.9

663

Insurance

22

15,829

2.8

7

Services

30

5,187

0.9

770

Hotels & Other Lodging Places

12

1,055

0.2

9

Other/diversified holding companies 53

28,761

5.0

570,936

100.0

1,194

Industry Weights in the IFCI Composite Index End−1998

178

Emerging Stock Markets Factbook 1999 IFCI Composite Price Index

Industry Weights in the FICI Composite Index, End−1998

Stock Distribution by Industry in the IFCI Composite Index, End−1998

Industry Concentration in the IFCI Composite Index End−1998 Sector with largest share of market cap

Sector's share of market cap

Argentina

Mining

46.1

Brazil

Transportation / communication 54.7 / utility

Chile

Transportation / communication 46.5 / utility

Colombia

Manufacturing

Mexico

Transportation / communication 32.8 / utility

Peru

Transportation / communication 39.5 / utility

Venezuela

Transportation / communication 45.8 / utility

Market

Latin America

47.4

Industry Concentration in the IFCI Composite Index End−1998

179

Emerging Stock Markets Factbook 1999 Asia China

Transportation / communication 46.2 / utility

India

Manufacturing

75.6

Indonesia

Manufacturing

67.7

Korea

Manufacturing

54.4

Pakistan

Manufacturing

55.5

Philippines

Finance / insurance / real estate 39.3

Sri Lanka

Other / diversified holding companies

68.5

Taiwan, China

Manufacturing

64.1

Thailand

Transportation / communication 34.6 / utility

Europe Czech Republic

Transportation / communication 64.2 / utility

Greece

Finance / insurance / real estate 51.7

Hungary

Transportation / communication 51.4 / utility

Poland

Finance / insurance / real estate 46.1

Portugal

Manufacturing

7.5

Russia

Mining

72.4

Slovakia

Manufacturing

83.7

Turkey

Finance / insurance / real estate 58.9

Mideast/Africa Egypt

Manufacturing

61.0

Israel

Manufacturing

39.1

Jordan

Finance / insurance / real estate 78.4

Morocco

Finance / insurance / real estate 80.8

South Africa

Finance / insurance / real estate 37.9

Zimbabwe

Finance / insurance / real estate 81.8 Manufacturing

32.5

Industry Concentration in the IFCI Composite Index End−1998

180

Emerging Stock Markets Factbook 1999 IFCI Composite

Share of Market Cap of Largest Sector, End−1998 (percent)

Industry Distribution by Market Capitalization of IFCI Composite Index, 1998: (US$ Millions; End−1998)

Industry Distribution by Market Capitalization of IFCI Composite Index, 1998: (US$ Millions; End−1998) 181

Emerging Stock Markets Factbook 1999

Note: Figures may not add up precisely because of rounding. (table continued on next page)

(table continued from previous page)

Industry Distribution by Market Capitalization of IFCI Composite Index, 1998: (US$ Millions; End−1998) 182

Emerging Stock Markets Factbook 1999

Note: Figures may not add up precisely because of rounding.

Industry Weights by Market Capitalization of IFCI Composite Index, 1998: (% of Market Capitalization; End−1998)

Industry Weights by Market Capitalization of IFCI Composite Index, 1998: (% of Market Capitalization; 183End−199

Emerging Stock Markets Factbook 1999

Note: Figures may not add up precisely because of rounding. (table continued on next page)

(table continued from previous page)

Industry Weights by Market Capitalization of IFCI Composite Index, 1998: (% of Market Capitalization; 184End−199

Emerging Stock Markets Factbook 1999

Note: Figures may not add up precisely because of rounding.

Industry Distribution by Number of Stocks in IFCI Composite Index, 1998: (End−1998)

Industry Distribution by Number of Stocks in IFCI Composite Index, 1998: (End−1998)

185

Emerging Stock Markets Factbook 1999

(table continued on next page)

(table continued from previous page)

Industry Distribution by Number of Stocks in IFCI Composite Index, 1998: (End−1998)

186

Emerging Stock Markets Factbook 1999

IFCI Industry Price Indexes 1998 Performance Summary: (End−of−period Values in US$; End 1988=100) % change from end−1997

SIC

Sector/Industry

End− 1998

0

Agriculture/forestry/fishing

47.1

−31.0

1

Mining

204.1

−42.2

110

Metal Mining

141.5

−20.8

2

Construction

118.0

−22.9

IFCI Industry Price Indexes 1998 Performance Summary: (End−of−period Values in US$; End 1988=100) 187

Emerging Stock Markets Factbook 1999 215

General Building Contractors

154.1

−40.8

3

Manufacturing

190.3

−18.1

320

Food & Kindred Products

315.8

−19.6

322

Textile Mill Products

112.1

−26.8

323

Apparel & Other Textile Products

38.1

−27.4

326

Paper & Allied Products

84.3

−33.2

328

Chemicals & Allied Products

90.6

−28.0

329

Petroleum Refining & Related Products

116.8

−41.5

330

Rubber & Misc. Plastics Products

53.1

−21.9

332

Cement & Glass Products

306.9

−27.9

333

Primary Metal Industries

45.2

−24.0

334

Fabricated Metal Products

91.0

−43.9

336

Electric & Electronic Equipment

384.6

18.6

337

Transportation Equipment

153.6

−36.0

339

Miscellaneous Manufacturing

140.9

−10.9

4

Transportation/communication/utility

659.6

−28.9

444

Water Transportation

94.9

5.9

448

Communications

1,046.3 −22.7

449

Electric, Gas or Sanitary Services

964.8

−41.5

5

Wholesale/retail trade

458.7

−31.8

6

Finance/insurance/real estate

146.5

−13.4

660

Banking

215.4

−9.9

661

Credit Agencies Other Than Banks

82.7

−16.6

662

Security & Commodity Brokers

59.8

247.2

663

Insurance

306.0

−22.4

7

Services

144.1

−26.1

770

Hotels & Other Lodging Places

108.3

−30.9

IFCI Industry Price Indexes 1998 Performance Summary: (End−of−period Values in US$; End 1988=100) 188

Emerging Stock Markets Factbook 1999

9

Other/diversified holding companies

88.0

−38.6

IFCI Composite Price Index

186.8

−24.1

Performance Highlights of IFCI Industry Sector Price Indexes (%)

IFCI Industry Price Indexes 1998: (End−of−period Values in US$; End 1988=100) SIC Sector/Industry

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

O

0

Agriculture/forestry/fishing

67.2

83.4

83.1

77.7

65.9

58.1

57.8

41.0

45.3

4

1

Mining

305.2

319.2

332.9

337.1

275.7

247.9

253.4

180.5 195.8 2

110 Metal Mining

172.5

180.6

191.7

203.6

177.3

162.1

166.5

129.5 152.3 1

2

138.6

167.2

165.4

156.3

136.5

116.8

119.8

87.1

215 General Building Contractors

237.7

264.3

265.4

261.3

227.1

197.7

202.5

143.0 149.1 1

3

221.0

245.8

252.2

250.5

218.7

194.6

204.2

155.6 158.3 1

Construction

Manufacturing

IFCI Industry Price Indexes 1998: (End−of−period Values in US$; End 1988=100)

189

96.3

1

Emerging Stock Markets Factbook 1999 320 Food & Kindred Products

379.7

395.9

418.5

431.2

386.2

347.5

359.6

262.2 276.4 2

322 Textile Mill Products

137.5

149.7

154.2

144.4

126.5

114.3

109.4

89.5

98.1

1

323 Apparel & Other Textile Products

47.8

50.3

53.5

50.9

43.0

40.5

38.2

30.6

33.3

3

326 Paper & Allied Products

109.0

118.6

132.4

129.3

117.4

104.5

98.8

79.0

72.5

8

328 Chemicals & Allied Products

116.1

122.5

125.3

125.0

108.3

99.2

99.7

79.1

78.9

8

329 Petroleum Refining & Related Products

184.3

188.5

190.5

200.2

162.5

143.6

154.7

100.6 106.6 1

330 Rubber & Misc. Plastics Products

65.0

74.8

73.4

71.4

63.6

57.7

55.8

40.1

332 Cement & Glass Products

380.3

401.3

437.0

454.7

400.8

360.1

365.0

268.4 270.7 2

333 Primary Metal Industries

59.7

63.0

66.3

69.2

56.7

50.7

54.3

39.7

39.1

4

334 Fabricated Metal Products

137.4

150.0

159.2

155.8

133.4

114.0

115.0

72.6

82.7

9

336 Electric & Electronic Equipment

353.8

451.0

425.3

404.1

361.8

312.8

358.2

289.6 289.5 3

337 Transportation Equipment

211.6

250.1

258.1

244.6

195.4

161.9

161.9

118.6 119.8 1

339 Miscellaneous Manufacturing

146.9

165.0

174.7

175.8

157.4

136.3

143.2

125.7 134.2 1

Transportation/communication/utility 850.1

918.3

980.4

956.3

816.8

773.4

816.3

539.2 584.5 6

95.8

103.9

100.0

95.2

86.2

89.6

73.0

4

46.6

444 Water Transportation

83.8

448 Communications

1249.2 1342.9 1462.6 1427.9 1257.0 1224.1 1302.6 858.2 926.6 1

449 Electric, Gas or Sanitary Services

1495.1 1614.0 1665.5 1633.4 1308.4 1175.8 1218.1 790.1 858.9 9

5

Wholesale/retail trade

602.8

636.2

649.9

638.6

566.8

516.2

525.5

384.0 401.7 4

6

Finance/insurance/real estate

164.5

184.9

190.7

194.4

176.4

157.1

162.8

116.4 119.4 1

660 Banking

233.2

260.2

269.1

276.8

253.6

229.9

241.8

173.5 176.7 1

661 Credit Agencies Other Than Banks

93.9

114.5

121.6

113.7

100.2

90.6

94.4

79.3

87.8

9

662 Security & Commodity Brokers

22.0

24.9

24.5

19.0

14.5

12.1

17.8

13.8

14.5

1

663 Insurance

402.8

475.7

483.2

472.7

424.6

349.4

345.9

251.9 267.1 3

7

195.3

227.1

234.3

227.7

191.2

146.6

148.7

112.9 116.0 1

150.8

186.2

188.4

180.8

146.9

110.3

119.3

99.6

100.4 1

Other/diversified holding companies 131.3

144.1

146.5

152.5

131.8

108.2

105.1

74.1

82.3

229.6

252.9

262.1

261.7

228.1

204.2

211.9

152.0 159.1 1

Services

770 Hotels & Other Lodging Places

9

IFCI Industry Price Indexes 1998: (End−of−period Values in US$; End 1988=100)

190

80.7

5

8

8

Emerging Stock Markets Factbook 1999 IFCI Composite Price Index IFCI Industry Price Indexes 1989−1998: (End−of−period Values in US$; End 1988=100) SIC Sector/Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

93.5

87.9

88.2

78.9

165.0

156.2

138.2

149.7

68.2

1

Mining

192.3 119.3 262.9 233.8 301.3

420.4

383.2

388.2

352.9

110 Metal Mining

158.4 75.3

101.3 149.4

324.4

258.6

243.3

178.7

2

226.1 186.9 182.7 241.2 535.3

409.7

371.5

399.6

153.1

215 General Building Contractors

222.4 141.9 240.5 397.0 764.4

525.5

421.4

446.3

260.5

3

183.3 162.1 226.0 198.5 327.9

307.7

254.4

267.1

232.4

320 Food & Kindred Products

168.2 141.3 263.9 266.6 436.3

386.7

378.6

369.0

392.9

322 Textile Mill Products

191.7 182.5 271.9 212.1 268.0

291.8

218.1

216.0

153.1

323 Apparel & Other Textile Products

124.2 46.5

174.5 110.8 113.6

128.9

60.5

58.4

52.5

326 Paper & Allied Products

129.9 109.5 136.6 105.1 144.5

174.4

149.0

141.9

126.2

328 Chemicals & Allied Products

185.6 139.8 161.2 117.8 178.3

185.0

136.5

151.2

125.8

329 Petroleum Refining & Related Products

114.1 76.6

98.0

69.3

176.0

214.4

158.1

194.3

199.9

330 Rubber & Misc. Plastics Products

206.5 110.3 59.8

57.1

95.3

86.7

79.6

104.6

68.0

332 Cement & Glass Products

263.6 298.8 501.2 484.2 796.5

661.7

496.3

511.8

425.5

333 Primary Metal Industries

323.0 149.0 215.8 93.3

144.0

135.6

89.1

79.7

59.5

334 Fabricated Metal Products

228.1 163.9 261.5 150.2 191.3

190.6

161.6

174.8

162.3

336 Electric & Electronic Equipment

183.5 222.9 272.6 215.4 377.1

395.1

345.9

286.4

324.2

337 Transportation Equipment

283.2 362.7 353.4 341.0 636.8

428.5

350.0

471.9

240.0

339 Miscellaneous Manufacturing

261.9 217.9 165.9 135.2 215.0

207.2

191.0

196.8

158.2

Transportation/communication/utility 184.8 213.8 534.8 581.1 946.8

833.5

767.0

863.3

927.2

144.9

131.8

130.9

89.6

4

Construction

Manufacturing

94.7

444 Water Transportation

131.5 104.8 132.7 139.8 174.2

448 Communications

202.1 266.9 754.1 863.2 1,406.7 1,089.9 1,048.8 1,184.2 1,353.5

IFCI Industry Price Indexes 1989−1998: (End−of−period Values in US$; End 1988=100)

191

Emerging Stock Markets Factbook 1999 449 Electric, Gas or Sanitary Services

190.9 392.2 917.3 701.0 1,316.2 1,655.8 1,429.2 1,596.8 1,649.3

5

Wholesale/retail trade

238.3 441.8 527.4 852.5 1,231.5 826.6

630.1

553.1

672.2

6

Finance/insurance/real estate

135.9 144.7 121.0 116.3 217.9

191.6

194.5

217.0

169.1

660 Banking

132.6 158.8 127.3 123.0 220.4

216.1

231.8

259.5

239.2

661 Credit Agencies Other Than Banks

133.6 166.9 153.2 167.0 404.5

338.9

320.2

261.9

99.1

662 Security & Commodity Brokers

−

71.8

79.9

142.4

113.2

102.9

109.8

17.2

663 Insurance

−

−

181.9 168.3 349.4

449.1

418.6

422.8

394.4

7

157.7 164.3 198.5 265.5 630.8

519.3

482.7

452.0

195.0

157.7 158.2 176.1 214.1 549.2

469.7

423.1

364.6

156.7

Other/diversified holding companies

148.9 131.6 146.1 153.3 307.8

236.9

228.5

239.1

143.4

IFCI Composite Price Index

155.5 147.4 200.5 202.9 355.6

307.4

275.8

295.0

246.0

Services

770 Hotels & Other Lodging Places

9

84.3

IFCI Industry Price Indexes 1989−1998: (Annual % Change in US$) SIC

Sector/Industry

1989

1990

199 I

1992

1993

1994

1995

1996

199

0

Agriculture/forestry/fishing

−6.5

−5.9

0.3

−10.5

109.1

−5.4

−11.5

8.4

−54

1

Mining

92.3

−38.0

120.5

−11.1

28.9

39.5

−8.8

1.3

−9.1

110

Metal Mining

58.4

−52.4

25.6

7.0

47.5

117.1

−20.3

−5.9

−26

2

Construction

126.1

−17.4

−2.3

32.0

121.9

−23.5

−9.3

7.5

−61

215

General Building Contractors

122.4

−36.2

69.5

65.1

92.5

−31.3

−19.8

5.9

−41

3

Manufacturing

83.3

−11.6

39.5

−12.2

65.2

−6.2

−17.3

5.0

−13

320

Food & Kindred Products

68.2

−16.0

86.8

1.0

63.7

−11.4

−2.1

−2.5

6.5

IFCI Industry Price Indexes 1989−1998: (Annual % Change in US$)

192

Emerging Stock Markets Factbook 1999 322

Textile Mill Products

91.7

−4.8

49.0

−22.0

26.4

8.9

−25.3

−1.0

−29

323

Apparel & Other Textile Products

24.2

−62.6

275.3

−36.5

2.5

13.4

−53.1

−3.5

−10

326

Paper & Allied Products

29.9

−15.7

24.7

−23.1

37.5

20.7

−14.5

−4.8

−11

328

Chemicals & Allied Products

85.6

−24.7

15.3

−26.9

51.3

3.7

−26.2

10.7

−16

329

Petroleum Refining & Related Products

14.1

−32.9

28.0

−29.3

153.8

21.8

−26.3

22.9

2.8

330

Rubber & Misc. Plastics Products

106.5

−46.6

−45.8

−4.4

66.8

−9.1

−8.2

31.4

−35

332

Cement & Glass Products

163.6

13.3

67.8

−3.4

64.5

−16.9

−25.0

3.1

−16

333

Primary Metal Industries

223.0

−53.9

44.8

−56.8

54.4

−5.8

−34.3

−10.5

−25

334

Fabricated Metal Products

128.1

−28.1

59.5

−42.6

27.3

−0.4

−15.2

8.2

−7.1

336

Electric & Electronic Equipment

83.5

21.5

22.3

−21.0

75.1

4.8

−12.4

−17.2

13.2

337

Transportation Equipment

183.2

28.1

−2.6

−3.5

86.8

−32.7

−18.3

34.8

−49

339

Miscellaneous Manufacturing

161.9

−16.8

−23.9

−18.5

59.0

−3.6

−7.8

3.0

−19

4

Transportation/communication/utility

84.8

15.7

150.2

8.7

62.9

−12.0

−8.0

12.6

7.4

444

Water Transportation

31.5

−20.3

26.7

5.3

24.6

−16.9

−9.0

−0.7

−31

448

Communications

102.1

32.1

182.5

14.5

63.0

−22.5

−3.8

12.9

14.3

449

Electric, Gas or Sanitary Services

90.9

105.5

133.9

−23.6

87.8

25.8

−13.7

11.7

3.3

5

Wholesale/retail trade

138.3

85.4

19.4

61.7

44.5

−32.9

−23.8

−12.2

21.5

6

Finance/insurance/real estate

35.9

6.5

−16.4

−3.9

87.4

−12.1

1.5

11.6

−22

660

Banking

32.6

19.8

−19.9

−3.4

79.2

−2.0

7.3

11.9

−7.8

661

Credit Agencies Other Than Banks

33.6

25.0

−8.2

9.1

142.2

−16.2

−5.5

−18.2

−62

662

Security & Commodity Brokers

−

−

11.2

5.6

68.8

−20.5

−9.0

6.7

−84

663

Insurance

−

−

−

−7.5

107.6

28.5

−6.8

1.0

−6.7

7

Services

57.7

4.2

20.8

33.8

137.6

−17.7

−7.0

−6.4

−56

770

Hotels & Other Lodging Places

57.7

0.3

11.3

21.6

156.6

−14.5

−9.9

−13.8

−57

9

Other/diversified holding companies

48.9

−11.7

11.0

5.0

100.8

−23.0

−3.6

4.6

−40

55.5

−5.2

36.1

1.2

75.3

−13.6

−10.3

7.0

−16

IFCI Industry Price Indexes 1989−1998: (Annual % Change in US$)

193

Emerging Stock Markets Factbook 1999 IFCI Composite Price Index IFCI Industry Total Return Indexes 1998 Performance Summary: (US$; End 1988=100)

SIC

Sector/industry

% change from End−1998 end−1997

0

Agriculture/forestry/fishing

65.4

−28.4

1

Mining

303.4

−39.8

110

Metal Mining

212.6

−15.1

2

Construction

133.3

−22.0

215

General Building Contractors

169.5

−40.2

3

Manufacturing

243.2

−16.2

320

Food & Kindred Products

389.3

−17.6

322

Textile Mill Products

139.5

−25.9

323

Apparel & Other Textile Products

44.4

−26.4

326

Paper & Allied Products

104.2

−31.0

328

Chemicals & Allied Products

131.9

−25.6

329

Petroleum Refining & Related Products

158.6

−39.9

330

Rubber & Misc. Plastics Products

68.9

−20.2

332

Cement & Glass Products

374.7

−25.7

333

Primary Metal Industries

61.8

−20.6

334

Fabricated Metal Products

125.4

−41.1

336

Electric & Electronic Equipment

463.9

19.3

337

Transportation Equipment

184.3

−34.8

339

Miscellaneous Manufacturing

166.7

−9.5

4

Transportation/communication/utility 817.8

−26.7

IFCI Industry Total Return Indexes 1998 Performance Summary: (US$; End 1988=100)

194

Emerging Stock Markets Factbook 1999 444

Water Transportation

117.2

7.1

448

Communications

1,239.3

−20.8

449

Electric, Gas or Sanitary Services

1,570.7

−38.8

5

Wholesale/retail trade

565.1

−30.8

6

Finance/insurance/real estate

199.4

−11.5

660

Banking

307.9

−7.7

661

Credit Agencies Other Than Banks

112.0

−15.3

662

Security & Commodity Brokers

68.5

250.2

663

Insurance

341.1

−20.6

7

Services

184.4

−24.1

770

Hotels & Other Lodging Places

133.2

−29.6

9

Other/diversified holding companies

109.4

−36.6

IFCI Composite Total Return Index 239.7

−22.0

Performance Highlights of IFCI Industry Sector Total Return indexes (%)

IFCI Industry Total Return Indexes 1998 Performance Summary: (US$; End 1988=100)

195

Emerging Stock Markets Factbook 1999 IFCI Industry Total Return Indexes 1998: (End−of−period Values in US$; End 1988=100) SIC Sector/Industry

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

0

Agriculture/forestry/fishing

90.5

112.6

112.5

105.1

89.2

79.7

79.4

56.4

62.8

1

Mining

436.7

457.9

479.0

488.2

400.6

360.6

369.0

265.4

289.0

110 Metal Mining

243.4

256.2

272.2

293.2

255.7

233.9

240.2

190.8

225.3

2

154.7

186.6

184.6

174.8

152.6

131.2

134.9

98.1

108.5

215 General Building Contractors

258.7

287.7

288.9

285.0

247.8

216.2

221.7

156.5

163.2

3

276.2

307.2

316.0

314.8

275.6

246.1

258.9

197.7

201.3

320 Food & Kindred Products

456.8

476.5

504.0

521.6

468.5

423.5

438.9

320.6

338.7

322 Textile Mill Products

169.1

184.3

190.0

178.0

156.6

141.8

136.1

111.4

122.1

323 Apparel & Other Textile Products

54.9

57.8

61.4

58.9

49.8

47.1

44.5

35.6

38.7

326 Paper & Allied Products

130.5

142.0

158.7

155.5

141.6

126.2

119.5

95.6

88.0

328 Chemicals & Allied Products

164.0

172.9

177.4

177.1

155.0

142.7

143.8

114.4

114.1

329 Petroleum Refining & Related Products

243.6

249.1

254.9

268.3

218.1

192.7

208.2

135.5

143.6

330 Rubber & Misc. Plastics Products

82.6

95.1

93.8

91.4

81.4

73.9

72.0

51.8

60.4

332 Cement & Glass Products

450.7

475.8

518.8

542.4

480.2

435.3

443.3

326.5

329.3

333 Primary Metal Industries

78.2

82.5

86.9

91.2

74.9

67.2

72.6

53.1

52.7

334 Fabricated Metal Products

183.4

200.4

212.8

208.8

180.0

154.4

157.3

99.4

113.3

336 Electric & Electronic Equipment

424.4

541.0

510.3

485.6

435.1

376.7

431.6

349.1

349.1

337 Transportation Equipment

249.2

294.5

304.0

289.6

232.4

193.6

193.9

142.2

143.7

339 Miscellaneous Manufacturing

171.1

192.2

204.1

205.3

184.1

159.9

168.0

148.1

158.1

Transportation/communication/utility 1,023.3 1,106.3 1,185.1 1,166.2 999.9

948.6

1,003.1 664.4

721.0

106.0

110.6

99.8

4

Construction

Manufacturing

444 Water Transportation

102.4

117.1

127.2

122.5

116.8

448 Communications

1,444.8 1,554.5 1,697.8 1,671.5 1,475.3 1,440.1 1,534.7 1,012.1 1,094

449 Electric, Gas or Sanitary Services

2,331.0 2,518.8 2,611.0 2,586.8 2,085.0 1,875.7 1,948.0 1,271.7 1,383

IFCI Industry Total Return Indexes 1998: (End−of−period Values in US$; End 1988=100)

90.1

196

Emerging Stock Markets Factbook 1999

5

Wholesale/retail trade

732.0

772.5

790.1

776.9

691.4

630.4

643.3

470.0

492.4

6

Finance/insurance/real estate

219.2

246.4

254.8

260.4

237.5

211.9

220.1

157.4

161.8

660 Banking

325.6

363.4

377.2

388.9

358.1

325.4

343.1

246.5

251.2

661 Credit Agencies Other Than Banks

125.4

152.8

162.6

152.0

135.2

122.5

127.8

107.4

118.9

662 Security & Commodity Brokers

25.0

28.4

27.9

21.6

16.5

13.8

20.2

15.8

16.7

663 Insurance

438.7

518.1

528.8

517.7

466.7

384.3

380.8

277.5

296.0

7

243.6

283.3

292.8

284.7

240.0

185.5

189.2

143.9

148.5

182.1

224.8

228.1

219.0

178.0

135.1

146.3

122.6

123.6

Other/diversified holding companies 157.9

173.5

177.0

184.5

160.1

132.0

128.3

90.6

100.8

IFCI Composite Total Return Index

316.5

328.9

329.8

288.6

259.1

269.4

193.7

203.0

Services

770 Hotels & Other Lodging Places

9

287.2

IFCI Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1988=100) SIC Sector/Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

98.5

95.9

98.4

92.4

200.2

192.8

174.5

194.5

91.3

1

Mining

217.7 141.8 323.0

293.0 388.9

554.0

519.9

541.7

503.8

110

Metal Mining

163.0 84.4

112.3

123.9 189.1

418.1

342.1

332.0

250.4

2

Construction

229.3 191.0 187.4

255.8 572.7

441.9

404.1

439.3

170.8

215

General Building Contractors

225.6 143.9 246.4

414.0 803.0

555.8

448.9

479.8

283.6

3

Manufacturing

189.9 173.1 246.9

220.8 372.9

357.3

302.8

326.5

290.1

320

Food & Kindred Products

174.7 147.9 281.5

290.1 484.8

435.5

435.5

436.7

472.3

IFCI Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1988=100)

197

Emerging Stock Markets Factbook 1999 322

Textile Mill Products

198.5 195.7 296.4

234.8 306.9

339.5

258.4

262.8

188.3

323

Apparel & Other Textile Products

127.1 47.6

183.1

117.3 122.1

140.1

67.2

66.0

60.3

326

Paper & Allied Products

133.3 114.9 146.6

114.5 159.7

195.7

171.7

167.0

151.1

328

Chemicals & Allied Products

194.7 157.4 188.8

142.9 224.4

237.4

179.7

205.7

177.4

329

Petroleum Refining & Related Products

120.0 83.7

79.7

207.0

256.4

194.3

249.2

264.0

330

Rubber & Misc. Plastics Products

213.9 117.4 64.8

62.8

108.0

102.2

96.4

129.9

86.3

332

Cement & Glass Products

268.6 310.5 529.5

519.3 874.4

738.4

566.1

596.2

504.2

333

Primary Metal Industries

326.1 156.4 235.1

105.2 167.8

160.2

108.9

100.8

77.8

334

Fabricated Metal Products

244.5 185.6 304.4

176.7 230.4

235.0

204.3

225.1

213.0

336

Electric & Electronic Equipment

189.4 236.1 293.7

238.2 422.9

456.2

405.5

339.9

388.8

337

Transportation Equipment

287.1 373.6 374.4

367.4 698.9

481.4

399.6

545.7

282.6

339

Miscellaneous Manufacturing

265.0 229.6 177.6

146.4 236.6

230.6

215.5

225.6

184.2

4

Transportation/communication/utility 190.7 226.3 577.6

633.0 1,057.7 944.7

884.8

1,015.3 1,115.5

444

Water Transportation

133.7 109.5 142.1

152.3 194.6

154.2

157.2

448

Communications

206.6 276.9 790.8

911.0 1,524.2 1,198.6 1,171.4 1,345.0 1,565.5

449

Electric, Gas or Sanitary Services

226.1 497.9 1,240.1 968.9 1,862.6 2,380.6 2,102.9 2,409.0 2,567.6

5

Wholesale/retail trade

245.2 474.5 577.9

952.5 1,401.3 950.2

733.5

651.0

816.2

6

Finance/insurance/real estate

141.0 156.1 135.2

136.9 264.0

238.0

247.6

282.6

225.2

660

Banking

137.3 171.6 143.2

148.0 274.6

277.8

306.8

352.6

333.8

661

Credit Agencies Other Than Banks

143.3 188.4 177.7

198.9 493.6

423.1

410.3

342.7

132.3

662

Security & Commodity Brokers

−

72.9

82.3

87.4

149.0

120.3

112.3

121.7

19.6

663

Insurance

−

−

183.8

171.5 359.0

463.6

439.8

452.1

429.6

7

Services

161.8 182.0 224.9

307.9 736.4

611.4

576.7

548.5

242.9

770

Hotels & Other Lodging Places

161.8 175.5 198.6

246.5 634.1

545.6

496.0

432.6

189.2

9

Other/diversified holding companies 152.1 136.7 156.4

168.4 343.6

268.8

264.0

281.1

172.4

161.5 158.0 220.4

227.7 408.9

359.8

329.5

360.4

307.3

110.9

165.4

IFCI Industry Total Return Indexes 1989−1998: (End−of−Period Values in US$; End 1988=100)

198

109.5

Emerging Stock Markets Factbook 1999 IFCI Composite Total Return Index IFCI Industry Total Return Indexes 1989−1998: (Annual % Change in US$) SIC Sector/Industry

1989

1990

1991

1992

1993

1994

1995

1996

1997

0

Agriculture/forestry/fishing

−1.6

−2.6

2.6

−6.2

116.7

−3.7

−9.5

11.5

−53.1

1

Mining

117.7

−34.9

127.8

−9.3

32.7

42.5

−6.1

4.2

−7.0

110

Metal Mining

63.0

−48.2

33.0

10.4

52.6

121.1

−18.2

−3.0

−24.6

2

Construction

129.3

−16.7

−1.8

36.5

123.9

−22.8

−8.5

8.7

−61.1

215

General Building Contractors

125.6

−36.2

71.2

68.0

94.0

−30.8

−19.2

6.9

−40.9

3

Manufacturing

89.9

−8.9

42.7

−10.6

68.9

−4.2

−15.3

7.8

−11.2

320

Food & Kindred Products

74.7

−15.3

90.4

3.0

67.1

−10.2

0.0

0.3

8.2

322

Textile Mill Products

98.5

−1.4

51.5

−20.8

30.7

10.6

−23.9

1.7

−28.4

323

Apparel & Other Textile Products

27.1

−62.6

284.7

−36.0

4.2

14.7

−52.0

−1.8

−8.6

326

Paper & Allied Products

33.3

−13.7

27.6

−21.9

39.5

22.6

−12.3

−2.7

−9.5

328

Chemicals & Allied Products

94.7

−19.1

19.9

−24.3

57.0

5.8

−24.3

14.4

−13.7

329

Petroleum Refining & Related Products

20.0

−30.2

32.4

−28.1

159.6

23.9

−24.2

28.2

5.9

330

Rubber & Misc. Plastics Products

113.9

−45.1

−44.8

−3.0

71.9

−5.4

−5.7

34.8

−33.5

332

Cement & Glass Products

168.6

15.6

70.5

−1.9

68.4

−15.6

−23.3

5.3

−15.4

333

Primary Metal Industries

226.1

−52.0

50.4

−55.3

59.5

−4.5

−32.0

−7.4

−22.8

334

Fabricated Metal Products

144.5

−24.1

64.0

−41.9

30.4

2.0

−13.1

10.2

−5.4

336

Electric & Electronic Equipment

89.4

24.7

24.4

−18.9

77.5

7.9

−11.1

−16.2

14.4

337

Transportation Equipment

187.1

30.1

0.2

−1.9

90.2

−31.1

−17.0

36.6

−48.2

339

Miscellaneous Manufacturing

165.0

−13.3

−22.7

−17.5

61.6

−2.5

−6.5

4.7

−18.4

4

Transportation/communication/utility 90.7

18.7

155.2

9.6

67.1

−10.7

−6.3

14.7

9.9

444

Water Transportation

−18.1

29.7

7.2

27.8

−15.0

−6.7

1.9

−30.3

33.7

IFCI Industry Total Return Indexes 1989−1998: (Annual % Change in US$)

199

Emerging Stock Markets Factbook 1999 448

Communications

106.6

34.0

185.6

15.2

67.3

−21.4

−2.3

14.8

16.4

449

Electric, Gas or Sanitary Services

126.1

120.2

149.1

−21.9

92.2

27.8

−11.7

14.6

6.6

5

Wholesale/retail trade

145.2

93.5

21.8

64.8

47.1

−32.2

−22.8

−11.3

25.4

6

Finance/insurance/real estate

41.0

10.7

−13.4

1.2

92.8

−9.8

4.0

14.1

−20.3

660

Banking

37.3

25.1

−16.5

3.3

85.6

1.2

10.4

14.9

−5.3

661

Credit Agencies Other Than Banks

43.3

31.5

−5.7

11.9

148.1

−14.3

−3.0

−16.5

−61.4

662

Security & Commodity Brokers

−

−

12.9

6.2

70.5

−19.3

−6.7

8.4

−83.9

663

Insurance

−

−

−

−6.7

109.3

29.1

−5.1

2.8

−5.0

7

Services

61.8

12.4

23.6

36.9

139.2

−17.0

−5.7

−4.9

−55.7

770

Hotels & Other Lodging Places

61.8

8.4

13.2

24.1

157.2

−14.0

−9.1

−12.8

−56.3

9

Other/diversified holding companies 52.1

−10.1

14.4

7.7

104.0

−21.8

−1.8

6.5

−38.6

IFCI Composite Total Return Index

−2.2

39.5

3.3

79.6

−12.0

−8.4

9.4

−14.7

61.5

5— IFC Frontier Indexes Market Weights in the IFCG Frontier Composite Index End−1998

Market

Weight in IFCG Market Frontier Number Capitalization Composite of Stocks (US$ millions) (%)

Bangladesh

49

591.3

3.56

Botswana

7

453.9

2.73

Bulgaria

10

114.0

0.69

Cote d'Ivoire

12

1,247.8

7.52

Croatia

8

1,621.4

9.77

Ecuador

12

935.9

5.64

5— IFC Frontier Indexes

200

Emerging Stock Markets Factbook 1999 Estonia

10

480.2

2.89

Ghana

8

1,039.1

6.26

Jamaica

19

1,169.8

7.05

Kenya

17

1,451.2

8.74

Latvia

14

97.3

0.59

Lithuania

27

271.3

1.63

Mauritius

13

1,208.5

7.28

Romania

42

295.5

1.78

Slovenia

14

1,733.2

10.44

Trinidad & Tobago

11

2,637.6

15.89

Tunisia

13

1,088.5

6.56

Ukraine

16

160.6

0.97

IFCG Frontier Composite

302

16,597.0

100.00

Weights in the IFCG Frontier Composite Index, End−1998

IFCG Frontier Price Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

Rank

Market

% Change in IFCG Price Index

1

Slovenia

19.0

2

Trinidad & Tobago

17.5

3

Ghana

17.3

4

Kenya

13.8

5

Botswana

9.2

IFCG Frontier Price Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

201

Emerging Stock Markets Factbook 1999 6

Cote d'Ivoire

4.4

7

Mauritius

1.4

8

Tunisia

−6.4

9

Jamaica

−21.3

10

Bulgaria

−30.1

11

Croatia

−33.8

12

Ecuador

−36.9

13

Bangladesh

−38.5

14

Lithuania

−39.2

15

Estonia

−65.4

16

Latvia

−67.4

17

Romania

−67.7

18

Ukraine

−82.3

IFCG Frontier Composite

−17.2

Percent Change in the IFCG Frontier Price Indexes, 1998

IFCG Frontier Price Indexes 1998 Performance Summary: (Ranked by 1998 % Change in US$)

202

Emerging Stock Markets Factbook 1999 IFCG Frontier Price Indexes 1998: (US$) End−of−month levels

Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Bangladesh

93.8

86.0

78.0

68.3

75.5

80.0

75.9

67.1

68.5

66.4

61.7

Botswana

161.0

167.2

180.2

198.9

204.8

187.4

174.0

167.3

176.9

176.9

183.5

Bulgaria

4.9

4.9

4.9

5.0

5.0

4.9

5.0

5.0

5.3

5.4

5.2

Cote d'Ivoire

90.6

95.3

91.1

100.8

100.5

102.7

98.9

99.7

120.4

120.2

96.5

Croatia

89.8

99.1

98.0

88.7

77.5

77.4

75.1

43.5

51.6

56.1

64.4

Ecuador

76.3

78.9

71.2

65.8

67.6

63.1

64.1

63.5

55.7

50.2

51.8

Estonia

100.1

87.6

96.2

88.9

61.6

48.2

51.5

57.9

39.9

37.6

39.3

Ghana

53.9

58.6

65.1

71.5

68.5

64.8

60.3

63.6

57.5

57.4

59.5

Jamaica

145.0

142.3

141.9

138.5

133.4

138.2

137.0

138.1

120.2

111.6

108.6

Kenya

89.3

89.8

86.4

79.2

79.6

85.6

84.0

82.7

79.8

79.2

76.8

Latvia

93.2

94.4

87.3

82.2

70.5

59.4

59.7

36.2

34.3

27.3

30.6

Lithuania

186.6

181.3

204.6

204.9

185.2

170.7

155.8

130.1

108.8

104.6

111.7

Mauritius

99.8

102.8

104.0

110.6

110.5

109.7

126.3

120.2

98.0

96.0

96.0

Romania

90.4

103.4

101.0

106.7

89.7

80.7

72.5

43.5

33.9

33.0

38.4

Slovenia

111.4

117.5

133.6

139.4

140.5

137.7

156.0

139.8

141.8

133.8

128.9

Trinidad & Tobago

241.7

247.2

255.5

263.7

264.7

271.9

278.9

290.1

286.0

287.9

279.4

Tunisia

49.9

51.0

50.4

50.6

48.6

45.4

45.0

45.8

47.4

47.4

46.0

Ukraine

82.4

71.4

73.7

65.4

54.0

40.4

39.8

31.3

18.8

17.3

17.5

IFCG Frontier Composite

92.5

94.1

95.3

94.4

90.3

88.2

88.9

83.2

79.3

77.6

76.7

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

−2.0

−8.3

−9.3

−12.4

10.5

5.9

−5.1

−11.5

2.0

−3.1

−7.1

% change in index

Market

IFCG Frontier Price Indexes 1998: (US$)

203

Emerging Stock Markets Factbook 1999 Bangladesh Botswana

1.1

3.9

7.7

10.4

2.9

−8.5

−7.2

−3.9

5.7

0.0

3.7

Bulgaria

−2.0

−0.6

−0.8

2.3

0.6

−1.4

2.2

−1.2

7.0

1.5

−3.1

Cote d'Ivoire

−3.7

5.1

−4.4

10.6

−0.3

2.2

−3.7

0.8

20.7

−0.1

−19.7

Croatia

−10.2

10.4

−1.1

−9.5

−12.6

−0.1

−3.0

−42.2

18.8

8.7

14.8

Ecuador

−1.5

3.5

−9.9

−7.6

2.7

−6.6

1.6

−0.9

−12.3

−9.8

3.1

Estonia

0.1

−12.5

9.9

−7.7

−30.7

−21.8

7.0

12.3

−31.0

−5.8

4.5

Ghana

1.4

8.8

11.1

9.8

−4.3

−5.4

−7.0

5.4

−9.5

−0.2

3.7

Jamaica

−3.3

−1.8

−0.3

−2.4

−3.7

3.6

−0.8

0.8

−13.0

−7.1

−2.7

Kenya

11.3

0.5

−3.7

−8.4

0.5

7.5

−1.9

−1.5

−3.4

−0.8

−3.0

Latvia

−6.8

1.3

−7.5

−5.8

−14.2

−15.8

0.5

−39.3

−5.4

−20.4

12.1

Lithuania

−5.6

−2.9

12.9

0.2

−9.6

−7.9

−8.7

−16.5

−16.3

−3.9

6.8

Mauritius

1.8

2.9

1.2

6.3

−0.1

−0.7

15.2

−4.8

−18.4

−2.1

0.1

Romania

−9.6

14.4

−2.3

5.6

−15.9

−10.0

−10.2

−39.9

−22.2

−2.6

16.6

Slovenia

−0.6

5.5

13.8

4.3

0.7

−2.0

13.3

−10.4

1.4

−5.6

−3.7

Trinidad & Tobago

4.2

2.3

3.3

3.2

0.4

2.7

2.6

4.0

−1.4

0.7

−3.0

Tunisia

0.6

2.2

−1.1

0.3

−4.0

−6.5

−0.9

1.8

3.5

0.0

−3.1

Ukraine

−17.6

−13.4

3.3

−11.3

−17.4

−25.1

−1.6

−21.4

−39.9

−7.8

0.9

IFCG Frontier Composite

−1.6

1.7

1.2

−0.9

−4.3

−2.4

0.9

−6.5

−4.7

−2.1

−1.2

IFCG Frontier Price Indexes 1995−1998: (US$) End−of−year levels

Market

1995

1996

1997

1998

Bangladesh

100.0

296.0

95.7

58.9

Botswana

100.0

79.7

159.3

173.9

Bulgaria

100.0

17.0

5.0

3.5

Cote d'Ivoire

100.0

105.3

94.1

98.3

Croatia

−

−

100.0

66.2

IFCG Frontier Price Indexes 1995−1998: (US$)

204

Emerging Stock Markets Factbook 1999 Ecuador

100.0

84.8

77.4

48.9

Estonia

−

−

100.0

34.6

Ghana

100.0

78.6

53.2

62.4

Jamaica

100.0

139.8

149.8

118.0

Kenya

100.0

90.1

80.3

91.3

Latvia

−

−

100.0

32.6

Lithuania

100.0

182.0

197.8

120.3

Mauritius

100.0

93.2

98.1

99.4

Romania

−

−

100.0

32.3

Slovenia

100.0

102.6

112.0

133.3

Trinidad & Tobago

100.0

110.9

232.0

272.7

Tunisia

100.0

93.5

49.6

46.4

Ukraine

−

−

100.0

17.8

IFCG Frontier Composite

100.0

113.0

94.0

77.8

Market

1995

1996

1997

1998

Bangladesh

−

196.0

−67.7

−38.5

Botswana

−

−20.3

99.8

9.2

Bulgaria

−

−83.0

−70.5

−30.1

Cote d'Ivoire

−

5.3

−10.6

4.4

Croatia

−

−

−

−33.8

Ecuador

−

−15.2

−8.7

−36.9

Estonia

−

−

−

−65.4

Ghana

−

−21.4

−32.4

17.3

Jamaica

−

39.8

7.2

−21.3

Kenya

−

−9.9

−11.0

13.8

Latvia

−

−

−

−67.4

Lithuania

−

82.0

8.7

−39.2

% change in index

IFCG Frontier Price Indexes 1995−1998: (US$)

205

Emerging Stock Markets Factbook 1999 Mauritius

−

−6.9

5.3

1.4

Romania

−

−

−

−67.7

Slovenia

−

2.6

9.2

19.0

Trinidad & Tobago

−

10.9

109.3

17.5

Tunisia

−

−6.5

−47.0

−6.4

Ukraine

−

−

−

−82.3

IFCG Frontier Composite

−

13.0

−16.8

−17.2

IFCG Frontier Total Return Indexes 1998: (US$) End−of−month levels

Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Bangladesh

99.5

91.2

82.9

72.9

81.2

86.0

81.9

72.7

74.5

72.2

67.1

Botswana

184.1

191.2

206.6

232.2

239.0

219.5

203.7

197.4

209.0

210.3

219.2

Bulgaria

4.9

4.9

4.9

5.0

5.0

4.9

5.0

5.0

5.3

5.4

5.2

Cote d'Ivoire

95.3

100.2

95.8

109.5

107.6

113.6

110.4

111.3

134.3

134.1

107.7

Croatia

89.8

99.1

98.0

88.8

77.6

78.2

75.9

43.9

52.1

58.5

66.1

Ecuador

87.5

91.5

86.9

80.3

82.6

77.2

79.6

78.9

69.2

62.5

64.4

Estonia

100.1

87.6

96.2

89.1

62.5

49.0

52.4

58.9

40.6

38.3

40.0

Ghana

57.3

62.3

70.6

77.6

74.6

70.6

65.7

71.0

64.3

64.4

69.8

Jamaica

156.4

154.4

154.0

151.4

146.8

152.1

151.1

153.3

134.2

124.7

122.5

Kenya

109.4

110.0

108.1

99.6

100.6

108.5

106.6

106.4

103.3

102.5

99.8

Latvia

93.2

94.4

87.3

83.9

72.8

61.4

61.7

37.4

35.4

28.2

31.6

Lithuania

193.1

187.6

211.7

212.0

191.7

176.6

161.3

134.6

112.7

108.3

115.6

Mauritius

107.0

110.2

112.1

119.8

120.1

119.6

138.2

131.5

107.6

105.9

106.2

Romania

90.4

103.4

102.2

107.8

90.7

81.6

73.3

44.0

34.2

33.3

38.9

Slovenia

119.1

125.7

143.0

149.2

150.4

147.8

167.5

150.0

152.2

143.6

138.3

Trinidad & Tobago

318.2

346.3

358.5

372.4

375.9

387.9

397.9

415.6

410.5

414.2

403.1

Tunisia

51.8

53.0

52.7

52.9

51.5

48.8

48.5

49.5

51.3

51.3

49.7

IFCG Frontier Total Return Indexes 1998: (US$)

206

Emerging Stock Markets Factbook 1999 Ukraine

82.4

71.4

73.7

65.4

54.0

40.4

39.8

31.3

18.8

17.3

17.5

IFCG Frontier Composite

103.8

106.6

108.7

108.1

103.9

101.9

103.0

96.7

92.4

90.8

90.1

Market

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Bangladesh

−1.9

−8.3

−9.2

−12.0

11.4

6.0

−4.8

−11.2

2.4

−3.0

−7.1

Botswana

1.3

3.9

8.0

12.4

2.9

−8.2

−7.2

−3.1

5.9

0.6

4.2

Bulgaria

−1.8

−0.6

−0.8

2.3

0.6

−1.4

2.2

−1.2

7.0

1.5

−3.1

Cote d'Ivoire

−3.7

5.1

−4.4

14.3

−1.7

5.5

−2.8

0.8

20.7

−0.1

−19.7

Croatia

−10.2

10.4

−1.1

−9.5

−12.6

0.8

−3.0

−42.2

18.8

12.2

13.0

Ecuador

−1.5

4.6

−5.0

−7.6

2.9

−6.6

3.1

−0.9

−12.3

−9.7

3.1

Estonia

0.1

−12.5

9.9

−7.4

−29.8

−21.6

7.0

12.3

−31.0

−5.8

4.5

Ghana

1.4

8.8

13.3

9.9

−3.9

−5.3

−7.0

8.1

−9.4

0.0

8.4

Jamaica

−3.2

−1.3

−0.2

−1.7

−3.1

3.6

−0.7

1.5

−12.5

−7.1

−1.7

Kenya

11.3

0.5

−1.8

−7.8

1.0

7.8

−1.8

−0.1

−2.9

−0.8

−2.6

Latvia

−6.8

1.3

−7.5

−3.8

−13.3

−15.7

0.5

−39.3

−5.3

−20.4

12.1

Lithuania

−5.6

−2.9

12.9

0.2

−9.6

−7.9

−8.7

−16.5

−16.3

−3.9

6.8

Mauritius

1.9

2.9

1.7

6.9

0.2

−0.4

15.5

−4.8

−18.2

−1.6

0.3

Romania

−9.6

14.4

−1.2

5.5

−15.9

−10.0

−10.2

−39.9

−22.3

−2.6

16.6

Slovenia

−0.6

5.5

13.8

4.4

0.8

−1.7

13.3

−10.4

1.4

−5.6

−3.7

Trinidad & Tobago

16.1

8.8

3.5

3.9

0.9

3.2

2.6

4.4

−1.2

0.9

−2.7

Tunisia

0.6

2.2

−0.6

0.5

−2.6

−5.4

−0.6

2.2

3.5

0.0

−3.1

Ukraine

−17.6

−13.4

3.3

−11.3

−17.4

−25.1

−1.6

−21.4

−39.9

−7.8

0.9

IFCG Frontier Composite

−0.2

2.7

2.0

−0.5

−3.9

−1.9

1.1

−6.1

−4.5

−1.7

−0.8

% change in index

IFCG Frontier Total Return Indexes 1995−1998: (US$)

IFCG Frontier Total Return Indexes 1995−1998: (US$)

207

Emerging Stock Markets Factbook 1999 End−of−year levels

Market

1995

1996

1997

1998

Bangladesh

100.0

303.6

101.4

64.3

Botswana

100.0

86.4

181.7

207.9

Bulgaria

100.0

17.0

5.0

3.5

Cote d'Ivoire

100.0

110.7

99.0

109.7

Croatia

−

−

100.0

68.6

Ecuador

100.0

91.7

88.8

60.8

Estonia

−

−

100.0

35.2

Ghana

100.0

81.1

56.5

73.2

Jamaica

100.0

145.2

161.5

134.5

Kenya

100.0

99.6

98.3

118.9

Latvia

−

−

100.0

33.7

Lithuania

100.0

186.5

204.7

124.5

Mauritius

100.0

96.5

105.1

110.4

Romania

−

−

100.0

32.6

Slovenia

100.0

107.0

119.9

143.1

Trinidad & Tobago

100.0

115.5

274.0

393.5

Tunisia

100.0

95.5

51.5

50.2

Ukraine

−

−

100.0

17.8

IFCG Frontier Composite

100.0

118.2

103.9

91.6

Market

1995

1996

1997

1998

Bangladesh

−

203.6

−66.6

−36.6

Botswana

−

−13.6

110.2

14.4

% change in index

IFCG Frontier Total Return Indexes 1995−1998: (US$)

208

Emerging Stock Markets Factbook 1999 Bulgaria

−

−83.0

−70.5

−30.1

Cote d'Ivoire

−

10.7

−10.6

10.8

Croatia

−

−

−

−31.4

Ecuador

−

−8.3

−3.2

−31.5

Estonia

−

−

−

−64.8

Ghana

−

−18.9

−30.3

29.6

Jamaica

−

45.2

11.2

−16.7

Kenya

−

−0.4

−1.3

21.0

Latvia

−

−

−

−66.3

Lithuania

−

86.5

9.7

−39.2

Mauritius

−

−3.5

8.9

5.0

Romania

−

−

−

−67.4

Slovenia

−

7.0

12.1

19.4

Trinidad & Tobago

−

−15.5

137.3

43.6

Tunisia

−

−4.5

−46.1

−2.6

Ukraine

−

−

−

−82.3

IFCG Frontier Composite

−

18.2

−12.1

−11.9

Comparative Valuations of the IFCG Frontier Indexes End−1998 Price−earnings ratio

Price−book value ratio

Dividend yield

Market

End 1998

Relative to MSCI End World 1997

End 1998

Relative to MSCI End World 1997

End 1998

Relative to MSCI End World 1997

Bangladesh

9.12

0.31

13.51

1.44

0.41

2.14

3.66

2.29

4.29

Botswana

10.93

0.38

11.82

2.97

0.85

3.51

4.66

2.91

5.57

Bulgaria

15.08

0.52

−12.14 0.39

0.11

0.89

−

−

−

Cote d'Ivoire

8.47

0.29

8.77

2.78

0.80

2.88

4.49

2.81

−

Croatia

11.12

0.38

25.91

1.27

0.36

1.84

2.84

1.78

−

Ecuador

6.60

0.23

14.84

1.20

0.34

1.77

10.21

6.38

4.86

Estonia

25.95

0.89

11.95

0.97

0.28

2.87

2.61

1.63

−

Comparative Valuations of the IFCG Frontier Indexes End−1998

209

Emerging Stock Markets Factbook 1999 Ghana

10.52

0.36

11.39

2.01

0.58

2.08

9.56

5.98

3.44

Jamaica

5.64

0.19

8.78

0.79

0.23

1.12

6.12

3.83

3.82

Kenya

8.14

0.28

7.95

1.65

0.47

1.51

5.94

3.71

10.5

Latvia

7.07

0.24

17.37

0.44

0.13

1.70

7.11

4.44

−

Lithuania

5.70

0.20

7.96

0.61

0.17

1.01

−

−

0.80

Mauritius

11.58

0.40

12.82

1.47

0.42

1.26

3.46

2.16

2.71

Romania

−19.45 −0.67

106.23

0.50

0.14

1.42

2.30

1.44

−

Slovenia

205.29

7.08

18.72

1.03

0.30

0.93

0.34

0.21

1.20

Trinidad & Tobago

17.16

0.59

17.42

3.75

1.07

3.28

18.98

11.86

11.7

Tunisia

10.50

0.36

13.06

1.29

0.37

1.70

4.73

2.96

2.17

Ukraine

1.17

0.04

4.62

0.13

0.04

0.56

−

−

−

IFCG Frontier Composite

10.53

0.36

12.00

1.25

0.36

1.62

7.01

4.38

−

6— IFC Index Market Profiles Argentina Market Performance

Following three consecutive years of double−digit gains, Argentine equities reversed course in 1998, falling over 20% on repercussions of the August Russian debt default, instability in emerging markets and oil prices at 12−year lows. Weakness in the Brazilian economy weighed heavily on the Buenos Aires bolsa as investors assessed the likelihood of a regional recession and decreased demand for Argentine exports. Approval of $41.5 billion in IMF aid for Brazil, strong economic fundamentals, and adherence to the exchange rate regime cushioned the market's fall, as the Argentine bolsa posted the smallest decline in Latin America for the year. Still, the losses were substantial: the dollar−based IFCI and IFCG indexes dropped 28.5% and 28.4%, respectively. A low inflation rate of 0.7% and a 4.2% growth in GDP, the strongest of the region, prevented much larger falls in the indexes. Shares traded mixed in the first quarter of 1998 as gains in February and March eroded January losses. Concern over slowing Asian demand for exports from the Latin America region pushed equities lower in January. The market recovered on news of the approval of an $2.8 billion IMF credit facility to support the country's economic reform program and on strength in Argentine ADR trading in New York. Pension fund investments late in the period gave the market an additional boost as the IFCI Argentina Index closed up 1.4% for the first quarter. Investor enthusiasm proved fleeting in the second quarter of the year, as riots in Indonesia and an oil price decline to below $15 per barrel battered the market. Oil companies YPF and Perez Companc led the market fall on concern over an erosion in the country's export earnings.Oil accounts for roughly 8% of the country's exports. The suspension of $10 billion in government spending on infrastructure projects and weakening confidence in emerging markets following Indonesian President Suharto's forced resignation also affected Argentine equities, as 6— IFC Index Market Profiles

210

Emerging Stock Markets Factbook 1999 the IFCI Index lost 19.4% for the quarter.

The IFCI Index continued its decline in the third quarter, dragged lower by the market's 32% plunge in August—the worst monthly performance in over a decade. The devaluation of the Russian ruble in August sparked a worldwide equity sell−off on concerns that other emerging markets would follow suit. The market steadied in September, as investors snapped up automobile, telecommunication, and oil company shares at record−low prices, but closed down 18.6% for the quarter. Equities gained ground in the fourth quarter, as an unexpected cut in U.S. interest rates coupled with approval of a $41.5 billion IMF−led aid package for Brazil lifted the IFCI Argentina Index 7.5% higher. The market greeted the aid package enthusiastically on hopes a regional recession will be averted. News of the sale of 14.99% of the Argentine government's stake in oil company YPF also strengthened investor confidence in equities on expectations of above−market bids for the shares. Looking forward, former Economy Minister Domingo Cavallo, Buenos Aires Mayor Fernando de la Rua, and Peronist leader Eduardo Duhalde emerged as leading candidates for the October 1999 presidential elections, following current President Carlos Menem's decision not to seek another term.break

Monthly Value Traded (US$ millions)

6— IFC Index Market Profiles

IFCI Argentina Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

211

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,686 billion)

Exchange Rate (pesos per U.S. dollar)

* 51 markets covered by EMDB Argentina 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Buenos Aires Stock 136 Exchange

136

138

139

138

137

135

135

135

134

Number of Listed Companies

Market Capitalization In pesos

54,070

58,417

60,250

60,128

53,585

50,987

54,438

37,750

42,551

46,752

In U.S. dollars

54,092

58,447

60,256

60,134

53,612

50,992

54,466

37,758

42,555

46,766

In pesos

1,188

1,498

1,625

1,246

1,264

1,023

1,457

1,511

1,309

1,250

In U.S. dollars

1,188

1,498

1,626

1,246

1,265

1,023

1,458

1,511

1,309

1,251

Turnover ratio (%)

2.1

2.7

2.7

2.1

2.2

2.0

2.8

3.3

3.3

2.8

Trading Value

Local Index

Argentina 1998: (Currency in Millions)

212

Emerging Stock Markets Factbook 1999 Bolsa Indice General*

21,046.0 22,724.6 23,394.9 23,230.0 20,543.0 19,551.0 20,908.5 14,488.0 16,344.3 18,263.

Change in index (%) −8.8

8.0

2.9

−0.7

−11.6

−4.8

6.9

−30.7

−12.8

11.7

35

35

35

35

35

35

35

35

35

Share of market cap. 61.0 (%)*

61.1

61.3

60.3

59.5

59.1

59.0

57.1

57.5

59.5

Share of trading value (%)

91.0

95.6

89.9

93.8

92.4

95.7

93.3

95.9

95.4

94.9

P/E ratio

14.8

15.7

16.3

16.4

14.8

13.5

14.4

9.7

11.1

12.6

P/BV ratio

1.6

1.7

1.8

1.7

1.5

1.4

1.5

1.0

1.2

1.3

Dividend yield (%)

2.7

2.7

2.5

2.8

3.2

3.4

3.1

4.6

4.1

3.5

Total return index*

2,501.4

2,711.7

2,808.3

2,760.4

2,428.3

2,280.6

2,447.2

1,652.0

1,870.7

2,135.7

Change in total return index (%)

−8.9

8.4

3.6

−1.7

−12.0

−6.1

7.3

−32.5

13.2

14.2

0.9995

0.9999

0.9999

0.9995

0.9999

0.9995

0.9998

0.9999

0.9997

IFC Global Index Number of stocks

35

Exchange Rates Exchange rates (end 0.9996 of period)

Notes: The base date for the Bolsa Indice General is Dec. 29, 1977=0.00001. The base date for the IFCG Argentina Index calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Buenos Aires Stock Exchange Mr. Eugenio de Bary, Chairman Mr. Edgar I. Jelonche, Chief Executive Sarmiento 299, 2nd Floor Buenos Aires, 1353 Argentina Tel: (54−11) 4316−7050 Fax: (54−11) 4312−9332 http://www.bcba.sba.com.ar/

Rosario Board of Trade Nicanor Sodiro, Chairman Cont.Mario A. Acoroni, General Manager Cordoba 1402 Rosario, Santa Fe, 2000 Argentina Tel: (54−41) 213−471, 213−478 Fax: (54−41) 241−019

Argentina 1998: (Currency in Millions)

IFC Corresponde HSBC Banco Rob 25 de Mayo 258 Buenos Aires Argentina Tel: (54−11) 4345 Fax: (54−11) 4343

213

Emerging Stock Markets Factbook 1999 Argentina 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

178

179

174

175

180

156

149

147

136

In pesos

575

1,853

18,491

18,595

43,967

36,867

37,780

44,670

59,240

In U.S. dollars

4,225

3,268

18,509

18,633

43,967

36,864

37,783

44,679

59,252

Inpesos

71

408

4,612

15,551

10,337

11,370

4,594

4,378

25,696

In U.S. dollars

1,916

852

4,824

15,679

10,339

11,372

4,594

4,382

25,702

Turnover ratio (%)

24.5

33.6

45.3

83.9

33.0

28.1

12.3

10.6

49.5

Bolsa Indice General*

717.20

2,202.9

17,856.0 13,427.5 20,607.2 15,855.6 16,237.8 18,494.9 23,072.0

Change in index (%)

17,231.8 207.2

710.6

−24.8

53.5

−23.1

2.4

13.9

24.7

Number of stocks

24

27

28

29

31

30

34

35

35

Share of market cap. (%)*

77.8

68.7

85.9

76.7

71.6

50.9

58.6

60.8

61.4

P/E ratio

9.1

−3.1

−406.0

38.0

41.9

17.7

15.0

38.2

16.3

P/BV ratio

1.1

0.3

1.7

1.2

1.9

1.4

1.3

1.6

1.8

Dividend yield (%)

4.7

0.9

0.3

1.9

2.3

2.9

3.5

2.9

2.1

Total return index*

540.7

343.1

1,704.8

1,253.1

2,164.7

1,661.4

1,872.1

2,290.0

2,746.2

Change in index (%)

175.9

−36.5

396.9

−26.5

72.7

−23.3

12.7

22.3

19.9

Number of Listed Companies Buenos Aires Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Argentina 1989−1998: (Currency in Millions; End of Period Levels)

214

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

76,691

141,234 180,898

226,638

257,570

281,643

280,779

298,734

325,012

Change in consumer price index (%)

3,079.8

2,314.0

171.7

24.9

10.6

4.2

3.4

0.2

0.5

Exchange rate (end of period)

0.1360

0.5670

0.9990

0.9980

1.0000

1.0001

0.9999

0.9998

0.9998

Exchange rate (average of period)

0.0370

0.4793

0.9560

0.9918

0.9998

0.9998

0.9999

0.9992

0.9998

Notes: The base date for the Bolsa Indice General is Dec. 29, 1977=0.00001. The base date for the IFCG Argentina Index 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Bangladesh Market Performance

Bangladesh succumbed to another year of bearish results in 1998. A general mistrust of emerging markets, a torrential monsoon period that left large areas of Bangladesh under water and hampered the government with billions of dollars in losses, as well as persistent political fighting between the government and opposition party all played parts in dragging share prices lower. The yearlong disinterest in Bangladesh equities resulted in a 38.5% dollar loss in the IFCG Bangladesh Index while the Dhaka Stock Exchange's All−Share Index shed 28.6% in taka terms. The taka, after a 3% devaluation midyear, finished the year 4.9% weaker against the dollar. Share prices in the first quarter drifted lower from the outset of the year, pulled down by selling pressure from the liquidation of Hong Kong's Peregrine Investment Holdings and by rumors of a currency devaluation. Although not a big player in Bangladesh equities, Peregrine's bankruptcy ruffled investor confidence quite substantially. As a result, during the remainder of January, investors clearly decided to wait it out on the sidelines, especially after five listed companies announced a no−dividend payout for fiscal year 1996/97. The quarter's dismal performance is evident from the 18.5% decline in the IFCG Bangladesh Index and the 14.8% drop in the DSE All−Share Index. Stocks took a surprising upturn the following quarter after the DSE introduced measures to regain the trust and confidence of investors. To entice new activity on the market, the DSE modified its membership policy to allow foreigners in. The liberalized membership policy aimed to raise the DSE's broker roster to 300 from the present 250 brokers. As investors bought into the depressed market, the Securities and Exchange Commission of Bangladesh approved a new netting system that allowed all deals to be settled on the same trading day. The IFCG Bangladesh Index ended the quarter with a 2.5% gain while the DSE All−Share Index posted a 4.9% rise.

Bangladesh

215

Emerging Stock Markets Factbook 1999

The DSE returned to its listless state following massive flooding brought about by heavy monsoon rains. Shares regained some ground toward the end of the quarter as Bangladesh began the arduous task of returning to post−flooding normalcy. August 10 marked the end of the open−outcry system and the start of the new screen−based automated trading system on the DSE. End−quarter results showed a 14.4% decline on the IFCG Bangladesh Index and 11.2% drop in the DSE All−Share Index. Year−end results were no different from the previous quarter as an unexpected 3% devaluation in the taka and poor dividend announcements by two IFCG Bangladesh Index constituents left investors on the sidelines once more. The central bank announced a surprise devaluation on October 15, aimed at boosting export earnings and overseas remittances by Bangladeshis, who as a group, remit more than $1 billion a year. Politics undermined investor confidence in the late stages of the year. Investors again took to the sidelines in November and December after the main opposition party, Bangladesh Nationalist Party, and its supporters enforced a 48−hour nationwide strike on November 9 and 10 to protest undemocratic policies of the current administration. The IFCG Bangladesh Index lost an additional 14% during the period.break

Monthly Value Traded (US$ millions)

Bangladesh

IFCG Bangladesh Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

216

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (taka per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Bangladesh 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

202

203

203

203

204

204

204

204

204

204

Number of Listed Companies Dhaka Stock Exchange

Market Capitalization In taka

67,864.8 63,051.0 58,421.0 52,103.8 56,859.6 60,812.0 58,713.1 52,363.4 53,575.1 53,153.

In US dollars

1,486.3

1,357.4

1,257.7

1,121.7

1,224.1

1,309.2

1,241.1

1,106.9

1,132.5

1,123.6

In taka

926.7

810.9

843.2

481.2

641.4

986.9

384.1

1,177.7

7,512.9

9,966.8

In US dollars

20.3

17.5

18.2

10.4

13.8

21.2

8.1

24.9

158.8

210.7

Turnover ratio (%)

2.0

1.2

1.4

0.9

1.2

1.7

0.6

2.1

14.2

18.7

Trading Value

Local Index Bangladesh 1998: (Currency in Millions)

217

Emerging Stock Markets Factbook 1999 DSEAll Share Price*

741.8

687.5

644.8

574.4

628.2

676.5

652.4

583.1

600.6

594.4

−7.3

−6.2

−10.9

9.4

7.7

−3.6

−10.6

3.0

−1.0

46

46

46

46

46

46

46

46

46

Share of market cap. 68.2 (%)*

68.3

66.9

65.7

66.6

65.8

65.9

65.3

65.1

63.6

Share of trading value (%)

63.4

63.0

66.2

70.5

67.8

65.2

64.0

64.9

17.1

12.1

P/E ratio

13.7

12.8

11.6

10.0

11.1

11.8

11.4

10.1

10.3

10.0

P/BV ratio

2.1

2.0

1.8

1.6

1.7

1.8

1.8

1.6

1.6

1.5

Dividend yield (%)

4.3

4.6

5.1

5.1

4.5

4.3

4.5

4.6

4.5

4.6

Total return index*

99.5

91.2

82.8

72.9

81.2

86.0

81.9

72.7

74.5

72.2

Change in total return index (%)

−1.8

−8.3

−9.2

−12.0

11.4

6.0

−4.8

−11.2

2.4

−3.0

Change in index (%) −2.0

IFC Global Index Number of stocks

46

Exchange Rates Exchange rate (end of period)

45.6604 46.4500 46.4500 46.4500 46.4500 46.4500 47.3084 47.3050 47.3088 47.3088

Notes: The base date for the DSE All Share Price Index is 1985=100. The base date for the IFCG Bangladesh Index is Dec calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Dhaka Stock Exchange Ltd. Dr. Raqibur Rahman, Chairman Stock Exchange Building 9F. Motijheel Commercial Area Dhaka, 1000 Bangladesh Tel: (880−2) 956−4601, 966−6940 to 49 Fax: (880−2) 867−552, 956−4727

IFC Corresponde Equity Resources Jahangir Tower 10 Kawran Bazar Dhaka 1215 Bangladesh Tel: (880−2) 816− Fax: (880−2) 817−

Bangladesh 1989−1998: (Currency in Millions; End of Period Levels)

Bangladesh 1989−1998: (Currency in Millions; End of Period Levels)

218

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

134

138

145

153

170

183

186

202

Number of Listed Companies Dhaka Stock Exchange 116

Market Capitalization In taka

15,350.5 11,486.0 10,397.0 12,299.1 18,098.7 41,770.0 53,931.0 193,922.6 69,166.5

In US dollars

475.7

320.9

269.5

314.4

453.1

1,049.5

1,338.2

4,551.0

1,537.4

In taka

173.7

195.0

116.0

437.8

578.8

4,283.7

6,380.9

29,958.1

16,854.5

In US dollars

5.4

5.6

3.2

11.2

14.6

106.5

158.4

721.9

383.9

Turnover ratio (%)

1.2

1.4

1.1

3.9

3.8

14.3

13.3

24.2

12.8

DSE All Share Price*

467.8

350.8

296.3

369.6

391.8

845.6

834.7

2,300.1

756.8

Change in index (%)

−12.3

−25.0

−15.5

24.7

6.0

115.8

−1.3

175.6

−67.1

Number of stocks

−

−

−

−

−

−

45

46

46

Share of market cap. (%)*

−

−

−

−

−

−

72.7

68.6

67.4

P/E ratio

−

−

−

−

−

−

−

49.0

13.5

P/BV ratio

−

−

−

−

−

−

−

7.0

2.1

Dividend yield (%)

−

−

−

−

−

−

−

1.1

4.3

Total return index*

−

−

−

−

−

−

100.0

303.5

101.4

Change in total return index (%)

−

−

−

−

−

−

−

203.5

−66.6

29,855

30,729

31,537

33,066

33,476

37,614

40,304

41,419

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product 26,779 (US$)

Bangladesh 1989−1998: (Currency in Millions; End of Period Levels)

219

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

10.0

8.1

7.2

4.3

0.0

3.6

5.8

2.7

5.6

Exchange rate (end of period)

32.2700

35.7900

38.5800

39.1236

39.9400

39.8000

40.3000

42.6110

44.9905

Exchange rate (average 32.2700 of period)

34.5670

36.5962

38.9510

39.5670

40.2120

40.2780

41.4966

43.9089

Notes: The base date for the DSE All Share Price Index is 1985=100. The base date for the IFCG Bangladesh Index is Dec 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Botswana Market Performance

The Botswana Stock Exchange (BSE) finished the year as one of the strongest performing markets in the world. The IFCG Botswana Index gained 9.2% in dollar terms for 1998 while the local Domestic Company Index (DCI) raced ahead, returning 33.6% in pula. The Bank of Botswana's announcement of a further liberalization of exchange controls in January portended a strong year on the BSE. The measure cleared the way for individual non−residents to purchase up to 10% of the free float of listed companies (up from 5%) without central bank approval, as well as boosted aggregate shareholding for non−resident investors to 55% from 49% of free float. Government statistics showing that the annual inflation rate had dipped to 7.8% in December 1997, the lowest level in almost 10 years, also contributed to the early euphoria. Domestic shares finished the quarter strongly, with the IFCG Index climbing 7.7% in March on favorable corporate results and amid enthusiasm over the visit of U.S. President Bill Clinton. Strong foreign interest in DCI stocks and Clinton's visit boosted turnover and share prices. In addition, a decline in inflation encouraged the Bank of Botswana to cut its key bank lending rate in early March to 11.75%, the second rate cut in 1998, setting the stage for a promising second quarter. In all, the IFCG Index gained 13.1% over the first quarter. Shares continued to surge ahead early in the second quarter, boosted by Festus Mogae's ascension to the nation's presidency and his promise that the country would remain committed to a free market economy. However, as world stock markets began to slump toward the end of June as a result of the Japanese yen depreciation and balance−of−payments difficulties in Russia, the Botswana Stock Exchange fell victim to the downturn. Increasing international financial turmoil coupled with domestic level problems, such as weakening demand for diamonds, renewed investor skepticism. The IFCG Index finished the second quarter with a gain of 4.0%.

Botswana

220

Emerging Stock Markets Factbook 1999 Trading volumes fluctuated from July to September as equity prices managed to fight off the worldwide stock market plunge with the help of the government's surprise announcement of a 25% minimum salary increase to civil servants. The pay hike, well above the prevailing market forecast, was expected to increase private sector savings and consumer spending. Later in the period, the index remained mostly unaffected by the world economic decline and managed to reach record levels as measured by the BSE Index. The IFCG Index fell 5.6% over the three−month period. In the final quarter, equities remained flat despite the first new domestic listing on the Botswana Stock Exchange since Pep Botswana Holdings in 1992. The initial public offering of MRI Botswana, a pre−hospital care business, was well oversubscribed and returned strong initial results. This was followed in December by another new issue, Furniture Mart, a furnished goods retailer for the local market. Furniture Mart's IPO was also well received as it was oversubscribed by more than 80%. In spite of the enthusiasm over the two new equity issues, the overall market was mostly unaffected as the BSE remained nearly unchanged in the final trading sessions of the year. Over the quarter, the IFCG Index fell 1.7%.break

Monthly Value Traded (US$ millions)

IFCG Botswana Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (pula per U.S. dollar)

Botswana

221

Emerging Stock Markets Factbook 1999 * 51 markets covered by EMDB Botswana 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

12

12

12

12

12

12

12

12

12

13

13

Number of Listed Companies Botswana Stock Market

Market Capitalization In pula

2,366.1 2,476.9 2,672.6 3,006.1 3,163.5 3,130.3 3,163.0 3,218.6 3,196.3 3,116.4 3,21

In US dollars

614.2

642.7

691.1

769.9

796.9

735.3

683.2

660.5

713.1

714.0

729.

In pula

22.0

43.6

15.0

13.5

22.8

29.4

30.5

35.0

22.9

26.1

23.8

In US dollars

5.7

11.3

3.9

3.5

5.8

6.9

6.6

7.2

5.1

6.0

5.4

Turnover ratio (%)

0.1

1.8

0.6

0.5

0.7

0.9

1.0

1.1

0.7

0.8

0.8

Botswana DCI*

717.8

751.4

810.8

911.9

959.7

949.2

959.1

976.0

951.3

945.0

974.

Change in index (%)

1.3

4.7

7.9

12.5

5.2

−1.1

1.0

1.8

−2.5

−0.7

3.1

Number of stocks

7

7

7

7

7

7

7

7

7

7

7

Share of market cap. (%)

76.6

75.8

76.5

76.2

75.4

74.6

74.3

73.8

72.3

72.4

73.0

Share of trading value 97.5 (%)

82.7

94.2

65.0

94.2

98.4

94.2

81.3

69.9

91.7

49.7

P/E ratio

11.2

11.8

11.8

13.2

13.2

12.9

13.1

12.9

12.4

12.1

11.5

P/BV ratio

3.5

3.7

2.8

3.2

3.1

3.1

3.1

3.1

3.0

3.0

3.1

Dividend yield (%)

5.3

5.1

4.8

5.2

4.3

4.6

4.5

5.2

5.5

4.4

4.4

Trading Value

Local Index

IFC Global Index

Botswana 1998: (Currency in Millions)

222

Emerging Stock Markets Factbook 1999 Total return index*

184.1

Change in total return 1.3 index (%)

191.2

206.6

232.2

239.0

219.5

203.7

197.4

209.0

210.3

219.

3.9

8.0

12.4

2.9

−8.2

−7.2

−3.1

5.9

0.6

4.2

Exchange Rates

Exchange rate (end of 3.8521 3.8536 3.8670 3.9047 3.9698 4.2571 4.6296 4.8733 4.4823 4.3649 4.40 period)

Notes: The base date for the BSE DCI Index is 1989=100. The base date for the IFCG Botswana Index is Dec. 1995=100. calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: Stockbrokers Botswana Private Bag 00113 Ground Floor, Barclays Khama Crescent Gaborone Botswana Tel: (26−7) 357−900 Fax: (26−7) 357−901

Botswana Stock Exchange Mr. Louis Nchindo, Chairman Private Bag 00417 Ground Floor, Barclays House Khama Crescent Gaborone Botswana Tel: (267) 357−900 Fax: (267) 357−901 Botswana 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

9

11

11

11

12

12

12

14

In pula

−

−

545.4

657.3

668.9

1,024.3 1,120.3 1,189.8 2,335.5 3,22

In US dollars

−

−

260.7

294.6

260.8

376.9

397.6

325.5

614.5

723.

−

−

17.1

31.8

48.0

83.8

106.8

103.4

216.8

295.

Number of Listed Companies Botswana Stock Market

Market Capitalization

Trading Value In pula

Botswana 1989−1998: (Currency in Millions; End of Period Levels)

223

Emerging Stock Markets Factbook 1999 In US dollars

−

−

8.5

14.9

19.9

31.1

38.4

31.2

74.3

69.7

Turnover ratio (%)

−

−

3.1

5.3

7.2

9.9

10.0

9.0

12.3

10.6

Botswana DCI*

−

230.4

271.7

273.7

278.5

312.9

332.8

352.2

708.5

946.

Change in index. (%)

−

−

17.9

0.7

1.8

12.4

6.4

5.8

101.2

33.6

Number of stocks

−

−

−

−

−

−

7

7

7

7

Share of market cap. (%)

−

−

−

−

−

−

77.4

76.1

75.8

69.6

P/E ratio

−

−

−

−

−

−

−

6.3

11.8

10.9

P/BV ratio

−

−

−

−

−

−

−

1.7

3.5

3.0

Dividend yield (%)

−

−

−

−

−

−

−

8.2

5.6

4.7

Total return index*

−

−

−

−

−

−

100.0

86.4

181.7

207.

Change in total return index (%)

−

−

−

−

−

−

−

−13.6

110.3

14.4

Gross domestic product (US$) 2,932

3,387

3,941

3,966

4,098

4,317

4,585

4,936

5,070

−

Change in consumer price index (%)

11.6

11.4

11.8

16.2

14.3

10.5

10.5

10.1

8.6

−

Exchange rate (end of period)

−

1.8605

2.0921

2.2311

2.5648

2.7178

2.8177

3.6550

3.8008

4.45

Exchange rate (average of period)

−

1.8601

2.0173

2.1327

2.4190

2.6971

2.7824

3.3203

2.9196

4.23

Local Index

IFC Global Index

Economic Data

Notes: The base date for the BSE DCI Index is 1989=100. The base date for the IFCG Botswana Index is Dec. 1995=100. calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Brazil Market Performance

International and domestic factors kept Brazilian interest rates up and the stock market down in 1998. Residual effects of the Asian financial crisis as well as the problem of Brazil's twin fiscal and current account deficits drove interest rates to unsustainable levels as policy−makers attempted to defend Brazil's fixed exchange rate from speculative attacks. Brazil was the fifthworst−performing IFC stock market for 1998 as the local BOVESPA Index plummeted 33.5% in real terms, and the IFCI and IFCG Brazil indexes fell 43.0% and 42.6%, respectively, in dollar terms. Brazil

224

Emerging Stock Markets Factbook 1999 Brazilian equities made small gains from January to July on encouraging signs that the federal government was taking measures to trim its large fiscal deficit. The sale of state−owned assets attracted foreign investors. A total of $2.2 billion poured into Brazil in the first two months of 1998, helping to lift the IFCI Index 7.5% in February and 8.7% in March. In spite of the ongoing privatization of utilities, markets were given a scare in May, with the IFCI Index plummeting 16.1% when the government announced it would delay the sale of national telephone monopoly Telebras until July 29. Market volatility increased dramatically throughout summer resulting from financial woes in East Asia and Russia. Investors sent the market tumbling in early June after Moody's revised its sovereign rating on Brazilian bonds from stable to negative. Share prices recovered quickly after a mid−month U.S. Treasury operation in support of the ailing Japanese yen lifted hopes that renewed Japanese demand might fuel an Asian recovery.

Brazilian authorities spent the latter half of the year attempting to ease tight monetary conditions. The government's flawless execution of the Telebras privatization in late July strengthened President Fernando Henrique Cardoso's standing before October elections, lifting the IFCI Index 8.5%. Conscious of the need to revive the economy and reduce borrowing costs, the central bank immediately capitalized on the success of the sale by quietly lowering interest rates, fixing the benchmark TBAN rate lower than market expectations at 25.75%. International developments dramatically increased Brazil's risk and market volatility immediately thereafter and throughout the remainder of 1998, however. The August Russian ruble devaluation and debt moratorium vitiated demand for Brazilian assets as the IFCI Index fell a breathtaking 39.2%. Brazilian authorities resisted raising interest rates at the turmoil's onset and instead attempted to appease the market by tabling more fiscal reform legislation. Continued capital flight and another Moody's downgrade of sovereign bonds, however, finally forced the government's hand as the central bank raised the TBAN to 49.75%. Stocks made small gains in September and October and finally rallied 20% in November after the creation of a $41.5 billion IMF−sponsored emergency credit line. The central bank responded by aggressively pushing down interest rates to 34.4%. The market was again taken by surprise in December, falling 21.4% after opposition lawmakers voted against public sector pension reforms that would have saved the government $2.2 billion. Faith in the government's ability to reduce the $64 billion deficit waned significantly, triggering a renewed bout of capital flight. In spite of the prodigious capital outflows and deteriorating sentiment in late 1998, the central bank lowered the TBAN rate to 28.6% in December from November's high of 42.75%.break

Brazil

225

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Brazil Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (real per U.S. dollar)

* 51 markets covered by EMDB Brazil 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

536

537

543

536

541

536

539

536

548

541

52

Number of Listed Companies Sao Paulo Bolsa de Valores

Brazil 1998: (Currency in Millions)

226

Emerging Stock Markets Factbook 1999 Market Capitalization In reais

267,886 281,871 309,090 310,057 267,147 254,012 272,006 187,874 184,396 192,581 21

In U.S. dollars

238,524 249,399 271,823 271,029 232,261 219,620 233,883 159,635 155,582 161,440 18

Trading Value In reais

13,130

14,765

16,547

22,952

14,703

13,182

15,696

14,560

12,356

9,887

11

In U.S. dollars

11,691

13,064

14,552

20,063

12,783

11,397

13,496

12,371

10,425

8,289

9,

Turnover ratio (%)

4.8

5.4

5.6

7.4

5.1

5.1

6.0

6.3

6.6

5.3

5.

9,720

10,570

11,946

11,677

9,846

9,678

10,707

6,472

6,593

7,047

8,

8.7

13.0

−2.3

−15.7

−1.7

10.6

−39.5

1.9

6.9

22

87

87

87

87

87

86

86

86

108

108

10

Share of market cap. 68 (%)*

69

69

67

62

63

65

56

57

58

67

Share of trading value (%)

83

69

77

54

77

76

73

72

75

36

43

P/E ratio

11.7

12.8

12.6

12.1

9.5

9.4

10.2

6.1

6.4

6.8

7.

P/BV ratio

0.9

1.0

1.1

1.1

0.9

0.9

1.0

0.6

0.6

0.6

0.

Dividend yield (%)

4.2

3.8

3.6

4.2

5.0

5.1

5.1

8.5

8.4

8.8

6.

Total return index*

670.5

718.2

787.7

774.1

652.5

638.0

693.5

434.6

433.0

451.0

53

Change in total return index (%)

−7.0

7.1

9.7

−1.7

−15.7

−2.2

8.7

−37.3

−0.4

4.2

19

1.1302

1.1371

1.1440

1.1502

1.1566

1.1630

1.1769

1.1852

1.1929

1.

Local Index IBOVESPA*

Change in index (%) −4.7

IFC Global Index Number of stocks

Exchange Rates Exchange rates (end 1.1231 of period)

Notes: Market cap figures are for Sao Paulo only. Trading values are combined Sao Paulo and Rio de Janeiro. The base da IBOVESPA is 1968=0.000000001. The base date for the IFCG Brazil Index is Dec. 1984=100. In calculating share of tota IFCG market cap is not adjusted for cross holdings.

Brazil 1998: (Currency in Millions)

227

Emerging Stock Markets Factbook 1999

Sao Paulo Stock Exchange Mr. Gilberto Mifano, CEO Rua XV de Novembro, 275 Sao Paulo−SP, 01013−001 Brazil Tel: (55−11) 233−2000 Fax: (55−11) 239−4981 http://www.bovespa.com.br/

Rio de Janeiro Stock Exchange Mr. Fernando Opitz, Chairman Mr. Sergio Luiz Berardi, CEO Praca XV de Novembro, 20 Centro − Rio de Janeiro, 20010−010 Brazil Tel: (55−21) 514−1010 Fax: (55−21) 221−2151 http://www.bvrj.com.br/

IFC Correspondent: Lopes Filho & Assoc Rua Araujo Porto Ale 36−8 andar Rio de Janeiro, RJ 20 Brazil Tel: (55−21) 210−215 Fax: (55−21) 240−28 http://www.lopesfilho

Brazil 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

592

581

570

565

550

544

543

551

536

527

Number of Listed Companies Sao Paulo Bolsa de Valores

Market Capitalization In reais

0.18231 0.9576

16.9512 201.503 11,603

160,321 143,502 225,474 285,139 194,399

In U.S. dollars

44,368

42,759

189,281 147,636 216,990 255,478 160,887

16,354

45,261

99,430

Trading Value Inreais

0.01707 0.13425 1.92273 34.408

1,922.7 71,666

72,693

112,669 219,073 170,123

In U.S. dollars

16,762

5,598

13,373

20,525

57,409

109,498 79,186

112,108 203,260 146,594

Turnover ratio (%)

17.9

23.6

22.0

31.5

32.6

83.4

61.1

6.7805

375.45

4,353.9 4,299.0 7,039.9 10,196.0 6,784.0

47.8

85.8

71.0

Local Index IBOVESPA*

0.00616 0.02516 0.6078

Change in index (%)

1,762.5 308.3

2,316.0 1,015.6 5,437.2 1,059.6 −1.3

63.8

44.8

−33.5

56

69

86

87

100

IFC Global Index Number of stocks

67

69

70

Brazil 1989−1998: (Currency in Millions; End of Period Levels)

83

87

228

Emerging Stock Markets Factbook 1999 Share of market cap. (%)

43.5

40.1

47.6

51.3

61.2

59.1

64.1

61.7

68.7

60.7

P/E ratio

5.9

4.7

15.5

−24.4

12.6

13.1

36.3

14.5

12.4

7.0

P/BV ratio

0.7

0.3

0.8

0.4

0.5

0.6

0.5

0.7

1.0

0.6

Dividend yield (%)

0.7

9.4

0.6

0.7

0.4

0.7

3.4

2.3

3.9

7.8

Total return index*

170.7

58.6

158.4

158.9

316.9

538.2

429.3

577.1

720.9

440.3

Change in index (%)

39.9

−65.7

170.3

0.3

99.4

69.8

−20.2

34.4

24.9

−38.9

Economic Data Gross domestic product (US$)

448,763 464,989 407,729 390,567 438,299 546,486 703,912 774,946 820,381 778,292

Change in consumer price index (%)

1,430.7 2,947.7 432.8

951.6

1,928.0 2,075.9 66.0

15.8

6.9

−

Exchange rate (end of period)

0.0113

0.1610

1.0902

12.243

320.920 0.8470

0.9720

1.0391

1.1161

1.2083

Exchange rate (average of period)

0.0028

0.0660

0.4057

4.6118

92.1026 0.6545

0.9180

1.0050

1.0778

1.1605

Notes: Market cap figures are for Sao Paulo only. Trading values are combined Sao Paulo and Rio de Janeiro. The base date for IBOVESPA is 1968=0.000000001. The base date for the IFCG Brazil Index is Dec. 1984=100. Brazil reformed its currency on July 1, 1994, exchanging its former currency (the cruzeiro real) for a new currency (the real) at a rate of 2,750:1. This series has been adjusted to reflect the change. IBOVESPA was divided by 10 on Feb. 10, 1994, and again on March 3, 1997. The series has not been adjusted to reflect the second change. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Bulgaria Market Performance

The Bulgarian stock market followed the lead of other more prominent Eastern European markets during 1998, gaining ground through midyear and then retreating after the onset of the currency and debt crisis in Russia. The Bulgaria Stock Exchange−Sofia Warburg 30 Index, launched in December 1997 as an off−exchange index, lost 38% by the end of the year. The dollar−based IFCG Bulgaria Index fell 30%, while the local currency, the lev, fell 33.28% for the year. Equities evinced signs of life at the start of 1998 when trading resumed at the newly opened BSE−Sofia Stock Exchange. The market gained more than 50% on positive corporate fundamentals, a steady lev, and low inflation. Banks, many trading at low price−to−earnings ratios, drew considerable investor attention during the rally, as those institutions that survived the 1996−97 banking crisis—in which 30% of banking institutions were closed—were seen as solvent and with high capitalization ratios. Despite the positive investment climate at home, equities slipped into a downward spiral in June following the turmoil on global markets. The Russian financial crisis sent Bulgarian stocks diving to new lows in August and Bulgaria

229

Emerging Stock Markets Factbook 1999 September, although the overall impact of the crisis on Bulgaria's economy was muted given the country's limited exposure to Russian markets. Bulgarian equities showed signs of recovery later in the year but stopped short of a full rebound as the market lacked positive domestic news on which to base further advancement. The Bulgarian equity market remained small and illiquid in 1998. Despite overall corporate stability, the market is perceived by investors as risky, poorly regulated, and particularly vulnerable to global crises. Stock market development was also hampered as the economy remained weak and a lack of new lending activity continued to impose a drag on growth. Economic restructuring, in particular the sale of strategic stakes in government−owned firms to domestic and foreign investors, inched forward at a slow pace.

Bulgaria maintained two main markets in 1998—the official market and the free market. The official market is divided in "A", "B", and "C" segments, each differing according to listing requirements. Group "A" represents relatively large companies, traded typically by portfolio investors. Group "B", or the parallel market, includes smaller, less liquid companies that trade occasionally. Lastly, group "C" is a provisional market that includes only shares issued under Bulgaria's mass privatization scheme and maintains less strict listing requirements. Presently there are sixteen companies listed on the official market. There are virtually no requirements on the free market except an agreement with the Central Depository and free negotiability of shares. There are 985 listed companies but most are rarely if ever traded. Only about 20 to 30 companies trade fairly regularly but their volumes are low and, accordingly, price reliability is poor. New trading regulations designed to bolster the Bulgarian equity market were proposed in October, but have yet to be adopted. Measures included the introduction of an electronic trading system for the free market and its connection to the Central Depository and inter−bank system, as well as a maximum 10% daily price fluctuation limit for all free market stocks. Currently there is a similar 5% restriction in the official market.break

Bulgaria

230

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCG Bulgaria Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (lev per U.S. dollar)

* 51 markets covered by EMDB Bulgaria 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

15

15

15

15

15

15

15

15

15

15

In lev

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

3,832.0

In US dollars

2.1

2.1

2.1

2.1

2.1

2.1

2.2

2.1

2.3

2.3

In lev

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

In US dollars

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Number of Listed Companies Bulgarian Stock Exchange—Sofia

Market Capitalization

Trading Value

Bulgaria 1998: (Currency in Millions)

231

Emerging Stock Markets Factbook 1999 Turnover ratio

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

−

−

−

−

−

−

−

−

−

−

−

Change in index (%)

−

−

−

−

−

−

−

−

−

−

Number of stocks

12

12

12

12

12

12

12

12

12

12

Share of market cap. (%)

−

−

−

−

−

−

−

−

−

−

Share of trading value (%)

−

−

−

−

−

−

−

−

−

−

P/E ratio

−12.1

−12.1

−12.1

−12.1

−12.1

−12.1

−12.1

−12.1

−12.1

−12.1

P/BV ratio

0.9

0.9

0.9

0.9

0.9

0.9

0.9

0.9

0.9

0.9

Dividend yield (%)

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Total return index*

4.9

4.9

4.9

5.0

5.0

4.9

5.0

5.0

5.3

5.4

−0.6

−0.8

2.3

0.6

−1.4

2.2

−1.2

7.0

1.5

Local Index

IFC Global Index

Change in total return −1.8 index (%)

Exchange Rates Exchange rate (end of period)

1,809.20 1,820.20 1,834.00 1,795.50 1,782.40 1,810.20 1,769.00 1,791.80 1,673.20 1,647.5

Notes: Statistics through November 1998 represent companies listed on the old Bulgarian Stock Exchange, which was clo December 1998 represent listed companies and companies traded on the new exchange, the BSE Stock Exchange—Sofia. IFCG Bulgaria Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross

Bulgarian Stock Exchange—Sofia Mr. Apostol Apostolov, Chief Executive 1 Macedonia Sq. 1040 Sofia Bulgaria Tel: (359−2) 986 5915 Fax: (359−2) 87 55 66

Bulgaria 1998: (Currency in Millions)

IFC Correspond Global Finance 39 Vitosha Blvd, Sofia 1000 Bulgaria Tel: (359−2) 81 0 Fax: (359−2) 80

232

Emerging Stock Markets Factbook 1999 Bulgaria 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

16

26

15

15

998

In lev

−

−

−

−

−

−

4,389.1 3,832.0 3,832.0

1,651,1

In US dollars

−

−

−

−

−

−

61.4

7.3

2.2

992.3

In lev

−

−

−

−

−

−

300.7

5.2

0.0

19,283.

In US dollars

−

−

−

−

−

4.4

0.0

0.0

11.0

Turnover ratio (%)

−

−

−

−

−

−

7.7

0.1

0.0

0.0

−

−

−

−

−

118.4

113.6

104.3

77.6

77.6

77.6

Change in index (%)

−

−

−

−

−

−4.1

−8.2

−25.6

0.0

0.0

Number of stocks

−

−

−

−

−

−

12

12

12

10

Share of market cap. (%)

−

−

−

−

−

−

−

−

−

36.4

P/E ratio

−

−

−

−

−

−

−

16.9

16.9

15.1

P/BV ratio

−

−

−

−

−

−

−

0.9

0.9

0.4

Dividend yield (%)

−

−

−

−

−

−

−

0.2

0.0

0.0

Total return index*

−

−

−

−

−

−

100.0

17.0

5.0

3.5

Change in total return index (%)

−

−

−

−

−

−

−

−83.0

−70.6

−30.0

Number of Listed Companies Bulgarian Stock Exchange—Sofia

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Bulgaria 1989−1998: (Currency in Millions; End of Period Levels)

233

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

21,747

20,726

10,944

10,374

10,833

9,781

13,106

9,830

10,085

−

Change in consumer price − index (%)

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

−

71.503

523.30

1,775.50 1,664.0

Exchange rate (average of − period)

−

−

−

−

−

67.938

178.43

−

1,756.7

Notes: Statistics through November 1998 represent companies listed on the old Bulgarian Stock Exchange, which was clos Figures from December 1998 represent listed companies and companies traded on the new exchange, the BSE Stock Exchange—Sofia. The base date for the IFCG Bulgaria Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Chile Market Performance

Chilean shares posted lackluster results in 1998, depressed by low commodity prices, high interest rates, and continuing emerging market volatility. The dollar−based IFCI and IFCG indexes lost 29.8% and 30.0%, respectively, compared to gains of 3.6% and 3.4% in 1997. Having posted double−digit gains in the early 1990s, Chilean shares have failed to maintain momentum, declining in three of the last four years. Overall, index levels were flat early in the year, but soon plummeted on reduced demand from Asia for Chilean pulp and copper, and on spillover effects of the August Russian ruble devaluation. On a more positive note, GDP expanded a solid 3.5% in 1998, while inflation remained moderately low at 4.7%. In an attempt to stimulate equity trading, the government implemented a series of policy changes by reducing the capital control tax, or encaje, from 30% to 10% in June, and then reducing it to zero in late−August. The encaje required foreign investors to maintain 30% of their investment in a non−interest bearing account at the central bank for a period of one year. The one−year holding period for portfolio investment is still in place. First quarter trading was mixed, as losses from reduced copper and pulp export revenues to Asia were offset by positive 1997 earnings by bluechip electricity generators Enersis, Endesa, and Chilectra. Reduced commodity export revenues forced the government to adopt a high interest rate policy early in the year, in an effort to narrow the country's trade gap and defend the Chilean peso. Investor pessimism caused by high interest rates depressed shares late in the quarter, as the IFCI Index closed with a marginal loss of 0.8%.

Chile

234

Emerging Stock Markets Factbook 1999

Fears of a recession in Japan, Chile's second largest trading partner, soured market sentiment in the second quarter after the IFCI Index plunged 20.9%. Concern over drastically reduced demand for Chilean goods from Korea and Japan cast a shadow over the market given that one−third of the country's exports are sent to Asia. During the quarter, Chilean pension funds increased bond holdings to take advantage of interest rates at 12 percentage points over inflation while foreign investors remained sidelined awaiting signs of an interest rate cut. Panic seized the Santiago Stock Exchange in the third quarter as news of the Russian ruble devaluation in August drove the local IGPA Index to near five−year lows. Trading was heavy as pension funds and foreign investors pulled out of the Chilean equity market en masse. The IFCI Index lost a further 20.9%. High interest rate levels, with the benchmark rate hovering around 12.5%, continued to take their toll on blue chips CTC and Enersis, which depend heavily on debt financing. Successive interest rate cuts, a rally in ADR trading on Wall Street, and approval of a $41.5 billion IMF aid package for Brazil lifted shares from record lows in the fourth quarter of the year. Shrugging off news of the October arrest of former President Augusto Pinochet in London, the market capitalized on attractive buying opportunities and removal of the encaje, racing ahead 13.0%. Late quarter gains were insufficient to recoup much of the year's losses as the market closed down 30% for the year.break

Monthly Value traded (US$ millions)

Chile

IFCI Chile Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

235

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (pesos per U.S. dollar)

* 51 markets covered by EMDB Chile 1998: (Currency in Millions)

Notes: The base date for the IGPA Index is Dec. 1980=100. The base date for the IFCG Chile Index is Dec. 1984=100. In share of total market cap, IFCG market cap is not adjusted for cross holdings.

Santiago Stock Exchange Mr. Pablo Yrarrázabal Valdés, Chairman Chile 1998: (Currency in Millions)

Electronic Stock Exchange Mr. Andres Valenzuela del Valle, President

IFC Correspondent: Julio Salas M Y Asociados 236

Emerging Stock Markets Factbook 1999 Calle La Bolsa 64 Santiago Chile Tel: (56−2) 698−2001, 695−8077 Fax: (56−2) 697−2236 http://www.bolsantiago.cl/

Huerfanos 770, 14th floor Santiago Chile Tel: (56−2) 639−4699 Fax: (56−2) 639−9015 http://www.bolchile.cl/presenta/ipresent.htm

Santa Lucia 150, piso 5 Santiago Chile Tel: (56−2) 632−3166 Fax: (56−2) 632−5268

Chile 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1

213

215

221

245

263

279

284

291

2

Number of Listed Companies Bolsa de Comercio de Santiago

Market Capitalization In pesos

2,819,642 4,596,608 10,490,229 11,333,749 19,233,969 27,349,445 30,035,249 27,981,726 3

In U.S. dollars

9,587

13,645

27,984

29,644

44,622

68,195

73,860

65,940

7

In pesos

224,673

233,884

663,347

735,798

1,131,810

2,208,808

4,393,212

3,487,298

3

In U.S. dollars

866

783

1,900

2,029

2,797

5,263

11,072

8,460

7

Turnover ratio (%)

9.9

6.3

8.8

6.7

7.4

9.5

15.3

12.0

1

757.6

1,166.7

2,483.7

2,733.5

3,915.5

5,425.2

5,740.0

4,902.6

4

54.0

112.9

10.1

43.2

38.6

5.8

−14.6

−

35

35

35

35

40

47

47

5

Share of market cap. 63.6 (%)*

62.9

68.2

74.0

64.1

66.1

65.1

61.1

6

P/E ratio

7.9

15.9

13.0

20.0

21.4

17.1

14.6

1

Trading Value

Local Index IGPA index*

Change in index (%) 64.8

IFC Global Index Number of stocks

26

5.6

Chile 1989−1998: (Currency in Millions; End of Period Levels)

237

Emerging Stock Markets Factbook 1999 P/BV ratio

0.9

1.0

1.7

1.7

2.1

2.5

2.1

1.6

1

Dividend yield (%)

9.5

5.0

3.5

3.8

2.7

2.4

3.5

3.9

3

Total return index*

1,026.0

1,440.9

2,853.9

3,315.6

4,462.9

6,470.7

6,508.0

5,575.3

5

40.4

98.1

16.2

34.6

45.0

0.6

−14.3

6

30,307

34,635

41,833

45,452

49,692

59,348

68,570

7

Change in consumer 17.0 price index (%)

26.0

21.8

15.4

12.7

11.4

8.2

7.4

6

Exchange rate (end of period)

294.110

336.860

374.870

382.330

431.040

401.050

406.650

424.350

4

Exchange rate (average of period)

259.331

298.544

349.141

362.693

404.720

419.709

396.791

412.226

4

Change in index (%) 51.2

Economic Data Gross domestic product (US$)

27,527

Notes: The base date for the IGPA Index is Dec. 1980=100. The base date for the IFCG Chile Index is Dec. 1984=100. In total market cap, IFCG market cap is not adjusted for cross holdings. China Market Performance

Chinese shares in Shanghai, Shenzhen, and Hong Kong suffered large losses in 1998, rocked by financial market volatility in Asia. Anxiety over China's slowing economic growth and corporate profits, coupled with nervousness over the Chinese yuan and pressure on the Hong Kong currency (which is pegged to the U.S. dollar), dragged prices of all classes of shares lower. The IFCI China Index, composed of B−shares (listed in Shanghai or Shenzhen), and H−shares and "red chips" (listed in Hong Kong) posted a 53% loss in 1998, mirroring losses throughout the region. On November 2, Hong Kong red chips were added to the IFC China Index. Ripples from the Asian crisis were felt from the beginning, as Hong Kong's Peregrine Investment Holdings became the next casualty in the Asian financial crisis, prompting the Hang Seng Index to decline 8.7% on January 12. Chinese shares, reacting to a regional spurt in February, surged 37.5% in IFCI terms in the second month on optimism that the crisis would leave China unscathed. In Hong Kong, lower interest rates provided a boost to H−shares, as the three−month interbank rate was lowered to a four−month low of 7.14% in February from more than 14% in January. After rallying in February, the downtrend resumed through September on intermittent rumors that Chinese authorities would competitively devalue the Chinese yuan to improve exports. Fear that a recession in Japan would have global repercussions prompted foreign investors to distance themselves. China's exports dropped by 1.5% in May, unnerving investors because it was the first monthly decline in 22 months. Meanwhile, foreign investable B−shares, which had languished from poor liquidity, were revived for a short stint in May following motions by the government to approve Sino−foreign mutual funds. Yet trading remained cautious, even after China cut bank−lending rates by 1.12 percentage points on July 1 and reduced bank deposit rates by 0.5 percentage points. In August, turbulence in Hong Kong stocks pummeled China shares, as the Hong Kong China

238

Emerging Stock Markets Factbook 1999 government spent more than U.S. $12.5 billion from its U.S. $96.5 billion reserves to boost Hong Kong shares. Hong Kong's deviation from a long tradition of not intervening in financial markets accentuated the severity of the regional crisis. Meanwhile, A−shares (reserved for Chinese investors) tumbled on fear about the catastrophic floods along the Yangtze River, the country's worst since 1954.

Vigorous fiscal spending and an ease in the money supply helped China to achieve economic growth of 7.8% in 1998, slightly below the 8% target. While a buoyant U.S. market helped spur a buying spree in late September, the close of Guangdong International Trust and Investment Corp. (GITIC) on October 6 quickly cast a shadow on the market. The GITIC bankruptcy, after failing on an $8.8 billion bond payment, aroused fears about the financial health of "ITICs" and banks. (The nation's 242 itics—international trust companies—were created to borrow foreign currency from international banks and lend on behalf of city and provincial governments.) Stocks quivered on the central bank's order requiring all firms to repatriate unauthorized foreign currency abroad by October 30 to shore up the nation's $140 billion reserves. In the final days, China passed its first comprehensive securities law, effective July 1, 1999. The law covers all aspects of the industry, ranging from stock trading to the operation of stock exchanges and securities firms, and it consolidates regulatory authority with the Chinese Securities Regulatory Commission.break

Monthly Value Traded (US$ millions)

China

IFCI China Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

239

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (yuan per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

China 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

751

757

763

776

792

811

814

820

829

837

Number of Listed Companies Total

Market Capitalization In yuan

1,765,461 1,741,774 1,796,933 2,026,047 2,172,909 2,091,909 2,094,749 1,843,616 2,031,761 1,997

In U.S. dollars

213,259

210,387

217,039

244,754

262,451

252,655

252,992

222,659

245,441

241,3

In yuan

168,492

114,453

166,541

340,353

311,074

249,805

167,600

145,270

202,171

178,1

In U.S. dollars

20,353

13,825

20,115

41,116

37,573

30,171

20,242

17,545

24,423

21,52

Turnover ratio (%)

9.7

6.5

9.4

17.8

14.8

11.7

8.0

7.4

10.4

8.8

Trading Value

China 1998: (Currency in Millions)

240

Emerging Stock Markets Factbook 1999 Local Index SSE Composite Index*

1,222.9

1,206.5

1,243.0

1,343.4

1,411.2

1,339.2

1,316.9

1,150.2

1,242.9

1,217

Change in index (%)

2.4

−1.3

3.0

8.1

5.0

−5.1

−1.7

−12.7

8.1

−2.1

Number of stocks

195

195

195

195

195

195

195

195

195

195

Share of market cap. (%)*

37.6

38.0

37.4

34.8

33.3

31.4

30.7

29.9

28.9

28.2

Share of trading value (%)

24.4

26.4

29.9

26.0

24.8

22.2

21.1

20.3

21.7

20.8

P/E ratio

34.4

34.5

35.0

36.3

31.5

28.3

27.6

24.8

28.4

27.4

P/BV ratio

3.9

3.9

3.9

4.1

3.7

3.3

3.2

2.7

2.5

2.4

Dividend yield (%)

1.3

1.3

1.3

1.3

1.2

1.5

1.4

1.1

1.1

1.1

Total return 137.0 index*

137.2

138.7

144.6

148.3

133.6

129.9

112.6

118.8

114.6

Change in total return index (%)

−1.1

0.1

1.1

4.3

2.5

−9.9

−2.8

−13.3

5.5

−3.5

8.2785

8.2789

8.2793

8.2779

8.2793

8.2797

8.2799

8.2800

8.2780

8.277

IFC Global Index

Economic Data Exchange rate (end of period)

Notes: The base date for the Shanghai Composite Index is Dec. 19, 1990=100. The base date for the IFCG China Index is Dec. 1992=100. Market cap and value traded

Shenzhen stock exchanges. The IFC Indexes are comprised of Chinese A−, B−, and H−class shares until November 1998 when Hong Kong "red chips" were added. Ch Kong "red chips" are listed on the Stock Exchange of Hong Kong. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Shanghai Stock Exchange Tu Guangshao, President

Shenzhen Stock Exchange Gui Min Jie, President

IFC Correspondent: Stock Exchange Execu

528 Dudongnan Road Shanghai, PRC 200120 China Tel: (86−21) 6880−8888 Fax: (88−21) 6880−7813 http://www.sse.com.cn

5045 Shennan East Road Shenzhen, PRC 518010 China Tel: (86−755) 208−3333, 208−3570 Fax: (86−755) 208−3112 http://www.sse.org.cn

4th Fl., Tongguang Jin Bldg. c/o Shui Zhui 2 P Beijing 100026 China Tel: (86−10) 6508−585 Fax: (86−10) 6500−80

China 1998: (Currency in Millions)

241

Emerging Stock Markets Factbook 1999 China 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

−

−

14

52

183

291

323

540

764

In yuan

−

−

11,019

105,000 352,934

367,585

349,791

943,981

1,708,63

In U.S. dollars

−

−

2,028

18,255

40,567

43,521

42,055

113,755

206,366

In yuan

−

−

4,366

92,177

375,571

840,775

415,580

2,128,478 3,063,65

In U.S. dollars

−

−

820

16,715

43,395

97,526

49,774

256,008

369,574

Turnover ratio (%)

−

−

−

158.9

164.0

233.4

115.9

329.0

231.0

SSE Composite*

−

100.0

292.8

780.4

833.8

647.9

555.2

917.0

1194.1

Change in index (%)

−

−

192.8

166.5

6.8

−22.3

−14.3

65.2

30.2

Number of stocks

−

−

−

61

81

117

149

180

195

Share of market cap. (%)*

−

−

−

91.3

47.3

44.2

58.5

51.8

38.9

P/E ratio

−

−

−

−

57.3

20.1

16.7

27.8

34.5

P/BV ratio

−

−

−

−

4.8

1.3

1.0

2.1

3.9

Dividend yield (%)

−

−

−

−

0.2

2.3

3.2

0.8

1.3

Total return index*

−

−

−

100.0

92.7

62.1

54.4

104.2

138.5

Change in index (%)

−

−

−

−

−7.3

−33.0

−12.4

91.5

32.9

Number of Listed Companies Total

Market Capitalization

Trading Value *

Local Index

IFC Global Index

Economic Data

China 1989−1998: (Currency in Millions; End of Period Levels)

242

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

342,292 354,644 376,617 418,181 431,780

542,534

700,219

816,490

901,981

Change in consumer price 18.3 index (%)

3.1

3.5

6.3

14.6

24.2

16.9

8.3

2.8

Exchange rate (end of period)

−

−

5.4342

5.7518

8.7000

8.4462

8.3174

8.2984

8.2796

Exchange rate (average of − period)

−

5.3234

5.5146

8.6548

8.6210

8.3494

8.3141

8.2897

Notes: The base date for the Shanghai Composite Index is Dec. 19, 1990=100. The base date for the IFCG China Index is 1992=100. Market cap and value traded figures combined both Shanghai and Shenzhen stock exchanges. The IFC Indexes comprised of Chinese A−, B−, and H−class shares until November 1998 when Hong Kong "red chips" were added. China shares and the Hong Kong "red chips" are listed on the Stock Exchange of Hong Kong. In calculating share of total marke market cap is not adjusted for cross holdings. Colombia Market Performance

Colombian equities suffered heavy losses in 1998, depressed by interest rates at 13−year highs, the devaluation of the peso, and a collapse in emerging markets investor confidence following the August Russian loan default. A presidential victory by former Bogota mayor and business community favorite, Andres Pastrana, proved insufficient to curb losses, as the dollar−based IFCI and IFCG indexes closed down 46.8% and 43.6%, respectively, for the year. Lack of foreign investor confidence in Colombia stifled trading on the country's three stock exchanges, while better returns on fixed−income investments lured domestic investors away from equities. GDP grew 0.2% in 1998 compared to 3.1% in 1997, while inflation narrowly edged down from 17.7% to 16.7% for the same period. Guerilla violence continued unabated with peace talks aimed at putting an end to the decades−old civil war commencing in early 1999. Bank, cement, and retail company shares led the Colombian market lower in the first quarter of 1998, as high interest rates sapped demand for loans and increased company borrowing costs. The central bank's policy of successive interest rate hikes aimed at halting the peso's slide hurt equity trading early−on, as the IFCI Colombia Index closed down 25.0% in the first quarter. In company news, Brewer Bavaria separated its beverage and investment interests, listing separate shares on Colombian stock markets in January, while Banco Industrial Colombiano (BIC) completed its purchase of a 51% stake in Banco de Colombia, forming the country's largest bank, BanColombia. Uncertainty over the outcome of the May 31 presidential elections and postponement of a share issuance by the country's largest cellular service provider, Cellumovil, drove the market down further in the second quarter, as the IFCI Index shed an additional 10.8%. Lacking the necessary majority to win the May 31 presidential elections, candidates proceeded to a run−off in June, with Andres Pastrana narrowly defeating liberal party candidate Horacio Serpa. Banco Ganadero declined an offer by Spain's Banco Bilbao Viscaya to boost its equity stake in Ganadero, a move analysts believed would make the stock less liquid. Retailer Exito's shares declined because of its failed attempt to increase its stake in rival retailer Cadenalco.

Colombia

243

Emerging Stock Markets Factbook 1999

A loss of confidence in emerging markets stemming from the August Russian ruble devaluation crushed the Bogota bolsa in the third quarter of the year as the IFCI Index plunged 37.5%. Foreign funds exited the country's exchanges in Bogota, Medellin, and Cali in droves, as panicked investors sought refuge in developed country bond and equity markets. The September 2 announcement of a peso devaluation punished the market even further, bringing the local IBB Index to its lowest levels since December 1996. Blue−chip companies also fell on bleak prospects for company earnings and a slow−down in economic growth. Renewed buying from foreign and institutional investors in November, combined with $2 billion in 1999 loan commitments to Colombia from the IMF and the World Bank, lifted the market in the fourth quarter of the year as the IFCI Index posted a hefty gain of 27.3%. Retailers Cadenalco and Exito led the market boom early in the quarter on expectations of strong Christmas sales while blue chips Bavaria and Banco Bogota rose on favorable third−quarter profits.break

Monthly Value Traded (US$ millions)

Colombia

IFCI Colombia Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

244

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (pesos per U.S. dollar)

* 51 markets covered by EMDB Colombia 1998: (Currency in Millions)

Notes: From 1995, number of listed companies, market cap and value traded figures are for the combined Bogota, Medelli stock exchanges. Prior to that, the data include only Bogota. The base date for the Bogota Stock Exchange's IBB Index is J The base date for the IFCG Colombia Index is Dec. 1984=100. In calculating shares of total market cap, IFCG market cap for cross holdings. Share of trading value in December 1998 decreased substantially due to trading totaling 450,000 millio pesos of non−index stocks. Colombia 1998: (Currency in Millions)

245

Emerging Stock Markets Factbook 1999

Bogota Stock Exchange Augusto Acosta Torres, President Carrera 8, No. 13−82 Piso 4 Santa Fe de Bogota Colombia Tel: (57−1) 243−6501, 243−6502 Fax: (57−1) 281−3170 http://www.bolsabogota.com.co

Medellin Stock Exchange Mr. Christian Toro Ludeke, President Edificio Bolsa de Medellin Carrera 50, No. 50−48 Medellin, Antioquia Colombia Tel: (57−4) 260−3000 Fax: (57−4) 251−1981 http://www.bolsamed.com.co

Occidente Stock Exchange Mr. Julian Dominguez Rivera, President Calle 10 #4−40, Piso 13 Edificio Bolsa de Occidente Colombia Cali Colombia Tel: (57−2) 889−8400 Fax: (57−2) 889−9435,889−8731 http://www.bolsadeoccidente.com.co

IFC Correspo Corredores As Carrera 7 No. Torre B Piso 1 Sante Fe De B Colombia Tel: (57−1) 31 Fax: (57−1) 31 http://www.co

Colombia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

82

80

83

80

89

113

190

189

189

Number of Listed Companies Total

Market Capitalization * In pesos

480,531 740,673 2,846,929 4,611,818 7,499,837 11,665,541 17,727,776 17,241,605 25,322

In U.S. dollars

1,136

1,416

4,036

5,681

9,237

14,028

17,893

17,137

19,529

In pesos

28,092

34,389

126,557

420,709

596,047

1,811,394

1,145,770

1,408,685

2,164,1

In U.S. dollars

74

71

203

554

732

2,191

1,254

1,360

1,894

Turnover ratio (%)

6.5

5.6

7.1

11.4

9.8

18.9

7.8

8.1

10.2

IBB*

975.9

1,392.3 //

749.1

889.9

755.0

844.1

1,431.7

Change in index (%)

11.9

42.7

49.8

18.8

−15.2

11.6

69.6

Trading Value *

Local Index

−

358.1 499.9 39.6

Colombia 1989−1998: (Currency in Millions; End of Period Levels)

246

Emerging Stock Markets Factbook 1999 IFC Global Index Number of stocks

20

20

20

20

20

25

25

27

27

Share of market cap. (%)

90.5

94.5

91.8

89.9

75.3

81.5

47.6

61.8

67.4

P/E ratio

5.3

8.4

40.1

27.9

25.5

19.5

11.3

10.4

15.5

P/BV ratio

0.7

0.8

2.3

1.7

1.8

1.4

1.0

0.8

1.1

Dividend yield (%)

7.0

7.6

2.3

1.9

1.9

1.7

2.6

3.1

2.9

Total return index*

389.8

535.9

1,561.1

2,171.6

2,925.4

3,770.7

2,874.5

3,106.0

3,978.1

Change in index (%)

12.2

37.5

191.3

39.1

34.7

28.9

−23.8

8.1

28.1

Gross domestic product (US$)

39,536

40,270

41,485

49,215

55,800

70,154

80,533

85,850

95,745

Change in consumer price index (%)

25.8

29.1

30.4

27.0

22.6

23.8

21.0

20.2

18.5

Exchange rate (end of 423.090 523.000 705.410 period)

811.770

811.900

831.600

990.750

1006.095

1,296.6

Exchange rate (average of period)

759.433

814.420

826.745

913.893

1035.651

1,142.3

Economic Data

381.828 485.375 622.164

Notes: From 1995, number of listed companies, market cap and value traded figures are for the combined Bogota, Medelli exchanges. Prior to that, the data includes only Bogota. The base date for the Bogota Stock Exchange's IBB Index is Jan. 1 base date for the IFCG Colombia Index is Dec. 1984=100. Prior to 1991, the General Index was used for local index data. shares of total market cap, IFCG market cap is not adjusted for cross holdings. Share of trading value in December 1998 d substantially due to trading totaling 450,000 million Colombian pesos of non−index stocks. Cote d'Ivoire Market Performance

Despite a less than stellar finish by West African shares, the year could only be considered a success judging by this year's returns among emerging markets. After months of low turnover and illiquidity, the announcement of the opening of the new West African regional bourse finally brought renewed hope to investors in Cote d'Ivoire. The net affect was a 4.4% gain in the dollar−based IFCG Cote d'Ivoire Index for 1998. Equity returns in the first quarter of the year were mixed, as Ivorian shares drifted lower in January amid confusion over the official closure of the Abidjan Stock Exchange on December 31 and delays in the opening of the new West African regional exchange. The IFCG Index shed 4.6% early on, while the local BVA All−Share Index dipped 1.7%, as profit taking and concerns surrounding the new exchange caused shares to fall. The market managed to register a mixed performance in March as losses in some select shares and a weaker currency countered gains in other issues. The signing of a new, three−year IMF−World Bank loan package worth nearly $2.2 billion did little to bolster interest in stocks. Cote d'Ivoire

247

Emerging Stock Markets Factbook 1999 While second quarter results were positive, the resignation of the chief executive of the regional exchange overshadowed other market news during the period. International investors remained on the sidelines as concerns grew regarding delays in the opening of the West African exchange. Still, the local BVA Index managed to gain a modest 2.1% in June while the IFCG Index gained 2.2% in dollar terms. September proved to be the highlight of the year, as stocks rose in the first few weeks of trading on the new regional stock exchange. The new Bourse Régionale des Valeurs Mobilières, or BRVM, finally opened on September 16. Although the 35 original stocks from the old bourse comprised the initial listings, the exchange intends to eventually include companies from Benin, Burkina Faso, Guinea−Bissau, Mali, Niger, Senegal, and Togo.

Concern regarding the limited free float available to foreign and local investors resulted in lower−than−expected returns on the BRVM during the fourth quarter. November proved to be an especially difficult month as the BRVM All−Share Index shed 9.9% in local currency terms and the IFCG Index declined 19.9% in dollars. Local analysts attributed the sharp drop to profit−taking, low liquidity, and selling by small investors to pay school fees at the start of the school year. A rule change at year's end allowing operators to conduct transactions through accredited brokers without going through the computerized order matching system brought about large increases in trading volumes and solid returns. Previously, block trading needed to be approved by the BRVM and could only be conducted at the price fixed by the previous day's closing session. This new rule, along with the government's announcement to sell its stake in nine companies already listed on the BRVM, set the stage for strong market returns going into 1999.break

Monthly Value Traded

Cote d'Ivoire

IFCG Cote d'Ivoire Index Correlation

IFCG P/E Ratio

248

Emerging Stock Markets Factbook 1999 (US$ millions)

(36−month period ending 12/98)

(end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (CFA francs per U.S. dollar)

Cote d'Ivoire 1998: (currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

35

35

35

35

35

35

35

35

35

35

3

Number of Listed Companies BRVM

Market Capitalization In CFA francs

736,898 759,014 759,122 774,295 771,388 795,675 777,978 785,520 892,704 1,121,375 1

In US dollars

1,197.2 1,248.5 1,225.5 1,287.5 1,305.2 1,315.1 1,304.2 1,306.5 1,594.4 2,023.8

1

In CFA francs

575.0

614.0

3,078.0 1,691.0 1,060.0 1,933.0 1,003.0 1,353.2 1,516.5 2,871.0

1

In US dollars

0.9

1.0

5.0

2.8

1.8

3.2

1.7

2.3

2.7

5.2

3

Turnover ratio (%)

0.2

0.1

0.4

0.2

0.1

0.3

0.1

0.2

0.2

0.3

0

430.3

435.4

440.9

456.8

472.9

482.9

492.0

497.9 //

108.5

9

Trading Value

Local Index BRVM All−Share*

Cote d'Ivoire 1998: (currency in Millions)

107.3

249

Emerging Stock Markets Factbook 1999 Change in index (%) −8.8

1.2

1.3

3.6

3.5

2.1

2.1

1.0

−

1.1

−

11

11

11

11

11

11

11

11

11

1

Share of market cap. 96.0 (%)*

66.1

64.5

67.6

62.9

68.0

66.1

66.4

65.7

51.6

4

Share of trading value (%)

70.2

78.6

80.1

65.2

57.1

38.2

83.3

53.1

76.8

48.1

3

P/E ratio

9.0

9.4

9.2

9.9

9.1

9.6

9.0

9.2

10.4

10.4

8

P/BV ratio

3.0

3.1

3.0

3.2

3.0

3.1

3.0

3.0

3.4

3.4

2

Dividend yield (%)

0.0

0.0

0.0

3.2

2.4

5.2

6.4

6.3

5.6

5.6

6

Total return index*

95.3

100.2

95.8

109.5

107.6

113.6

110.4

111.3

134.3

134.1

1

Change in total return index (%)

−3.7

5.1

−4.4

14.3

−1.7

5.5

−2.8

0.8

20.7

−0.1

−

IFC Global Index Number of stocks

12

Exchange Rates Exchange rate (end of period)

615.500 607.925 619.420 601.400 591.020 605.040 596.500 601.250 559.900 554.100

5

Notes: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index. The base date for the BRVM is Sept. 16, 1998=100. The base date for the IFCG Cote d'Ivoire Index is Dec. 1995=100. In calculating share of total mark market cap is not adjusted for cross holdings.

Abidjan Stock Exchange Mr. Leon Naka, Chairman Bourse Régionale des Valeurs Mobilières S.A. 18, avenue Joseph Anoma 01 BP 3802 Abidjan Cote d'Ivoire Tel: (225) 326685, 326686 Fax: (225) 326684

IFC Correspondent: Hudson Finance Immeuble MACI, 3em Abidjan, 18 Cote d'Ivoire Tel: (225) 33−2233 Fax: (225) 33−2224

Cote d'Ivoire 1989−1998: (Currency in Millions; End of Period Levels)

Cote d'Ivoire 1989−1998: (Currency in Millions; End of Period Levels)

250

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

23

23

25

27

24

27

31

31

35

Number of Listed Companies BVRM

Market Capitalization In CFA francs

153,630.0 140,729.0 140,000.0 131,000.0 122,000.0 224,000.0 425,000.0 475,490.0 738,

In US dollars

530.9

548.8

540.5

482.5

413.9

428.3

866.4

914.4

1,27

In CFA francs

1,640.0

5,032.0

1,909.0

1,143.0

1,606.8

6,400.0

7,050.0

9,947.0

14,2

In US dollars

5.1

18.5

6.8

4.3

5.7

11.6

14.1

19.5

24.3

Turnover ratio (%)

1.1

3.4

1.4

0.8

1.3

3.7

2.2

2.2

2.3

BRVM All−Share*

106.9

103.7

102.2

62.9

90.5

125.6

277.2

357.8

437.

Change in index (%)

1.7

−3.0

−1.4

−38.5

43.9

38.8

120.7

29.1

22.3

Number of stocks

−

−

−

−

−

−

8

8

11

Share of market cap. (%)*

−

−

−

−

−

−

70.7

71.8

64.2

P/E ratio

−

−

−

−

−

−

−

8.4

8.8

P/BV ratio

−

−

−

−

−

−

−

2.3

2.9

Dividend yield (%)

−

−

−

−

−

−

−

4.8

0.0

Total return index*

−

−

−

−

−

−

100.0

110.7

99.0

Change in total return index (%)

−

−

−

−

−

−

−

10.7

−10

9,757

10,796

10,493

11,153

10,405

7,666

9,992

10,700

10,2

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

Cote d'Ivoire 1989−1998: (Currency in Millions; End of Period Levels)

251

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

1.0

−0.8

1.7

4.2

2.2

26.1

14.3

2.5

5.6

Exchange rate (end of period)

289.400

256.450

259.000

271.490

294.775

523.000

490.550

519.980

578.

Exchange rate (average of period)

319.007

272.260

282.106

264.690

283.160

550.000

499.150

510.131

584.

Notes: In September 1998, IFC switched from the BVA Index to the BRVM All−Share Index. The base date for the BRVM is Sept. 16, 1998=100. The base date for the IFCG Cote d'Ivoire Index is Dec. 1995=100. In calculating share of total mark market cap is not adjusted for cross holdings. Croatia Market Performance

The Croatian equity market finished 1998 with hefty losses as the dollar−based IFCG Croatia Index dropped 34.4% and the kuna−based CROBEX Index dropped 33.8%. Share price movements were choppy throughout the year, mirroring volatility on world bourses caused by the Asian crisis. The market plunged by about 40% in August as a result of the Russian debt moratorium and ruble collapse, but a recovery began in September that continued through year's end. On April 7, 1998, IFC announced the launching of the IFCG Croatia Index, along with new indexes for Estonia, Latvia, Romania, and the Ukraine. The IFCG Croatian Index has eight stocks with an initial market capitalization of $1.76 billion. The market is dominated by pharmaceutical group Pliva and Zagrebacka Banka, which represent about 65% of market capitalization and liquidity. The market's development thus far has been impeded by a lack of other well−capitalized stocks but, according to many analysts, future growth in capitalization and liquidity will be fueled by a market full of hidden opportunities. Several developments in early 1998 began to set the stage for future market development. In January, the state began distributing free privatization vouchers for 450 state−owned firms worth some $2 billion. On February 17, Croatia's central depository agency announced that 14 issuers would transfer share registering responsibilities to the electronic clearing and settlement agency. This was seen as a positive development in the market where transactions sometimes drag on for weeks and share certificates are issued by individual companies. In March, the Zagreb bourse launched an upgraded and fully−automated trading system to enable automated matching of orders and allow for continuous trading. In spite of the positive news, however, trading was sluggish in March due to a lack of capital inflow. Local activity mostly mirrored movements in London, where GDR issues of Pliva and Zagrebacka Banka trade.

Croatia

252

Emerging Stock Markets Factbook 1999

A significant drop in the market in April was attributed to the decline in Zagrebacka Banka, which fell on unfavorable 1997 earnings results. Share prices continued to slide in the following months amid ongoing political tensions. Conflicts between nationalists and reformers slowed down the privatization process considerably and depressed market sentiment. The summer lethargy of July came to an abrupt end in August, precipitated by the financial crisis in Russia, which pushed Croatian equities into a free fall with the IFCG Index plummeting 41.3% over the month. Russia has been Croatia's sixth largest export market and fifth largest provider of imports. Fortunately, Pliva's conservative policies toward Russia didn't leave the company with a high level of exposure, and this helped to pull the market up in September and stabilize it in October. The IFCG Index jumped 15% in November on a wave of gains on global markets. The ZSE approved the full listing of food conglomerate Podravka. It opens the way for Podravka GDRs to be listed on the London Stock Exchange. The board of Ericsson Nikola Tesla turned down a proposal to list the company's shares on the Zagreb Stock Exchange. The market was mostly quiet and flat at year's end.break

Monthly Value Traded (US$ millions)

Croatia

IFCG Croatia Index Correlation (12−month period ending 12/98)

IFCG P/E Ratio (end of month values)

253

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (kuna per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Croatia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

45

45

47

47

50

49

48

48

49

50

Number of Listed Companies Zagreb Stock Exchange

Market Capitalization In kuna

26,037.2 28,338.1 27,539.2 25,676.0 21,806.3 22,039.5 21,488.3 17,335.2 17,848.6 16,940.

In US dollars

4,043.7

4,420.8

4,242.9

3,992.4

3,378.7

3,411.7

3,351.1

2,665.3

2,889.0

2,754.5

In kuna

62.7

131.0

76.3

93.7

38.9

19.7

34.5

16.5

50.0

35.3

In US dollars

9.7

20.4

11.8

14.6

6.0

3.1

5.4

2.5

8.1

5.7

Turnover ratio (%)

0.0

0.5

0.3

0.3

0.2

0.1

0.2

0.1

0.3

0.2

Trading Value

Local Index

Croatia 1998: (Currency in Millions)

254

Emerging Stock Markets Factbook 1999 CROBEX*

913.9

1,025.6

1,028.4

933.6

824.8

824.8

794.0

462.8

561.1

601.0

12.2

0.3

−9.2

−11.6

0.0

−3.7

−41.7

21.2

7.1

8

8

8

8

8

8

8

8

8

Share of market cap. 69.4 (%)*

71.6

74.1

72.1

75.0

74.3

73.3

52.6

61.9

70.2

Share of trading value (%)

−

68.4

89.2

91.7

70.8

79.7

81.4

85.0

82.9

96.8

P/E ratio

23.8

26.1

24.1

21.6

17.2

12.4

11.8

6.9

7.8

8.5

P/BV ratio

1.7

1.8

1.8

1.6

1.4

1.4

1.3

0.8

0.9

1.0

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

Total return index*

89.8

99.1

98.0

88.8

77.6

78.2

75.8

43.9

52.1

58.5

Change in total return index (%)

−10.2

10.4

−1.1

−9.5

−12.6

0.8

−3.0

−42.2

18.8

12.2

6.4390

6.4101

6.4907

6.4313

6.4541

6.4599

6.4124

6.5041

6.1781

6.1502

Change in index (%) −1.7

IFC Global Index Number of stocks

8

Exchange Rates Exchange rate (end of period)

Notes: The base date for the CROBEX Index is July 1, 1997=1000. The base date for the IFCG Croatia Index is Dec. 1997 share of total market cap, IFCG market cap is not adjusted for cross holdings

Zagreb Stock Exchange Mr. Marinko Papuga, General Manager Zeljko Kardum, Public & Government Relations Ksaver 208 Zagreb, 10000 Croatia Tel: (385−1) 4677−684 Fax: (385−1) 4677−680 http://www.zse.hr

IFC Corresponde CA IB Securities Petrinjska #38 Zagreb, 10000 Croatia Tel: (385−1) 4811 Fax: (385−1) 432

Croatia 1989−1998: (Currency in Millions; End of Period Levels)

Croatia 1989−1998: (Currency in Millions; End of Period Levels)

255

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

19

−

−

−

−

−

29

61

66

77

50

In kuna

−

−

−

−

−

2,893.0

3,087.6

16,475.2 26,760.4 19

In US dollars

−

−

−

−

−

513.9

580.8

2,974.5

4,245.7

3,

In kuna

−

−

−

−

−

1,510.0

244.5

1,230.6

2,094.7

65

In US dollars

−

−

−

−

−

251.8

46.8

226.5

343.3

10

Turnover ratio (%)

−

−

−

−

−

−

8.2

12.6

9.7

2.

CROBEX*

−

−

−

−

−

−

−

−

1,002.1

71

Change in index (%)

−

−

−

−

−

−

−

−

−

−2

Number of stocks

−

−

−

−

−

−

−

−

8

8

Share of market cap. (%)*

−

−

−

−

−

−

−

−

−

71

P/E ratio

−

−

−

−

−

−

−

−

−

11

P/BV ratio

−

−

−

−

−

−

−

−

−

1.

Dividend yield (%)

−

−

−

−

−

−

−

−

−

2.

Total return index*

−

−

−

−

−

−

−

−

100.0

68

Change in total return index − (%)

−

−

−

−

−

−

−

−

−3

Number of Listed Companies Zagreb Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

−

−

12,355

9,942

11,693

14,226

18,081

19,081

−

−

Change in consumer price

1,400.0

500.0

122.2

632.5

1,483.6

107.3

4.0

4.3

4.1

−

Croatia 1989−1998: (Currency in Millions; End of Period Levels)

256

Emerging Stock Markets Factbook 1999 index (%) Exchange rate (end of period)

−

−

−

−

−

5.6290

5.3160

5.5400

6.3030

6.

Exchange rate (average of period)

−

−

−

−

−

5.9960

5.2300

5.4340

6.1010

6.

Notes: The base date for the CROBEX Index is July 1, 1997=1000. The base date for the IFCG Croatia Index is Dec. 1997 In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Czech Republic Market Performance

Czech equities posted sizable losses in 1998, with the Prague Stock Exchange's PX−50 Index falling 20.4% in local currency terms and the IFCI and IFCG indexes falling 7.3% and 10.0%, respectively, in dollars. Despite periods of volatility, the Czech equity market mostly fluctuated through August when global financial market turmoil, the Russian crisis, and signs of recession combined to depress Czech equity prices. In January, political instability ahead of June parliamentary elections and signs of a slowing economy dominated investor sentiment, and share prices dropped by more than 9%. Stocks suffered losses in spite of Parliament's approval of a law establishing a securities commission to oversee the nation's capital market. In February, investor sentiment became more positive as worries about the Asian crisis receded. The Czech government approved Nomura Europe's 9 billion koruna ($300 million) purchase of a stake in IPB in March. It also chose advisers for selling its stakes in other major banks. The IFCI Czech Index ended the quarter with a gain of 6.3%. These measures sent out a positive signal and investors in the region began targeting relatively cheap stocks in Prague in April. However, turbulence in emerging markets and sharp declines across Eastern European exchanges in May added to the market's woes, which already included political risk due to the uncertain outcome of the upcoming June election. Equities posted significant losses. On May 21, a new market−maker−based system was launched on the Prague Stock Exchange. The system aims to concentrate liquidity in the organized market, rather than the less transparent over−the−counter system. Only four of the most liquid issues were allowed to trade on the new system: Komercni Banka, Unipetrol, CEZ, and SPT Telecom. For the quarter, the IFCI Czeck Index fell 7.1%.

Election results fueled a sharp rebound in Czech equities late in June, after right−wing parties unexpectedly won a two−seat majority. The rally reversed three weeks of losses as the Russian financial crisis undermined investor Czech Republic

257

Emerging Stock Markets Factbook 1999 confidence in emerging markets. But the Russian turmoil eventually took its toll in August when the IFCI Index dropped 30.3% in dollar terms. Severe corrections on Wall Street contributed to the market's fall. As a result of developments in Russia, major Czech banks, such as Komercni Banka and Ceska Sporitelna, were severely hit. Ceska Sporitelna said it would need at least $32.5 million in additional provisions to cover potential losses from Russian securities holdings. With the exception of bank stocks, the weakness in share prices during this period (the IFCI Index fell 20.6%) reflected little on the state of the domestic economy. In fact, the majority of blue chips posted healthy half−year profits. Stocks rebounded in October after the U.S. Federal Reserve Board cut interest rates. A subsequent cut in local rates supported the advances. However, after S&P downgraded its country rating in November due to lack of progress in bank restructuring, the deepening recession, and problems in the legal system, the stock market fell into stagnation for the rest of the year. For the quarter, the IFCI Index rose 18.3%.break

Monthly Value Traded (US$ millions)

IFCI Czech Republic Index Correlation (59−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (koruna per U.S. dollar)

* 51 markets covered by EMDB Czech Republic

258

Emerging Stock Markets Factbook 1999 Czech Republic 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

275

274

273

273

273

272

271

271

270

266

26

Number of Listed Companies Prague Stock Exchange

Market Capitalization In koruna

410,806 428,974 454,505 449,903 414,262 426,727 446,322 354,156 342,156 355,493 35

In U.S. dollars

11,639

12,618

13,281

13,688

12,566

13,076

14,487

10,895

11,305

12,257

11

In koruna

6,637

10,682

15,499

8,665

10,819

13,983

13,275

16,260

16,160

10,822

11

In U.S. dollars

188

314

453

264

328

428

431

500

534

373

38

Turnover ratio (%)

1.5

2.5

3.5

1.9

2.5

3.3

3.0

4.1

4.6

3.1

3.

455.7

477.4

505.0

500.9

454.0

467.0

491.3

377.4

359.8

388.3

38

4.8

5.8

−0.8

−9.4

2.9

5.2

−23.2

−4.7

7.9

0.

41

41

41

41

41

41

41

41

41

37

Share of market cap. 75.1 (%)*

76.2

78.1

79.2

79.2

79.0

79.9

87.1

86.3

77.9

78

Share of trading value (%)

7.8

93.3

92.0

89.6

80.5

94.3

96.1

96.4

88.5

97.5

92

P/E ratio

31.7

31.9

34.5

24.7

23.4

23.3

43.5

39.0

−17.8

−15.8

−1

P/BV ratio

0.8

0.8

0.9

0.8

0.8

0.8

0.8

0.8

0.8

0.7

0.

Dividend yield (%)

3.0

2.9

2.6

3.6

2.9

1.4

2.3

2.5

2.8

3.1

2.

Total return index*

51.0

55.8

58.1

59.9

55.5

55.8

62.9

47.4

47.1

52.2

50

−9.2

9.4

4.0

3.1

−7.4

0.7

12.6

−24.7

−0.5

10.7

−3

Trading Value

Local Index PX−50*

Change in index (%) −8.0

IFC Global Index Number of stocks

41

Czech Republic 1998: (Currency in Millions)

259

Emerging Stock Markets Factbook 1999 Change in total return index (%)

Exchange Rates

Exchange rates (end 35.2970 33.9970 34.2225 32.8675 32.9675 32.6345 30.8085 32.5070 30.2655 29.0040 30 of period)

Notes: The base date for the PX−50 Index is Apr. 1994=1,000. The base date for the IFCG Czech Republic Index is Dec. 1 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: Zivnostenska Banka a Na Prikope 20 Praha 1, 113 80 Czech Republic Tel: (42−02) 2412−72 Fax: (42−02) 2412−7

Prague Stock Exchange Pavel Hollman, General Secretary Vladimir Ezr, Deputy Secretary General Rybna 14 Praha 1, 110 05 Czech Republic Tel: (42−02) 2183−1111 Fax: (42−02) 2183−3040 http://www.pse.cz/en Czech Republic 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

1,024

1,635

1,588

276

261

Number of Listed Companies Prague Stock Exchange −

Market Capitalization In koruna

−

−

−

−

−

−

417,689 492,188 443,320 361,737

In U.S. dollars

−

−

−

−

−

−

15,664

18,077

In koruna

−

−

−

−

−

38,218

96,099

228,733 223,941 152,800

In U.S. dollars

−

−

−

−

−

1,328

3,630

8,431

12,786

12,045

Trading Value

Czech Republic 1989−1998: (Currency in Millions; End of Period Levels)

7,055

4,741

260

Emerging Stock Markets Factbook 1999 Turnover ratio (%)

−

−

−

−

−

−

−

50.3

47.9

38.0

PX−50*

−

−

−

−

−

557.2

425.9

539.6

495.3

394.2

Change in index (%)

−

−

−

−

−

−

−23.6

26.7

−8.2

−20.4

Number of stocks

−

−

−

−

60

60

65

74

41

37

Share of market cap. (%)*

−

−

−

−

−

−

65.1

79.7

75.4

74.2

P/E ratio

−

−

−

−

18.8

16.3

11.2

17.6

37.1

−11.3

P/BV ratio

−

−

−

−

1.3

1.0

0.9

0.9

0.8

0.7

Dividend yield (%)

−

−

−

−

−

1.1

1.4

1.4

2.8

3.2

Total return index*

−

−

−

−

100.0

81.1

65.0

79.1

56.2

51.8

Change in index (%)

−

−

−

−

−

−18.9

−19.9

21.7

−29.0

−7.8

Gross domestic product 34,742 31,517 24,292 27,951 31,185 39,882 (US$)

50,894

56,554

52,035

−

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

28.1890 26.6660 27.2280 34.6735 30.0310

Exchange rate (average − of period)

−

−

−

−

28.7824 26.4729 27.1314 31.7436 32.2284

Local Index

IFC Global Index

Economic Data

Note: The base date for the PX−50 Index is Apr. 1994=1,000. The base date for the IFCG Czech Republic Index is Dec. 1993=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Ecuador Market Performance

Local equities suffered their worst losses since the inception of the IFCG Ecuador Index in December 1995, punished by record−low oil prices, two currency devaluations, and worries over a possible collapse of the banking system. Lingering damage inflicted by the El Niño weather phenomenon as well as the Andean nation's inability to address its fiscal and current account deficits weighed heavily on the market all year, as the IFCG Ecuador Index plummeted 36.9% in dollar terms. Despite brief rallies in trading following the election of Quito mayor Ecuador

261

Emerging Stock Markets Factbook 1999 Jamil Mahuad to the presidency and a settlement in the long standing border dispute with Peru, the stock market declined sharply throughout the course of the year. Economic growth slowed from 3.4% in 1997 to 1.3% in 1998, while the fiscal and current account deficits worsened to 4.2% and 11.2% of GDP, respectively. Annual inflation of 43.4% were the worst in the region. Shares closed down in the first quarter of 1998 as heavy rains caused by El Niño disrupted fruit and vegetable cultivation and adversely affected the country's businesses and infrastructure. A government announcement citing a need for $2 billion in spending over the next ten years to repair damages caused by El Niño and the March 7.5% devaluation of the sucre dampened investor sentiment, helping the IFCG Index shed 8.1% for the quarter. Equities continued their downward trend in the second quarter, as oil prices at 12−year lows pressured the country's fiscal and trade deficits. Oil accounts for approximately 25% of government revenue and 22% of export earnings. Political uncertainty over the July run−off for the presidential elections also cast a shadow over the market as the IFCG Index lost a further 11.3% during this period. The elections proceeded to a second round on July 12 after no clear victor emerged in the first round in May.

A change in presidential leadership proved insufficient to reverse losses in the third quarter, as a second sucre devaluation in September sent the dollar−based IFCG Index 11.7% lower. While the stock market greeted President Jamil Mahuad's July victory enthusiastically, gains proved ephemeral as the government devalued the currency by 15%. The introduction of an economic austerity package by President Mahuad sparked violent protests from labor unions and indigenous groups forcing banking, brewery, and cement shares lower. Investor concerns heightened in the fourth quarter following congressional approval of a 1% financial transaction tax to replace the moribund income tax scheme. High levels of income tax evasion have dealt a harsh blow to the country's domestic finances, forcing the government to enact revenue enhancement policies. While the transaction tax is expected to alleviate the government's fiscal shortfalls, underlying economic conditions continued to depress market sentiment. The IFCG Index closed down 12.3% for the quarter as leading banks cut credit lines, increasing worries of a banking crisis on the horizon.break

Ecuador

262

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCG Ecuador Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (sucres per U.S. dollar)

* 51 markets covered by EMDB Ecuador 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

41

41

41

40

40

40

40

38

Number of Listed Companies Guayaquil Stock Exchange

41

Ecuador 1998: (Currency in Millions)

263

Emerging Stock Markets Factbook 1999 Market Capitalization In sucres

9,489,862 9,585,728 9,793,007 10,240,142 10,277,935 10,266,665 10,531,013 10,761,736 9,776,064

In US dollars

2,096.1

2,108.9

2,003.9

2,016.1

1,975.3

1,946.7

1,964.4

1,969.8

1,603.4

In sucres

86,803.0

74,453.0

99,798.0

26,131.0

26,531.0

39,032.0

48,021.0

127,753.0

95,157.0

In US dollars

19.2

16.4

20.4

5.1

5.1

7.4

9.0

23.4

15.6

Turnover ratio (%)

0.9

0.8

1.0

0.3

0.3

0.4

0.5

1.2

0.9

BVG*

214.5

223.5

233.2

233.7

232.1

225.0

229.4

237.4

228.8

Change in index (%)

−0.9

4.2

4.3

0.2

−0.7

−3.1

1.9

3.5

−3.6

12

12

12

12

12

12

12

12

12

Share of 59.0 market cap. (%)*

60.7

67.4

61.9

65.6

62.2

62.6

61.8

66.6

Share of trading value (%)

75.0

27.5

77.1

87.6

43.2

62.3

77.5

61.0

92.7

P/E ratio

14.9

15.4

2.9

2.8

2.9

3.9

4.0

4.1

4.0

P/BV ratio 1.8

1.8

2.1

2.0

2.1

1.6

1.7

1.7

1.7

Dividend yield (%)

4.8

5.5

10.8

10.1

9.5

9.7

10.8

9.7

9.9

Total return index*

87.5

91.5

86.9

80.3

82.6

77.2

79.6

78.9

69.2

4.6

−5.0

−7.6

2.9

−6.6

3.1

−0.9

−12.3

Trading Value

Local Index

IFC Global Index Number of stocks

Change in total return index (%) −1.4

Exchange Rates

Ecuador 1998: (Currency in Millions)

264

Emerging Stock Markets Factbook 1999 Exchange rate (end of period)

4,527.42

4,545.39

4,887.00

5,079.10

5,203.30

5,274.00

5,360.83

5,463.23

6,096.97

Notes: The base date for the BVG Index Jan. 3, 1994=100. The base date for the IFCG Ecuador Index is Dec. 1995=100. In calculating share of total market cap, IFCG

Guayaquil Stock Exchange Enrique Arosemena, Chief Executive Officer

Stock Exchange of Quito Gonzalo Chiriboga Chavez, President

IFC Correspon Guayaquil Stoc

Luis Alvarez, Director of Operations 9 de octubre 110 y Pichincha Guayaquil Ecuador Tel: (593−4) 564−304, 561−519 Fax: (593−4) 561−871 http://www4.bvg.fin.ec/eng

Mr. Arturo Quiroz Riumallo, Executive Officer Av. Amazonas 540 y Carrion Piso 8 Quito 3772 Ecuador Tel: (593−2) 526−805, 551−837 Fax: (593−2) 526−048 http://www.ccbvq.com

9 de octubre 110 y Pichincha Guayaquil Ecuador Tel: (593−4) 56 Fax: (593−4) 56

Ecuador 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

−

−

−

65

142

145

40

42

41

In sucres

−

−

−

128,828.0 2,171,259.9 5,664,301.9 7,680,973.0 7,062,168.0 9,481,3

In US dollars

−

−

−

69.4

1,097.8

2,496.4

2,631.4

1,945.5

2,127.8

In sucres

−

−

−

−

266,491

1,060,951

600,789.2

384,070.0

744,240

In US dollars

−

−

−

−

134.7

467.6

234.3

120.4

186.1

Turnover ratio (%)

−

−

−

−

23.2

27.1

9.0

5.2

9.0

BVG*

−

−

−

−

−

174.6

154.4

198.8

217.5

Change in index (%)

−

−

−

−

−

−

−11.6

28.8

9.4

Number of Listed Companies Guayaquil Stock Exchange

Market Capitalization

Trading Value

Local Index

Ecuador 1989−1998: (Currency in Millions; End of Period Levels)

265

Emerging Stock Markets Factbook 1999

IFC Global Index Number of stocks

−

−

−

−

−

−

11

11

12

Share of market cap. (%)*

−

−

−

−

−

−

58.7

62.1

59.0

P/E ratio

−

−

−

−

−

−

−

12.2

14.8

P/BV ratio

−

−

−

−

−

−

−

2.4

1.8

Dividend yield (%)

−

−

−

−

−

−

−

6.0

4.9

Total return index*

−

−

−

−

−

−

100.0

91.7

88.8

Change in total return − index (%)

−

−

−

−

−

−

−8.3

−3.2

Economic Data Gross domestic product (US$)

9,824

10,685 11,752 12,656

14,304

16,606

17,939

19,040

19,768

Change in consumer price index (%)

75.6

48.5

48.8

54.3

45.0

27.4

22.9

24.4

30.6

Exchange rate (end of − period)

−

−

1,857.500 1,977.850

2,269.000

2,919.000

3,630.000

4,456.0

Exchange rate (average of period)

−

−

1,533.960 1,941.525

2,198.000

2,564.500

3,190.175

3,998.6

−

Notes: The base date for the BVG Index Jan. 3, 1994=100. The base date for the IFCG Ecuador Index is Dec. 1995=100. I of total market cap, IFCG market cap is not adjusted for cross holdings. Egypt Market Performance

While Egyptian equities fell prey to the contagion affecting most emerging markets in 1998, domestic factors were equally if not more at play. For the year, the dollar−based IFCI Egypt Index fell 35% while the EFG Index fell 25.4% in pound terms. Volatility in Asian markets in early 1998 spilled over to international markets, where many Egyptian GDRs are traded, and had a significant impact on local prices. The Iraqi crisis in February also contributed to investor unease. Domestically, upcoming IPOs drew liquidity from the Egyptian Stock Exchange (ESE) as local investors sold shares to raise cash. Falling profit margins on luxury flour had an impact on the milling sector that was felt throughout 1998. Another significant contributor to Egyptian price declines was the government's decision to close a popular tax loophole. The old law allowed the deduction of interest expenses from taxable income, while also allowing interest earned on Treasury bills to count as tax−exempt income. Analysts feared that the law would hurt 1998 bank earnings, and it destabilized that sector for much of the first half of the year. Egypt

266

Emerging Stock Markets Factbook 1999 After two months of declines, the trend reversed in March. Egyptian milling companies and banks strengthened slightly from bargain−hunting, and the insurance sector gained following the passage of a law aimed at allowing a greater level of foreign investment in local insurance companies. Egyptian shares posted their sharpest losses in the second quarter, dropping more than 17% in the investable series. In the period beginning April 3 and ending August 28, the IFCI Index recorded just four weekly gains. The lack of foreign investor confidence that plagued emerging markets following a rout in May translated into light local activity as well, and prices mostly drifted until September. The largest decline took place in August when IFCI Egypt fell 12% in price terms. The Egyptian exchange performed better than most other markets tracked by the IFC, however, possibly because Egypt's stock prices were already seen as depressed.

A general cooling of the emerging market−led panic benefited stocks in September and the IFCI Index gained 7%. Perception that Middle Eastern markets had been relatively unscathed by the global meltdown helped underpin the gains. Prices rallied strongly early in the month after the entry of several new funds spurred buying. News that the government plans to invite experts to assist in promoting and underwriting state asset sales also encouraged investors. The government announced plans to sell further stakes in partially privatized firms in an effort to deepen its asset sales program. In October, Sherif Raafat announced that he would resign as chairman of the Cairo and Alexandria stock exchanges, effective mid−December. Raafat's resignation was met calmly by the marketplace, likely because of assurances that the transition to his successor, Sameh El−Torgoman, would go smoothly. Regional tension in November did nothing to improve investor sentiment in Cairo, and the IFC indexes for Egypt declined further. Stocks were mixed through much of December as the beginning of the Ramadan holiday at mid−month contributed to sluggish trade volumes. This is traditionally an inactive time at the ESE, and many investors took conservative positions until market activity picks up again, usually in mid−January.break

Egypt

267

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Egypt Index Correlation (22−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (pounds per U.S. dollar)

* 51 markets covered by EMDB Egypt 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

656

658

668

674

681

700

702

745

770

797

834

Number of Listed Companies Egypt Stock Exchange

Egypt 1998: (Currency in Millions)

268

Emerging Stock Markets Factbook 1999 Market Capitalization In pounds

68,810 69,436 72,352 71,773 69,860 70,873 71,498 72,241 81,518 77,869 78,58

In U.S. dollars

20,164 20,399 21,241 21,048 20,479 20,776 20,878 21,179 23,906 22,702 23,01

Trading Value In pounds

789

1,782

1,648

864

1,291

1,454

734

1,555

1,576

1,104

1,195

In U.S. dollars

231

523

484

253

378

426

214

456

462

322

350

Turnover ratio (%)

1.1

2.6

2.3

1.2

1.8

2.1

1.0

2.2

2.0

1.4

1.5

Local Index EFG*

5,044.9 5,021.5 5,239.5 5,150.5 4,655.5 4,504.8 4,498.8 3,918.8 4,155.7 3,915.8 3,908

Change in index (%)

−5.8

−0.5

4.3

−1.7

−9.6

−3.2

−0.1

−12.9

6.0

−5.8

−0.2

Number of stocks

54

54

54

54

54

54

54

54

54

54

66

Share of market cap. (%)*

49.1

48.5

48.1

47.6

49.2

46.0

44.8

40.8

38.4

37.8

44.1

Share of trading value (%)

60.1

56.8

62.7

66.4

56.5

45.6

62.5

34.9

51.8

57.9

74.7

P/E ratio

10.2

10.1

11.0

10.6

10.9

10.4

10.3

9.1

9.6

9.2

8.6

P/BV ratio

3.3

3.2

3.1

3.0

3.1

2.9

2.9

2.6

2.6

2.4

2.6

Dividend yield (%)

4.3

4.3

4.3

4.7

5.5

5.7

5.7

6.4

6.0

7.3

8.9

Total return index*

173.3

172.4

178.0

175.3

160.9

153.8

151.7

134.1

143.3

136.9

134.9

−0.5

3.3

−1.5

−8.2

−4.4

−1.4

−11.6

6.8

−4.4

−1.5

IFC Global Index

Change in total return −5.4 index (%)

Exchange Rates Exchange rates (end of period)

3.4125 3.4038 3.4063 3.4100 3.4113 3.4113 3.4245 3.4110 3.4100 3.4300 3.414

Notes: The base date for the EFG Index is Jan. 2, 1993=1,000. The base date for the IFCG Egypt Index is Dec. 1995=100. calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Egypt 1998: (Currency in Millions)

269

Emerging Stock Markets Factbook 1999

Cairo Stock Exchange Dr. Sameh El Torgoman, Chairman 4−A. El Sherifeen Street Cairo Egypt Tel: (20−2) 392−1447, 392−8698 Fax: (20−2) 392−8526 http://www.egyptse.com

Alexandria Stock Exchange Dr. Sameh El Torgoman, Chairman 11 Talat Harb Street Al Munshea Alexandria Egypt Tel: (20−3) 484−3600, 484−3601 Fax: (20−3) 484−3603 http://www.egyptse.com

IFC Correspondent: EFG−Hermes 55 Charles de Gaulle St. Giza Egypt Tel: (20−2) 571−7846, 5 Fax: (20−2) 571−6121, http://www.EFG−herme

Egypt 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

510

573

627

656

674

700

746

649

654

861

In pounds

4,381

5,071

8,845

10,845

12,807

14,480

27,420

48,086

70,873

83,141

In U.S. dollars

1,711

1,765

2,651

3,259

3,814

4,263

8,088

14,173

20,830

24,381

In pounds

229

342

428

597

569

2,557

2,294

8,374

19,902

17,155

In U.S. dollars

91

126

139

195

170

757

677

2,463

5,859

5,028

Turnover ratio (%)

5.4

7.2

6.1

6.1

4.8

18.7

10.9

22.2

33.5

22.3

EFG*

−

−

−

1,000.0 1,377.0 3,537.3 3,269.7 4,615.1 5,353.7 4,003.8

Change in index (%)

−

−

−

−

37.7

156.9

−7.6

41.1

16.3

−25.4

−

−

−

−

−

−

32

32

54

66

−

−

−

−

−

−

50.5

44.7

51.0

42.0

Number of Listed Companies Egypt Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index Number of stocks

Egypt 1989−1998: (Currency in Millions; End of Period Levels)

270

Emerging Stock Markets Factbook 1999 Share of market cap. (%)* P/E ratio

−

−

−

−

−

−

−

11.3

11.5

8.7

P/BV ratio

−

−

−

−

−

−

−

3.2

3.9

2.6

Dividend yield (%)

−

−

−

−

−

−

−

4.9

3.4

7.4

Total return index*

−

−

−

−

−

−

100.0

148.1

183.1

136.8

Change in index (%)

−

−

−

−

−

−

−

48.1

23.6

−25.3

Gross domestic product 39,648 43,130 36,971 41,857 (US$)

47,197

51,898

59,100

67,651

75,605

78,097

Change in consumer price index (%)

21.3

12.1

8.2

15.7

7.2

4.6

−

Exchange rate (end of period)

2.5600 2.8736 3.3370 3.3280

3.3580

3.3970

3.3900

3.3929

3.4025

3.4100

Exchange rate (average 2.5200 2.7072 3.0873 3.0652 of period)

3.3497

3.3800

3.3900

3.3996

3.3966

3.4122

Economic Data

16.8

19.7

13.6

Notes: The base date for the EFG Index is Jan. 2, 1993=1,000. The base date for the IFCG Egypt Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Estonia Market Performance

Estonian equities fell sharply in 1998, initially in reaction to the Asian meltdown, regional problems, and worries that the local economy was overheated. Later in the year, the Russian crisis drew liquidity from the market and caused a further deterioration in share prices. For the year, the IFCG Estonia Index lost 65.4% of its value in dollar terms. On April 7, 1998, IFC announced the launching of the IFCG Estonia Index, along with new indexes for Croatia, Latvia, Romania, and the Ukraine. Each index has a base date of December 1997=100 and is not included in the IFCG Composite Index. The Estonian index has ten stocks and is dominated by Hansabank, which represents about 62% of market capitalization. Estonian equities held steady in early 1998, although foreign investors were cautious about investing in Estonia following the passage of new controversial legislation that imposed taxes on dividends paid to foreign residents. Rumors of a possible consolidation in the banking sector resulted in price volatility. These developments compounded by weakness in the kroon caused a 12.5% plunge in the value of the IFCG Index in February. A partial recovery in March minimized losses in the first quarter to 3.8% in IFCG terms. Poor performance by the banking sector pulled equities lower in April, with market heavyweights Savings Bank and Union Bank of Estonia among the biggest decliners. The general slump on the regional bourses dragged Estonia

271

Emerging Stock Markets Factbook 1999 Estonia even lower in May, causing the IFCG Estonia Index to plunge 30.7% in dollar terms. Even good economic news—a steady drop in interest rates from 15.7% to 9.5% since the beginning of the year and 1998 GDP growth projected at 6%—could not hold back the selling pressure. Weakness in the banking sector pulled Estonian shares to new lows in June, with the dollar−based IFCG Index falling a further 21.8%.

The banking sector entered a consolidation period during the summer months, as many became hopeful that mergers would allow them to expand across the Baltic region. The IFCG Index rebounded 7.0% in July and then surged 12.3% in August as investors ignored the Russian crisis and losses on neighboring Baltic bourses. Analysts attributed the August gains to active bidding for Hansabank by two Swedish banks. This activity lifted the share prices of other Estonian banks. The summer rally came to an end in September when the IFCG Index plunged 31.0% as competitive bidding came to an end. The Estonian stock market stagnated in October as investors awaited signs of stability in the aftermath of the Russian crisis and seized any opportunity for profit taking. This trend was reversed in November, as Union Bank of Estonia, the second biggest banking group in the Baltic region, announced a strategic partnership with the Swedish Bank SEB and the International Finance Corporation. This spurred interest in the banking sector and the index forged ahead. Finally, December brought fresh selling amid an absence of positive economic or corporate developments. Trading activity contracted in December following losses reported by largest banks and a holiday season slowdown.break

Monthly Value Traded (US$ millions) Estonia

IFCG Estonia Index Correlation (12−month period ending 12/98)

IFCG P/E Ratio (end of month values) 272

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (kroon per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Estonia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

28

28

28

28

28

28

28

26

26

26

Number of Listed Companies Tallin Stock Exchange

Market Capitalization In kroons

15,708.0 13,559.5 15,255.3 14,957.0 10,761.0 8,825.0 9,169.0 9,838.9 6,554.0 6,894.6

In US dollars

1,074.7

933.9

1,031.0

1,042.3

757.5

610.4

In kroons

2,324.4

1,504.8

1,973.4

1,648.2

954.6

1,048.5 769.1

1,113.6 1,256.4 313.8

In US dollars

159.0

103.6

133.4

114.9

67.2

72.5

54.0

77.9

93.8

23.7

Turnover ratio (%)

13.0

10.3

13.7

10.9

7.4

10.7

8.5

11.7

15.3

4.7

643.5

688.0

489.2

520.6

Trading value

Local Index Estonia 1998: (Currency in Millions)

273

Emerging Stock Markets Factbook 1999 TALSE*

262.3

227.2

257.6

233.5

164.9

132.8

139.6

150.6

103.0

96.2

−13.4

13.4

−9.4

−29.3

−19.5

5.1

7.9

−31.6

−6.6

12

12

12

12

12

10

10

10

10

Share of market cap. 89.2 (%)*

89.9

89.7

87.0

82.9

80.5

98.7

88.5

85.8

76.0

Share of trading value (%)

95.2

96.9

90.1

85.7

86.7

94.5

92.5

96.3

97.4

89.2

P/E ratio

11.3

56.3

19.3

10.2

7.1

7.9

12.7

12.4

10.1

9.4

P/BV ratio

2.7

2.5

2.8

2.1

1.5

1.2

1.6

1.5

1.0

0.9

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

Total return index*

100.1

87.6

96.2

89.1

62.5

49.0

52.4

58.9

40.6

38.3

Change in total return index (%)

0.1

−12.5

9.9

−7.4

−29.8

−21.6

7.0

12.3

−31.0

−5.8

Change in index (%) −1.2

IFC Global Index Number of stocks

12

Exchange Rates Exchange rate (end of period)

14.6164 14.5197 14.7969 14.3500 14.2052 14.4588 14.2496 14.3000 13.3980 13.2440

Notes: The base date for the TALSE Index is June 3, 1996=100. The base date for the IFCG Estonia Index is Dec. 1997=1 share of total market cap, IFCG market cap is not adjusted for cross holdings.

Tallin Stock Exchange Mr. Gert Tiivas, Chairman of the Managing Board Ms. Eva Palu, Manager of Investor Relations Ravala 6 Tallin Estonia, EE0001 Tel: (372) 640−8840 Fax: (372) 640−8801 http://www.tse.ee

IFC Corresponde Talinvest Suprem Parnu mnt. 10 Tallin, 10148 Estonia Tel: (372) 640 570 Fax: (372) 640 57 http://www.tss.ee

Estonia 1989−1998: (Currency in Millions; End of Period Levels)

Estonia 1989−1998: (Currency in Millions; End of Period Levels)

274

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

−

−

−

27

26

In kroon

−

−

−

−

−

−

−

−

15,821.0 6,928.0

In US dollars

−

−

−

−

−

−

−

−

1,100.6

In kroon

−

−

−

−

−

−

−

−

20,600.0 13,203.7

In US dollars

−

−

−

−

−

−

−

−

1,483.9

939.2

Turnover ratio (%)

−

−

−

−

−

−

−

−

−

116.1

TALSE*

−

−

−

−

−

−

−

−

257.3

90.7

Change in index (%)

−

−

−

−

−

−

−

−

−

−64.8

Number of stocks

−

−

−

−

−

−

−

−

12

10

Share of market cap. (%)*

−

−

−

−

−

−

−

−

87.0

92.5

P/E ratio

−

−

−

−

−

−

−

−

12.0

25.9

P/BV ratio

−

−

−

−

−

−

−

−

2.9

1.0

Dividend yield (%)

−

−

−

−

−

−

−

−

−

2.6

Total return index*

−

−

−

−

−

−

−

−

100.0

35.2

Change in total return index − (%)

−

−

−

−

−

−

−

−

−64.8

Number of Listed Companies Tallin Stock Exchange

Market Capitalization

519.4

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

6,422

7,977

5,689

4,226

4,011

4,036

4,789

4,370

4,682

5,462

Change in consumer price

−

−

−

−

−

−

−

−

−

−

Estonia 1989−1998: (Currency in Millions; End of Period Levels)

275

Emerging Stock Markets Factbook 1999 index (%) Exchange rate (end of period)

−

−

−

−

−

−

−

−

14.3747 13.3388

Exchange rate (average of period)

−

−

−

−

−

−

−

−

13.8820 14.0584

Notes: The base date for the TALSE Index is June 3, 1996=100. The base date for the IFCG Estonia Index is Dec. 1997=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Ghana Market Performance

Punctuating 1998 with a strong December finish, the Ghana Stock Exchange (GSE) finished the year not only as one of the world's best performing stock markets, but also as the top IFC frontier equity market in local terms. The IFCG Ghana Index gained more than 29.5% in dollars, while the local index shone with almost a 70% return in cedi terms. After several years of double−digit declines, the cedi was mostly stable in 1998, falling just 4.3% against the U.S. dollar. After a struggling finish in 1997, shares rallied on the GSE in late January, following interest rate declines and the release into the market of several blocks of Pioneer Tobacco, Home Finance Corp., and Mobil shares. During the month, the IFCG Index rose 1.4% while the GSE All−share Index climbed almost 10% as investors scrambled to buy the newly released shares. In March, the GSE All−Share Index climbed to new highs, as investors cheered the announcement of an IMF−approved $110 million loan for Ghana. Equities continued their upward trend in April as surging demand for shares far outpaced supply. Despite profit−taking in late May and early June, seven straight trading days of gains at the end of June ensured an overall rise for the second quarter. At the outset of July, news that the World Bank had approved a $50 million interest−free loan gave share prices a boost. The loan was to help develop free trading zones within Ghana, which would pave the way for strong growth in the local export industries. August and September returns, however, were not so good as foreign investors took to the sidelines, stymied by a lack of share liquidity. Talk of an electricity price hike and falling earnings for banking sector stocks also deterred investors from actively trading during the period.

In October, the market shed 8.2% in local terms, while the IFCG Index faired slightly better, falling only 0.23% in Ghana

276

Emerging Stock Markets Factbook 1999 dollar terms. Despite being considered the most attractively priced brewery stock on the GSE, shares of index constituent Guinness Ghana fell almost 19% on worries that increasing competition would erode future earnings. With three multinational brewers now controlling the beer market in the region, it was feared that the company would need to spend more money on advertising to boost sales growth, which would severely strain the company's earnings and stock price. Local equities, however, rallied in both November and December as solid gains in the banking sector closed out a strong year on the exchange.break

Monthly Value Traded (US$ millions)

IFCG Ghana Index Correlation (36−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (cedis per U.S. dollar)

* 51 markets covered by EMDB Ghana 1998: (Currency in Millions)

Ghana 1998: (Currency in Millions)

277

Emerging Stock Markets Factbook 1999

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

21

21

21

21

21

21

21

21

21

Number of Listed Companies Ghana Stock Exchange

21

Market Capitalization In cedis

2,629,540 2,862,480 3,203,630 3,744,730 3,512,830 3,347,450 3,194,340 3,255,980 2,961,860 3,002

In US dollars

1,148.6

1,245.9

1,383.3

1,622.9

1,522.2

1,441.0

1,362.2

1,400.4

1,273.9

1,276

In cedis

6,571.1

7,358.2

13,062.2

24,083.7

9,165.5

18,185.1

5,108.4

9,647.8

3,212.0

29,95

In US dollars

2.9

3.2

5.6

10.4

4.0

7.8

2.2

4.1

1.4

12.7

Turnover ratio (%)

0.4

0.3

0.4

0.7

0.3

0.5

0.2

0.3

0.1

1.0

GSE All Share*

563.8

648.5

849.2

1,184.6

1,028.5

970.2

1,012.2

980.2

854.3

784.4

Change in index (%)

10.0

15.0

30.9

39.5

−13.2

−5.7

4.3

−3.2

−12.8

−8.2

Number of stocks

8

8

8

8

8

8

8

8

8

8

Share of market cap. (%)

91.0

90.9

90.0

83.6

85.7

85.7

83.7

86.0

85.9

86.4

Share of trading value (%)

96.1

54.1

95.5

79.0

37.2

88.2

41.2

96.6

56.7

20.4

P/E ratio

11.7

12.8

12.5

12.1

11.6

11.0

10.3

11.1

10.0

10.1

P/BV ratio

2.1

2.3

2.5

2.3

2.2

2.1

1.9

2.0

1.8

1.8

Dividend yield (%)

3.3

2.8

2.2

2.1

2.5

2.8

2.6

5.0

5.5

5.8

57.3

62.3

70.6

77.6

74.6

70.6

65.7

71.0

64.3

64.3

Trading Value

Local Index

IFC Global Index

Ghana 1998: (Currency in Millions)

278

Emerging Stock Markets Factbook 1999 Total return index* Change in total return index (%)

1.4

8.8

13.3

9.9

−3.9

−5.3

−7.0

8.1

−9.4

0.0

2,289.41

2,297.50

2,316.00

2,307.46

2,307.68

2,323.00

2,345.00

2,325.00

2,325.00

2,352

Exchange Rates Exchange rate (end of period)

Notes: The base date for GSE All Share Index 1990−93=100. The base date for the IFCG Ghana Index is Dec. 1995=100. In calculating share of total market cap, IFCG holdings.

Ghana Stock Exchange Mr. Yeboa Amoa, Managing Director

IFC Correspondent: Gold Coast Securities

Dr. F.D. Tweneboa, General Manager 5th Floor CEDI House Liberia Road, P.O. Box 1849 Accra Ghana Tel: (233−21) 66−9908, 66−9914, 66−9935 Fax: (233−21) 66−9913

Chadwick House, 1st F Selwyn Market Street P.O. Box 17187 Accra Ghana Tel: (233−21) 661192, Fax: (233−21) 661180

Ghana 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

−

13

15

15

17

19

21

21

Number of Listed Companies Ghana Stock Exchange −

Market Capitalization In cedis

−

−

29,600.0 43,753.0 96,514.0 1,968,400.0 2,399,020.0 2,597,210.0 2,552,

In US dollars

−

−

75.8

84.1

118.4

1,872.9

1,648.8

1,492.5

1,137.

In cedis

−

−

104.7

173.5

3,177.9

73,088.1

27,590.6

27,785.1

95,839

In US dollars

−

−

0.3

0.4

4.8

75.1

22.3

17.0

46.7

Trading Value

Ghana 1989−1998: (Currency in Millions; End of Period Levels)

279

Emerging Stock Markets Factbook 1999 Turnover ratio (%)

−

−

−

0.5

4.5

7.1

1.3

1.1

3.7

GSE All Share*

−

−

−

79.1

170.8

371.7

298.1

360.8

511.7

Change in index (%)

−

−

−

−

116.1

117.6

−19.8

21.0

41.8

Number of stocks

−

−

−

−

−

−

8

8

8

Share of market cap. (%)*

−

−

−

−

−

−

98.7

93.3

91.1

P/E ratio

−

−

−

−

−

−

−

11.8

11.4

P/BV ratio

−

−

−

−

−

−

−

2.7

2.1

Dividend yield (%)

−

−

−

−

−

−

−

3.7

3.4

Total return index*

−

−

−

−

−

−

100.0

81.1

56.5

Change in total return index (%)

−

−

−

−

−

−

−

−18.9

−30.3

Gross domestic product 5,249 (US$)

5,886

6,600

6,413

5,966

5,440

6,461

6,927

6,884

Change in consumer price index (%)

25.2

37.3

18.1

10.0

25.0

24.9

74.3

34.1

27.9

Exchange rate (end of period)

−

−

390.630

520.000

815.000

1,051.000

1,455.000

1,740.225

2,243.

Exchange rate (average − of period)

−

367.830

438.167

661.967

973.750

1,237.167

1,633.574

2,051.

Local Index

IFC Global Index

Economic Data

Notes: The base date for GSE All Share Index 1990−93=100. The base date for the IFCG Ghana Index is Dec. 1995=100. share of total market cap, IFCG market cap is not adjusted for cross holdings. Greece Market Performance

Greek equities registered outstanding results throughout 1998, with the local Athens Stock Exchange (ASE) Index closing the year at record highs. Shaken a little by turbulence in Russia and Asia, the Greek market nevertheless shrugged off bearish sentiments. The EU economic convergence requirements, combined with a respected government perceived as committed to economic reforms, contributed to investors' confidence. Also, rapidly Greece

280

Emerging Stock Markets Factbook 1999 falling inflation and interest rates, strong GDP growth and corporate earnings, lower current account deficits, a stable currency, and some structural improvements made Greece a relatively secure investment niche in the risky emerging markets environment. Over the year, the drachma−based ASE Index rose 85% while the dollar−based IFC indexes gained 91.1%. Stocks zigzagged during the first two months of 1998, finishing the period slightly lower. Trading was heavily influenced by the direction of money market rates. Indications of government intentions to push forward reforms appeared in mid−February and gave a temporary boost to stocks. Most of the gains in 1998 came in March and April, when equities surged by almost 85%. In March, the market benefited from optimism over the economic climate and expectations over Greece's likely prospects for joining the European single currency. Devaluation of the drachma by 14% against the ECU, after it entered the EU's exchange rate mechanism in mid−March, gave a major boost to the market. Many large companies, such as telecom OTC and the largest banks, jumped by 8% in single trading sessions, the maximum allowed by stock exchange rules. Bullish sentiment persisted in April after Parliament approved a reform package to revamp the local air carrier and to manage the ongoing corporate consolidation and restructuring process. The investment community hailed the decision of National Bank of Greece to merge with its subsidiary Mortgage Bank.

The banking sector set the tone for the market in May as investors responded to the unfolding story of the government sale of Ionian Bank. The bouncy ride developed into losses in June amid ongoing uncertainty surrounding the bank's sale and downward pressure from declining European and Asian markets. The price swings continued throughout the summer with equities rising in July, in part from the successful IPO of Hellenic Petroleum, and falling back in August. Stocks extended their losses in September because of persistent volatility in international markets and fears about the contagion effects of the Russian crisis. However, the worst was over, and the market rebounded in October and continued an upward trend through year's end. The government signaled that it was sticking with plans to sell state assets to boost revenues. Stocks rallied on this news and on an unexpected interest rate cut by the U.S. Federal Reserve Board. Rebounding U.S. and European markets, as well as domestic buying sparked by positive earnings and expectations of a short−term interest rate cut, firmed foreign investor confidence. The OTE and Panafon Hellenic Telecom offerings in November attracted foreign interest and caused a spillover effect that benefited other large−cap stocks. Despite the market's historic highs, analysts expect the positive momentum to continue in 1999 and for the market to test new highs.break

Greece

281

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Greece Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (drachma per U.S. dollar)

* 51 markets covered by EMDB Greece 1998: (Currency in Millions)

Greece 1998: (Currency in Millions)

282

Emerging Stock Markets Factbook 1999

Notes: The base date for the ASE Composite Index is 1980=100. The base date for the IFCG Greece Index is Dec. 1984=1 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: Alpha Brokerage S.A. 6 Dragatsaniou Str. Athens GR−10559 Greece Tel: (30−1) 331−3315 Fax: (30−1) 331−1193

Athens Stock Exchange Spiridon Kouniakis, President 10 Sophocleous Street Athens, 105 59 Greece Tel: (30−1) 321−1301 Fax: (30−1) 321−3938 http://www.ase.gr Greece 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

119

145

126

129

143

216

212

224

230

Number of Listed Companies Athens Stock Exchange

Greece 1989−1998: (Currency in Millions; End of Period Levels)

283

Emerging Stock Markets Factbook 1999 Market Capitalization In drachma

996,623 2,428,929 2,295,594 2,042,896 3,071,801 3,589,955 4,036,000 5,965,000 9,692,64

In U.S. dollars

6,376

15,228

13,118

9,489

12,319

14,921

In drachma

89,006

621,370

444,977

306,800

623,434

1,248,170 1,409,528 1,994,437 5,774,20

In U.S. dollars

549

3,924

2,443

1,605

2,713

5,145

6,091

8,283

21,146

Turnover ratio (%)

10.9

36.3

18.8

14.1

24.4

37.5

37.0

39.9

73.8

ASE Composite*

459.4

932.0

809.7

672.3

958.7

868.9

914.1

933.5

1,479.6

Change in index (%)

64.3

102.9

−13.1

−17.0

42.6

−9.4

5.2

2.1

58.5

Number of stocks

26

35

32

32

35

36

50

58

56

Share of market cap. (%)*

66.7

55.9

60.7

56.7

56.7

53.8

59.6

76.3

77.2

P/E ratio

16.6

16.7

10.7

6.9

10.2

10.4

10.5

10.4

17.6

P/BV ratio

2.2

4.3

2.3

1.7

1.9

1.9

1.8

2.0

3.1

Dividend yield (%)

4.6

5.0

3.8

11.0

4.8

4.6

4.5

3.7

2.9

Total return index*

446.4

911.2

735.9

537.4

655.3

668.6

737.5

774.8

1,065.2

Change in index (%)

80.2

104.1

−19.2

−27.0

21.9

2.0

10.3

5.1

37.5

Gross domestic product (US$)

67,082

82,914

89,048

98,445

92,195

98,653

114,780

122,946

−

Change in consumer price index (%)

13.7

20.4

19.5

15.9

14.4

10.9

8.9

8.2

5.5

Exchange rate (end of 156.30 period)

159.50

175.00

215.30

249.35

240.60

236.58

246.71

283.71

Exchange rate (average of period)

158.34

182.16

191.12

229.80

242.62

231.42

240.78

273.06

17,060

24,178

34,164

Trading Value

Local Index

IFC Global Index

Economic Data

162.11

Greece 1989−1998: (Currency in Millions; End of Period Levels)

284

Emerging Stock Markets Factbook 1999

Notes: The base date for the ASE Composite Index is 1980=100. The base date for the IFCG Greece Index is Dec. 1984=1 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Hungary Market Performance

This past year was both highly volatile and largely negative for the Hungarian equity market. The local BUX Index declined by 21.1% in forint terms, while IFCI and IFCG Hungary indexes each lost 10.8% in dollar terms. Equities posted strong gains in the first quarter, backed by reports of solid corporate earnings growth. Major Hungarian companies reported 1997 earnings growth of about 50%. By April 3, the IFCI Index had gained 22.5%, reaching what would prove to be its highest value for the year. Blue−chip companies and the government each exploited the market's early−year gains and went forward with new issues. The state sold an 11% stake in oil and gas company MOL at the end of March, while strategic owner EdF and OTP sold a combined 30% stake in electricity distributor Démász. The sale made Démász the first electricity utility to be listed on the Budapest Stock Exchange (BSE) and boosted the BSE's market capitalization by 9%. Equities remained flat in April, with drug−maker Richter reporting lower−than−expected first−quarter earnings, news that cast a shadow on profit expectations across the board. Shares plummeted in May, as the first round of parliamentary elections indicated that the ruling socialist−liberal coalition would be replaced by a new government led by center−right Fidesz−MPP. Campaign promises that tough fiscal policies would be relaxed created nervousness on the market while discussions of changes in the pharmaceutical sector subsidy system and a shortening of Matav's monopoly in the telephone services market added to investors' anxiety.

As the new government made it clear that no radical changes in macroeconomic policy were planned and fears of the looming Russian crisis seemed to abate, the equities market enjoyed a period of moderate rise in June and July. This period of relative stability was halted suddenly and severely by the August collapse of the Russian market, which mercilessly demolished all the gains in the region and at least temporarily tarnished the region's image in the eyes of investors. All shares took a heavy beating, but the most stinging losses were incurred by companies with lower liquidity and direct exposure to Russia. Hardest hit were companies in the pharmaceutical and building material sectors (Richter, Graboplast, Zalakerámia). Within two months, IFCI Hungary Index plummeted by 38%. Many fund managers who were overweight Hungary, relative to their benchmarks, took advantage of the market's relatively high liquidity to lighten eastern European exposure and to raise funds with which to cover redemptions. Hungary

285

Emerging Stock Markets Factbook 1999 In the fourth quarter, the market saw a significant correction, allowing the IFCI Index to finish the year down only 10.8%. This was a very welcome close following year−to−date performance of down 35% at the end of September. Concerted monetary easing in the developed markets combined with relative restraint in Brazil's deterioration helped to revive hopes for emerging markets in general. Domestically, the rapidly decreasing inflation rate also provided support for the market, while local institutional investors did some window dressing at the end of the year. The only positive performers for the year were three large and very liquid companies with low exposure to foreign markets: OTP (up 39%), MOL (up 19.3%) and Matav (up 13.6%). Zalakeramia (down 72%), Primagaz (down 63%), Egis (down 61%) and Richter (down 60%) sustained the worst losses.break

Monthly Value Traded (US$ millions)

IFCI Hungary Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (forint per U.S. dollar)

* 51 markets covered by EMDB Hungary 1998: (Currency in Millions)

Hungary 1998: (Currency in Millions)

286

Emerging Stock Markets Factbook 1999

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

50

50

52

52

53

53

53

53

53

Number of Listed Companies Budapest Stock Exchange

49

Market Capitalization In forint

2,830,237 3,114,702 3,484,994 3,465,357 3,015,178 3,255,122 3,483,776 2,288,787 2,169,323 2,507

In U.S. dollars

13,603

14,925

16,338

16,427

14,085

14,879

16,132

10,205

9,924

11,56

In forint

181,722

208,772

278,926

336,297

286,107

276,200

312,110

306,359

334,071

289,9

In U.S. dollars

873

1,000

1,308

1,594

1,337

1,262

1,445

1,366

1,528

1,337

Turnover ratio (%)

6.2

7.0

8.4

9.7

8.8

8.8

9.3

10.6

15.0

12.4

BUX*

7,421.6

8,256.9

8,656.2

8,552.2

7,057.1

7,805.7

8,215.3

5,252.5

4,571.1

5,312

Change in index (%)

−7.2

11.3

4.8

−1.2

−17.5

10.6

5.3

−36.1

−13.0

16.2

Number of stocks

15

15

15

15

15

15

15

15

15

15

Share of market cap. (%)

87.4

89.3

90.6

88.2

88.7

89.4

89.9

87.8

89.0

89.9

Share of trading value (%)*

92.3

93.1

93.7

90.7

93.9

95.2

92.6

13.6

96.3

95.1

P/E ratio

24.8

27.9

31.6

30.5

26.9

18.7

20.1

12.9

12.3

14.4

P/BV ratio

3.8

4.3

4.9

4.7

4.1

3.6

3.8

2.5

2.4

2.8

Dividend yield (%)

0.5

0.4

0.4

0.4

0.9

1.0

1.0

1.5

1.6

1.3

223.4

246.8

272.6

266.8

232.7

246.6

268.4

165.9

162.9

191.9

Trading Value

Local Index

IFC Global Index

Hungary 1998: (Currency in Millions)

287

Emerging Stock Markets Factbook 1999 Total return index* Change in total return index (%)

−9.8

Exchange 208.065 rates (end of period)

10.5

10.5

−2.1

−12.8

6.0

8.8

−38.2

−1.8

17.8

208.695

213.305

210.955

214.065

218.780

215.960

224.280

218.600

216.9

Notes: The base date for the BSE BUX Index in Jan. 2, 1991=1,000. The base date for the IFCG Hungary Index is Dec. 1992=100. In calculating share of total market c for cross holdings.

Budapest Stock Exchange Mr. Andras Simor, Chairman, Stock Exchange Council

IFC Correspondent: Concorde Securities Lt

Dr. Maria Dunavolgyi, Chief Executive Officer Deak Ferenc U. 5. 1052 Budapest, Hungary Tel: (36−1) 429−6700 Fax: (36−1) 429−6800 http://www.bse.hu

Vorosmarty 1 x.em 1051 Budapest Hungary Tel: (36−1)266−8035 Fax: (36−1) 266−8036 http://www.con.hu

Email: [email protected]

Email: concorde

Hungary 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

−

−

21

23

28

40

42

45

49

5

In forint

−

−

38,200

47,207

81,741

181,527 327,775 852,456 3,058,360 3

In U.S. dollars

−

−

505

562

812

1,604

2,399

5,273

In forint

−

−

8,723

2,996

9,136

28,382

44,054

245,265 1,436,083 3

In U.S. dollars

−

−

117.0

38

99

270

355

1,641

Number of Listed Companies Budapest Stock Exchange

Market Capitalization

14,975

1

Trading Value

Hungary 1989−1998: (Currency in Millions; End of Period Levels)

7,684

288

1

Emerging Stock Markets Factbook 1999 Turnover ratio (%)

−

−

−

7.0

14.2

21.6

17.3

41.6

73.4

1

BUX*

−

−

837.6

890.9

1,264.1

1,470.1

1,528.9

4,134.3

7,999.1

6

Change in index (%)

−

−

−

6.4

41.9

19.6

4.0

170.4

93.5

−

Number of stocks

−

−

−

12

13

13

17

18

15

1

Share of market cap. (%)*

−

−

−

84.2

81.2

46.6

33.2

85.6

87.4

8

P/E ratio

−

−

−

−

52.4

−55.3

12.0

17.5

27.3

1

P/BV ratio

−

−

−

−

1.6

1.7

1.2

2.0

4.2

3

Dividend yield (%)

−

−

−

−

2.7

2.7

3.1

1.0

0.5

1

Total return index*

−

−

−

100.0

124.6

105.5

76.9

152.1

247.7

2

Change in index (%)

−

−

−

−

24.6

−15.3

−27.1

97.8

62.9

−

Gross domestic product (US$)

29,151

33,059

33,445

37,249

38,610

41,491

44,662

45,176

45,725

−

Change in consumer price index (%)

16.9

29.0

34.2

22.9

22.5

18.9

28.3

23.5

18.3

−

Exchange rate (end of period)

−

−

75.620

83.970

100.700 113.150 136.630 161.650 204.225

2

Exchange rate (average of period)

−

−

74.735

78.988

92.007

2

Local Index

IFC Global Index

Economic Data

105.210 124.060 149.492 186.887

Notes: The base date for the BSE BUX Index in Jan. 2, 1991=1,000. The base date for the IFCG Hungary Index is Dec. 19 In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. India Market Performance

Poor results hounded Indian equities in 1998, as the fall−out effects from the Asian crisis weighed on investor sentiment, as did the formation of a new coalition government and the detonation of nuclear devices, which sparked economic sanctions. For the year, the dollar−based IFCI and IFCG India indexes shed 23.0% and 15.3%, respectively, while the local BSE−200 Index of the Mumbai Stock Exchange dropped 11.4% in rupee terms. The rupee depreciated 7.7% in 1998. India

289

Emerging Stock Markets Factbook 1999 Bearish investor sentiment prevailed in early 1998 as investors worried about weakness in the rupee and speculated about a possible downgrade in the country's credit rating by Moody's. (India's foreign debt−rating was downgraded below investment grade in the second quarter.) An unexpected drop in overnight interest rates and optimism that a strong government would emerge from the March 7 national elections turned this sentiment around later in the first quarter. Despite the election of a coalition government composed of the Hindu−Nationalist and Bharatiya Janata Party (BJP), share prices continued to proceed upward amid confidence in the coalition's commitment to revive the economy as well as to spearhead major infrastructure projects. For the quarter, the IFCI Index gained 5%, as did the BSE−200 Index. Most of the year's damage occurred in the second quarter, as hopes for a strong government quickly evaporated following a lukewarm reception of the fiscal budget. Later in the quarter, the market's discordant direction took its cue from national politics, as BJP party members demanded the resignation of other party ministers amid charges of corruption. Nuclear tests dealt the final blow to Indian equities after both India and Pakistan detonated nuclear devices despite the ire of the international community. As a result, the United States and Japan pressured for the complete stoppage of government−to−government loans, including any World Bank and IMF−sponsored loans. The IFCI India Index lost 21.4% in the second quarter.

The fragile coalition government of Prime Minister Atal Vajpayee amid the backdrop of the continuing woes of Asia's financial crisis shaped negative third−quarter results. Share prices recovered considerable ground at the end of the period, however, after companies were authorized to buy back shares and restrictions on companies borrowing from each other were eased, effective in October. The likelihood that the government would sign the nuclear test−ban treaty—thereby easing economic sanctions imposed by the United States in May—also provided support. The IFCI Index dropped an additional 4.5% this quarter. The final quarter saw Indian equities drop still lower, but at a much slower pace, thanks to a more optimistic outlook for 1999. The prospects for a more stable government continued to look slim after the Congress Party defeated the BJP in two key state elections in November. However, concerns diminished after the BJP took a strong stance on opening up the insurance industry to foreign participation as well as on granting exclusive marketing rights to pharmaceuticals. The IFCI India Index fell 2.3% while the BSE−200 Index dropped 2% during the final three months of 1998.break

India

290

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI India Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (rupee per U.S. dollar)

* 51 markets covered by EMDB India 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

5,852

5,853

5,853

5,852

5,854

5,850

5,851

5,854

5,855

Number of Listed Companies Mumbai Stock Exchange

5,850

Market Capitalization

India 1998: (Currency in Millions)

291

Emerging Stock Markets Factbook 1999 In rupee

4,695,130 5,263,570 5,603,250 5,802,380 5,618,490 4,854,610 4,834,200 4,648,870 4,797,110 4,527

In U.S. dollars

120,946

133,763

141,917

146,100

134,817

114,563

113,639

109,334

113,132

106,8

In rupee

173,810

164,970

233,100

266,840

234,400

224,950

212,420

182,110

276,470

223,7

In U.S. dollars

4,477

4,192

5,904

6,719

5,624

5,309

4,993

4,283

6,520

5,281

Turnover ratio (%)

3.6

3.3

4.3

4.7

4.1

4.3

4.4

3.8

5.8

4.8

BSE 200*

313.6

348.2

376.6

398.3

375.7

325.8

324.5

305.1

320.4

293.7

Change in index (%)

−11.5

11.0

8.1

5.8

−5.7

−13.3

−0.4

−6.0

5.0

−8.3

Number of stocks

133

133

133

133

133

133

133

133

133

133

Share of market cap. (%)*

49.9

49.5

50.2

50.7

48.9

49.3

49.0

47.7

48.8

47.4

Share of trading value (%)

78.5

93.6

89.1

81.8

66.3

70.2

61.2

59.4

53.7

52.4

P/E ratio

13.6

15.2

16.4

17.1

15.0

13.1

13.1

11.4

12.3

11.5

P/BV ratio

2.0

2.2

2.4

2.5

2.3

2.0

2.0

1.6

1.7

1.6

Dividend yield (%)

2.0

1.8

1.8

1.8

1.8

2.3

2.2

2.4

2.1

2.3

Total return 330.3 index*

363.1

393.2

409.7

369.7

319.1

317.8

296.6

313.1

291.7

Change in total return index (%)

−9.8

9.9

8.3

4.2

−9.8

−13.7

−0.4

−6.7

5.5

−6.8

38.8200

39.3500

39.4825

39.7150

41.6750

42.3750

42.5400

42.5200

42.4028

42.36

Trading Value

Local Index

IFC Global Index

Exchange Rates Exchange rates (end of period)

India 1998: (Currency in Millions)

292

Emerging Stock Markets Factbook 1999

Notes: The base date for the BSE 200 is 1989−90=100. The base date for the IFCG India Index is Dec. 1984=100. In calculating share of total market cap, IFCG marke holdings.

Mumbai Stock Exchange Mr. J.C. Parekh, President

IFC Correspondent: Crisil Research & Info

Mr. R.C. Mathur, Executive Director 25th floor, Phiroze Jeejeebhoy Towers Dalal Street Mumbai, 400 001, India Tel: (91−22) 265−5860 Fax: (91−22) 265−8121 http://bseindia.com

Sane Guruji Premises 386 Veer Savarkar Ma Mumbai, 400 025 India Tel: (91−22) 432−4810 Fax: (91−22) 431−683

India 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

2,407

2,435

2,556

2,781

3,263

4,413

5,398

5,999

5,843

Number of Listed Companies Mumbai Stock Exchange

Market Capitalization In rupee

460,000 700,000 1,231,440 1,867,610 3,050,000 4,000,000 4,472,970 4,392,310 5,037

In U.S. dollars

27,316

38,567

47,730

65,119

97,976

127,515

127,199

122,605

128,4

Trading Value In rupee

280,320 382,091 548,350

572,723

675,152

851,360

445,764

940,672

1,959

In U.S. dollars

17,362

21,918

24,295

20,597

21,879

27,290

13,738

26,599

53,95

Turnover ratio (%)

68.8

65.9

56.8

37.0

27.5

24.1

10.5

21.2

41.6

BSE 200*

839.9

1,040.7

//

407.5

442.5

313.7

305.1

354.4

Change in index (%)

32.4

23.9

−

29.5

8.6

−29.1

−2.7

16.2

Local Index 233.6 314.8 23.6

IFC Global Index India 1989−1998: (Currency in Millions; End of Period Levels)

293

Emerging Stock Markets Factbook 1999 Number of stocks

60

60

62

62

108

119

123

131

133

Share of market cap. (%)

46.0

40.6

36.2

39.0

50.3

51.3

45.4

50.2

52.6

P/E ratio

14.9

17.8

25.4

33.7

39.7

26.7

14.2

12.3

15.2

P/BV ratio

2.5

2.9

3.9

4.7

4.9

4.2

2.3

2.1

2.3

Dividend yield (%)

1.9

1.9

1.3

0.7

1.0

1.0

1.8

1.7

1.8

Total return index*

240.7

285.8

338.5

416.0

494.0

530.7

349.2

341.8

366.1

Change in index (%)

4.3

18.7

18.4

22.9

18.8

7.4

−34.2

−2.1

7.1

Economic Data Gross domestic product (US$)

274,190 298,329 251,550

243,834

258,432

306,847

334,429

359,718

381,5

Change in consumer price index (%)

6.2

11.8

6.4

10.2

10.2

9.0

7.2

Exchange rate (end of period)

16.8400 18.1500 25.8000

28.6800

31.1300

31.3688

35.1650

35.8250

39.21

Exchange rate (average of period)

16.1457 17.4326 22.5704

27.8066

30.8583

31.1970

32.4471

35.3656

36.31

9.0

13.9

Notes: The base date for the BSE 200 is 1989−90=100. The base date for the IFCG India Index is Dec. 1984=100. In 1994 from using the F.E. Bombay Index to the BSE 200 because the latter is more representative of market movements. In calcu total market cap, IFCG market cap is not adjusted for cross holdings. Indonesia Market Performance

Equities on the Jakarta Stock Exchange (JSE) plummeted in 1998 in response to the economic recession and Asian contagion. Stock prices were extremely volatile, reacting to wild swings in the exchange rate and a major shift in the political landscape, culminating in President Suharto's resignation after 32 years in office. The IFCI Indonesia Index plummeted 64.4% in U.S. dollars between March and September while the fragile rupiah depreciated from 8,650 to 10,700. Signs of an economic recovery, bolstered by rallies throughout Asia, hoisted JSE stocks in the last quarter, narrowing the 1998 IFCI loss to 28.1% in dollar terms. The value of the rupiah swung unpredictably in the first quarter, reacting with severity to a foreign sell−off and the predicament of high interest rates. Local and foreigner investors alike were unnerved by the prospect that rising unemployment and bankruptcies would incite political and social instability. In the midst of mounting pressure against the currency, the government latched onto a controversial solution—a currency board system. After severe international scrutiny, however, the proposal was laid to rest in March. The rates on the benchmark one−month SBI government bills surged to 45% in March to rein in inflation that stood at 39%, year on year, a 23−year high. Aggravating the situation was the IMF's decision to stall the March installment of a $40 billion international aid package, calling upon Indonesia to implement the reforms agreed to in the aid plan, including bank restructuring, dismantling of cartels, and privatization.

Indonesia

294

Emerging Stock Markets Factbook 1999 A weak rupiah and steep interest rates of up to 100% choked company fundamentals through September. Stocks benefiting from a weak currency (i.e., earnings predominantly in foreign currency) bucked the decline. Analysts found it difficult to judge companies' fundamental value because earnings were unreliable, the currency was unstable, and the political system was crumbling under pressure from student groups and opposition parties. Rapid rises in food and commodity prices precipitated the resignation of President Suharto in May. Vice President B.J. Habibie replaced Suharto at the helm, pledging new general elections for the country in 1999. Nevertheless, equities were unable to break the downward spiral in June, as companies with ties to the Suharto family plummeted.

The market bounced back in July on a more stable political environment and market−oriented policies. The government also concluded an agreement with the IMF to resume aid. A backlash in August from the Russian crisis and the weak Japanese yen spooked investors and dampened enthusiasm. Japan is both a source of investment for Indonesia and a major export market. Banking stocks rose on government support for rebuilding the financial system. Furthermore, setbacks in the privatization process and developments in the new bankruptcy law generated great caution among Indonesia investors, who worried that it would lead to the liquidation and delisting of dozens of companies. Stocks rallied in the last quarter because of a regional rally, stronger regional currencies, and lower interest rates in the U.S. and Europe. JSE stocks surged 55.9% and 46.5% in October and November, respectively, as investors returned to hunt for bargains. The year finished on an upbeat note, slowed only by uncertainty over a smooth democratic election process set for 1999 and the government's plans to privatize more of its stakes in 12 major state−controlled companies.break

Indonesia

295

Emerging Stock Markets Factbook 1999 Monthly Value Traded (US$ millions)

IFCI Indonesia Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (rupiah per U.S. dollar)

* 51 markets covered by EMDB Indonesia 1998: (Currency in Millions) Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

287

287

287

287

287

287

287

287

287

287

199,859

198,401 223,309 191,852 175,319

188,146

203,332

144,547

116,575

127,4

22,418

25,816

23,759

15,515

12,713

15,462

12,906

10,895

16,77

14,682

13,897

10,277

5,097

5,667

8,709

5,733

5,074

5,935

In U.S. dollars 1,127

1,659

1,607

1,273

451

383

662

512

474

781

Turnover ratio (%)

7.4

6.6

4.9

2.8

3.1

4.4

3.3

3.9

4.9

Jan

Number of Listed Companies Jakarta Stock Exchange

Market Capitalization In rupiah (/1,000)

In U.S. dollars 19,034

Trading Value In rupiah (/1,000)

11,833

6.6

Indonesia 1998: (Currency in Millions)

296

Emerging Stock Markets Factbook 1999 Local Index JSE Composite*

486.0

482.4

541.4

460.1

420.5

445.9

481.7

342.4

276.1

300.8

Change in index (%)

21.0

−0.7

12.2

−15.0

−8.6

6.0

8.0

−28.9

−19.4

8.9

Number of stocks

62

62

62

62

62

62

62

62

62

62

Share of market cap. (%)*

71.1

66.9

69.0

64.8

68.7

70.4

71.3

67.2

61.0

62.6

Share of trading value (%)

80.6

69.6

68.7

53.6

70.1

72.5

60.0

59.6

73.8

67.4

P/E ratio

12.8

12.6

14.7

11.8

10.7

11.7

−44.8

−31.7

−23.6

−28.3

P/BV ratio

1.7

1.6

1.9

1.5

1.4

1.5

1.6

1.2

0.8

1.0

Dividend yield 2.3 (%)

2.4

2.0

2.5

2.7

2.3

0.8

1.0

1.4

1.3

Total return index*

27.2

32.5

28.0

17.1

14.2

18.0

15.3

11.6

17.9

16.9

19.2

−13.9

−38.7

−16.9

26.7

−15.4

−24.1

54.7

IFC Global Index

23.3

Change in total −35.0 return index (%)

Exchange Rates Exchange rates (end of period)

10,500.00 8,850.00 8,650.00 8,075.00 11,300.00 14,800.00 13,150.00 11,200.00 10,700.00 7,600

Notes: The base date for the JSE Composite Index is Oct. 1982=100. The base date for the IFCG Indonesia Index is Dec. 1989=100. Market cap and value traded figure Exchange. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Jakarta Stock Exchange Mr. Cyril Noerhadi, President

The Surabaya Stock Exchange Bibin Busono, President

IFC Correspondent: Institute for Economic &

Jl. Jend. Sudirman Kav. 52−53 Jakarta, 12190 Indonesia Tel: (62−21) 515−0515 Fax: (62−21) 515−0330 http://www.jsx.co.id

Gedung Medan Pemuda 5th. Floor (Bank Exim) Jl. Pemuda 27−31 Surabaya, Java Timur 60271, Indonesia Tel: (62−31) 531−0646, 531−0246 Fax: (62−31) 531−0823, 531−9490 http://www.bes.co.id

Jl. Cik Ditiro No. 31 Jakarta 10310 Indonesia Tel: (62−21) 310−8057 Fax: (62−21) 314−5584

Email: [email protected]

Email: [email protected]

Indonesia 1998: (Currency in Millions)

297

Emerging Stock Markets Factbook 1999 Indonesia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

57

125

141

155

174

216

238

253

282

2

Number of Listed Companies Jakarta Stock Exchange

Market Capitalization In rupiah (1/1,000)

4,050.0 15,264.6 13,537.0 24,839.5 69,299.6 103,835.2 152,246.5 215,026.1 159,929.9 1

In U.S. dollars

2,254

8,081

6,823

12,038

32,953

In rupiah(1/1,000)

957.0

7,318.1

5,778.3

7,909.2

In U.S. dollars

541

3,992

2,922

Turnover ratio (%)

38.6

75.8

JSE Composite*

399.7

Change in index (%)

47,241

66,585

91,016

29,105

2

19,088.1 25,488.0

32,358.4

74,829.9

120,384.7 9

3,903

9,158

11,801

14,403

32,142

41,650

9

40.1

41.2

40.5

29.4

25.3

40.7

64.2

5

417.8

247.4

274.3

588.8

469.6

513.8

637.4

401.7

3

31.0

4.5

−40.8

10.9

114.6

−20.2

9.4

24.0

−37.0

−

Number of stocks

57

84

73

63

41

47

50

50

62

5

Share of market cap. (%)*

−

64.3

77.5

72.0

55.0

47.0

56.6

69.4

67.1

7

P/E ratio

56.6

20.3

11.6

12.2

28.9

20.2

21.4

21.6

10.5

−

P/BV ratio

5.8

3.4

1.6

1.6

3.1

2.4

2.7

2.7

1.4

1

Dividend yield (%)

−

0.5

0.0

2.1

1.3

1.5

1.9

1.3

2.9

0

Total return index*

100.0

99.4

57.4

59.0

126.0

101.6

113.8

136.4

35.8

2

Change in index (%)

−

−0.6

−42.3

2.8

113.6

−19.4

12.0

19.9

−73.8

−

Trading Value

Local Index

IFC Global Index

Indonesia 1989−1998: (Currency in Millions; End of Period Levels)

298

Emerging Stock Markets Factbook 1999 Economic Data Gross domestic product (US$)

101,455 114,426 128,168 139,116 158,007 176,892

202,132

227,370

214,995

−

Change in consumer price index (%)

6.4

Exchange rate (end of period) Exchange rate (average of period)

7.8

9.4

7.5

9.7

8.5

9.4

8.0

6.7

−

1,797.0 1,889.0

1,984.0

2,063.5

2,103.0

2,198.0

2,286.5

2,362.5

5,495.0

7

1,770.1 1,833.3

1,977.6

2,026.6

2,084.2

2,159.8

2,246.6

2,328.1

2,890.4

1

Notes: The base date for the JSE Composite Index is Oct. 1982=100. The base date for the IFCG Indonesia Index is Dec. 1989=100. Market cap and value traded figures are for the Jakarta Stock Exchange. In calculating share of total market cap market cap is not adjusted for cross holdings. Israel Market Performance

Despite international market pressures, both the IFCI and IFCG indexes managed to gain ground in 1998 in local currency terms. Ongoing weakness in the shekel, however, erased the gains in dollar terms and the two series fell more than 14%. Share prices on the Tel Aviv Stock Exchange (TASE) dropped considerably early in the year, but managed to stabilize by the end of the first quarter. Political concerns—domestic worries over the stability of Prime Minister Benjamin Netanyahu's coalition government and international fears stemming from the rising U.S.−Iraqi tension—coupled with financial instability in Asia to drive down share prices. The Asian economies proved doubly damning, as many Israeli export firms were active in Asia, and the instability that Asian declines prompted in New York (where many Israeli firms trade) were mirrored in Tel Aviv. Providing some comfort to investors during this period were lower−than−expected inflation figures for December 1997. Later in the period, a central bank interest rate cut brought about the lowest rates in years and set the tone for much of the year. Stock prices also gained as Gulf tensions eased and New York equities recovered. Stocks rebounded in April as a weakened shekel raised earnings prospects for exporters. Prices rose steadily in May, slipping only periodically in response to volatility in emerging markets, following the crises in Asia and Russia. But the unstable shekel proved problematic during this period and through year's end, falling more than 17% over the 12−month period.

Israel

299

Emerging Stock Markets Factbook 1999

Israeli equities fared better than most emerging markets in August, dropping about 11% in a month where the IFCI Composite Index plunged more than 28%, despite the country's close economic ties to international markets. Export−driven sectors were especially vulnerable and uneven price movements in New York and major European centers further depressed local share prices. A significant interest rate cut, the eighth of the year, provided only temporary relief from selling pressure, and the market remained bearish until late November. Israeli shares surged nearly 7% in the third week of November, allowing the IFC indexes to rally almost 8% for the month. Political tension cast a shadow over the TASE earlier in the quarter, as the debate over the Wye River Peace Accord detracted attention from the equities market. The Bank of Israel's decision to counter inflation by raising lending rates helped the shekel strengthen slightly during the period. Concerns for Israel's economy and domestic stability translated into a volatile market at year's end. Progress in the peace process was tempered by the resignation of the finance minister and by a call from Prime Minister Netanyahu for early elections. A rally at the end of December staved off further losses.break

Monthly Value Traded (US$ millions)

Israel

IFCI Israel Index Correlation (24−month period ending 12/98)

IFCI P/E Ratio (end of month values)

300

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (shekel per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Israel 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

640

643

648

645

638

651

653

652

654

653

Number of Listed Companies Tel Aviv Stock Exchange

Market Capitalization In shekel

146,819 156,062 166,584 169,009 178,713 176,523 176,670 164,673 157,567 155,922

In U.S. dollars

40,780

43,548

46,243

45,630

48,903

48,087

48,458

43,389

40,976

36,439

In shekel

2,622

2,629

4,112

3,160

4,401

4,204

2,734

4,087

3,266

3,445

In U.S. dollars

728

734

1,141

853

1,204

1,145

750

1,077

849

805

Turnover ratio (%)

1.8

1.7

2.5

1.9

2.5

2.4

1.5

2.4

2.0

2.2

Trading Value

Local Index Israel 1998: (Currency in Millions)

301

Emerging Stock Markets Factbook 1999 Tel Aviv 100*

267.1

282.3

302.8

307.4

326.8

319.0

318.6

293.6

280.8

280.3

5.7

7.3

1.5

6.3

−2.4

−0.1

−7.8

−4.4

−0.2

49

49

49

48

48

48

48

48

48

Share of market cap. 69.2 (%)*

68.4

69.2

69.5

69.2

68.3

68.0

66.8

66.9

67.3

Share of trading value (%)

80.9

82.9

82.3

77.8

80.2

74.3

77.1

82.1

85.4

87.0

P/E ratio

13.2

13.7

15.0

15.4

15.0

15.4

15.1

14.2

12.2

11.9

P/BV ratio

1.3

1.3

1.5

1.5

1.5

1.4

1.4

1.3

1.3

1.2

Dividend yield (%)

1.8

1.7

1.6

1.7

1.4

1.4

1.9

1.9

1.8

2.0

Total return index*

112.6

117.3

126.8

124.9

134.1

129.0

129.3

114.4

109.7

97.9

Change in total return index (%)

−9.5

4.2

8.0

−1.5

7.4

−3.8

0.2

−11.5

−4.1

−10.8

3.6003

3.5837

3.6024

3.7039

3.6544

3.6709

3.6458

3.7953

3.8453

4.2790

Change in index (%) −8.2

IFC Global Index Number of stocks

49

Exchange Rates Exchange rates (end of period)

Notes: The base date for the Tel Aviv 100 Index is Dec. 31, 1991=100. The base date for the IFCG Israel Index is Dec. 19 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Tel Aviv Stock Exchange Prof. Yair Orgler, Chairman 54, Ahad Maam St Tel Aviv 65202 Israel Tel: (972−3) 567−7411 Fax: (972−3) 510−5379 http://www.tase.co.il

IFC Correspondent Bank Hapoalim 62 Yehuda Halevi S Tel Aviv 65227 Israel Tel: (972−3) 567−40 Fax: (972−3) 567−4 http://www.bankhap

Israel 1989−1998: (Currency in Millions; End of Period Levels)

Israel 1989−1998: (Currency in Millions; End of Period Levels)

302

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

262

216

229

377

558

638

654

655

640

650

Number of Listed Companies Tel Aviv Stock Exchange

Market Capitalization In shekel

16,149 6,807

14,100 81,907 151,607 98,779 114,150 116,629 160,132 164,857

In U.S. dollars

8,227

3,324

6,176

29,634 50,773

32,730 36,399

35,934

45,268

39,628

In shekel

7,491

11,160 19,121 36,134 85,828

75,609 27,569

25,644

37,004

42,916

In U.S. dollars

3,909

5,535

8,389

14,694 30,327

25,110 9,155

8,045

10,727

11,291

Turnover ratio (%)

−

−

−

−

−

−

−

−

26.7

26.4

Tel Aviv 100*

−

−

100.0

204.8

245.0

173.6

208.2

211.0

291.0

299.9

Change in index (%)

−

−

−

104.8

19.6

−29.1

19.9

1.3

37.9

3.1

Number of stocks

−

−

−

−

−

−

−

42

49

49

Share of market cap. (%)*

−

−

−

−

−

−

−

64.5

69.4

66.9

P/E ratio

−

−

−

−

−

−

−

15.2

14.3

13.3

P/BV ratio

−

−

−

−

−

−

−

1.4

1.4

1.2

Dividend yield (%)

−

−

−

−

−

−

−

−

1.7

1.9

Total return index*

−

−

−

−

−

−

−

100.0

124.4

106.5

Change in index (%)

−

−

−

−

−

−

−

−

24.4

−14.4

95,110

98,081

−

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

44,600 52,490 59,170 65,771 65,926

Israel 1989−1998: (Currency in Millions; End of Period Levels)

74,670 86,585

303

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

20.2

17.2

19.0

11.9

10.9

Exchange rate (end of period)

1.9630 2.0480 2.2830 2.7640 2.9860

Exchange rate (average of period)

1.9164 2.0162 2.2792 2.4591 2.8301

12.3

10.0

11.3

9.0

−

3.0180 3.1361

3.2456

3.5374

4.1601

3.0111 3.0113

3.1876

3.4495

3.8009

Notes: The base date for the Tel Aviv 100 Index is Dec. 31, 1991=100. The base date for the IFCG Israel Index is Dec. 1996=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Jamaica Market Performance

A gloomy economic environment weighed on Jamaican shares in 1998 as diminished demand and prices for Jamaican commodities, such as bauxite and aluminum, undermined investor sentiment. High interest rates and declining credit exacerbated the island economy's banking crisis and caused more failing financial institutions to come under government control. As a result, the IFCG Jamaica Index, which only tracks Jamaican−domiciled companies, tumbled 19.4% in Jamaican dollars and 21.3% in U.S. dollars. (The government's defense of the Jamaican dollar capped the local currency's depreciation for the year to 2.32%.) In contrast, the local Jamaica Stock Exchange Index, which includes cross−listed firms domiciled in other Caribbean countries, gained 3.8% in Jamaican dollar terms. The IFCG Jamaica Index dropped 5.3% in the first quarter as negative economic news depressed market sentiment. In February, index constituent Caldon Finance Group entered into voluntary receivership, citing a mismatch between long−term assets and short−term liabilities. News of a rise in the trade deficit to a record US$1.35 million and record losses in the insurance industry, topping J$1 billion (US$28.2 million), added to the pessimism and encouraged speculation against the currency by late March. Equity returns were flat in the second quarter, as a June decline in short−term interest rates from 24% to 23% helped stem losses. Confidence in the financial sector deteriorated significantly by mid−quarter prompting the government's Financial Sector Adjustment Agency to assume responsibility for more non−performing loans. In May, the agency injected J$19.5 million into the still−viable NCB Financial Group. At the same time, trading was suspended in three more index constituents, including Workers Savings & Loan. By June, the troubled financial sector was largely controlled by Bank of Nova Scotia and National Commercial Bank, which together hold more than 90% of the capital of the entire banking system.

Jamaica

304

Emerging Stock Markets Factbook 1999 The IFCG Index sank 13.0% in the third quarter as international trade tensions and social unrest depressed equities. Caribbean governments reacted vehemently to U.S. threats to impose 100% punitive import duties on more than 300 European Union products, unless changes were made to the EU's banana import regime. Social disaffection mounted late in the period when three people were killed during September rioting over the arrest of several ruling party officials, and the parliament was attacked by a group claiming that government policies favored the rich. Stocks fell in October and November as the financial bailout pushed the fiscal deficit above 8% of GDP. The IFCG Index fell 9.7% over the period as local investors opted for bonds. In response to the growing deficit, the government issued a one−year, 26.5% debenture in October. A second attempt to tap capital markets was rebuffed in November, and the government was forced to announce spending cuts. September's social unrest sparked formation of a coalition of business leaders to contest the government's tenuous economic policy mix that has led to a burgeoning fiscal deficit, high real interest rates, and an overvalued exchange rate. Year−end optimism stoked a recovery in December, however, sending the IFCG Index 8.7% higher. Finance Minister Omar Davies was mildly optimistic about the island's economy, predicting that Jamaica would finally record economic growth in 1998. In spite of high unemployment, the market was also buoyed by news that consumer spending increased 36.1% in 1998.break

Monthly Value Traded (US$ millions)

IFCG Jamaica Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (Jamaican dollars per U.S. doll

Jamaica

305

Emerging Stock Markets Factbook 1999

* 51 markets covered by EMDB Jamaica 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

49

49

49

49

49

49

49

49

49

49

Number of Listed Companies Jamaica Stock Exchange

Market Capitalization In Jamaica dollars

78,877.0 81,918.7 79,465.4 82,491.5 80,449.0 85,104.9 96,830.7 96,516.9 89,973.1 76,178.

In US dollars

2,171.6

2,270.2

2,238.5

2,266.2

2,213.0

2,345.8

2,666.8

2,655.3

2,466.0

2,049.9

In Jamaica dollars

74.8

138.3

100.8

120.1

324.4

105.7

161.8

79.5

128.1

50.4

In US dollars

2.1

3.8

2.8

3.3

8.9

2.9

4.5

2.2

3.5

1.4

Turnover ratio (%)

−

0.2

0.1

0.2

0.4

0.1

0.2

0.1

0.1

0.1

Trading Value

Local Index JSE*

19,577.9 20,435.8 20,463.5 21,090.1 20,613.0 21,842.8 25,331.5 25,296.7 23,912.6 20,050.

Change in index (%) −1.4

4.4

0.1

3.1

−2.3

6.0

16.0

−0.1

−5.5

−16.2

21

21

21

21

21

21

21

21

21

Share of market cap. 69.2 (%)*

64.9

65.7

63.3

62.4

61.0

53.4

54.0

50.7

56.5

Share of trading value (%)

89.6

95.0

95.5

−

98.5

84.4

99.4

91.5

97.2

84.1

P/E ratio

7.8

7.9

7.7

7.3

6.8

6.9

7.1

7.4

6.5

6.1

P/BV ratio

1.1

1.0

1.0

1.1

0.9

0.9

0.9

0.9

0.8

0.8

IFC Global Index Number of stocks

21

Jamaica 1998: (Currency in Millions)

306

Emerging Stock Markets Factbook 1999 Dividend yield (%)

3.8

4.1

4.3

4.5

4.7

4.6

4.5

4.7

5.7

6.0

Total return index*

156.3

154.3

154.0

151.4

146.8

152.1

151.1

153.3

134.2

124.7

Change in total return index (%)

−3.2

−1.3

−0.2

−1.7

−3.1

3.6

−0.7

1.5

−12.5

−7.1

Exchange Rates Exchange rate (end of period)

36.3223 36.0845 35.5000 36.4002 36.3522 36.2800 36.3100 36.3483 36.4856 37.1620

Notes: The base date for the JSE Index is June 30, 1969=100. The base date for the IFCG Jamaica Index is Dec. 1995=100 of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Corresponde Barita Investment 15 St. Lucia Way Kingston 5 Jamaica Tel: (876) 929−26 Fax: (876) 929−84 http://www.barita

Jamaica Stock Exchange Mrs. R. Humphries−Lewin, Chairman Mr. C. Wain Iton, General Manager 40 Harbour St. P.O. Box 1084 Kingston, Jamaica Tel: (876) 967−3271, 967−3272 Fax: (876) 922−6966 http://www.jamstockex.com Jamaica 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

45

44

44

48

50

50

51

46

49

4

In Jamaica dollars

6,200.0

7,320.0

22,215.0 76,974.3 41,879.3 58,018.1 50,755.8 66,116.3 79,619.6 7

In US dollars

956.8

910.7

1,033.6

Number of Listed Companies Jamaica Stock Exchange

Market Capitalization

3,227.4

1,469.4

Jamaica 1989−1998: (Currency in Millions; End of Period Levels)

1,752.7

1,270.4

1,887.3

2,205.9

307

2

Emerging Stock Markets Factbook 1999 Trading Value In Jamaica dollars

516.0

230.0

1,157.0

4,678.3

8,346.8

5,155.5

11,560.4 1,435.7

2,691.3

1

In US dollars

89.8

32.0

95.5

386.1

336.3

157.6

340.7

38.5

75.9

4

Turnover ratio (%)

−

3.4

7.8

9.4

14.0

10.3

21.3

2.5

3.7

1

JSE*

2,075.8

2,539.4

7,681.5

25,745.9 13,099.7 16,676.7 14,267.0 16,616.0 19,846.7 2

Change in index (%)

44.2

22.3

202.5

235.2

−49.1

27.3

−14.4

16.5

19.4

3

Number of stocks

−

−

−

−

−

−

22

22

22

1

Share of market cap. (%)*

−

−

−

−

−

−

823

77.7

71.1

5

P/E ratio

−

−

−

−

−

−

−

8.5

8.8

5

P/BV ratio

−

−

−

−

−

−

−

1.0

1.1

0

Dividend yield (%)

−

−

−

−

−

−

−

9.3

3.8

6

Total return index

−

−

−

−

−

−

100.0

145.1

161.5

1

Change in total return index (%)

−

−

−

−

−

−

−

45.1

11.3

−

Gross domestic product 4,105 (US$)

4,239

3,737

3,185

4,002

4,001

4,181

4,070

4,135

6

Change in consumer price index (%)

14.3

22.0

51.1

77.3

22.1

35.1

19.9

26.4

9.7

−

Exchange rate (end of period)

6.4800

8.0380

21.4925

23.8500

28.5000

33.1030

39.9520

35.0328

36.0937

3

Exchange rate (average of period)

5.7446

7.1840

12.1159

12.1159

24.8200

32.7042

33.9325

37.2774

35.4740

3

Local Index

IFC Global Index

Economic Data

Notes: The base date for the JSE Index is June 30, 1969=100. The base date for the IFCG Jamaica Index is Dec. 1995=100 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Jordan

Jordan

308

Emerging Stock Markets Factbook 1999 Market Performance

Foreign investor activity dried up on the Amman Finance Market (AFM) in 1998, as regional events and domestic economic concerns took their toll on investors, allowing the bearish sentiment characterizing the market since the previous summer to continue. Heightened tensions between the United States and Iraq continued through much of the year, causing great concern for Jordan's economic growth. Because Iraq is Jordan's single−largest trading partner, a disruption of ties between the two would have serious ramifications for the marketplace. Also, starting at mid−year, fears concerning King Hussein's health were at the forefront when he flew to the U.S. for cancer treatments. After a rough start, however, Jordanian equities staged a strong mid−year performance and ended 1998 as one of the few IFCI markets to post gains. The dollar−based IFCI Jordan Index finished the year up 3.0%. Turnover was light in early 1998, with little foreign investor activity to compensate for the sluggish local trade common during the observance of Ramadan. Following the mid−January 'Eid holiday, fears that Washington would use force to make Saddam Hussein comply with U.N. resolutions depressed prices. Foreign investors remained firmly on the sidelines until trading resumed, following the successful conclusion of negotiations on February 23 between Iraq and the U.N. Trading activity was focused on Jordanian drug and industrial stocks with substantial commercial interests in Iraq. An agreement with Israel to strengthen economic relations between the two states was signed, and government attempts to assert control over the funds industry prompted some funds to liquidate their assets, flooding the AFM with excess shares.

Positive factors spurring a second−quarter boost included the release of well−received 1997 earnings and domestic enthusiasm for blue chips trading at attractive valuations. Weeks of solid gains lifted the IFCI Index in April and May. The government repealed its plans to regulate provident and savings funds, and the rally continued as local investors moved in to buy firms that posted healthy earnings for 1997. Optimism that high dividend levels would be forthcoming was bolstered when several blue chips announced bonus shares. The IFCI Index fell throughout most of June, however, but picked up at month's end as portfolio managers bought shares to window−dress their mid−year holdings. The stalled Middle East peace process remained a cause for concern, however. King Hussein flew to the U.S. to begin cancer treatment in late July. Jordanian shares closed almost flat in August, proving to be an anomaly during the volatility affecting most emerging markets. Domestic demand was boosted by the release of positive earnings reports, but foreign money retreated from emerging markets in general. The Jordanian market then dropped in September, although low foreign investor interest protected stocks from the severe volatility seen on international markets. Trading was thin and high interest rates pulled investors away from equities. In other news, the AFM announced new disclosure requirements in the form of quarterly financial reports, and Bassam al−Saket was appointed chief of the Jordan Securities Commission. Shares later benefited from plans to privatize part of Jordan Cement Factory. The sale of the government's stake in Jordan Cement was widely cheered as a shot in the arm to the state privatization program. The successful sale to Market Performance

309

Emerging Stock Markets Factbook 1999 French firm LaFarge provided a boost to blue chips for the rest of the year.break

Monthly Value Traded (US$ millions)

IFCI Jordan Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (dinar per U.S. dollar)

* 51 markets covered by EMDB Jordan 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

146

146

147

147

146

148

148

148

150

150

1

Number of Listed Companies

Jordan 1998: (Currency in Millions)

310

Emerging Stock Markets Factbook 1999 Amman Financial Market

Market Capitalization In dinars

3,836

4,039

3,967

4,039

4,278

4,173

4,260

4,251

4,112

3,923

3

In U.S. dollars

5,400

5,680

5,580

5,677

6,016

5,870

5,996

5,970

5,784

5,510

5

In dinars

20

23

48

32

32

23

51

37

20

24

9

In U.S. dollars

28

32

67

45

45

33

72

52

28

33

1

Turnover ratio (%)

0.5

0.6

1.2

0.8

0.8

0.5

1.2

0.9

0.5

0.6

2

AFM General*

166.8

169.6

165.8

170.3

179.8

174.6

180.2

179.5

171.3

161.8

1

Change in index (%)

−1.4

1.7

−2.3

2.7

5.6

−2.9

3.2

−0.4

−4.6

−5.5

2

Number of stocks

44

44

44

44

44

44

44

44

44

44

4

Share of market cap. (%)

80.7

77.6

77.3

81.4

82.6

81.9

83.0

83.1

81.9

80.6

8

Share of trading value (%)

72.6

76.7

83.7

79.3

79.7

75.1

85.2

58.9

77.3

80.2

2

P/E ratio

14.3

14.5

13.3

14.3

15.7

15.0

16.5

16.6

16.0

15.1

1

P/BV ratio

1.8

1.8

1.6

1.6

1.8

1.7

1.8

1.8

1.8

1.7

1

Dividend yield (%)

2.1

2.0

2.1

2.3

2.0

2.1

2.0

1.9

2.0

2.1

1

Total return index*

258.1

260.4

258.9

269.9

294.1

281.9

300.1

300.8

289.4

272.0

2

Change in total return index (%)

−0.5

0.9

−0.5

4.2

9.0

−4.2

6.5

0.2

−3.8

−6.0

3

0.7110

0.7110

0.7115

0.7110

0.7110

0.7105

0.7120

0.7110

0.7120

0

Trading Value

Local Index

IFC Global Index

Exchange Rates Exchange rates (end of 0.7105 period)

Jordan 1998: (Currency in Millions)

311

Emerging Stock Markets Factbook 1999

Notes: The base date for the AFM General Index is Dec. 1991=100. The base date for the IFCG Jordan Index is Dec. 1984 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Amman Financial Market Dr. Bassam al−Saket, Chairman Jordan Securities Commission P.O. Box 8802 Amman, Jordan Tel: (962−6) 607−216,660−170 Fax: (962−6) 686−830 http://www.accessme.com/AFM/

IFC Correspondent Amman Financial M P.O. Box 8802 Amman Jordan Tel: (962−6) 607−2 Fax: (962−6) 686−8 http://www.accessm

Jordan 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

106

105

101

103

101

95

97

98

139

150

In dinars

1,378

1,283

1,691

2,269

3,360

3,234

3,311

3,230

3,863

4,157

In U.S. dollars

2,162

2,001

2,512

3,365

4,891

4,594

4,670

4,551

5,446

5,838

In dinars

365

266

292

879

933

430

362

211

355

464

In U.S. dollars

652

407

432

1,317

1,377

626

517

297

501

653

Turnover ratio (%)

29.9

20.0

19.6

44.4

33.1

13.0

11.1

6.5

10.0

11.6

AFM General*

93.3

80.4

100.0

129.9

158.4

143.6

159.2

153.5

169.2

170.1

Change in index (%)

10.4

−13.8

24.4

29.9

22.0

−9.4

10.8

−3.6

10.3

0.5

Number of Listed Companies Amman Financial Market

Market Capitalization

Trading Value

Local Index

IFC Global Index Jordan 1989−1998: (Currency in Millions; End of Period Levels)

312

Emerging Stock Markets Factbook 1999 Number of stocks

25

25

29

27

29

42

50

51

44

41

Share of market cap. (%)*

70.2

74.3

62.7

59.1

52.0

60.7

74.6

74.1

81.2

80.0

P/E ratio

14.4

7.8

10.0

14.5

17.9

20.8

18.2

16.9

14.4

15.9

P/BV ratio

1.6

1.4

1.4

1.6

2.0

1.7

1.9

1.7

1.8

1.8

Dividend yield (%)

2.4

6.5

8.7

2.5

2.7

2.4

1.9

2.3

2.1

1.8

Total return index*

121.4

126.6

145.8

181.8

225.7

203.7

229.5

226.5

259.4

287.3

Change in index (%)

−1.1

4.3

15.2

24.7

24.1

−9.7

12.7

−1.3

14.5

10.8

Gross domestic product (US$)

4,128

4,020

4,193

5,138

5,487

6,037

6,591

6,793

7,015

−

Change in consumer price index (%)

25.7

16.2

8.2

4.0

3.3

3.5

2.4

6.5

3.0

−

Exchange rate (end of period)

0.6376

0.6409

0.6730

0.6742

0.6870

0.7040

0.7090

0.7098

0.7093

0.7120

Exchange rate (average of period)

0.5599

0.6544

0.6762

0.6671

0.6776

0.6880

0.7010

0.7094

0.7094

0.7112

Economic Data

Notes: The base date for the AFM General Index is Dec. 1991=100. The base date for the IFCG Jordan Index is Dec. 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Kenya Market Performance

Despite the successful re−election of President Daniel Arap Moi in January and its obvious effect of helping ensure continuity in the government and of strengthening sentiment on the stock market, the shilling−based Nairobi Stock Exchange (NSE) Index lost more than 4% in 1998. The more narrowly focused IFCG Kenya Index, however, gained more than 13.8% in dollar terms. Shares moved higher through mid−January with domestic investors, who had stayed away from equities ahead of the elections, returning to the Nairobi exchange and boosting buying activity. Shares slid in the last weeks of the month as ethnic killings, which claimed more than 85 lives in a two−week period, pushed foreign investors to the sidelines and reversed local investor sentiment. The downtrend continued throughout February and March as lower−than−expected 1997 profits for some firms drove investors to profit−taking. The switch to higher−yielding government securities, coupled with a turn toward investing in Treasury bills because of rising interest rates brought the market down at the close of the second quarter. Shares finally began to rebound in June, and thanks to a strong shilling, the dollar−based IFCG Index posted a gain of 7.5% for the month. Volume and turnover for June also dramatically increased as a result of Finance Minister Simeon Nyachae's announcement of a new deficit−fighting budget. As a result, the period finished with strong returns, as government efforts helped draw investors back into equities and away from the security of Kenya

313

Emerging Stock Markets Factbook 1999 Treasury bills.

The positive results were short−lived, however, as terrorists bombed the U.S. Embassy in Kenya, shattering the lives of many and clouding the future of Kenyan equities. As a result of the attack, foreign investors remained wary throughout the third quarter, keeping their distance from the Kenyan market. High interest rates also dampened investors' enthusiasm for equities as the government benchmark 91−day Treasury bill exceeded a 23.5% yield. An increase in foreign investor selling and a large reduction in local interest highlighted the market's pessimism. By October, the stock exchange had fallen to a four−and−a−half−year low. During the month, the local NSE Index dropped 2.7% in shillings, while the IFCG Index fell 0.8% in dollars. Local market attitudes, however, remained cautiously optimistic that a recent decrease in domestic interest rates combined with government efforts to balance the budget would be enough to draw investors away from Treasury bills and back into the equity market. By December, Kenyan shares posted substantial gains, rallying from the previous two months of lackluster performance. The bourse ended the year posting its 19th gain in 20 sessions, bringing renewed excitement into the market.break

Monthly Value Traded (US$ millions)

Kenya

IFCG Kenya Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

314

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (shillings per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Kenya 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

58

58

58

58

58

58

58

58

58

Number of Listed Companies Nairobi Stock Exchange

58

Market Capitalization In shillings

124,180.9 123,786.8 119,994.3 112,597.4 117,218.2 118,949.0 116,413.4 115,248.9 112,519.2 109,3

In US dollars

2,069.7

2,063.1

1,999.9

1,890.8

1,846.0

1,999.1

1,971.4

1,940.2

1,873.8

1,832

In shillings

266.8

494.8

613.7

212.8

351.4

416.3

390.6

412.3

420.0

248.8

In US dollars

4.4

8.2

10.2

3.6

5.5

7.0

6.6

6.9

7.0

4.2

Turnover ratio (%)

0.0

0.4

0.5

0.2

0.3

0.3

0.3

0.4

0.4

0.2

Trading Value

Local Index

Kenya 1998: (Currency in Millions)

315

Emerging Stock Markets Factbook 1999 NSE*

3,348.1

3,362.2

3,213.3

3,015.0

3,016.4

2,908.5

2,868.2

2,862.7

2,810.3

2,733

Change in index (%)

7.4

0.4

−4.4

−6.2

0.0

−3.6

−1.4

−0.2

−1.8

−2.7

Number of stocks

17

17

17

17

17

17

17

17

17

17

Share of market cap. (%)*

78.5

79.3

77.9

76.1

78.0

77.7

77.7

77.6

77.0

78.2

Share of trading value (%)

79.5

74.2

55.9

53.6

66.6

73.7

80.2

77.6

50.0

84.1

P/E ratio

8.5

8.5

8.2

7.2

7.8

7.8

7.6

6.8

6.4

6.8

P/BV ratio

1.6

1.6

1.6

1.4

1.5

1.5

1.4

1.4

1.4

1.4

Dividend yield (%)

9.3

9.2

10.6

10.4

9.8

10.0

10.1

10.2

8.9

7.2

Total return 109.4 index*

110.0

108.1

99.6

100.6

108.5

106.6

106.4

103.3

102.5

Change in total return index (%)

11.3

0.5

−1.8

−7.8

1.0

7.8

−1.8

−0.1

−2.9

−0.8

60.0000

60.0000

60.0000

59.5500

63.5000

59.0500

59.4000

60.0500

59.6500

60.05

IFC Global Index

Exchange Rates Exchange rates (end of period)

Notes: The base date for the NSE Index is Jan. 1, 1964=100. The base date for the IFCG Kenya Index is Dec. 1995=100. In calculating share of total market cap, IFCG holdings.

Nairobi Stock Exchange P.O. Box 43633

IFC Correspondent: Loita Asset Manageme

1st F., Nation Centre Nairobi Kenya Tel: (254−2) 230−692 Fax: (254−2) 224−200 http://www.africaonline.co.ke/stockexchange.bin

16th Floor, Ambank H University Way Nairobi Kenya Tel: (254−2) 219−015, Fax: (254−2) 218−992

Kenya 1998: (Currency in Millions)

316

Emerging Stock Markets Factbook 1999 Kenya 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

57

54

53

57

56

56

56

56

58

5

Number of Listed Companies Nairobi Stock Exchange

Market Capitalization In shillings

10,780.0 10,902.0 12,706.0 23,063.0 72,395.0 136,831.0 105,527.0 101,539.8 114,181.3 1

In US dollars

499.1

452.7

452.6

636.8

1,059.9

3,081.8

1,886.1

1,846.2

1,824.0

2

In shillings

−

235.0

302.0

384.0

825.2

3,076.0

3,348.8

3,835.3

6,125.6

4

In US dollars

−

10.3

11.0

11.9

14.2

62.1

65.1

67.1

104.4

7

Turnover ratio (%)

−

2.2

2.6

2.1

1.7

2.9

2.8

3.7

5.7

4

NSE*

815.8

915.3

958.3

1,167.3

2,513.7

4,559.4

3,468.9

3,114.1

3,115.1

2

Change in index (%)

−5.0

12.2

4.7

21.8

115.3

81.4

−23.9

−10.2

0.0

−

Number of stocks

−

−

−

−

−

−

16

17

17

1

Share of market cap. (%)*

−

−

−

−

−

−

−

78.5

80.2

8

P/E ratio

−

−

−

−

−

−

−

6.6

7.9

8

P/BV ratio

−

−

−

−

−

−

−

1.5

1.5

1

Dividend yield (%)

−

−

−

−

−

−

−

10.3

10.5

5

Total return index*

−

−

−

−

−

−

100.0

99.6

98.3

1

Change in total return − index (%)

−

−

−

−

−

−

−0.4

−1.3

2

Trading Value

Local Index

IFC Global Index

Kenya 1989−1998: (Currency in Millions; End of Period Levels)

317

Emerging Stock Markets Factbook 1999 Economic Data Gross domestic product (US$)

8,341

8,533

8,043

7,951

5,752

7,149

9,054

9,244

10,240

−

Change in consumer price index (%)

12.9

15.6

19.8

29.5

45.8

29.0

0.8

8.8

12.0

−

Exchange rate (end of 21.6010 24.0840 28.0741 36.2163 68.3060 44.4000 period)

55.9500

55.0000

62.6000

6

Exchange rate (average of period)

51.4300

57.1456

58.6641

6

20.5725 22.9150 27.5079 32.2170 58.0010 49.5000

Notes: The base date for the NSE Index is Jan. 1, 1964=100. The base date for the IFCG Kenya Index is Dec. 1995=100. I calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Korea Market Performance

The Korean stock exchange finished 1998 as the best−performing emerging market in dollar terms as sweeping reforms countered the country's worst financial crisis. Investors who braved the market were greatly rewarded as they re−evaluated corporate Korea and its underlying fundamentals. Their gamble paid off handsomely when the dollar−denominated IFCI and IFCG Korea indexes chalked up extraordinary gains of 121.1% and 118.8%, respectively, while the won−based Korea Composite Index (KOSPI) capped the year with a 49.5% return. In retrospect, the phenomenal gains in the first quarter of 1998 proved to be a knee−jerk reaction by foreign investors hoping for an immediate recovery. Toward the end of the quarter, more realistic sentiments prevailed as the release of economic indicators painted a very sobering picture of the bloodletting to follow. Nevertheless, the temporary upswing in confidence did breathe new life into the market as the KOSPI Index rose by 27.8% while the dollar−based IFCI Index zoomed up 58.1%, partly from the 22.4% appreciation of the won. Reality set in the following quarter when the market was besieged on from numerous fronts: a faltering banking sector, rising labor unrest, and a weakening yen proved too powerful even for the most risk−seeking investor. The problems besetting the banking sector reached their apex after the Financial Supervisory Commission announced the forced merger of five ailing banks with healthier ones before the end of the year. The release of April's 6.7% jobless rate, a 12−year high, precipitated a high degree of labor unrest during the period. The yen's six−and−a−half−year low against the dollar, a primary factor in determining Korea's competitive export advantage over its Japanese counterparts, spurred a month−on−month decline of 22.9% for the IFCI Index in May. Second−quarter losses stood at 36.5% for the index.

Korea

318

Emerging Stock Markets Factbook 1999

Third−quarter results were relatively flat despite a 28% appreciation of the won, which resulted in a 28% increase in the IFCI Korea Index in July. The won's exchange rate of 1,208 per dollar in late July reflected a 50% appreciation over six months. This wasn't enough to entice foreign investors back into the market as share prices were battered by the Russian meltdown, yen depreciation, lower first−half GDP figures, rising unemployment, and labor disputes. The IFCI Korea Index shed only 2.1% for the quarter, respectable considering the backdrop of events. The first and last quarters of 1998 really spelled the difference for South Korean equities this year. A sincere effort to shore up its financial sector and the political will to mete out reforms yielded a staggering 124.6% gain in the IFCI Index in the fourth quarter alone. Three factors precipitated the phenomenal gains: the won appreciated an additional 15.7% during the period; the yen strengthened to an unexpected 115 yen−to−dollar rate, which is beneficial to Korean exports; and finally, because of the won's stability, there was a full turn in monetary policy, allowing interest rates to drop from a high of 30% earlier in the year to about 7%. In exchange news, the foreign investment limit on Korean securities was lifted on May 22 with the following exceptions: KEPCO & POSCO (30%), mining (49.99%), air transportation (49.99%), and information and communication (33%).break

Monthly Value Traded (US$ millions)

Korea

IFCI Korea Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

319

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (won per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Korea 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

776

776

776

776

773

772

762

760

760

752

Number of Listed Companies Korea Stock Exchange

Market Capitalization In won (1/1,000)

106,214 108,477 93,820

82,815

66,058

60,819

71,474

64,673

65,049

89,559

In U.S. dollars

69,694

66,428

67,740

61,964

46,933

44,297

58,085

47,888

46,773

67,874

In won (1/1,000)

18,966

20,414

15,723

9,514

8,058

8,262

12,349

8,822

9,405

14,589

In U.S. dollars

12,445

12,501

11,352

7,118

5,725

6,018

10,036

6,532

6,763

11,056

Turnover ratio (%)

21.4

19.0

15.5

10.8

10.8

13.0

18.7

13.0

14.5

18.9

Trading Value

Local Index Korea 1998: (Currency in Millions)

320

Emerging Stock Markets Factbook 1999 KOSPI*

567.4

558.9

481.0

421.2

332.0

297.8

343.3

310.1

310.0

403.4

Change in index (%)

50.8

−1.5

−13.9

−12.4

−21.2

−10.3

15.3

−9.7

0.0

30.1

Number of stocks

195

195

195

195

195

195

195

195

195

195

Share of market cap. (%)*

79.8

81.3

81.7

84.7

86.4

83.6

81.8

82.2

83.0

76.4

Share of trading value 70.6 (%)

64.0

62.9

61.1

67.0

67.7

73.0

56.9

54.0

75.4

P/E ratio

27.8

26.3

23.3

20.8

−26.6

−13.3

−15.2

−13.7

−14.5

−18.3

P/BV ratio

0.8

0.8

0.7

0.6

0.5

0.4

0.5

0.5

0.4

0.6

Dividend yield (%)

1.1

1.1

1.2

1.3

1.6

1.9

1.6

1.8

1.8

1.4

Total return index*

229.8

213.0

215.0

198.5

152.4

135.3

173.8

140.1

133.9

177.7

−7.3

1.0

−7.7

−23.2

−11.2

28.4

−19.4

−4.4

32.8

1,633.0

1,385.0 1,336.5 1,407.5 1,373.0 1,230.5 1,350.5 1,390.8 1,319.5

IFC Global Index

Change in total return 70.9 index (%)

Exchange Rates Exchange rates (end of period)

1,524.0

Notes: The base date for the KOSPI is Jan. 1980=100. The base date for the IFCG Korea Index is Dec. 1984=100. In calcu total market cap, IFCG market cap is not adjusted for cross holdings.

Korea Stock Exchange Mr. In−Kie Hong, Chairman & CEO 33 Yoido−dong Yongdeungpo−ku Seoul, 150−010 Korea Tel: (82−2) 3774−9000 Fax: (82−2) 786−0263 http://www.kse.or.kr

IFC Corresponden Korea Securities Fi 34−9 Yeouido−Don Yongdeungpo−Ku Seoul Korea Tel: (82−2) 3770−8 Fax: (82−2) 784−02

Korea 1989−1998: (Currency in Millions; End of Period Levels)

Korea 1989−1998: (Currency in Millions; End of Period Levels)

321

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

669

686

688

693

699

721

760

776

Number of Listed Companies Korea Stock Exchange 626

Market Capitalization In won (1/1,000)

95,476.8 79,019.7 73,117.8 84,712.0 112,665.3 151,217.2 141,151.4 117,370.0 70,988.9

In U.S. dollars

140,946 110,594 96,373

107,448 139,420

191,778

181,955

138,817

41,881

Trading Value In won(1/1,000)

81,200.0 53,454.0 62,565.0 90,624.0 169,920.0 229,772.0 142,913.0 142,642.0 162,281.0

In U.S. dollars

121,264 75,949

85,464

116,101 211,710

286,056

185,197

177,266

170,237

Turnover ratio (%)

101.5

61.3

82.3

114.8

172.2

174.1

97.8

110.3

172.3

KOSPI*

909.7

696.1

610.9

678.4

866.2

1,027.4

882.9

651.2

376.3

Change in index (%)

0.3

−23.5

−12.2

11.0

27.7

18.6

−14.1

−26.2

−42.2

Number of stocks

61

77

92

91

134

162

162

162

195

Share of market cap. (%)*

45.7

57.4

62.9

61.9

65.6

65.2

68.0

63.6

79.2

P/E ratio

28.1

16.4

21.3

21.4

25.1

34.5

19.8

11.7

17.9

P/BV ratio

2.2

1.3

1.0

1.1

1.4

1.6

1.3

0.8

0.5

Dividend yield (%)

1.3

0.5

1.6

1.8

0.6

1.3

1.4

2.3

3.0

Total return index*

797.5

595.3

500.8

518.6

627.1

746.6

695.4

429.9

134.5

Change in index (%)

7.0

−25.4

−15.9

3.6

20.9

19.1

−6.9

−38.2

−68.7

380,820

456,357

484,571

442,543

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

222,151 253,671 294,175 307,938 332,821

Korea 1989−1998: (Currency in Millions; End of Period Levels)

322

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

5.7

Exchange rate (end of period) Exchange rate (average of period)

8.6

9.3

6.2

4.8

6.2

4.5

4.9

4.4

677.400 714.500 758.700 788.400 808.100

788.500

775.750

845.500

1,695.000

669.610 703.815 732.065 780.563 802.606

803.240

771.679

804.677

953.266

Notes: The base date for the KOSPI is Jan. 1980=100. The base date for the IFCG Korea Index is Dec. 1984=100. In calcu share of total market cap, IFCG market cap is not adjusted for cross holdings. Latvia Market Performance

The Latvian stock market spiraled lower in 1998, as worse−than−expected corporate results, an emerging market sell−off by foreign funds, and political disputes with Russia, Latvia's largest trading partner, combined forces to drive the market lower. Concern about the Latvian market's exposure to Russian financial turmoil also fed losses in the latter half of 1998. For the year, the dollar−based IFCG Latvia Index lost 67.4%. The stock market moved slightly lower in the first quarter of 1998, as foreign investors remained sidelined amid concern over the Asian meltdown's domino impact on emerging markets. Domestic investors were more cautious than ever, resulting in low liquidity, while the majority of activity was concentrated in a few blue chips. The Riga Stock Exchange launched a new real time price−weighted RICI Index in the first quarter in response to demand from investors. Bearish sentiment prevailed at the end of the quarter amid pessimistic expectations for 1997 results, due out in late March and April, and deteriorating relations with Russia. On April 7, 1998, IFC announced the launching of the IFCG Latvia Index, along with new indexes for Croatia, Estonia, Romania, and the Ukraine. Frontier market indexes are calculated on a monthly, rather than daily basis, and are not included in the IFC Global Composite Index. The Latvian index has fourteen stocks, dominated by Unibanka, which represents about 43% of market capitalization. Share prices shifted lower in the second quarter on worries over tensions with Russia and concerns over corporate earnings. Companies that rely heavily on sales to Russia were particularly vulnerable during April, following threats by Russia of trade sanctions against Latvia in response to political disputes. Falling prices in Eastern Europe and the lower−than−expected first−quarter company results caused the Latvian equity market to post serious losses in May, with the IFCG Index declining by 14.2%. The fall continued through June as many Latvian shares drifted to all−time lows. Trading stagnated in response to the trade dispute with Russia, anxieties over fall parliamentary elections, and uncertainty over the future of the privatization process.

Latvia

323

Emerging Stock Markets Factbook 1999

The market's stagnation continued in the third quarter amid fear that Russia would impose trade sanctions. The IFCI Index lost 39.3% in August, seriously affected by financial crisis in Russia. Adding fuel to the fire were disclosures by Latvian companies of large exposures to Russia. Latvian banks' total exposure amounted to 7% of their assets, mainly in Russian domestic debt. The pessimistic mood continued in September as domestic and foreign investors joined in selling shares with high exposure to Russia. Cautious sentiment ahead of the fall general elections reduced volatility by quarter's end. Weak third−quarter results and uncertainty over the exposure of Latvian companies to Russia dampened sentiment in October. The outcome of the general elections did not alleviate uncertainty, for although the pro−business People's Party won, investors decided to wait until the new government was announced. Parliament approved the country's new minority coalition government in November, which helped to lift the IFCG Index. The new government promised to speed up the country's integration into the European Union and to improve its relationship with Russia. The rebound continued into December, while domestic investors targeted undervalued shares of small companies.break

Monthly Value Traded (US$ millions)

Latvia

IFCG Latvia Index Correlation (12−month period ending 12/98)

IFCG P/E Ratio (end of month values)

324

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (lats per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Latvia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

51

52

54

56

61

65

64

64

63

65

69

In lats

188.7

194.3

233.0

244.2

216.7

201.8

194.4

142.5

140.7

199.8

214.0

In US dollars

319.7

330.8

392.7

411.1

363.0

335.3

324.6

237.2

241.3

351.8

368.9

In lats

4.6

3.5

5.8

7.2

4.7

3.6

3.7

5.1

4.3

2.5

3.1

In US dollars

7.7

6.0

9.7

12.1

7.9

5.9

6.2

8.6

7.4

4.5

5.3

Turnover ratio (%)

0.1

1.8

2.7

3.0

2.0

1.7

1.9

3.0

3.1

1.5

1.5

Number of Listed Companies Riga Stock Exchange

Market Capitalization

Trading Value

Local Index

Latvia 1998: (Currency in Millions)

325

Emerging Stock Markets Factbook 1999 Dow Jones RSE*

325.4

325.6

306.3

285.4

247.8

206.8

206.0

124.4

113.5

88.3

96.8

Change in index (%)

−5.9

0.0

−5.9

−6.8

−13.2

−16.5

−0.4

−39.6

−8.8

−22.1

9.6

Number of stocks

11

11

11

11

11

11

11

11

11

11

11

Share of market cap. (%)*

75.1

73.4

57.1

51.5

50.1

45.7

47.3

39.4

37.2

20.0

21.4

Share of trading value 87.3 (%)

76.9

84.2

87.8

65.7

63.4

79.9

63.0

86.4

69.4

74.3

P/E ratio

14.4

13.0

12.1

11.9

6.1

6.4

6.4

5.4

4.9

3.8

4.4

P/BV ratio

1.5

1.5

1.3

1.2

0.5

0.9

0.9

0.3

0.3

0.2

0.2

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

−

Total return index*

93.2

94.3

87.3

83.9

72.8

61.3

61.7

37.4

35.4

28.2

31.6

1.3

−7.5

−3.8

−13.3

−15.7

0.5

−39.3

−5.3

−20.4

12.1

IFC Global Index

Change in total return −6.8 index (%)

Exchange Rates

Exchange rate (end of 0.5903 0.5873 0.5933 0.5940 0.5970 0.6020 0.5990 0.6010 0.5830 0.5680 0.5800 period)

Notes: The base date for the Dow Jones RSE Index is Apr. 2, 1996=100. The base date for the IFCG Latvia Index is Dec. 1997=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Riga Stock Exchange Mr. Uldis Cerps, President Doma Laukums 6 Riga, LV 1885 Latvia Tel: (371−7) 212−431 Fax: (371−7) 820−504 http://www.rfb.lv

IFC Correspondent: Riga Stock Exchange Doma Laukums 6 Riga, LV 1885 Latvia Tel: (371−1) 212−431 Fax: (371−1) 820−504 http://www.rfb.lv

Latvia 1989−1998: (Currency in Millions; End of Period Levels)

Latvia 1989−1998: (Currency in Millions; End of Period Levels)

326

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

−

17

34

51

69

In lat

−

−

−

−

−

−

5.3

84.2

198.8

218.3

In US dollars

−

−

−

−

−

−

9.8

151.4

337.5

382.4

In lat

−

−

−

−

−

−

−

6.5

48.9

50.4

In US dollars

−

−

−

−

−

−

−

11.9

84.2

85.6

Turnover ratio (%)

−

−

−

−

−

−

−

14.6

34.6

1.4

Dow Jones RSE*

−

−

−

−

−

−

−

−

345.9

98.0

Change in index (%)

−

−

−

−

−

−

−

−

−

−71.7

Number of stocks

−

−

−

−

−

−

−

−

11

14

Share of market cap. (%)*

−

−

−

−

−

−

−

−

58.7

26.8

P/E ratio

−

−

−

−

−

−

−

−

11.9

7.1

P/BV ratio

−

−

−

−

−

−

−

−

1.2

0.4

Dividend yield (%)

−

−

−

−

−

−

−

−

−

7.1

Total return index*

−

−

−

−

−

−

−

−

100.0

33.7

Change in total return index (%)

−

−

−

−

−

−

−

−

−

−66.3

5,315

5,461

6,248

5,134

5,527

−

Number of Listed Companies Riga Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

11,552 12,488 11,025 6,358

Latvia 1989−1998: (Currency in Millions; End of Period Levels)

327

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

−

0.5370 0.5560 0.5890 0.5710

Exchange rate (average of period)

−

−

−

−

−

−

0.5280 0.5510 0.5810 0.5890

Notes: The base date for the Dow Jones RSE Index is Apr. 2, 1996=100. The base date for the IFCG Latvia Index is Dec. 1997=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Lithuania Market Performance

The Lithuanian stock market fell through most of 1998, initially on negative sentiment among foreign investors toward emerging markets and later on Russian financial turmoil. The market recovered slightly at year's end amid healthy earnings posted by blue chips. But the overall trend was decidedly negative, with the dollar−based IFCG Lithuania Index plunging 39.2% over the year. Uncertainty over emerging markets pushed stock prices steadily lower in January and February. Foreign investors withdrew from the region at the onset of the Asian crisis, and for several months low liquidity and steady losses were standard features of regional stock markets. Local investors kept to the sidelines to await 1997 corporate results. Equities and trading activity soared in March, however, with the IFCG Lithuania Index surging 12.9% in dollar terms and value traded tripling. The market was boosted by healthy 1997 earnings and by preliminary reports that GDP expanded 5.7% in 1997, a rise from 1996 growth of 4.7%. In other economic news, the government reported in February that the country's foreign debt rose to $1.402 billion in 1997 from $1.157 billion in 1996, while the trade deficit rose by 46%. Trading activity and prices were flat in April, as brokers familiarized themselves with a new trading system that permitted them to see high bids, low offers, and average prices. Selling pressures resumed in May and continued through the rest of the second quarter. The banking sector came under heavy pressure on news that the merger of Vilniaus Bank and Hermis Bank had been called off. In economic news, the government predicted it would balance its budget deficit by the year 2000, a year later than forecasted. The central bank said the litas would be pegged to a basket of European currencies and the U.S. dollar by the middle of 1999.

Lithuania

328

Emerging Stock Markets Factbook 1999 Share prices continued to fall in July despite positive economic news of lower inflation and higher growth. Trading activity was predictably sluggish as summer vacations drew many investors from the market. The market plunged in August, however, on concerns about local companies' exposure to the Russian crisis and worries about investors pulling funds out of Eastern Europe. As a result of this bearish pressure, the local LITIN Index dropped below its historical low of 573.53. The fall continued into September with banking and dairy product industries leading the downturn. To offset the effect of the Russian turmoil and alleviate the budget deficit, the Lithuanian government continued privatizing state−held companies, boosting foreign currency reserves, and repurchasing T−bills. The total 1998 privatization proceeds amounted to $582 million. Prices stabilized in the fourth quarter and began a slow recovery as companies posted healthy third−quarter results. Foreign investors re−entered the market by the end of October to take positions in steeply undervalued blue chips. The market ended 1998 cautiously optimistic. Although foreign investors were passive ahead of the yearend holidays, local investors boosted activity amid rumors of fresh foreign interest in blue chips. Position−taking lifted trading volumes at year's end as institutional investors adjusted their portfolios for accounting and window−dressing purposes. Retail individuals rebalanced their portfolios to diminish the impact of a 15% capital gain tax on individual investors that took effect on January 1, 1999.break

Monthly Value Traded (US$ millions)

IFCG Lithuania Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization*

Exchange Rate (litas per U.S. dollar)

Lithuania

329

Emerging Stock Markets Factbook 1999 (end−1998; total=$1,868 billion) * 51 markets covered by EMDB Lithuania 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

608

611

606

609

609

609

64

64

64

64

63

Number of Listed Companies National Stock Exchange

Market Capitalization In litas

6,260.0 6,146.0 6,035.0 5,865.0 5,895.0 5,392.0 5,157.0 4,711.0 4,180.8 3,789.8 3,778

In US dollars

1,553.3 1,525.1 1,497.5 1,455.3 1,462.8 1,338.0 1,279.7 1,169.0 1,037.4 940.4

937.5

In litas

38.0

57.2

175.9

77.4

59.5

51.6

68.5

26.3

111.7

48.3

78.1

In US dollars

9.4

14.2

43.6

19.2

14.8

12.8

17.0

6.5

27.7

12.0

19.4

Turnover ratio (%)

1.2

0.9

2.9

1.3

1.0

0.9

1.3

0.5

2.5

1.2

2.1

Trading value

Local Index LITIN−G*

1,673.6 1,655.3 1,787.4 1,725.0 1,644.9 1,581.7 1,476.7 1,327.8 1,184.6 1,080.6 1,092

Change in index (%)

−1.1

−1.1

8.0

−3.5

−4.6

−3.8

−6.6

−10.1

−10.8

−8.8

1.1

Number of stocks

29

29

29

29

29

29

29

29

29

29

29

Share of market cap. (%)*

57.9

58.8

70.0

68.3

64.6

71.9

69.3

64.0

60.9

58.6

59.7

Share of trading value (%)

59.0

60.7

71.3

62.5

60.9

63.2

59.2

63.3

73.1

75.8

77.8

P/E ratio

7.2

7.0

7.9

13.0

11.7

11.2

10.2

7.0

5.8

6.0

6.5

P/BV ratio

0.9

0.9

1.0

1.0

0.9

0.9

0.8

0.6

0.5

0.5

0.5

IFC Global Index

Lithuania 1998: (Currency in Millions)

330

Emerging Stock Markets Factbook 1999 Dividend yield (%)

0.9

0.9

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Total return index*

193.1

187.6

211.7

212.0

191.7

176.6

161.3

134.6

112.6

108.3

115.6

−2.9

12.9

0.2

−9.6

−7.9

−8.7

−16.5

−16.3

−3.9

6.8

Change in total return −5.6 index (%)

Exchange Rates Exchange rate (end of period)

4.0300 4.0300 4.0300 4.0300 4.0300 4.0300 4.0300 4.0300 4.0300 4.0300 4.030

Notes: The base date for the LITIN−G Index is Dec. 1995=1,000. The base date for the IFCG Lithuania Index is Dec. 199 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: VB VILFILMA Securiti 2600 Vilnus Lithuania Tel: (370−2) 390−400 Fax: (370−2) 390−499 Email: [email protected]

National Stock Exchange Mr. Rimantas Busila, President Ukmerges 41 2600 Vilnius Lithuania Tel: (370−2) 723−871 Fax: (370−2) 724−894 http://www.nse.lt Email: [email protected] Lithuania 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

13

351

460

607

60

In litas

−

−

−

−

−

165.0

630.0

3,603.8 6,824.0 4,297.2

In US dollars

−

−

−

−

−

4.1

157.4

900.3

1,693.3 1,074.2

In litas

−

−

−

−

−

27.0

148.4

187.6

959.1

890.0

In US dollars

−

−

−

−

−

6.8

37.1

46.9

239.4

221.0

Number of Listed Companies National Stock Exchange

Market Capitalization

Trading Value

Lithuania 1989−1998: (Currency in Millions; End of Period Levels)

331

Emerging Stock Markets Factbook 1999 Turnover ratio (%)

−

−

−

−

−

−

37.3

8.9

18.4

16.0

LITIN−G*

−

−

−

−

−

−

1,000.0 1,327.5 1,862.9 1,088.8

Change in index (%)

−

−

−

−

−

−

−

32.8

40.3

−41.6

Number of stocks

−

−

−

−

−

−

31

31

29

27

Share of market cap. (%)*

−

−

−

−

−

−

75.5

27.6

60.5

63.9

P/E ratio

−

−

−

−

−

−

−

−23.9

8.0

5.7

P/BV ratio

−

−

−

−

−

−

−

1.2

1.0

0.6

Dividend yield (%)

−

−

−

−

−

−

−

1.2

0.8

0.0

Total return index*

−

−

−

−

−

−

100.0

186.5

204.7

124.5

Change in total return index (%)

−

−

−

−

−

−

−

86.5

9.8

−39.2

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

12,510 13,254 14,821 11,353 6,100

5,829

6,887

7,892

9,585

10,517

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

−

4.0030

4.0030

4.0300

4.0005

Exchange rate (average of period)

−

−

−

−

−

−

4.0000

4.0030

4.0060

4.0272

Notes: The base date for the LITIN−G Index is Dec. 1995=1,000. The base date for the IFCG Lithuania Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Malaysia Market Performance

In a year marked as much by Malaysia's first economic recession since the mid−1980s as a shift toward capital controls, the IFCI Malaysia Index shed only 2.9% in dollar terms. The creation of a fixed−exchange−rate regime in September and a fourth−quarter rally softened the sharp declines at mid−year.

Malaysia

332

Emerging Stock Markets Factbook 1999 During the first quarter, the ringgit strengthened as the country appeared to have overcome the financial crisis challenging emerging markets. Foreign investors, who fed an early rally on optimism that Malaysia would not need an emergency aid package from the IMF, powered an impressive 53.5% IFCI jump in February. The tide changed at the quarter's end, as a slump in the Indonesian rupiah spilled over to Malaysia and mounted pressure against the ringgit. Instability in the financial sector caused further downturns. A plan to consolidate the 39 finance companies into an "anchor" group of approximately five large companies shook up the financial sector on fears that firms would not be allowed to fail. Large losses at banks triggered anxiety over the health of the banking industry. Interest rates had risen since July 1997 to stabilize the currency and remained at levels as high as 20% in 1998 to contain inflation, propelled higher by import costs. Concern about the property sector and anxiety that rising interest rates and a weaker ringgit would saddle banks with non−performing loans was acute. Stocks plummeted in the subsequent two quarters, as turbulence in Asia's currency markets and stark economic reports plagued the market. Malaysian stocks sank to their lowest level in eight years, as the slide in Asian currencies, exacerbated by Japan's recession, aroused fears over Malaysian exports. The central bank reported a rise in bad loans to 8.9% of total bank loans in the second quarter, up from 7% in the first. The government's prediction of a 4% to 5% rise in GDP at the year's onset was sharply revised downward to a 1% to 2% contraction. The resignation of central bank head Ahmad Mohammed Don as of September 1 signaled a shift in monetary policy. Prime Minister Dr Mahathir Mohamad advocated lower interest rates to resurrect the economy. This paved the way for a decrease in interest rates (to about 10%); less stringent reserve requirements; the departure and subsequent heated trial of a rival to the prime minister, Finance Minister Anwar Ibrahim; and the sudden announcement of capital controls. The capital controls had an especially chilling effect on the market as the government opted to institute a 12−month holding period for all existing and future equity investments, effective September 1. Dividends and capital gains, meanwhile, could be repatriated at any time using the fixed−exchange rate of RM3.8 per dollar.

Stocks rebounded during the final quarter, sparked by lower interest rates and rallies throughout the region and stimulated by a doubling of value traded over the third quarter. Year−end figures showed a contraction in GDP of 4.8%, the first decrease since 1985, while the trade surplus was approximately $15.4 billion. Foreign investors, who own 23% of market capitalization, were largely absent. Malaysia was removed from the IFCI Composite and Asia indexes on October 1. In February 1999, the 12−month holding period was replaced by a repatriation levy—a capital gains tax on repatriation—and the IFC announced it would reinstate Malaysia to the IFCI Composite and Asia indexes, barring any significant policy changes, on November 1, 1999.break

Malaysia

333

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Malaysia Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (ringgit per U.S. dollar)

* 51 markets covered by EMDB Malaysia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

712

716

722

722

724

728

730

732

734

734

Number of Listed Companies Kuala Lumpur Stock Exchange

Malaysia 1998: (Currency in Millions)

334

Emerging Stock Markets Factbook 1999 Market Capitalization In ringgit

345,790 461,430 465,040 378,730 327,290 277,680 249,070 193,570 241,570 262,103

In U.S. dollars

82,703

125,559 127,758 101,265 85,221

66,951

60,491

46,250

63,571

68,975

Inringgit

9,047

26,447

11,532

6,553

5,500

5,396

4,659

3,827

8,304

5,105

In U.S. dollars

2,164

7,197

3,168

1,752

1,432

1,301

1,132

914

2,185

1,343

Turnover ratio (%)

2.5

6.5

2.5

1.5

1.6

1.8

1.8

1.7

3.8

2.0

KLSE Composite*

569.5

745.4

719.5

626.0

538.2

455.6

402.6

302.9

373.5

405.3

Change in index (%)

−4.2

30.9

−3.5

−13.0

−14.0

−15.3

−11.6

−24.8

23.3

8.5

Number of stocks

157

157

157

157

157

157

157

157

157

157

Share of market cap. (%)*

71.0

70.6

67.0

71.3

70.1

69.1

68.5

65.2

66.5

65.9

Share of trading value (%)

69.6

68.3

66.6

78.7

79.9

83.2

81.9

81.7

80.4

74.6

P/E ratio

9.1

12.4

11.8

10.7

10.1

10.2

9.7

7.5

11.2

11.4

P/BV ratio

1.3

1.8

1.7

1.4

1.2

1.0

0.9

0.7

0.8

0.9

Dividend yield (%)

3.8

2.8

2.9

3.3

3.9

4.5

4.9

6.2

4.5

3.9

Total return index*

118.6

182.4

175.5

148.1

122.7

96.1

87.1

63.9

88.7

95.2

53.7

−3.8

−15.6

−17.2

−21.6

−9.4

−26.6

38.8

7.3

3.6750

3.6400

3.7400

3.8405

4.1475

4.1175

4.1853

3.8000

3.8000

Trading Value

Local Index

IFC Global Index

Change in total return −10.1 index (%)

Exchange Rates Exchange rates (end of period)

4.1811

Notes: The base date for the KLSE Composite Index is 1977=100. The base date for the IFCG Malaysia Index is Dec. 198 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Kuala Lumpur Stock Exchange Mr. Mohammed Azlan bin Hashim Malaysia 1998: (Currency in Millions)

IFC Corresponden Maxis Sdn. Bhd. 335

Emerging Stock Markets Factbook 1999 Executive Chairman 12th Fl., Exchange Square Bukit Kewangan 50200 Kuala Lumpur, Malaysia Tel: (60−3) 206−7099 Fax: (60−3) 206−3684 http://www.klse.com.my/

No. 58 Jalan Meda Bukit Bandaraya, B 50490 Kuala Lump Malaysia Tel: (60−3) 256−27 Fax: (60−3) 256−2

Malaysia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

251

282

321

369

410

478

529

621

708

736

Number of Listed Companies Kuala Lumpur Stock Exchange

Market Capitalization In ringgit

107,513 131,166 159,495 245,820 593,343 508,850 565,510 775,780 364,370 374,51

In U.S. dollars

39,842

48,611

58,627

94,004

220,328 199,276 222,729 307,179 93,608

In ringgit

18,638

29,391

29,294

55,347

395,554 331,384 192,631 436,523 413,922 114,11

In U.S. dollars

6,888

10,871

10,657

21,730

153,661 126,458 76,822

173,568 147,036 29,889

Turnover ratio (%)

21.8

24.6

20.2

27.3

94.3

60.1

35.9

65.1

72.6

30.9

KLSE Composite*

565.3

505.9

556.2

644.0

1,275.3

971.2

995.2

1,238.0

594.4

586.1

Change in index (%)

58.2

−10.0

9.9

15.8

98.0

−23.8

2.5

24.4

−52.0

−1.4

Number of stocks

62

70

62

62

66

104

114

148

157

147

Share of market cap. (%)*

68.6

46.9

63.8

51.0

61.5

63.2

64.0

67.0

70.5

65.7

P/E ratio

27.4

23.6

21.3

21.8

43.5

29.0

25.1

27.1

9.5

21.1

98,557

Trading Value

Local Index

IFC Global Index

Malaysia 1989−1998: (Currency in Millions; End of Period Levels)

336

Emerging Stock Markets Factbook 1999 P/BV ratio

2.6

2.3

2.5

2.5

5.4

3.8

3.3

3.8

1.4

1.3

Dividend yield (%)

2.2

2.2

2.4

2.4

1.0

1.8

1.7

1.2

4.0

2.5

Total return index*

178.2

158.2

177.3

226.9

460.3

361.3

374.2

465.9

132.0

133.8

Change in index (%)

44.0

−11.2

12.1

28.0

102.9

−21.5

3.6

24.5

−71.7

1.4

Gross domestic product 37,872 (US$)

42,775

47,046

58,309

64,180

72,505

87,337

99,282

98,473

−

Change in consumer price index (%)

2.8

2.6

4.4

4.8

3.5

3.7

5.3

3.5

2.7

−

Exchange rate (end of period)

2.6985

2.6983

2.7205

2.6150

2.6930

2.5535

2.5390

2.5255

3.8925

3.8000

Exchange rate (average 2.7059 of period)

2.7037

2.7489

2.5470

2.5742

2.6205

2.5075

2.5150

2.8151

3.9195

Economic Data

Notes: The base date for the KLSE Composite Index is 1977=100. The base date for the IFCG Malaysia Index is Dec. 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Mauritius Market Performance

It was a banner year in 1998 for the Mauritius Stock Exchange, as both the local and IFCG indexes posted positive gains. The local Semdex Index finished the year with a gain of almost 20% in rupees, while the dollar−based IFCG Mauritius Index registered a more modest gain of 1.3%. Shares started the new year on a slow note as very light trading in the wake of the holiday season limited market movements. Both January and February equity gains remained moderate, as buyers were cautious ahead of 1997 corporate results. By March, profit−taking had become the main culprit for a slide in equity returns. At the end of April, commerce and hotel stock prices firmed after posting results that showed average or above average earnings growth. News of merger plans between New Mauritius Hotels and Grand Baie Hotel also triggered a market rally in the period's closing sessions. However, the month was not all positive for the exchange as the global financial market turmoil began to take its toll. Net purchases by foreign buyers slid 54% in the first quarter, as compared to the previous year, largely on investor concerns surrounding the Asian financial crisis. The second−quarter highlight was the new fiscal budget. Announced in June, government revisions to the tax system were deemed to have little impact on company tax rates, comforting investors. Investors reacted positively to the budget, sending the Semdex Index 12.7% higher in June and over the psychological 500−point barrier to an all−time high.

Mauritius

337

Emerging Stock Markets Factbook 1999

Investors continued to respond into July as market players disregarded global news and turned their attention to company earnings announcements. Led by Mauritius Commercial Bank and by rumors that the company would issue free shares to celebrate the bank's 160th anniversary, the Semdex soared to a record high in the early trading sessions of the month. However, profit−takers quickly took advantage of the opportunity and drove both the stock price and local index down for the month. By the end of the third quarter, the global economic turmoil finally found its way to Mauritius as the Semdex Index dropped 10.4% in September while the dollar−based IFCG Index faired even worse, falling 18.4%. Some of the largest losses were incurred in the banking sector as foreign funds that had recently driven up the sector forced share prices lower. Increased foreign selling because of the global emerging market crisis brought prices down in the last few months of the year. Local investors reacted to the relative stability and decreased downside potential by acquiring shares that had fallen to attractive levels. Finishing out the year, trading was marked by little direction and a notable absence of foreign investors.break

Monthly Value Traded (US$ millions)

Mauritius

IFCG Mauritius Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

338

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (rupee per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Mauritius 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

40

40

40

40

40

40

40

40

40

40

Number of Listed Companies Stock Exchange of Mauritius

Market Capitalization In rupees

38,243.6 39,076.3 40,804.0 42,908.3 43,082.5 44,114.9 51,253.0 50,009.1 44,879.6 43,910.

In US dollars

1,687.0

1,705.6

1,719.0

1,800.5

1,803.3

1,817.6

2,102.9

2,041.2

1,835.6

1,788.6

In rupees

117.9

142.1

201.3

286.3

152.9

118.4

379.7

286.2

231.9

289.2

In US dollars

5.2

6.2

8.5

12.0

6.4

4.9

15.6

11.7

9.5

11.8

Turnover ratio (%)

0.1

0.4

0.5

0.7

0.4

0.3

0.8

0.6

0.5

0.6

Trading value

Local Index Mauritius 1998: (Currency in Millions)

339

Emerging Stock Markets Factbook 1999 SEMDEX*

405.0

413.8

432.1

454.4

456.2

467.1

526.4

513.6

460.9

451.0

2.2

4.4

5.2

0.4

2.4

12.7

−2.4

−10.3

−2.2

14

14

14

14

14

14

14

14

14

Share of market cap. 79.1 (%)*

79.7

80.3

81.9

81.7

80.6

84.2

82.7

78.7

79.2

Share of trading value (%)

88.0

78.7

74.0

88.0

79.3

77.3

82.6

55.7

76.8

90.3

P/E ratio

13.3

13.9

13.8

14.3

14.3

13.8

15.2

14.3

12.1

11.8

P/BV ratio

1.4

1.4

1.4

1.5

1.5

1.5

1.7

1.6

1.5

1.4

Dividend yield (%)

2.7

2.6

2.6

2.8

2.8

2.6

2.4

2.4

3.0

3.5

Total return index*

107.0

110.2

112.1

119.8

120.1

119.6

138.2

131.5

107.6

105.9

Change in total return index (%)

1.9

2.9

1.7

6.9

0.2

−0.4

15.5

−4.8

−18.2

−1.6

Change in index (%) 2.2

IFC Global Index Number of stocks

14

Exchange Rates Exchange rate (end of period)

22.6695 22.9100 23.7370 23.8315 23.8910 24.2710 24.3720 24.5000 24.4500 24.5500

Notes: The base date for the SEMDEX Index is July 5, 1989=100. The base date for the IFCG Mauritius Index is Dec. 199 share of total market cap, IFCG market cap is not adjusted for cross holdings.

Stock Exchange of Mauritius Mr. Richard Morin, Chief Executive 6th Floor − "Les Cascades" 33, Bis Edith Cavell Street Port−Louis Mauritius Tel: (230) 212−9541, 212−9542 Fax: (230) 208−8409

IFC Corresponde Newton Securities Happy World Hou 37, Sir William N Port Louis Mauritius Tel: (230) 208−86 Fax: (230) 208−87

Mauritius 1989−1998: (Currency in Millions; End of Period Levels)

Mauritius 1989−1998: (Currency in Millions; End of Period Levels)

340

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

13

20

22

30

35

28

40

40

40

In rupees

−

3,793.0

4,800.0

6,400.0

14,907.3 28,536.0 24,397.0 33,376.7 36,934.9 45,335

In US dollars

−

267.6

311.7

415.6

791.1

1,514.4

1,330.7

1,676.3

1,665.1

1,849.

In rupees

−

88.7

80.5

160.0

691.6

1,510.0

1,214.0

1,546.9

2,875.4

2,439.

In US dollars

−

6.0

5.1

10.3

38.7

84.5

69.8

78.5

136.9

102.0

Turnover ratio (%)

−

−

1.9

2.9

6.5

7.0

4.6

5.4

8.2

5.9

SEMDEX*

−

171.2

154.2

183.2

302.6

473.7

344.4

353.5

391.1

465.6

Change in index (%)

−

−

−9.9

18.8

65.2

56.5

−27.3

2.6

10.6

19.0

Number of stocks

−

−

−

−

−

−

13

13

14

13

Share of market cap. (%)*

−

−

−

−

−

−

80.3

64.4

78.6

79.0

P/E ratio

−

−

−

−

−

−

−

11.5

12.8

11.6

P/BV ratio

−

−

−

−

−

−

−

1.1

1.3

1.5

Dividend yield (%)

−

−

−

−

−

−

−

3.3

2.7

3.5

Total return index*

−

−

−

−

−

−

100.0

96.5

105.1

110.3

Change in total return index (%)

−

−

−

−

−

−

−

−3.5

8.9

4.9

2,642

2,831

3,189

3,195

3,503

3,967

4,299

4,398

−

Number of Listed Companies Stock Exchange of Mauritius

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product 2,182 (US$)

Mauritius 1989−1998: (Currency in Millions; End of Period Levels)

341

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

12.7

13.5

7.0

4.6

10.5

7.3

6.0

6.6

6.8

−

Exchange rate (end of period)

−

14.1724 15.4000 15.4000 18.8430 18.8430 18.3335 19.9110 22.1815 24.518

Exchange rate (average − of period)

14.8630 15.6520 15.5630 17.8600 17.8600 17.3860 19.7113 20.9987 23.921

Notes: The base date for the SEMDEX Index is July 5, 1989=100. The base date for the IFCG Mauritius Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Mexico Market Performance

Mexican equities tumbled in 1998 as the international financial contagion that began in Asia in October 1997, coupled with record−low petroleum prices, outweighed strong domestic macroeconomic and corporate fundamentals in the eyes of investors. Heightened emerging market risk and rising inflation placed downward pressure on the peso in the second half of the year, exacerbating Mexico's poor stock market performance. The impact of the 18.5% peso depreciation was felt strongly by the dollar−based IFCI and IFCG Mexico indexes, which fell 38.9% and 38.8%, respectively. The peso−based BVM General Index tumbled 24.8%. The market recorded mixed results in the first quarter as fiscal belt−tightening reversed the positive impact of 5.4% real annualized economic growth on share prices. After a 15.4% plunge in January, Mexican stocks made a modest comeback from February to April, with the IFCI Index gaining 10.1%. Price gains were tempered throughout the period by government spending cuts that investors feared would reduce demand for goods and services, and in turn GDP growth. Authorities announced two budget cuts totaling $2.85 billion in the first half of 1998 to compensate for record−low petroleum prices. Positive macroeconomic data did little to calm rattled investors in the second quarter. Deteriorating international sentiment caused investors to wreak havoc on company share prices from May to August. The IFCI Index plummeted 46.9% from its April level as the Asian contagion made its way westward. The aggressive selling culminated with the Russian ruble devaluation and debt moratorium, speculative attacks on the Brazilian real, and oil prices at 20−year lows. Balance−of−payments tremors stemming from Russia and the continued weakness of the Japanese yen forced the 28−day Cetes rate to climb from 18.2% in April to 27.2% in August as the peso tumbled 14.9%. Positive government announcements of rising year−on−year industrial production and increased consumer demand were not enough to stem August's local market hemorrhage of 33.6% in dollars. The peso slide forced the central bank to hike interest rates to a punishing 32.5% by the end of August.

Mexico

342

Emerging Stock Markets Factbook 1999

The bolsa performed relatively better than other major Latin markets in the last quarter, even as Moody's downgrade of Brazilian debt pressured Mexican money and foreign exchange markets. The IFCI Index recouped 23.4% from its August low, despite a sharp rise in interest rates. The overnight rate on T−bills climbed as high as 47.9% while the yield on the 28−day Cetes rate averaged 34.5%, helping to prevent a large devaluation of the peso in September. In spite of the credit crunch, the stock market was buoyed by Washington's increasingly public desire to prevent the spread of the financial contagion to Brazil. The market earned a slight reprieve in the final months of 1998 as investors shifted attention away from the potential devaluation of the Brazilian real and toward U.S. and Mexican corporate news. Steady U.S. GDP growth and a quarter−point U.S. interest rate cut as well as strong earnings growth among Mexican firms lifted the IFCI Index 10.0% in dollars in October. Good news also eased the 28−day T−bill rate, which fell to 33.42%. Market results were mixed in the last two months of the year as the government and opposition continued to fight over how to pay for the $60 billion worth of non−performing loans held by Mexican banks that were left over from the 1994 Mexican peso crisis.break

Monthly Value Traded (US$ millions)

Mexico

IFCI Mexico Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

343

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (pesos per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Mexico 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

198

198

198

199

199

200

200

198

197

Number of Listed Companies Bolsa Mexicana de Valores

198

Market Capitalization In pesos

1,123,514 1,154,973 1,202,540 1,219,839 1,123,524 1,066,431 1,040,434 807,526 889,935 940,0

In U.S. dollars

132,803

135,505

141,176

143,688

127,441

118,677

116,621

81,000

87,334

92,86

In pesos

27,600

25,275

32,579

25,356

53,701

21,925

25,686

18,693

23,424

22,98

In U.S. dollars

3,262

2,965

3,825

2,987

6,091

2,440

2,879

1,875

2,299

2,270

Turnover ratio (%)

2.3

2.2

2.8

2.1

4.6

2.0

2.4

2.0

2.8

2.5

4,569.4

4,784.5

5,016.2

5,098.5

4,530.0

4,282.6

4,245.0

2,991.9 3,569.9 4,074

Trading Value

Local Index BMV General*

Mexico 1998: (Currency in Millions)

344

Emerging Stock Markets Factbook 1999 Change in index (%)

−12.6

4.7

4.8

1.6

−11.1

−5.5

−0.9

−29.5

19.3

14.1

74

74

74

74

74

74

74

74

74

74

Share of market 71.6 cap. (%)*

71.9

72.7

72.7

70.3

70.2

70.3

66.7

69.4

71.5

Share of trading value (%)

90.2

90.5

83.6

89.4

35.5

91.7

92.0

92.1

93.1

90.0

P/E ratio

17.1

13.9

14.1

14.3

13.6

13.2

12.7

12.9

14.5

16.1

P/BV ratio

2.0

2.0

2.1

2.1

1.8

1.7

1.6

1.2

1.4

1.5

Dividend yield 1.7 (%)

1.7

1.6

1.7

2.2

2.3

2.1

2.7

2.4

2.2

Total return index*

2,639.0

2,794.7

2,860.0

2,488.4

2,330.4

2,295.0

1,523.8 1,723.2 1,889

2.2

5.9

2.3

−13.0

−6.3

−1.5

−33.6

13.1

8.5235

8.5180

8.4895

8.8160

8.9860

8.9215

9.9695

10.1900 10.12

IFC Global Index Number of stocks

2,581.5

Change in total −15.2 return index (%)

9.6

Exchange Rates Exchange rates (end of period)

8.4600

Notes: The base date for the BMV General Index is Oct. 1978=0.7816. The base date for the IFCG Mexico Index is Dec. 1984=100. In calculating share of total market adjusted for cross holdings.

Mexican Stock Exchange Mr. Manuel Robleda Gonzales de Castilla, Chairman of the Board

IFC Correspondent Casa de Bolsa Banco

Gerardo Flores, General Director Paseo de la Reforma No. 255 Col. Cuauhtemoc 06500 Mexico, D.F., Mexico Tel: (52−5) 726−66−00 Fax: (52−5) 726−68−05 http://www.bmv.com.mx

Insurgentes Sur 1811 Col. Guadalupe Inn 01020 Mexico D.F., Tel: (52−5) 621−988 Fax: (52−5) 621−98 http://www.bancome

Mexico 1989−1998: (Currency in Millions; End of Period Levels)

Mexico 1989−1998: (Currency in Millions; End of Period Levels)

345

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

203

199

209

195

190

206

185

193

198

194

In pesos

60,514

96,472

303,271 433,313 623,887 641,461 698,797 838,682 1,262,469 907,3

In U.S. dollars

22,550

32,725

98,178

139,061 200,671 130,246 90,694

106,540 156,595

91,74

In pesos

15,421

34,575

95,725

137,902 194,421 281,554 221,024 327,028 416,846

309,7

In U.S. dollars

6,232

12,212

31,723

44,582

62,454

82,964

34,377

43,040

52,646

33,84

Turnover ratio (%)

33.3

44.0

47.9

37.4

36.8

44.5

33.0

42.5

39.7

28.6

BMV General*

418.9

628.8

1,431.5

1,759.4

2,602.6

2,375.7

2,778.5

3,361.0

5,229.3

3,959

Change in index (%)

98.0

50.1

127.6

21.8

47.9

−8.7

17.0

21.0

55.6

−24.3

Number of stocks

52

61

69

62

69

80

80

76

75

70

Share of market cap. (%)*

65.5

62.5

51.6

47.5

62.0

63.9

67.1

69.7

72.1

73.6

P/E ratio

8.4

10.3

14.1

12.3

19.4

17.1

28.4

16.8

19.2

23.9

P/BV ratio

0.9

1.0

1.8

2.0

2.6

2.2

1.7

1.7

2.3

1.4

Dividend yield (%)

2.1

3.4

0.8

1.0

1.6

1.8

1.1

1.5

1.5

2.7

Total return index*

802.7

1,041.0

2,152.4

2,608.2

3,909.8

2,320.9

1,717.9

2,024.2

3,045.4

1,909

Change in index (%)

73.3

29.7

106.8

21.2

49.9

−40.6

−26.0

17.8

50.4

−37.3

Number of Listed Companies Bolsa Mexicana de Valores

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product 223,113 262,953 314,287 364,183 402,627 420,166 286,140 329,449 402,963 (US$)

Mexico 1989−1998: (Currency in Millions; End of Period Levels)

346

393,2

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

20.0

26.7

22.7

15.5

9.8

7.0

35.0

34.4

20.6

−

Exchange rate (end of period)

2.6835

2.9480

3.0890

3.1160

3.1090

4.9250

7.7050

7.8720

8.0620

9.890

Exchange rate (average 2.4745 of period)

2.8311

3.0175

3.0932

3.1130

3.3937

6.4295

7.5982

7.9179

9.153

Notes: The base date for the BMV General Index is Oct. 1978=0.7816. The base date for the IFCG Mexico Index is Dec. 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Morocco Market Performance

Equities at the Casablanca Stock Exchange (CSE) ushered in an impressive rally during 1998, marked by the 28.7% gain in the dollar−based IFCI Morocco Index. The Moroccan market advanced consistently during the first nine months, in response to positive domestic political and economic developments. The market retreated during the last quarter on selling by institutions seeking to raise cash for upcoming IPOs. The year began on a sluggish note, as Ramadan and 'Eid el Fitur diminished interest in stocks, causing prices to move within narrow bands. Trading picked up during February on optimistic economic forecasts and positive expectations about 1997 earnings reports. The CSE released fresh details on its modernization program, aiming to attract foreign investors by cutting commissions on stock trading and improving liquidity and transparency. The appointment of a market−oriented prime minister, Abderrahmane Youssoufi. also helped to generate a rally in blue chips, led by banking shares. March saw additional gains, following the appointment of a new government, the release of robust 1997 earnings reports, and news that Moody's and S&P had assigned Morocco its first−ever foreign debt rating (Ba1 and BB, respectively). Moroccan equities marched higher during April, on political stability and continued optimism over the country's 1998 economic outlook, supported by positive first−quarter earnings reports. The rally lasted through May, fueled by a cut in loan rates by several prominent banks, a government pledge to reform the insurance sector, and a commitment by the CSE to introduce new stocks to its electronic trading system. June was fairly quiet due to a lack of market−moving news, and the exchange stepped up efforts to migrate stocks onto the new electronic trading platform.

In the third quarter, the market benefited from several IPOs that were oversubscribed between 8% and 106%. The Morocco

347

Emerging Stock Markets Factbook 1999 government has stressed its commitment to increasing CSE listings, and the terrific response to the IPOs was used as evidence of a successful roadshow. Several new listings and an increase in mutual fund activity lifted buying in August. Significantly, Morocco was one of only three IFCI indexes to post gains during the month of August, when the Russian crisis and weakened yen forced most emerging markets lower. Since foreign investor activity in Morocco remains minimal, the country was largely insulated from the global equity sell−off. Owing to a stellar stock performance in August, when the IFCI jumped 9.0%, the country formed a campaign to promote Morocco as an independent market and safe−haven from the worldwide emerging market crisis. After an eight−month string of monthly gains, the market shifted in October, falling initially on a technical correction and later on sales by institutional investors accumulating cash for IPOs. Shares continued their retreat in November as investors dumped holdings to consolidate gains. The year ended on a pessimistic note as 1999 earnings projections were reassessed and analysts feared that several market leaders were overvalued. Concerns over the government's delay in privatization of key industries raised fears of a slowdown in the economy. However, a second reduction in the commission paid for equity transactions temporarily boosted activity. While Ramadan reduced market liquidity in the closing sessions of December, institutional block transactions played an important role, accounting for almost 50% of turnover.break

Monthly Value Traded (US$ millions)

IFCI Morocco Index Correlation (22−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization*

Exchange Rate (dirhams per U.S. dollar)

Morocco

348

Emerging Stock Markets Factbook 1999 (end−1998; total=$1,868 billion) * 51 markets covered by EMDB Morocco 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

49

48

48

48

48

51

51

51

52

Number of Listed Companies Bourse des Valeurs 49 de Casablanca

Market Capitalization In dirhams

119,900 124,981 129,269 140,364 148,212 147,052 149,295 159,332 154,819

149,354

In U.S. dollars

12,158

12,738

13,041

14,431

15,265

15,065

15,412

16,579

16,739

16,207

In dirhams

410

707

914

906

1,042

1,904

1,627

964

1,300

1,018

In U.S. dollars

42

72

92

93

107

195

168

100

141

110

Turnover ratio (%)

0.3

0.6

0.7

0.7

0.7

1.3

1.1

0.6

0.8

0.7

Upline Securities*

89,538

94,369

98,838

111,066 118,141 116,933 115,796 125,711 121,836

117,123

Change in index (%)

1.1

5.4

4.7

12.4

6.4

−1.0

−1.0

8.6

−3.1

−3.9

Number of stocks

17

17

17

17

17

17

17

17

17

17

Share of market cap. (%)*

75.0

75.0

75.5

75.5

74.9

75.7

74.2

74.3

74.0

73.9

Share of trading value (%)

85.0

75.4

84.7

82.2

76.7

92.3

35.0

81.7

76.7

71.4

P/E ratio

21.6

22.6

23.7

20.9

21.9

22.0

22.0

23.6

22.9

22.2

Trading Value

Local Index

IFC Global Index

Morocco 1998: (Currency in Millions)

349

Emerging Stock Markets Factbook 1999 P/BV ratio

3.5

3.6

3.8

3.5

3.7

3.7

3.7

4.0

3.9

3.8

Dividend yield (%) 1.5

1.4

1.3

1.2

1.2

1.4

1.9

1.8

1.7

1.8

Total return index* 198.3

208.6

216.5

238.2

249.9

250.8

255.4

276.9

279.5

271.6

Change in total return index (%)

−0.5

5.2

3.8

10.0

4.9

0.3

1.8

8.4

0.9

−2.8

9.8620

9.8118

9.9126

9.7263

9.7090

9.7613

9.6870

9.6103

9.2488

9.2157

Exchange Rates Exchange rates (end of period)

Notes: The base date for the Upline Securities Index is Dec. 31, 1989=1,000. The base date for the IFCG Morocco Index i calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Market−level data does not inclu

IFC Correspondent: Upline Securities 41−43, Angle Bd d'An Casablanca 20000 Morocco Tel: (212) 247−5124, ( Fax: (212) 247−4603, 24 7 4614 http://upline.co.ma Email: [email protected]

Casablanca Stock Exchange Mr. Zouheir Bensaïd, Chairman Mrs. Fethia Bennis, General Director Mr. Driss Bencheikh, General Secretary Angle avenue des Far & Mohamed Errachid Casablanca Morocco Tel: (212) 245−2626 Fax: (212) 245−2625

Morocco 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

71

71

67

62

65

51

44

47

49

53

5,043

7,768

12,449 16,975 25,689 39,825 50,401

76,212

118,621 145,147

Number of Listed Companies Bourse des Valeurs de Casablanca

Market Capitalization In dirhams

Morocco 1989−1998: (Currency in Millions; End of Period Levels)

350

Emerging Stock Markets Factbook 1999 In U.S. dollars

621

966

1,528

1,909

2,651

4,376

5,951

8,705

12,177

15,676

In dirhams

133

512

428

601

4,633

7,240

20,716

3,758

9,978

13,298

In U.S. dollars

16

62

49

70

498

788

2,426

432

1,048

1,385

Turnover ratio (%)

3.1

8.0

4.2

4.1

21.7

22.1

45.9

5.9

10.2

10.1

Upline Securities*

122.6

158.6

187.5

201.8

259.8

342.3 // 41,929.0

Change in index (%)

−26.6

29.3

18.3

7.6

28.8

31.8

−

33.6

58.1

24.5

Number of stocks

−

−

−

−

−

−

11

13

17

18

Share of market cap. (%)*

−

−

−

−

−

−

−

67.0

75.4

73.1

P/E ratio

−

−

−

−

−

−

−

13.8

18.3

21.2

P/BV ratio

−

−

−

−

−

−

−

2.5

3.5

3.6

Dividend yield (%)

−

−

−

−

−

−

−

2.1

1.5

1.8

Total return index*

−

−

−

−

−

−

100.0

142.0

199.3

258.6

Change in index (%)

−

−

−

−

−

−

−

42.0

40.4

29.8

Trading Value

Local Index

56,034.0 88,595.0 110,263.0

IFC Global Index

Economic Data Gross domestic product (US$)

22,847 25,825 27,836 28,451 26,801 30,351 32,986

36,673

33,514

−

Change in consumer price index (%)

3.1

3.0

0.9

−

Exchange rate (end of period)

8.1218 8.0438 8.1499 8.8900 9.6900 9.1000 8.4690

8.7551

9.7415

9.2591

Exchange rate (average of period)

8.4882 8.2420 8.7065 8.5380 9.2990 9.1881 8.5400

8.6905

9.5167

9.5989

6.9

8.0

5.7

5.2

5.1

6.1

Notes: IFC began using the Upline Securities Index in 1996. The base date for the index is Dec. 31, 1989=1,000. The base date for the IFCG Morocco Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Market−level data does not include OTC figures. Morocco 1989−1998: (Currency in Millions; End of Period Levels)

351

Emerging Stock Markets Factbook 1999 Nigeria Market Performance

For Nigerian equities, 1998 proved to be a less−than−stellar year as political, social, and economic distress all played a hand in driving equity returns down on the Nigerian Stock Exchange. During 1998, the IFCG Nigeria Index fell more than 25% in dollar terms, while the local NSE All−Share Index dropped 11.8% in naira. Shares on the exchange moved mostly lower in the first quarter as the government's 1998 budget, presented early in January by military ruler Gen. Sani Abacha, did little to bolster sentiment. Despite Finance Minister Anthony Ani's statements that foreign investors could take the government's relaunched privatization program seriously and that the government would not interfere with privatized companies, investors continued to off−load shares on fears of the anticipated turnover of the government from military to civilian rule later in the year. Politics took center stage again in April, as election news put a stranglehold on the stock market. The resurgence of political worries was triggered by news that all five registered political parties had nominated Abacha as their consensus candidate for the August presidential elections. Because no registered party put forth an opposition candidate, the presidential elections were to consist of a simple "yes" or "no" ballot for Abacha. In protest, the country's main opposition party asked Nigerians to boycott all elections in the country's transition program. The resulting tension drove the All−Share Index to a 20−month low on political worries and worsening economic conditions.

The death of Abacha stole the headlines during June but had little immediate impact on the Nigerian Stock Exchange. The market held steady for the month following the news as uncertainty defined the early sessions. The ruler's sudden death left investors indifferent, as declining prices in the market seemed to be more reflective of a persisting recession and the continuing erosion of investor confidence. Shares moved lower in the third quarter amid continuing concerns over the political situation in Nigeria. The death of detained Nigerian politician Moshod Abiola led to a halt in trading in early July, as the sudden news sparked riots in the commercial capital of Lagos, preventing trading on the local exchange. When the exchange reopened, Nigerian equity prices began spiraling downward as investors waited for a military decision on how the country's political and economic problems would be resolved. New leader Gen. Abdulsalam Abubakar pledged to yield power to a civilian government through fair elections in 1999 and pay $630 million in oil arrears, but it did little to help soothe the nerves of investors, already jittery over the economic and political turmoil witnessed in June and July. In the final quarter, prices fell as Nigerian and foreign investors remained skeptical over the future prospects of the Nigerian capital markets, despite greater optimism on the political and economic fronts.break

Nigeria

352

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCG Nigeria Index Correlation (5−year period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (naira per U.S. dollar)

* 51 markets covered by EMDB Nigeria 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

180

180

180

180

180

180

182

183

184

184

Number of Listed Companies Nigerian Stock Exchange

Nigeria 1998: (Currency in Millions)

353

Emerging Stock Markets Factbook 1999 Market Capitalization In naira

278,561 278,152 272,626 264,635 261,173 255,034 252,322 255,088 251,884 251,678

In U.S. dollars

3,419

3,277

3,174

3,077

2,839

2,950

2,842

2,915

2,920

In naira

608.0

1,062.0 931.0

949.0

745.0

1,630.0 2,218.0 581.0

680.0

658.0

In U.S. dollars

7.0

13.0

11.0

11.0

8.0

19.0

26.0

6.0

8.0

8.0

Turnover ratio (%)

0.2

0.4

0.3

0.3

0.3

0.6

0.9

0.2

0.3

0.3

2,928

Trading Value

Local Index NSE All Share*

6,435.6 6,426.2 6,298.5 6,113.9 6,033.9 5,892.1 5,817.0 5,795.7 5,697.7 5,671.0

Change in index (%)

−0.1

−0.1

−2.0

−2.9

−1.3

−2.3

−1.3

−0.4

−1.7

−0.5

Number of stocks

31

31

31

31

31

31

31

31

31

31

Share of market cap. (%)*

72.9

73.0

73.1

72.5

71.7

71.7

72.1

70.6

70.0

69.5

Share of trading value (%)

82.2

83.3

63.7

71.9

83.5

75.7

94.0

75.9

68.7

51.5

P/E ratio

8.1

8.1

7.9

8.4

8.2

8.0

7.9

9.5

9.3

9.3

P/BV ratio

2.3

2.3

2.3

2.0

2.0

1.9

1.9

1.7

1.7

1.7

Dividend yield (%)

5.8

5.9

6.3

5.5

3.8

4.9

5.6

5.2

5.2

5.1

Total return index*

198.5

191.0

185.5

178.5

163.6

172.6

173.5

164.9

167.8

167.8

−3.8

−2.9

−3.8

−8.3

5.5

0.5

−4.9

1.7

0.0

IFC Global Index

Change in total return −8.4 index (%)

Exchange Rates Exchange rates (end of period)

81.4750 84.8800 85.9000 86.0000 92.0000 86.4400 86.1800 89.7600 86.4000 86.2000

Notes: The base date for the NSE All Share Index is Jan. 3, 1984=100. The base date for the IFCG Nigeria Index is Dec. 1 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Nigeria 1998: (Currency in Millions)

354

Emerging Stock Markets Factbook 1999

Nigerian Stock Exchange Mr. Hayford Alile, Director−General Stock Exchange House, 8−9 Fls. 2−4 Customs Street P.O. Box 2457 Lagos, Nigeria Tel: (234−1) 266−0287, 266−0305 Fax: (234−1) 266−8724, 266−8281

IFC Corresponden Securities Transact Company Ltd. Foreshore Towers, 2A Osborne Rd, Fa Lagos Nigeria Tel: (234−1) 269−4 Fax: (234−1) 269−

Nigeria 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

111

131

142

153

174

177

181

183

182

1

In naira

7,489

11,935

18,448

26,246

41,168

59,635

175,065 279,097 276,112

2

In U.S. dollars

1,005

1,372

1,882

1,221

1,029

2,711

2,033

3,560

3,646

2

In naira

28.0

88.0

91.0

235.0

287.0

403.0

988.0

5,879.0

10,814.0 1

In U.S. dollars

4.0

11.0

9.0

14.0

10.0

18.0

14.0

72.0

132.0

1

Turnover ratio (%)

0.4

0.9

0.6

1.0

0.9

0.8

0.8

2.6

3.9

5

NSE All Share*

325.3

513.8

784.0

1,107.6

1,543.8

2,205.0

5,092.1

6,992.1

6,440.5

5

Change in index (%)

39.3

57.9

52.6

41.3

39.4

42.8

130.9

37.3

−7.9

−

15

24

24

24

24

28

35

35

31

2

55.9

71.7

69.0

65.3

65.3

72.5

75.6

72.2

74.0

6

Number of Listed Companies Nigerian Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index Number of stocks

Nigeria 1989−1998: (Currency in Millions; End of Period Levels)

355

Emerging Stock Markets Factbook 1999 Share of market cap. (%)* P/E ratio

6.5

6.0

10.6

9.0

8.4

6.0

12.5

10.1

8.1

1

P/BV ratio

1.4

1.3

1.6

1.7

1.8

1.6

3.6

2.7

2.3

1

Dividend yield (%)

7.3

12.0

6.8

5.1

6.9

8.4

5.6

4.1

5.7

5

Total return index*

51.1

71.8

99.0

64.4

57.0

165.8

131.1

213.8

216.7

1

Change in index (%)

21.1

40.5

37.9

−34.9

−11.5

190.9

−20.9

63.1

1.4

−

Gross domestic product (US$)

23,844

28,472

27,313

32,710

21,353

23,663

28,109

35,299

39,856

−

Change in consumer price index (%)

50.5

7.4

13.0

44.6

57.2

57.0

72.8

29.3

8.5

−

Exchange rate (end of period)

7.4500

8.7000

9.8000

21.5000 40.0000 22.0000 86.1000 78.4000 75.7200

8

Exchange rate (average of period)

7.1959

7.9425

9.9295

17.2747 28.2335 21.9956 70.3317 82.2229 81.8551

8

Economic Data

Notes: The base date for the NSE All Share Index is Jan. 3, 1984=100. The base date for the IFCG Nigeria Index is Dec. 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Pakistan Market Performance

Political infighting and the detonation of nuclear devices midway through the year threw Pakistani equities into a tailspin for 1998. After avoiding major damage from the 1997 emerging market selloff, equities on the Karachi Stock Exchange (KSE) suffered alongside other emerging markets in 1998 as a result of the Asian crisis. The dollar−based IFCI Pakistan Index shed 61.9%, while the local KSE−100 Index fell 46.1% in rupee terms. Capital flight resulting from the nuclear testing and the economic sanctions that followed reduced the rupee's value 10.2% against the dollar. Already depressed share prices began 1998 on a negative note from a deteriorating social situation and downgrades by credit−rating agencies S&P and Moody's. Violent clashes in Karachi between two opposing factions of the Muttahida Qaumi Movement (MQM) drove investors out of the market. The clashes were sparked when the MQM contested the results of 1997 parliamentary elections in which 57 seats were filled the MQM. The MQM reignited the political uncertainty later in the quarter by threatening to break from the coalition government unless some of its demands were met. These included the postponement of local elections in areas held closely by the MQM amid allegations of possible vote rigging. The IFCI Index registered a 14.5% decline in the first quarter. The market's real damage came the following quarter in the aftermath of nuclear detonations conducted by Pakistan in response to detonations ordered by the Indian government. Frenzied selling hit the market in May, sending the IFCI Index down 37.4%. The quarter ended on a depressed note as the KSE−100 Index fell below its Pakistan

356

Emerging Stock Markets Factbook 1999 base level of 1,000 for the first time in its eight−year history. For the quarter, the dollar−based IFCI Index fell 53.8%, while the rupee−based KSE−100 Index shed 43.4%. The rupee's gradual slide was evident already at this point, having dropped 4.2% by the end of June.

Despite the ripple effects of the Russia crisis, share prices took a surprising turn upward in the third quarter, thanks to the creation of the Pakistan Fund by the Islamic Development Bank and other Gulf member states. The consortium agreed to raise $1.5 billion with the founding mission to provide the necessary funds needed to pay for its foreign debt. This alleviated the dire need for foreign funds from the World Bank and IMF. Also impacting the market positively was a 20% reduction in the tariffs charged by the independent power providers (IPP), thus reducing tension between the government and the IPPs. Toward the end of the quarter the government indicated its willingness to sign the Comprehensive Test Ban Treaty after some of its demands, including the lifting of economic sanctions, were met. Despite an 8% depreciation in the rupee, the IFCI Index rose by 11.8% during the quarter. Share prices ended the year on a negative note despite the partial lifting of economic sanctions by the United States, which immediately translated to a 35.3% gain in the IFCI Index in November. Profit−taking and confusion surrounding the test ban concessions agreed upon by Prime Minister Nawaz Sharif in the United States led investors to lighten holdings. Stocks on the Karachi Stock Exchange ended the fourth quarter with a 13.7% loss in the IFCI Index, while the KSE−100 Index shed 15%.break

Monthly Value Traded (US$ millions)

Pakistan

IFCI Pakistan Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

357

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (rupee per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Pakistan 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

781

782

778

778

778

779

779

778

776

775

Number of Listed Companies Karachi Stock Exchange

Market Capitalization In rupee

448,098 461,622 430,640 427,255 300,366 259,348 268,289 279,573 313,577 248,271

In U.S. dollars

10,183

10,490

9,753

9,695

6,754

5,625

5,437

5,591

6,255

4,878

In rupee

24,838

43,965

31,656

26,730

39,262

22,524

35,355

40,836

41,676

38,719

In U.S. dollars

564

999

717

607

883

489

716

817

831

761

Turnover ratio (%)

5.3

9.7

7.1

6.2

10.8

8.0

13.4

14.9

14.0

13.8

Trading Value

Local Index Pakistan 1998: (Currency in Millions)

358

Emerging Stock Markets Factbook 1999 KSE 100*

1,609.2 1,650.3 1,553.1 1,562.2 1,040.2 879.6

920.5

970.8

1,111.5 841.7

Change in index (%)

−8.3

2.5

−5.9

0.6

−33.4

−15.4

4.6

5.5

14.5

−24.3

Number of stocks

55

55

55

55

55

55

55

55

55

55

Share of market cap. (%)*

78.3

78.3

76.9

77.8

70.0

64.9

67.2

69.6

72.2

66.3

Share of trading value (%)

98.7

99.0

98.2

98.2

93.7

97.6

99.0

99.7

99.4

98.4

P/E ratio

14.4

14.2

17.6

17.7

14.4

10.2

10.8

10.9

12.1

8.5

P/BV ratio

2.1

2.1

2.0

1.9

1.2

0.9

0.9

1.0

1.1

0.8

Dividend yield (%)

3.2

3.3

7.0

7.1

11.0

14.3

14.1

13.6

11.9

14.9

Total return index*

422.6

425.6

407.3

405.0

262.7

196.5

189.1

193.2

219.9

161.6

0.7

−4.3

−0.6

−35.1

−25.2

−3.7

2.1

13.8

−26.5

IFC Global Index

Change in total return −7.0 index (%)

Exchange Rates Exchange rates (end of period)

44.0060 44.0060 44.1525 44.0700 44.4750 46.1050 49.3450 50.0075 50.1325 50.8950

Notes: The base date for the KSE−100 Index is Nov. 1, 1991=1,000. The base date for the IFCG Pakistan Index is Dec. 19 switched to the KSE 100 Index from the SBP Index with data from January 1992 forward. In calculating share of total mar market cap is not adjusted for cross holdings. Karachi Stock Exchange Mr. Mohammed Yasin Lakhani, President Mr. Mohammed Yacoob Memon, General Manager Stock Exchange Road Karachi, Sindh 74000 Pakistan Tel: (92−21) 242−5502, 242−5503 Fax: (92−21) 241−0825 http://www.kse.com.pk

Islamabad Stock Exchange Mr. Farooq Zafar, Chairman Mr. Ch. Muhammad Razhid Randhawa, V. Chairman 101−E, Fazal−Ul−Haq Road Blue Area Islamabad Pakistan Tel: (92−51) 215−047, 215−050 Fax: (92−510) 215−051

Lahore Stock Exchange Mr. Mirza Sher Dill, Chairman Mr. Jamil Ahmad, Chief Executive Officer 19 Khayaban−e−Aiwan−e−Igbal Lahore, Punjab 54000 Pakistan Tel: (92−42) 636−8000 Fax: (92−42) 636−8484

IFC Cor Jahangir Chapal P Hasrat M Karachi, Pakistan Tel: (92− 243−118 Fax: (92−

Pakistan 1989−1998: (Currency in Millions; End of Period Levels)

Pakistan 1989−1998: (Currency in Millions; End of Period Levels)

359

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

440

487

542

628

653

724

764

782

781

773

In rupee

52,207

61,900

180,222 204,723 347,829 377,333 327,781 471,666 524,148 265,624

In U.S. dollars

2,457

2,850

7,326

8,028

11,602

12,263

9,286

In rupee

3,910

4,979

15,232

24,435

51,579

97,472

101,446 219,114 463,101 427,444

In U.S. dollars

193

231

620

980

1,844

3,198

3,210

6,054

11,476

9,102

Turnover ratio (%)

8.0

8.7

12.6

12.7

18.7

26.9

28.8

54.8

93.0

108.2

KSE 100*

277.3

308.5

718.2

1,243.7 2,164.3 2,049.1 1,497.8 1,339.9 1,753.8 945.2

Change in index (%)

5.5

11.3

132.8

−

74.0

−5.3

−26.9

−10.5

30.9

−46.1

Number of stocks

50

62

58

58

64

71

80

64

55

53

Share of market cap. (%)*

31.0

33.4

53.6

47.0

68.5

62.5

69.8

47.2

79.7

68.4

P/E ratio

8.0

7.0

23.9

21.9

27.6

23.3

15.0

11.7

14.8

7.6

P/BV ratio

1.3

1.3

3.1

2.5

4.2

3.5

2.2

1.5

2.3

0.9

Dividend yield (%)

8.3

5.6

1.9

2.5

1.5

1.6

2.4

3.2

3.2

13.0

Total return index*

184.5

205.0

557.8

455.1

710.8

650.3

447.8

360.4

454.6

200.5

Change in index (%)

6.4

11.1

172.1

−18.4

56.2

−8.5

−31.1

−19.5

26.1

−55.9

40,010

45,625

48,884

51,810

52,294

61,200

64,677

61,667

649

Number of Listed Companies Karachi Stock Exchange

Market Capitalization

10,639

10,966

5,418

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product 40,171 (US$)

Pakistan 1989−1998: (Currency in Millions; End of Period Levels)

360

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

7.8

9.1

11.8

9.5

10.0

12.4

12.3

10.4

11.4

−

Exchange rate (end of period)

21.2500 21.7200 24.6000 25.5000 29.9800 30.7692 34.2158 40.0799 44.0060 49.0230

Exchange rate (average 20.2685 21.5232 24.5750 24.9436 27.9756 30.4758 31.6059 36.0416 41.0717 46.9637 of period)

Notes: The base date for the KSE−100 Index is Nov. 1, 1991=1,000. The base date for the IFCG Pakistan Index is Dec. 1984=100. IFC switched to the KSE 100 Index from the SBP Index with data from January 1992 forward. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Peru Market Performance

Instability in emerging markets, infrastructure damage inflicted by the El Niño weather phenomenon, and low commodity prices combined to punish Peruvian equities in 1998 as the dollar−based IFCI and IFCG Peru indexes fell 39.3% and 39.7%, respectively. Weak demand for metals, fishmeal, and pulp from Asia adversely impacted the country's current account balance through the course of the year, pressuring leading shares lower. Despite a late−year rally following U.S. interest rate cuts and approval of an IMF−led package for Brazil, stocks were unable to overcome losses, closing down for the year. The downturn in the market marked a pronounced shift in equity trading because the Lima bourse had enjoyed double−digit gains in four of the last five years. GNP grew a modest 0.8% compared to 7.2% in 1997, while inflation dropped from 6.5% to 6.0% year−on−year. Shares posted losses in the first quarter as low metals prices, lower fishing output stemming from El Niño, and Asian market instability depressed trading on the bolsa. Mining and agricultural exports account for over half the country's exports. Despite a flurry of trading activity in Peruvian ADRs, a decline in consumer spending and short−term profit−taking depressed market sentiment, as the IFCI Index closed down 5.1% for the quarter. News of a decline in domestic economic growth, destruction of the country's infrastructure wrought by El Niño floods, and continued weak prices for gold and silver cast a shadow over the market in the second quarter, as the IFCI Index declined 6.0%. Leading the fall were telecommunication, mining, and bank stocks as concern over emerging market stability in Indonesia and Russia sidelined foreign investors while local pension funds steered clear of the domestic equity market.

The fallout from the August Russian ruble devaluation sparked panic in emerging market trading in the third Peru

361

Emerging Stock Markets Factbook 1999 quarter, as nervous investors sold their Peruvian equity positions. Anxiety that other Latin American countries would follow suit pushed the local index to its lowest level in four years, while the IFCI index collapsed 31%. Telefonica del Peru and Cementos Lima, stocks that characteristically account for half the trading on the Lima Stock Exchange, led the market nosedive. Bank shares also fell sharply on news of deteriorating loan portfolios and a reduction in new loans stemming from the country's poor quarterly economic performance. A historic peace agreement ending a 56−year border dispute between Peru and Ecuador, and a $41.5 billion aid package for Brazil, proved insufficient to boost market sentiment in the fourth quarter, as the IFCI Index drifted 1.4% lower. Despite a double−digit rally in November, continuing jitters stemming from the August worldwide rout in emerging markets held the market at bay. Cement and steel industry shares fell in tandem as a domestic credit crunch sapped demand for construction while the central bank intervened for the first time in four years to support the currency. The stock market closed on a negative note amid questions on whether President Alberto Fujimori would seek a third term in office.break

Monthly Value Traded (US$ millions)

IFCI Peru Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (soles per U.S. dollar)

* 51 markets covered by EMDB

Peru

362

Emerging Stock Markets Factbook 1999 Peru 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

249

247

247

248

254

260

260

261

260

259

In nuevos soles

48,141

43,576

45,954

47,344

46,232

44,018

44,873

36,660

35,485

34,350

In U.S. dollars

17,370

15,485

16,363

16,771

16,155

14,975

15,323

12,163

11,621

11,196

In nuevos soles

975

557

604

681

843

733

614

712

817

500

In U.S. dollars

352

198

215

241

295

249

210

236

268

163

Turnover ratio (%)

2.0

1.2

1.3

1.5

1.8

1.6

1.4

1.8

2.3

1.4

Number of Listed Companies Bolsa de Valores de Lima

Market Capitalization

Trading Value

Local Index IGBVL*

1,624.6 1,585.8

1,705.8 1,890.5 1,799.1 1,642.2 1,720.4 1,265.5 1,246.9 1,231.6

Change in index (%)

−9.4

−2.4

7.6

10.8

−4.8

−8.7

4.8

−26.4

−1.5

−1.2

Number of stocks

37

37

37

37

37

37

37

37

37

37

Share of market cap. (%)*

56.7

60.7

63.8

64.8

64.6

64.5

63.7

57.3

57.7

58.8

Share of trading value 66.5 (%)

79.0

91.9

83.2

71.4

78.7

84.8

87.0

85.5

82.7

P/E ratio

14.1

12.9

14.2

14.8

14.4

13.8

13.8

10.1

9.9

19.3

P/BV ratio

2.0

1.9

2.2

2.3

2.2

2.1

2.1

1.6

1.5

1.5

Dividend yield (%)

2.5

2.6

2.2

2.6

2.7

2.1

3.0

4.2

4.3

4.4

Total return index*

252.4

241.9

266.4

280.5

270.4

250.7

254.8

182.4

175.3

171.0

−10.2

−4.2

10.1

5.3

−3.6

−7.3

1.6

−28.4

−3.8

−2.5

IFC Global Index

Peru 1998: (Currency in Millions)

363

Emerging Stock Markets Factbook 1999 Change in total return index (%)

Exchange Rates Exchange rates (end of period)

2.7715

2.8140

2.8085

2.8230

2.8618

2.9395

2.9285

3.0140

3.0535

3.0680

Notes: The base date for the IGBVL is Dec. 1991=100. The base date for the IFCG Peru Index is Dec. 1992=100. In calcu total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: G&B Sociedad Agente de Bo Miro Quesada 260, 10th Floo Lima Peru Tel: (51−14) 287−006 Fax: (51−14) 269−434 Special Assistance: Richard A

Lima Stock Exchange Carlos Seminario, President Miguel Rivera, General Manager Jiron Antonio Miro Quesada 217 Lima Peru Tel: (51−14) 260−714 Fax: (51−14) 267−650 http://www.bvl.com.pe/homepage2.html Peru 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

256

294

298

287

233

218

246

231

248

257

In nuevos soles

5.000

439.000 1,090

4,300

10,993 17,835

27,170

31,921

47,940

36,751

In U.S. dollars

931

812

2,630

5,113

8,178

11,795

12,291

17,586

11,645

0.2938

25.0000 104

519

3,332

6,742

8,855

9,322

10,861

8,311

Number of Listed Companies Bolsa de Valores de Lima

Market Capitalization

1,118

Trading Value In nuevos soles

Peru 1989−1998: (Currency in Millions; End of Period Levels)

364

Emerging Stock Markets Factbook 1999 In U.S. dollars

90

99

130

417

1,672

3,080

3,935

3,805

4,082

2,634

Turnover ratio (%)

5.9

5.7

9.5

19.3

43.8

46.8

39.3

31.5

25.9

19.2

IGBVL*

0.336

25.80

100.00 372.9

930.5

1,414.9 1,243.4 1,429.0 1,792.7 1,335.9

Change in index (%)

3,817.9 7,544.3 288.2

273.0

149.5

52.1

−12.1

14.9

25.4

−25.5

Number of stocks

−

−

−

18

18

35

36

36

37

35

Share of market cap. (%)

−

−

−

42.7

46.0

64.5

62.3

70.2

62.0

58.5

P/E ratio

−

−

−

25.9

44.0

43.9

14.5

14.2

14.0

21.1

P/BV ratio

−

−

−

2.7

3.6

3.0

2.8

2.5

2.0

1.6

Dividend yield (%)

−

−

−

−

0.8

0.7

1.3

2.4

2.3

3.5

Total return index*

−

−

−

100.0

137.2

210.6

233.8

241.1

281.2

174.2

Change in index (%)

−

−

−

−

37.2

53.5

11.0

3.1

16.6

−38.1

32,802

29,224 42,013 41,084 50,343

59,066

61,013

63,849

64,122

11.1

11.5

8.6

−

Local Index

IFC Global Index

Economic Data Gross domestic product 28,636 (US$) Change in consumer price index (%)

3,398.7 7,481.7 409.5

73.5

48.6

23.7

Exchange rate (end of period)

0.0053

0.5400

0.9750 1.6350 2.1500 2.1810

2.3035

2.5970

2.7260

3.1560

Exchange rate (average of period)

0.0032

0.2540

0.8042 1.2458 1.9921 2.1892

2.2500

2.4501

2.6604

2.9282

Notes: The base date for the IGBVL is Dec. 1991=100. The base date for the IFCG Peru Index is Dec. 1992=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Philippines Market Performance

Philippine equities recovered some of their luster in 1998, despite the continuing fallout effects of the Asian financial crisis. The conundrum of high volatility attached to emerging markets in 1998 swept in the local market. Despite this, the Philippines offered a more stable environment than its neighbors, with relatively stable economic fundamentals that became apparent in the fourth quarter and the volatility it brought. For the year, the Philippines

365

Emerging Stock Markets Factbook 1999 dollar−based IFCI and IFCG indexes gained 9.2% and 9.8%, respectively, while the Philippine Stock Exchange (PSE) Composite Index rose 5.3% in local currency terms. After a turbulent roller−coaster ride, the peso finished the year with a 2.6% appreciation against the dollar. A frenzied currency ride influenced the unusual price pattern of Philippine equities in the first quarter, as the peso underwent some wild swings in its value against the dollar. In January, the peso lost 6.4% of its value before appreciating 5.3% at the end of the quarter. The peso's appreciation allowed for a significant easing in the country's high interest rate environment, which sparked a steady two−month rally that took the IFCI Philippine Index 29.6% higher and the PSE Composite Index 18.4% higher. Share prices gained a heady 25.3% (IFCI) in February alone as commitments by large banks to lower the prime lending rate from 25% to 20% took effect. The peso also drove second−quarter results. The currency fell 9.1% against the dollar and sparked a 29.5% decline in the IFCI Index. Low first−quarter profits, both expected and realized, also contributed to the quarter's dismal results. Factors contributing to the market's poor performance include investor nervousness over the turmoil in Indonesia, the resignation of President Suharto and the uncertainty it would bring, and gloomy economic indicators. The dismal economic news included a 20−month−high inflation rate in April and the slowest first−quarter GDP growth in five years (1.7%). The depreciation in the Japanese yen also weighed on market sentiment by signaling more uncertainty for the region.

The following quarter highlighted the inexorable correlation between the peso's weakness and the performance of the stock market. A weaker peso—depreciating 1.6% each month during the quarter—fueled widespread selling of equities and slashed 27.4% from the IFCI Index. Investors responded positively to the appointment of President−elect Joseph Estrada, but optimism and euphoria quickly evaporated as news of higher inflation, a weaker peso, lower earnings reported by the country's top 100 corporations, and a 1.2% decline in the country's second−quarter GDP reached the market. On earnings, the Philippine Securities and Exchange Commission reported a year−on−year decline of 42% through the second quarter. A marked shift in perception of the Philippine economy in the fourth quarter enticed investors back into the stock market. The combined effects of a hostile takeover bid for the country's largest telephone company, PLDT, lower overnight borrowing costs, and a 12.5% appreciation in the peso against the dollar, reaped a 64.7% gain for the IFCI Index, while the PSE Composite Index rose 56.3%. The peso's strong recovery was attributed to a combination of factors: the contraction of imports, stronger inflows from overseas contract workers, partial loan disbursements from multilateral lending institutions, and the yet−to−be−remitted dollar proceeds from the sale of two large assets owned by food conglomerate San Miguel Corp.break

Philippines

366

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Philippines Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (pesos per U.S. dollar)

* 51 markets covered by EMDB Philippines 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

222

222

222

222

223

222

222

222

222

Number of Listed Companies Philippine Stock Exchange

221

Market Capitalization

Philippines 1998: (Currency in Millions)

367

Emerging Stock Markets Factbook 1999 In pesos

1,254,994 1,505,161 1,512,728 1,475,668 1,394,744 1,228,051 1,136,970 874,051 900,559 1,219,1

In U.S. dollars

29,425

37,723

39,914

36,754

35,809

29,450

27,006

19,956

20,584

30,215

In pesos

29,612

48,877

51,655

30,972

19,332

19,452

22,877

21,991

37,062

33,669

In U.S. dollars

694

1,225

1,363

771

496

466

543

502

847

834

Turnover ratio (%)

2.4

3.5

3.4

2.1

1.3

1.5

1.9

2.2

4.2

3.2

PSE Composite*

1,948.0

2,266.3

2,238.4

2,181.3

2,011.4

1,760.1

1,607.6

1,192.3 1,259.6 1,755.0

Change in index (%)

4.2

16.3

−1.2

−2.5

−7.8

−12.5

−8.7

−25.8

5.6

39.3

Number of stocks

59

59

59

59

59

59

59

59

59

59

Share of market cap. (%)*

73.0

78.0

77.3

76.8

76.4

75.7

74.6

72.7

74.2

75.9

Share of trading value (%)

89.0

88.0

83.9

86.5

87.6

66.1

77.6

82.8

58.6

93.3

P/E ratio

11.0

14.2

14.7

14.4

14.3

12.7

11.4

8.8

9.6

13.1

P/BV ratio

1.4

1.7

1.6

1.5

1.4

1.2

1.1

0.8

0.8

1.2

Dividend yield (%)

1.4

1.1

1.0

1.0

1.0

1.2

1.3

1.5

1.6

1.2

Total return index*

1,815.9

2,295.4

2,406.9

2,194.4

2,098.9

1,710.9

1,549.5

1,126.6 1,192.0 1,751.2

Change in total return index (%)

−3.9

26.4

4.9

−8.8

−4.3

−18.5

−9.4

−27.3

42.6500

39.9000

37.9000

40.1500

38.9500

41.7000

42.1000

43.8000 43.7500 40.350

Trading Value

Local Index

IFC Global Index

5.8

46.9

Exchange Rates Exchange rates (end of period)

Philippines 1998: (Currency in Millions)

368

Emerging Stock Markets Factbook 1999

Notes: The base date of the PSE Composite Index is Aug. 19, 1985=100. The base date for the IFC Philippine Index is Dec. 1984=100. In calculating share of total mar adjusted for cross holdings.

Philippine Stock Exchange Mr. Harry G. Liu, Chairman

IFC Correspondent: Technistock Corporatio

Philippine Stock Exchange Ctr. Ortigas Center, Exchange Road Pasig City, Metro Manila 1605 Philippines Tel: (63−2) 636−0122, 636−0123 Fax: (63−2) 634−5920, 634−5113

906 Taipan Place/Emer Ortigas Ctr, Pasig City Metro Manila Philippines Tel: (63−2) 910−8800 Fax: (63−2) 910−6050

Philippines 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

153

161

170

180

189

205

216

221

Number of Listed Companies Philippine Stock Exchange 144

Market Capitalization In pesos

261,022 161,219 297,743 391,231 1,088,820 1,386,464 1,545,728 2,121,763 1,251,28

In U.S. dollars

11,965

5,927

11,386

15,282

40,327

55,519

58,859

80,649

31,361

In pesos

50,730

28,569

39,407

77,032

182,180

364,297

378,983

668,817

586,173

In U.S. dollars

2,410

1,216

1,506

3,104

6,785

13,949

14,727

25,519

19,783

Turnover ratio (%)

29.1

13.5

17.2

22.4

24.6

29.4

25.8

36.5

34.8

Trading Value

Local Index PSE Composite*

1,104.6 651.8

1,151.9 1,256.2 3,196.1

2,785.8

2,594.2

3,170.6

1,869.2

Change in index (%)

31.2

−41.2

76.7

10.2

154.8

−14.1

−6.9

22.2

−41.0

18

34

30

30

37

41

45

52

59

70.8

68.1

58.0

59.0

54.4

54.3

69.6

71.1

IFC Global Index Number of stocks

Share of market cap. (%)* 33.6

Philippines 1989−1998: (Currency in Millions; End of Period Levels)

369

Emerging Stock Markets Factbook 1999 P/E ratio

14.1

11.3

11.3

14.1

38.8

30.8

19.0

20.0

10.9

P/BV ratio

3.6

2.6

2.6

2.4

5.2

4.5

3.2

3.1

1.3

Dividend yield (%)

1.1

2.3

0.8

1.0

0.3

0.4

0.6

0.8

1.4

Total return index*

2,371.5 1,094.0 1,738.5 2,056.8 4,831.4

4,802.3

4,125.5

4,965.0

1,890.6

Change in index (%)

59.5

−53.9

58.9

18.3

134.9

−0.6

−14.1

20.3

−61.9

42,647

44,331

45,382

53,002

54,408

64,126

74,162

82,898

82,157

14.1

18.7

8.9

7.6

9.1

8.1

8.4

5.1

21.7700 27.2000 26.1500 25.6000 27.0000

24.4000

26.2300

26.3000

39.9000

Exchange rate (average of 21.0509 23.4900 26.7706 24.8034 26.6398 period)

26.1112

25.7333

26.2096

29.6301

Economic Data Gross domestic product (US$)

Change in consumer price 12.2 index (%) Exchange rate (end of period)

Notes: The base date of the PSE Composite Index is Aug. 19, 1985=100. The base date for the IFC Philippine Index is De In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Poland Market Performance

Global turbulence in emerging markets in the second half of 1998 overwhelmed Polish equities, particularly with the collapse in Russia. Earlier in the year, the country's strong macroeconomic performance—GDP growth of 7% in 1997 and the 1998 projected target for inflation of 9.5%—set the market on a clear uptrend. Despite the upbeat news, the Russian financial crisis sparked a sizable decline in Polish equities in 1998, with the IFCI Poland Index losing 12.3% in dollars and the Warsaw Stock Exchange (WSE) WIG Index losing 12.8% in zloty. Share prices registered solid gains in January, February, and early March, thanks to an influx of foreign funds drawn by solid macroeconomic trends. The market surged on the news that National Bank intervened to sell $85 million to prevent the currency from strengthening amid strong demand for Polish stocks and Treasury bills from foreign investors. Banks led gainers as their total net profits in January rose 36% from the same period last year. General positive sentiment on the market continued from March to early May, but shares started declining in the second half of May on concerns over the strength of the zloty and financial turmoil in Asia. Equities of companies with substantial exports were particularly hurt. Russia's instability pressured the Polish market in June, but strong economic fundamentals provided some support. In June, investor attention shifted toward the IPO of the 15% stake in Pekao, Poland's largest bank. On June 30, the day of its listing, Pekao shares surged 22% over the IPO price of PLN 45, and it became the largest stock in terms of market capitalization on the WSE. The successful IPO and expectations of an interest rate cut spurred a market rally in July. The crawling peg devaluation of the zloty slowed to 0.8% to 0.65% per month.

Poland

370

Emerging Stock Markets Factbook 1999

The August crash of the Russian market took a heavy toll on the performance of Polish equities in August and September, when the IFCI Index fell 37.6% and 22.3%, respectively. On August 28, the market experienced the most significant drop since March 1994. To ease concerns about the currency, the Monetary Policy Council cut the zloty's crawling peg rate from 0.65% to 0.5% per month on September 9 and the 28−day intervention rate (the repo rate) by one percentage point to 18%. Between July 17 and October 9, the IFCI Index lost 47%. Despite acrimonious circumstances, the Polish government decided to go forward with the planned privatization of TPSA (Polish Telecom) and was fully rewarded. The November 18 flotation of the 15% stake in TPSA on the Warsaw and London stock exchanges was the largest IPO in Central and Eastern Europe to date. The IPO almost doubled the WSE's market capitalization to $21 billion. The top−performing Polish equity in 1998 was brewery Zywiec, which ended the year with a 41.9% gain. In January, Heineken announced its intention to acquire 75% of the shares in Zywiec. This established a trend for other companies whose strategic investors made offers to buy the shares of minority shareholders. The Polish equity market clearly benefited from the steadily improving macroeconomic situation in the country. GDP grew by a rate of more than 5%, and the inflation rate dropped from 13.2% in December 1997 to 9.2% in November.break

Monthly Value Traded (US$ millions)

Poland

IFCI Poland Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

371

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (zloty per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Poland 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

148

155

159

165

172

182

183

183

185

189

In zloty

43,434

54,090

53,429

56,441

49,537

58,127

61,354

44,455

44,804

44,658

In U.S. dollars

12,257

15,554

15,473

16,617

14,190

16,670

17,865

11,934

12,540

12,961

In zloty

1,707

3,356

3,277

2,466

2,461

2,496

4,002

2,232

2,045

1,923

In U.S. dollars

482

965

949

726

705

716

1,165

599

572

558

Turnover ratio (%)

4.0

6.9

6.1

4.5

4.6

4.6

6.7

4.2

4.6

4.3

Number of Listed Companies Warsaw Stock Exchange

Market Capitalization

Trading Value

Local Index

Poland 1998: (Currency in Millions)

372

Emerging Stock Markets Factbook 1999 WIG All−Share Performance*

14,378.2 17,621.0 16,864.0 17,743.8 15,683.3 15,728.6 16,534.3 11,635.9 12,238.3 12,345.

Change in index (%) −2.0

22.5

−4.3

5.2

−11.6

0.3

5.1

−29.6

5.2

0.9

29

29

29

29

29

29

29

29

29

Share of market cap. 58.8 (%)*

58.5

56.3

57.4

58.3

50.8

50.9

47.8

49.3

50.1

Share of trading value (%)

43.1

48.5

39.4

39.9

45.8

39.6

24.7

43.3

47.3

45.6

P/E ratio

11.6

14.3

13.6

14.6

13.1

12.5

13.2

9.0

9.3

9.4

P/BV ratio

1.7

1.9

1.8

2.0

1.8

1.7

1.8

1.2

1.3

1.3

Dividend yield (%)

1.5

1.2

1.3

1.6

1.7

1.5

1.8

2.3

2.3

2.1

Total return index*

658.6

828.6

793.8

863.4

749.4

765.4

823.3

513.8

545.6

580.3

Change in total return index (%)

1.2

25.8

−4.2

8.8

−13.2

2.1

7.6

−37.6

6.2

6.4

3.4775

3.4530

3.3965

3.4910

3.4870

3.4343

3.7250

3.5730

3.4455

IFC Global Index Number of stocks

29

Exchange Rates Exchange rates (end 3.5435 of period)

Notes: The base date for the WIG All−Share Performance Index is Apr. 1991=1,000. The base date for the IFCG Poland I 1992=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Warsaw Stock Exchange Dr. Wieslaw Rozlucki, President & CEO Mr. Wlodzimierz Magiera, Executive Vice President Nowy Swiat 6/12 Warsaw, 00−400 Poland Tel: (48−22) 628−3232 Fax: (48−22) 628−1754

IFC Corresponde BRE Brokers S.A Swietokrzyska 36 Warsaw, 00−950 Poland Tel: (48−22) 636− Fax: (48−22) 697−

Poland 1989−1998: (Currency in Millions; End of Period Levels)

Poland 1989−1998: (Currency in Millions; End of Period Levels)

373

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

−

9

16

22

44

65

83

143

Number of Listed Companies Warsaw Stock Exchange −

Market Capitalization In zloty

−

−

158

351

5,803

7,450

11,259

23,999

42,775

In U.S. dollars

−

−

144

222

2,706

3,057

4,564

8,390

12,135

In zloty

−

−

29

228

3,973

11,711

6,691

14,943

26,171

In U.S. dollars

−

−

28

167

2,170

5,134

2,770

5,538

7,977

Turnover ratio (%)

−

−

−

89.7

129.1

176.7

71.5

84.8

78.4

WIG All−Share Performance*

−

−

919.1

1,040.7

12,439.0

7,473.1

7,585.9

14,342.8 14,668.0

Change in index (%)

−

−

−

13.2

1,095.3

−39.9

1.5

89.1

2.3

Number of stocks

−

−

−

9

12

12

17

31

29

Share of market cap. (%)*

−

−

−

−

79.1

48.4

43.5

78.1

58.9

P/E ratio

−

−

−

−

31.5

12.9

7.0

14.3

11.4

P/BV ratio

−

−

−

−

5.7

2.3

1.3

2.6

1.7

Dividend yield (%)

−

−

−

−

0.4

0.4

2.6

1.2

1.5

Total return index*

−

−

−

100.0

839.6

484.0

450.3

784.2

650.5

Change in index (%)

−

−

−

−

739.6

−42.4

−7.0

74.2

−17.0

82,223

58,976

76,478

84,356

85,995

92,580

118,807 134,570

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

Poland 1989−1998: (Currency in Millions; End of Period Levels)

135,659

374

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

244.6

555.4

76.7

Exchange rate (end of period)

−

−

Exchange rate (average of period)

−

−

45.3

36.9

33.3

26.8

20.2

15.9

10,957.00 15,767.00 21,444.00 24,370.00 2.4668

2.8605

3.5250

10,576.00 13,676.00 18,311.06 22,808.59 2.4154

2.6980

3.2810

Notes: The base date for the WIG All−Share Performance Index is Apr. 1991=1,000. The base date for the IFCG Poland I Dec. 1992=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Portugal Market Performance

Stocks at the Lisbon Stock Exchange extended their 1997 rally, gaining 38.4% in 1998 as measured by the dollar−based IFCI Portugal Index. After a 53.5% rally in the preliminary four months, Portuguese equities suffered a serious setback at mid−year, as uncertainties in the U.S. and Europe, followed by the crisis in Russia and economic instability in Latin America, combined to dampen investor enthusiasm. A sharp rally in the fourth quarter, however, sparked a rebound, prompted by cuts in international interest rates and positive domestic economic news. The stock market rose during the first quarter of 1998 on a positive outlook for corporate earnings and the economy. The central bank implemented a policy of gradual reduction in key interest rates to allow Portugal to join the Euro zone in January 1999. Boosted by lower interest rates, the stock market surged, fueled all the more by retail investors taking advantage of 1997 tax breaks. Construction companies that stood to benefit from lower interest rates led the market, as did banks and attractively priced telecom shares. Stocks surged further in March after the European Commission endorsed Portugal's bid to adopt Europe's single currency and raised its forecast for Portugal's 1998 economic growth to 4.0%. The rally continued at the beginning of the second quarter on positive prospects for both banking and telecom sectors. The trend quickly reversed on talks by Germany of raising interest rates to strengthen the Euro's stature in addition to indications of higher interest rates by the U.S. Federal Reserve Board. The rest of the quarter proved that Portugal is closely connected to market movements elsewhere in developed as well as emerging economies. The market reacted negatively to cautious and jittery sentiment throughout the world, including uncertainty in U.S. markets, an increase in U.K. interest rates, and poor equity performances in Europe and Asia.

Portugal

375

Emerging Stock Markets Factbook 1999 After a brief recovery in July, the Portuguese stock market continued sliding in the third quarter amid a downturn in European markets and the United States. Despite positive half−year profits reported by large banks and sound economic fundamentals, the stock market followed the performances of regional and U.S. markets, falling further as financial situations in Asia, Russia, and also Latin America affected international bourses. Portuguese blue chips with high exposure to these regions were most severely affected, prompting cautious local investors to retreate to small cap, debt, and cash markets. By the end of the third quarter, a lack of buyers and active selling by portfolio managers who were concerned about end−of−quarter window dressing had all but wiped out 1998's gains. Nevertheless, the stock market reversed its downward trend early in the fourth quarter on the improved investment climate in Europe, interest rate cuts in Spain, Portugal, and Italy, and renewed investor interest in attractively priced equities. After rallying in October, prices flattened in November while advances in banking sector stocks offset losses in utility stocks. The positive investment climate returned in December, after simultaneous interest rate cuts by Portugal and nine other European countries reactivated demand from funds and foreign investors, eager for the January 1, 1999 introduction of the euro.break

Monthly Value Traded (US$ millions)

IFCI Portugal Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (escudos per U.S. dollar)

Portugal

376

Emerging Stock Markets Factbook 1999 * 51 markets covered by EMDB Portugal 1998: (Currency in Millions)

Notes: The base date for the BVL General Index is January 1988=100. The base date for the IFCG Portugal Index is Jan. 1 In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Lisbon Stock Exchange Mr. Jose Carlos Pestana Teixeira, CEO Edificio da Bolsa Rua Soeiro Pereira Gomes Lisbon, 1649−017 Portugal Tel: (351−1) 790−0000 Fax: (351−1) 795−2022 http://www.bvl.pt

IFC Correspondent: Banco Finantia Av. dos Combatentes Torre 1, (Lote H) − 1st Floo 1600 Lisbon, Portugal Tel: (351−1) 720−2000 Fax: (351−1) 726−5310

Portugal 1989−1998: (Currency in Millions; End of Period Levels)

Portugal 1998: (Currency in Millions)

377

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

182

181

180

191

183

195

169

158

148

Number of Listed Companies Lisbon Stock Exchange

Market Capitalization In escudos

1,588,380 1,257,248 1,284,348 1,353,627 2,193,021 2,586,787 2,743,070 3,828,406 7,161,6

In U.S. dollars

10,618

9,201

9,613

9,213

12,417

16,249

18,362

24,660

In escudos

300,394

240,449

406,158

467,263

780,284

874,620

634,139

1,102,573 3,669,5

In U.S. dollars

1,912

1,687

2,818

3,455

4,835

5,275

4,233

7,147

20,932

Turnover ratio (%)

22.8

16.9

32.0

35.4

44.0

36.6

23.8

33.6

66.8

BVL General*

3,287.0

2,143.4

1,977.7

1,637.9

//

887.7

1,163.5

1,922.7

Change in index (%)

39.5

−34.8

−7.7

−17.2

−

8.5

−3.5

31.1

65.3

Number of stocks

23

30

30

30

33

32

30

32

23

Share of market cap. (%)*

53.4

58.5

61.3

52.8

71.3

68.8

59.5

71.6

95.8

P/E ratio

19.0

11.8

10.9

9.0

18.0

20.3

14.8

18.1

22.9

P/BV ratio

3.4

1.7

1.3

1.0

1.7

1.8

1.4

1.7

3.1

Dividend yield (%)

1.9

2.7

3.7

4.7

2.9

3.2

3.3

2.3

1.7

Total return index*

874.5

613.8

624.3

503.1

694.6

834.0

824.5

1,064.4

1,567.4

Change in index (%)

40.1

−29.8

1.7

−19.4

38.1

20.1

−1.1

29.1

47.3

53,171

69,132

78,316

94,513

83,726

88,129

104,680

108,823

102,13

38,954

Trading Value

Local Index 848.0 919.9

IFC Global Index

Economic Data Gross domestic product (US$)

Portugal 1998: (Currency in Millions)

378

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

12.6

13.4

11.4

8.9

6.8

4.9

4.1

3.1

2.2

Exchange rate (end of 149.600 period)

136.640

133.600

146.920

176.620

159.200

149.390

155.250

183.85

Exchange rate (average of period)

142.553

144.121

135.229

161.391

165.817

149.809

154.277

175.31

157.123

Notes: The base date for the BVL General Index is January 1988=100. Prior to 1993, IFC used the BTA Index, which had 1977=100. The base date for the IFCG Portugal Index is Jan. 1986=100. In calculating share of total market cap, IFCG ma adjusted for cross holdings. Romania Market Performance

The long−awaited recovery of the Romanian capital market failed to take shape in 1998, with domestic factors and an unfavorable international environment weighing heavily on the market. Shares on the Bucharest Stock Exchange (BSE) and the over−the−counter RASDAQ continued on their steep downward trend that began in mid−1997. For the year, the IFCG Romania Index fell 67.7% in dollar terms, while the BET Index lost 50.1% in local currency terms. The IFCG Index was launched in April 1998. Behind the market's weakness were prolonged delays in structural reforms to the economy and a lack of progress on privatization until late in the year. Failure to close loss−making enterprises hindered the stabilization of the economy and deepened the country's financial troubles. These factors contributed to a 17% plunge in industrial production and an estimated 5% contraction in GDP. Political instability caused by the government's resignation in March and numerous changes to the legal framework also had a serious negative impact on investor sentiment. Romania's credit rating was downgraded a total of six times by four rating agencies in 1998. After several months of relative stability, the market plunged in May after the government failed to make progress in negotiations with the IMF on a new standby loan agreement. The decline continued over the summer as turmoil in international markets aggravated domestic anxieties. As a result, foreign portfolio investors steadily reduced their presence in Romania, which had a negative impact on market liquidity. Local investors continued to target smallcap companies and to participate in local IPOs. The Russian crisis in August triggered an even steeper decline in the IFCG Romania Index. A lack of positive corporate news and falling confidence that the government would deliver on pledges to speed up the privatization process compounded investor concerns that the crisis might spread to Romania.

Romania

379

Emerging Stock Markets Factbook 1999 By November, however, the government and the State Ownership Fund began taking decisive steps toward accelerating privatization. The successful conclusion of major deals, such as the sale of a 35% stake in telecom operator Romtelecom, 41% stake in the Romanian Bank for Development, and the expected privatization of Automobile Dacia and bank Bancpost helped push the IFCG Index up 16%. The gains, however, were given up the following month as investors became increasing anxious over the country's debt obligations. Investors are expected to closely monitor progress on a new standby agreement with the IMF, which could prove important if the country is to avoid defaulting on its $2.2 billion foreign debt service obligations due in 1999. Several blue chips retained investor interest during the year. On the BSE, Alro—one of the largest European aluminum makers—was the most actively−traded stock, attracting investors because of its strong fundamentals and well−regarded management. Interest was also high in Terapia, a highly profitable pharmaceutical producer, and Automobile Dacia, the largest domestic carmaker, which Renault has expressed firm interest in acquiring. On the over−the−counter market, investors focused on the recently privatized cement industry, with Lafarge Romcim, Romcif, and Moldocim being intensively traded during the year.break

Monthly Value Traded (US$ millions)

IFCG Romania Index Correlation (12−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (leu per U.S. dollar)

Romania

380

Emerging Stock Markets Factbook 1999 * 51 markets covered by EMDB Romania 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

5,642

5,687

5,690

5,697

5,700

5,703

5,707

5,709

5,719

5,722

Number of Listed Companies Combined*

Market Capitalization In leu (1/1,000)

17,052.5 20,129.7 20,423.9 20,584.2 18,571.2 17,526.1 16,800.6 9,132.0 11,673.2 11,987.0

In US dollars

2,044.7

2,488.2

2,405.6

2,466.6

2,182.0

2,032.0

1,921.4

1,023.3 1,263.6

1,249.7

In leu (1/1,000)

267.3

333.1

803.4

465.6

640.3

354.8

331.0

230.8

235.3

370.0

In US dollars

32.0

41.2

94.6

55.8

75.2

41.1

37.9

25.9

25.5

38.6

Turnover ratio (%)

3.1

1.8

4.0

2.3

3.3

2.0

1.9

1.8

2.3

3.1

727.6

811.7

793.1

804.7

663.2

636.7

559.0

359.8

294.4

295.8

11.5

−2.3

1.5

−17.6

−4.0

−12.2

−35.6

−18.2

0.5

35

35

35

35

35

35

35

35

35

Share of market cap. 56.7 (%)*

54.2

53.2

53.1

50.2

48.4

45.6

50.9

32.9

31.3

Share of trading value (%)

57.8

53.9

59.4

62.4

49.7

49.8

48.6

33.1

36.3

32.6

P/E ratio

79.0

87.7

89.2

93.1

81.3

76.5

70.0

3.7

2.9

3.1

P/BV ratio

1.3

1.4

1.5

1.5

1.3

1.2

1.1

0.5

0.4

0.4

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

Total return index*

90.4

103.4

102.2

107.8

90.7

81.6

73.3

44.0

34.2

33.3

Trading value

Local Index BET*

Change in index (%) 11.6

IFC Global Index Number of stocks

35

Romania 1998: (Currency in Millions)

381

Emerging Stock Markets Factbook 1999 Change in total return index (%)

−9.6

14.4

−1.2

5.5

−15.9

−10.0

−10.2

−39.9

−22.3

−2.6

8,340.0

8,090.0

8,490.0

8,345.0

8,511.0

8,625.0

8,744.0

8,924.0 9,238.0

Exchange Rates Exchange rate (end of period)

9,592.0

Notes: Local market data includes both the Bucharest Stock Exchange and the RASDAQ (OTC trading system). The base Index is Sept. 19, 1997=1,000. The base date for the IFCG Romania Index is Dec. 1997=100. In calculating share of total market cap is not adjusted for cross holdings.

Bucharest Stock Exchange Mr. Stere Farmache, General Manager Doamnei St, 8 Bucharest Romania 3158209 Tel: (40−1) 315−8209 Fax: (40−1) 315−8149 http://www.bse.ccir.ro Email: bvbrel @ ccir.ro

IFC Corresponde Bucharest Investm Str. Vasile Lascar Bucharest Romania Tel: (40−1) 311−2 Fax: (40−1) 311−2 Email: [email protected]

RASDAQ Mr. Septimiu Stoica, President 2, Expozitiei Blvd, Suite D308 World Trade Center Bucharest, Romania Tel: (40−1) 224−4641 Fax: (40−1) 224−4658 http://www.rasd.ro Email: [email protected]

Romania 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

−

−

−

−

−

4

7

17

76

5

In leu

−

−

−

−

−

140.0

258,953.0 230,785.0 5,055,664 1

In US dollars

−

−

−

−

−

51.5

100.4

57.2

626.5

−

−

−

−

−

7.0

2,464.0

17,632.0

1,921,885 5

Number of Listed Companies Combined*

Market Capitalization

1

Trading Value In leu

Romania 1989−1998: (Currency in Millions; End of Period Levels)

382

Emerging Stock Markets Factbook 1999 In US dollars

−

−

−

−

−

2.6

1.2

5.7

268.1

6

Turnover ratio (%)

−

−

−

−

−

−

−

7.2

72.7

6

BET*

−

−

−

−

−

−

−

−

757.9

3

Change in index (%)

−

−

−

−

−

−

−

−

−

−

Number of stocks

−

−

−

−

−

−

−

−

35

4

Share of market cap. (%)*

−

−

−

−

−

−

−

−

−

4

P/E ratio

−

−

−

−

−

−

−

−

−

−

P/BV ratio

−

−

−

−

−

−

−

−

−

0

Dividend yield (%)

−

−

−

−

−

−

−

−

−

2

Total return index*

−

−

−

−

−

−

−

−

100.0

3

Change in total return index (%)

−

−

−

−

−

−

−

−

−

−

Gross domestic product (US$)

41,451

38,299

28,847

25,122

26,359

28,038

32,841

31,179

34,843

−

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

2.7166

2,578.00

4,035.00

8,070.00

1

Exchange rate (average of period)

−

−

−

−

−

2.6486

2,033.28

3,084.22

7,167.94

8

Local Index

IFC Global Index

Economic Data

Notes: Beginning in 1998, local market data includes both the Bucharest Stock Exchange and the RASDAQ (OTC trading The base date for the BET Index is Sept. 19, 1997=1,000. The base date for the IFCG Romania Index is Dec. 1997=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Russia Market Performance

Unfortunately, 1998 proved to be the most dismal year in the history of the Russian capital markets. The IFCI and IFCG Russia indexes plunged 84.2% and 87.4%, respectively, in dollar terms, making Russia the Russia

383

Emerging Stock Markets Factbook 1999 worst−performing emerging market for the year. The ruble−based ASPG Index plunged 41.6%. The beginning of the end actually came in the fall of 1997 when the Asian crisis triggered a global "flight to quality" from markets with uncertain macroeconomic conditions. As investors continued to withdraw from the Russian market in January, the ruble came under increasing pressure. However, central bank efforts prevented a currency devaluation, and the equity market recovered somewhat in February and early March. By late March, however, political instability caused by the dismissal of the prime minister and appointment of a new cabinet began to affect equities. The fall in world oil prices accelerated selling pressure by raising concerns about the state budget, which largely depends on oil export revenues. In the following months, oil company shares, which constitute a large majority of the Russian market, registered heavy losses. During the second quarter, investor concerns about the sustainability of the exchange rate sparked heavy selling and forced the central bank to hike interest rates to more than 100%. Ballooning yields, speculation over negotiations with the IMF for an emergency $10 billion to $15 billion package, and the hurried issuance of a low−priced Eurobond, which undermined confidence in existing Russian foreign debt, sharply undermined market sentiment.

The financial crisis reached its climax in August, effectively paralyzing the financial system and triggering deep political turmoil. A three−month moratorium on debt payments, a devaluation of the ruble of more than 50%, a halt in foreign exchange trading on MICEX, and news of debt rescheduling combined to crush the stock market, which reached the lowest level in the four year history of the Russian Trading System (RTS). The impact of the crisis was felt worldwide, but particularly across Eastern Europe. The market stayed flat in September, despite a compromise between the government and the parliament that resulted in the nomination of Yevgeny Primakov to the post of Russian prime minister. A new cabinet took almost the entire month to form and subsequently failed to present a clear anti−crisis program. Talk of nationalizing a number of industrial enterprises and even entire sectors of the economy unnerved even the most risk−hardened investors. After reaching historical lows, the market fell into complete hibernation at the end of September, with daily value traded on the RTS dropping to about $300,000. After hitting rock−bottom in mid−October, the market rose in late−October and November, as a few brave investors returned to the Russian equities, attracted by substantially undervalued equities. Daily turnover was just $1−6 million during this period—meager compared to the peak of $100 million in August 1997. Meanwhile, the government began working with foreign and local creditors on an agreement to restructure outstanding GKO (Treasury bills) obligations, which the government defaulted on in August.break

Russia

384

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Russia Index Correlation (22−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (rubles per U.S. dollar)

* 51 markets covered by EMDB Russia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

220

220

222

227

229

235

237

239

238

237

Number of Listed Companies Combined

Market Russia 1998: (Currency in Millions)

385

Emerging Stock Markets Factbook 1999 Capitalization In ruble

577,683 609,842 624,014 600,023 391,719 326,958 311,206 224,206 323,694 369,271

In U.S. dollars

95,606

100,825 102,331 97,891

63,493

52,485

49,547

22,533

20,199

22,112

In ruble

8,071

8,203

12,439

8,416

12,732

5,852

5,807

1,877

687

982

In U.S. dollars

1,336

1,356

2,040

1,373

2,064

939

925

189

43

59

Turnover ratio (%)

−

1.4

2.0

1.4

2.6

1.6

1.8

0.7

0.3

0.3

Trading Value

Local Index ASP General*

1,321.4 1,329.4 1,401.6 1,336.7 872.7

734.1

697.5

503.1

726.3

828.5

Change in index (%)

−25.4

0.6

5.4

−4.6

−34.7

−15.9

−5.0

−27.9

44.4

14.1

Number of stocks

37

37

37

37

37

37

37

37

37

37

Share of market cap. (%)*

61.9

65.6

69.4

70.9

64.9

60.8

63.9

49.5

30.5

43.5

Share of trading value (%)

93.5

94.4

92.2

93.8

62.7

95.7

95.0

94.9

91.2

96.0

P/E ratio

5.6

6.3

6.7

6.6

4.0

3.1

3.2

1.9

1.7

2.6

P/BV ratio

0.3

0.4

0.4

0.4

0.2

0.2

0.2

0.1

0.1

0.2

Dividend yield (%)

0.2

0.2

0.2

0.0

0.6

1.4

1.4

2.3

2.6

1.6

Total return index*

441.2

491.3

524.7

506.0

305.9

238.1

234.5

87.9

48.3

74.0

11.4

6.8

−3.6

−39.5

−22.2

−1.5

−62.5

−45.0

53.2

6.0485

6.0980

6.1295

6.1695

6.2295

6.2810

9.9500

16.0250 16.7000

IFC Global Index

Change in total return −30.9 index (%)

Exchange Rates Exchange rates (end of period)

6.0423

Notes: The base date for the ASP General Index is June 20, 1994=1,000. The base date for the IFCG Russia Index is Dec. calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Russia 1998: (Currency in Millions)

386

Emerging Stock Markets Factbook 1999 Russian Trading System Mr. Dmitry Ponomarev, President Chayanova St., 15/5 Moscow 125267 Russian Federation Tel: (7−095) 705−9031 Fax: (7−095) 973−4236 http://www.rtsnet.ru/ Email: [email protected]

Moscow Stock Exchange Mr. Victor Sakharov, President Miusskaja, Sq. 2/2 Moscow 125047 Russian Federation Tel: (7−095) 250−3332 Fax: (7−095) 250−1734 http://www.mse.ru

IFC Corresponden Skate−Press Consu Starokaluzhskoe Sh Office #6434, 4th f Moscow, Russian F Tel: (7−095) 784−7 Fax: (7−095) 784− http://www.skate.ru Email: info@skate.

Russia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

−

−

13

26

51

72

170

73

208

In ruble*

−

−

31,715

90,541

27,687

476,447

73,603,078 208,076,612 768,92

In U.S. dollars

−

−

244

218

18

151

15,863

37,230

128,20

In ruble*

−

−

1,817

18,981

115,853

591,744

946,129

15,188,530

94,674

In U.S. dollars

−

−

−

91

118

268

465

2,958

16,362

Turnover ratio (%)

−

−

11.5

31.1

196.0

234.8

2.6

10.8

19.4

ASP General*

−

−

−

−

−

−

−

534.5

1,772.2

Change in index (%)

−

−

−

−

−

−

−

−

231.5

−

−

−

−

−

−

25

25

37

Number of Listed Companies Combined

Market Capitalization

Trading Value

Local Index

IFC Global Index Number of stocks

Russia 1989−1998: (Currency in Millions; End of Period Levels)

387

Emerging Stock Markets Factbook 1999 Share of market cap. (%)*

−

−

−

−

−

−

−

83.4

66.4

P/E ratio

−

−

−

−

−

−

−

6.3

8.1

P/BV ratio

−

−

−

−

−

−

−

0.3

0.5

Dividend yield (%)

−

−

−

−

−

−

−

0.9

0.2

Total return index*

−

−

−

−

−

−

100.0

261.1

638.7

Change in index (%)

−

−

−

−

−

−

−

161.1

144.6

Gross domestic product 599,937 579,056 542,096 441,988 393,449 (US$)

325,918

347,664

429,643

446,98

Change in consumer price index (%)

−

−

−

215.0

131.0

21.8

11.0

Exchange rate (end of period)

−

−

130.000 415.000 1,540.000 3,160.00 4,640.00

5,589.00

5,997.5

Exchange rate (average − of period)

−

−

5,135.22

5,786.3

Economic Data

2,508.0

840.0

208.596 977.500

2,205.00 2,033.28

Notes: The base date for the ASP General Index is June 20, 1994=1,000. The base date for the IFCG Russia Index is Dec. calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. The ruble was revalued on Janua the new ruble equal to 1,000 old rubles. Saudi Arabia Market Performance

IFC's new Saudi Arabia Index performed poorly in 1998, largely because of the impact of contracting Asian economies on the oil market, crude prices plunging through much of the year, and regional political tensions putting serious downward pressure on local stock prices. The new IFCG Saudi Arabia Index, launched as a stand−alone product on August 3, closed the year with a loss of 26.8% in dollar terms. The market is currently closed to any direct foreign investment. The IFCG Index fell more than 11% in dollar terms in the first quarter, and despite several monthly gains was down 7.2% for the year at the time the daily index was launched in August. At that time, market sentiment was suffering from falling oil revenues and concerns about the stability of the riyal. International financial market turmoil, however, had a limited impact because the marketplace has very little foreign activity. Concern about King Fahd's health also detracted attention from the local market. The market's slide continued through September, again on riyal concerns, despite official statements denying any devaluation plans. Negative sentiment settled over the exchange like a cloud and continued through the rest of the year. Slight rises were seen occasionally as investors moved in to take advantage of attractively priced blue chips, but such activity proved insufficient to stave off earlier drops.

Saudi Arabia

388

Emerging Stock Markets Factbook 1999

On November 2, EMDB rebalanced the IFC indexes. Saudi Arabia joined the IFCG Composite, IFCG EMEA, and IFCG Middle East and Africa index series. The lack of foreign participation in the marketplace meant that this did not result in the "boost" seen so often when markets join the regional or composite indexes, and Saudi shares fell in November. Concern for the Saudi economy in light of the recent and continuing declines in global oil prices contributed to the sluggishness in the marketplace, as did regional tensions in the Gulf during the standoff between Iraq and U.N. weapons inspectors. Overall, sources familiar with the market indicated that the wait−and−see attitude will remain until the year−end budget and financial statements become available. On December 28, the Saudi government released an austerity budget for 1999 that significantly decreased expenditures to offset the impact of lower oil prices. The new budget cut spending by 15.8% over previous levels, but a 44 billion riyal ($11.7 billion) deficit is still being projected. According to official sources, current plans to finance the deficit do not include foreign borrowing.break

Monthly Value Traded (US$ millions)

Saudi Arabia

IFCG Saudi Arabia Index Correlation (12−month period ending 12/98)

IFCG P/E Ratio (end of month values)

389

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (riyal per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Saudi Arabia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

70

70

70

70

71

71

72

72

73

74

74

Number of Listed Companies Saudi Arabia Monetary Agency

Market Capitalization In riyal

216,951 204,561 189,954 203,384 204,960 196,219 195,202 187,364 184,159 168,777 16

In U.S. dollars

57,844

54,538

50,652

54,231

54,641

52,312

52,044

49,944

49,096

44,999

43

In riyal

3,642

4,898

6,864

7,069

7,327

4,206

2,439

2,455

3,021

3,340

2,

In U.S. dollars

971

1,306

1,830

1,885

1,953

1,121

650

655

805

890

74

Turnover ratio (%)

1.7

2.3

3.5

3.6

3.6

2.1

1.3

1.3

1.6

1.9

1.

Trading Value

Local Index Saudi Arabia 1998: (Currency in Millions)

390

Emerging Stock Markets Factbook 1999 NCFEI*

191.3

181.1

167.8

178.4

181.4

173.7

172.8

165.8

163.0

149.4

14

−5.3

−7.3

6.3

1.7

−4.3

−0.5

−4.0

−1.7

−8.3

−2

20

20

20

20

20

20

20

20

20

21

Share of market cap. 71.7 (%)*

70.4

70.0

70.6

70.2

71.1

71.3

70.6

70.4

68.6

73

Share of trading value (%)

88.3

89.3

90.1

90.1

86.7

91.1

90.0

87.3

90.0

84.2

88

P/E ratio

15.7

14.7

13.7

14.8

14.7

14.3

14.5

13.7

13.5

12.7

12

P/BV ratio

2.5

2.3

2.2

2.4

2.1

2.0

2.2

2.1

2.0

1.8

1.

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

−

Total return index*

100.3

95.2

92.9

100.5

99.5

96.5

96.6

91.6

89.8

80.7

79

Change in total return index (%)

0.3

−5.1

−2.3

8.1

−1.0

−3.1

0.2

−5.3

−1.9

−10.1

−1

3.7508

3.7502

3.7503

3.7510

3.7509

3.7507

3.7515

3.7510

3.7507

3.

Change in index (%) −2.3

IFC Global Index Number of stocks

20

Exchange Rates Exchange rates (end 3.7506 of period)

Notes: The base date for the NCFEI Index is Feb. 1985=100. The base date for the IFCG Saudi Arabia Index is Dec. 1997 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. The NCFEI Index was multiplied ten the week beginning Jan. 23, 1999. These numbers do not reflect the change.

Electronic Securities Information System Sheikh Hamad Al−Sayri, Governor Saudi Arabian Monetary Agency Governor's Office P.O. Box 2992 Riyadh, 11169 Kingdom of Saudi Arabia Tel: (966−1) 466−2000 Fax: (966−1) 463−3703

IFC Correspondent: Saudi Arabian Monet Share Control Depart P.O. Box 8683 Riyadh Kingdom of Saudi Ar Tel: (966−1) 466−242 Fax: (966−1) 466−21

Saudi Arabia 1989−1998: (Currency in Millions; End of Period Levels)

Saudi Arabia 1989−1998: (Currency in Millions; End of Period Levels)

391

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

−

−

59

60

65

68

69

70

70

7

In riyal

−

−

180,800 206,100 197,900 145,072 153,400 171,980 222,698

1

In U.S. dollars

−

−

48,213

54,960

52,773

38,686

40,907

45,861

59,386

4

In riyal

−

−

8,527

13,699

17,360

24,871

23,227

25,397

62,060

5

In U.S. dollars

−

−

2,274.0

3,653.0

4,629.0

6,632.0

6,194.0

6,773.0

16,549.0 1

Turnover ratio (%)

−

−

−

7.1

8.6

14.5

15.6

15.6

31.4

2

NCFEI*

−

−

178.8

188.9

179.3

128.2

136.8

153.1

195.8

1

Change in index (%)

−

−

−

5.6

−5.1

−28.5

6.7

11.9

27.9

−

Number of stocks

−

−

−

−

−

−

−

−

100

2

Share of market cap. (%)*

−

−

−

−

−

−

−

−

−

7

P/E ratio

−

−

−

−

−

−

−

−

−

1

P/BV ratio

−

−

−

−

−

−

−

−

−

1

Dividend yield (%)

−

−

−

−

−

−

−

−

−

5

Total return index*

−

−

−

−

−

−

−

−

100.0

7

Change in index (%)

−

−

−

−

−

−

−

−

−

−

82,997

104,670 118,035 123,204 118,515 120,168 125,688 136,529 140,374

Number of Listed Companies Saudi Arabia Monetary Agency

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

Saudi Arabia 1989−1998: (Currency in Millions; End of Period Levels)

392

−

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

1.0

2.1

4.9

−0.1

1.1

0.6

4.9

1.2

0.0

−

Exchange rate (end of period)

−

−

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3

Exchange rate (average of period)

−

−

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3.7500

3

Notes: The base date for the NCFEI Index is Feb. 1985=100. The base date for the IFCG Saudi Arabia Index is Dec. 1997 In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. The NCFEI Index was multip a factor of ten the week beginning Jan. 23, 1999. These numbers do not reflect the change. Slovakia Market Performance

The Slovakian equity market registered its worstever performance in 1998, with the koruna−based SAX Index losing 48.5% and the dollar−based IFCI and IFCG indexes falling 56.0% and 54.0%, respectively. Poor regulations, lack of transparency and inadequate protection of minority shareholders rights, along with insider trading issues held investors at bay. Failure to elect a new president at the general elections in September, skepticism about political development under the previous coalition government's leadership, and uncertainties over the direction of government programs kept investors on the sidelines. Almost 90% of market trading took place outside the exchange, and therefore transactions were often sporadic and at unanticipated prices. The absence of institutional investors also had a negative impact on a further development of the capital market. The market reached its lowest level since 1995 at the end of January, due to turbulent domestic political developments. Foreign investors avoided the market, and the downturn continued through June, with the IFCI Index losing 43.1% in U.S. dollars for the first half of 1999. Slovakia stood on the verge of a constitutional crisis during March, as President Michal Kovac stepped down with no prospect of a swift replacement. Even though the market seemed undervalued, investors steered clear to await September elections. The market advanced in July, with the IFCI Index gaining 5%, the first monthly increase. Inflated prices on very light turnover for commercial bank VUB boosted the index during the first half of July. Foreign investors later showed keen interest in steel maker VSZ, attracted by its low prices and strong half−year profits. The Slovakian market was calm throughout August, relatively unaffected by the Russian crisis. Virtually all movements in the IFCI Index were the result of predetermined prices on deals arranged through the exchange and technical corrections.

Slovakia

393

Emerging Stock Markets Factbook 1999 The downturn ensued in September, as the market was dragged down by a sharp drop in the price of VUB, following large sales abroad. In October, there were signs that investor sentiment was improving, following the dismissal of an unpopular coalition government and the election of new Premier Mikulas Dzurinda. Nevertheless, the market fell as negative news from VSZ, the second largest stock in the IFCI, reached the market. The company announced that it was unable to pay on time the interest on a $35 million syndicated loan. Equities finally reversed course in December, posting a solid 11.0% monthly gain according to the IFCI Index. Gains were attributed to positive corporate actions, such as the appointment of new company boards by both Slovakia's biggest bank Slovenska Sporitelna and VSZ. A strong performance by VUB on news of its plans to sell a stake to a foreign investor also contributed to the index gain. Despite the sometimes pessimistic investment climate of 1998, export performance improved during the year, in response to a weaker Slovak koruna. The Slovak National Bank abolished its 7% fluctuation band in October, and investors were hopeful that the currency depreciation will lead to higher profits in 1999.break

Monthly Value Traded (US$ millions)

IFCI Slovakia Index Correlation (22−month period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (koruna per U.S. dollar)

* 51 markets covered by EMDB Slovakia

394

Emerging Stock Markets Factbook 1999 Slovakia 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

867

832

833

836

838

841

834

836

835

836

83

In koruna

57,941

56,102

51,806

48,561

40,789

38,551

39,837

40,592

35,968

33,440

31

In U.S. dollars

1,632

1,603

1,458

1,407

1,182

1,097

1,147

1,148

1,035

953

85

In koruna

3,002

3,734

3,080

2,977

1,276

1,724

2,758

2,327

3,101

3,496

4,

In U.S. dollars

85

107

87

86

37

49

79

66

89

100

11

Turnover ratio (%)

4.9

6.5

5.7

5.9

2.9

4.3

7.0

5.8

8.1

10.1

12

154.8

150.1

138.9

130.7

111.8

108.0

111.3

113.5

100.8

89.4

82

−3.1

−7.4

−5.9

−14.4

−3.4

3.0

2.0

−11.2

−11.3

−7

Number of Listed Companies Bratislava Stock Exchange

Market Capitalization

Trading Value

Local Index SAX*

Change in index (%) −15.2

IFC Global Index Number of stocks

20

20

20

20

20

20

20

19

19

19

19

Share of market cap.(%)

80.7

80.0

80.3

80.0

79.3

80.1

80.4

78.7

78.9

75.0

76

Share of trading value (%)*

0.5

67.5

77.6

60.3

36.9

45.8

11.3

42.5

23.6

24.8

70

P/E ratio

14.8

13.5

12.5

11.7

9.8

−15.3

−24.6

−22.1

−18.9

−15.1

−1

P/BV ratio

0.5

0.5

0.4

0.4

0.3

0.3

0.4

0.4

0.3

0.3

0.

Dividend yield (%)

3.2

3.4

3.7

4.6

2.6

2.8

2.6

2.7

3.0

3.5

3.

Total return index*

96.1

92.9

84.8

82.3

69.7

64.4

67.8

67.5

60.8

52.5

47

−11.9

−3.3

−8.7

−3.0

−15.3

−7.6

5.3

−0.4

−10.0

−13.6

−1

Slovakia 1998: (Currency in Millions)

395

Emerging Stock Markets Factbook 1999 Change in total return index (%)

Exchange Rates

Exchange rates (end 35.5040 35.0060 35.5360 34.5050 34.4950 35.1340 34.7190 35.3500 34.7630 35.0780 36 of period)

Notes: The base date for the SAX Index is Dec. 1992=100. The base date for the IFCG Slovakia Index is Dec. 1995=100. share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: CA IB, a.s. Dubravska, SK−8170 Bratislava, SK−81703 Slovak Republic Tel: (421−7) 593−313 Fax: (421−7) 743−41

OTC Exchange The Bratislava Stock RM−System Exchange Zamocke schody 2/A Marian Sasik, Secretary 810 00 Bratislava 1 General Slovak Republic Vysoka 17 Tel: (421−7) 593−29211 P.O. Box 151 Fax: (421−7) 593−29218 Bratislava, 814−99 http://www.rms.sk/indexe.htm Slovak Republic Tel: (421−7) 492−56111 Fax; (421−7) 492−36103 http://www.bsse.sk/eindex.htm/ Slovakia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

18

18

816

872

837

In koruna

−

−

−

−

−

34,191

36,590

69,605

63,742

35,547

In U.S. dollars

−

−

−

−

−

1,093

1,235

2,182

1,826

965

Number of Listed Companies Bratislava Stock Exchange

Market Capitalization

Trading Value

Slovakia 1989−1998: (Currency in Millions; End of Period Levels)

396

Emerging Stock Markets Factbook 1999 In koruna

−

−

−

−

−

3,839

24,730

71,158

72,954

36,564

In U.S. dollars

−

−

−

−

−

120.0

832.0

2,321.0 2,165.0 1,037.0

Turnover ratio (%)

−

−

−

−

−

−

69.9

134.0

109.4

73.7

SAX*

−

−

−

100.0

109.6

214.3

153.8

179.0

182.5

94.0

Change in index (%)

−

−

−

−

9.6

95.6

−28.2

15.8

2.0

−48.5

Number of stocks

−

−

−

−

−

−

20

20

20

19

Share of market cap. (%)*

−

−

−

−

−

−

−

82.7

82.8

75.2

P/E ratio

−

−

−

−

−

−

−

8.5

16.0

−174.2

P/BV ratio

−

−

−

−

−

−

−

0.5

0.5

0.3

Dividend yield (%)

−

−

−

−

−

−

−

−

2.9

3.3

Total return index*

−

−

−

−

−

−

100.0

119.2

109.1

51.4

Change in index (%)

−

−

−

−

−

−

−

19.2

−8.5

−52.9

Gross domestic product 17,702 15,444 10,837 11,742 11,984 13,766 (US$)

17,401

18,752

19,461

−

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

31.2770 29.6280 31.8950 34.9000 36.8250

Exchange rate (average − of period)

−

−

−

−

32.0390 29.7350 30.6597 33.7022 35.2672

Local Index

IFC Global Index

Economic Data

Notes: The base date for the SAX Index is Dec. 1992=100. The base date for the IFCG Slovakia Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Slovenia Market Performance

The Slovenian stock market turned in the strongest performance in Eastern Europe in 1998, with the SBI Index jumping 21.4% in local currency terms and the IFCG Slovenia Index surging 15.4% in dollars. As one of the Slovenia

397

Emerging Stock Markets Factbook 1999 front−runners for membership in the European Union, Slovenia continued to enjoy solid economic growth and a stable government throughout 1998. Share prices rose steadily in the first half of the year, with the IFCG Index gaining 22.9% in dollar terms. The market benefited from steady demand for pharmaceutical companies, such as Lek and Krka. These companies accounted for almost 70% of the market's trading activity. These stocks attracted foreign investors because they were seen as attractive relative to similar companies in Central and Eastern Europe. On April 6, trading of Lek was suspended after its shares surged past the daily fluctuation limit of 30%. On April 10, however, the exchange abolished its rule that halts trading on an equity whose price moves 30% up or down. Also heavily traded in April and May was resort and mineral water company Radenska, which rose amid speculation of a takeover. Equities edged down in June as investors awaited semiannual results and a joint action by Slovenian banks, which agreed to lower interest rates by one to one−and−half percentage points in July. The lower rates sparked buying, and a rally ensued in July. Domestic retail and institutional investors pulled funds out of the debt market, and the result was a fresh inflow of capital into the stock market. Faced with a limited supply of shares, stock prices quickly surged to an all−time high. The rally came to an end in late July amid profit−taking and news of a significant drop in half−year profits of petrol trader Petrol.

Shares entered a free−fall in mid−August as Petrol and drug makers Krka and Lek—companies with significant market shares in Russia—suffered losses from the Russian financial crisis. The selloff continued with the IFCG Index losing 19.7% in local currency from the July pinnacle through November. Pharmaceutical stocks were particularly hard hit. Turnover remained low, and even the occasional upswing was short−lived. In October, Slovenia's central bank tightened portfolio investment rules requiring foreign investors to wait seven years before selling Slovenian securities back to domestic investors. The measure helped cushion the impact of the Russian crisis, which was felt much harder elsewhere in Eastern Europe. Participation of foreign capital, however, has been limited by imposed regulations. Foreign participation in the stock exchange trading in 1998 amounted to only 15%. As the impact of the Russian crisis began to fade, equities reversed the trend and finished December with gains as investors balanced their books before year's end.break

Slovenia

398

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCG Solvenia Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (tolars per U.S. dollar)

* 51 markets covered by EMDB Slovenia 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

27

27

27

27

27

27

27

27

26

Number of Listed Companies Ljubljana Stock Exchange

27

Market Capitalization

Slovenia 1998: (Currency in Millions)

399

Emerging Stock Markets Factbook 1999 In tolar

291,569.7 307,077.0 342,005.5 351,211.0 352,532.3 354,504.3 396,440.7 368,403.0 363,256.6 341,4

In US dollars

1,707.5

1,786.1

1,986.6

2,086.6

2,115.9

2,090.5

2,364.0

2,178.2

2,298.0

2,183

In tolar

2,943.1

7,521.0

12,296.1

5,420.6

4,450.2

8,300.4

11,640.0

15,377.8

10,743.8

5,035

In US dollars

17.2

43.7

71.4

32.2

26.7

48.9

69.4

90.9

68.0

32.2

Turnover ratio (%)

0.0

2.5

3.8

1.6

1.3

2.3

3.1

4.0

2.9

1.4

SSEI*

1,415.5

1,484.1

1,629.2

1,672.0

1,672.0

1,679.6

1,891.3

1,780.4

1,758.2

1,654

Change in index (%)

4.8

4.8

9.8

2.6

0.0

0.4

12.6

−5.9

−1.3

−5.9

Number of stocks

15

15

15

15

15

15

15

15

15

15

Share of market cap. (%)*

86.7

87.1

88.6

88.0

87.3

86.9

87.2

85.5

85.6

85.4

Share of trading value (%)

90.5

90.3

95.4

93.1

87.5

87.2

89.1

92.3

93.3

89.0

P/E ratio

19.8

21.0

23.8

24.0

21.0

20.9

23.4

18.2

310.0

307.6

P/BV ratio

0.9

1.0

1.1

1.1

1.1

1.1

1.2

1.1

1.1

1.0

Dividend yield (%)

1.2

1.1

1.0

1.0

1.0

1.3

1.2

0.3

0.3

0.3

Total return 119.1 index*

125.7

143.0

149.2

150.4

147.8

167.5

150.0

152.2

143.6

Change in total return index (%)

5.5

13.8

4.3

0.8

−1.7

13.3

−10.4

1.4

−5.6

Trading Value

Local Index

IFC Global Index

−0.6

Exchange Rates Exchange rate (end of period)

170.7550 171.9276 172.1558 168.3539 166.6136 169.5777 167.6994 169.1356 158.0773 156.3

Slovenia 1998: (Currency in Millions)

400

Emerging Stock Markets Factbook 1999

Notes: The base date for the SSE Index is Dec. 1993=1,000. The base date for the IFCG Slovenia Index is Dec. 1995=100. In calculating share of total market cap, IFC holdings.

Ljubljana Stock Exchange, Inc. Mr. Drasko Veselinovic, President & CEO

IFC Correspondent: CA IB Securities

Mr. Tomaz Rotar, Vice President & CCO Slovenska C.56 Ljubljana, 61000 Slovenia Tel: (386−61) 171−0211 Fax: (386−61) 171−0213 http://www.ljse.si/html/eng/kazalo.html

Kotrikova 5 Ljubljana Slovenia Tel: (386−61) 132−117 Fax: (386−61) 133−20

Slovenia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1

−

−

−

−

16

25

17

21

26

2

In tolar

−

−

−

−

−

75,590.0 39,188.1 93,173.5 271,663.3 3

In US dollars

−

−

−

−

−

594.6

In tolar

−

−

−

−

−

47,108.1 40,436.8 54,380.5 56,229.7

1

In US dollars

−

−

−

−

−

365.7

344.8

401.3

351.9

7

Turnover ratio (%)

−

−

−

−

−

−

70.5

82.2

30.8

3

SSEI*

−

−

−

−

1,000.0

1,396.8

1,448.8

1,183.3

1,404.7

1

Change in index (%)

−

−

−

−

−

39.7

3.7

−18.3

18.7

2

Number of Listed Companies Ljubljana Stock Exchange

Market Capitalization

311.0

663.2

1,624.7

2

Trading Value

Local Index

Slovenia 1989−1998: (Currency in Millions; End of Period Levels)

401

Emerging Stock Markets Factbook 1999 IFC Global Index Number of stocks

−

−

−

−

−

−

10

10

15

1

Share of market cap. (%)*

−

−

−

−

−

−

93.1

74.4

91.8

7

P/E ratio

−

−

−

−

−

−

−

12.7

18.7

2

P/BV ratio

−

−

−

−

−

−

−

0.9

0.9

1

Dividend yield (%)

−

−

−

−

−

−

−

3.2

1.2

0

Total return index*

−

−

−

−

−

−

100.0

107.0

119.9

1

Change in total return index (%)

−

−

−

−

−

−

−

7.0

12.1

1

Gross domestic product (US$)

−

−

12,660

12,521

12,678

14,387

18,746

18,853

18,201

−

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

127.1292 125.9902 140.4998 167.2076 1

Exchange rate(average of − period)

−

−

−

−

128.8000 117.2600 135.4983 159.7794 1

Economic Data

Notes: The base date for the SSE Index is Dec. 1993=1,000. The base date for the IFCG Slovenia Index is Dec. 1995=100 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. South Africa Market Performance

South African equities registered disappointing results in 1998 as both currency and equity returns exemplified the market's turmoil. For the year, the IFCI and IFCG indexes registered declines of 30.3% and 30.5%, respectively, in dollar terms, while the Johannesburg Stock Exchange's All−Share Index fell 12.4% in rand. During the same period, the All−Gold Index gained 8.7% as weakness in the rand boosted revenues from dollar−denominated bullion sales. For the year, the rand dropped 17.2% against the dollar. The first four months of the year proved to be a misleading prognostication for the rest of 1998 as South African equity prices steadily climbed, bolstered by stronger world markets and increases in the price of gold. In April, the release of favorable producer price statistics added to the market's positive sentiment and brought turnover to near record levels. Gold shares also continued to be a prime driver of the market as firmer bullion prices and favorable quarterly results from several mining houses lifted share prices. In May, the local exchange finally began to retreat as the declining rand, higher short−term interest rates, worries over financial troubles in Asia, and weakness in major world equity markets helped depress South African share South Africa

402

Emerging Stock Markets Factbook 1999 prices. Industrial and financial shares drifted mostly lower at the start of the month on concerns surrounding the possibility of higher U.S. interest rates and because of the effects of the continuing economic crisis in Asia. Gold shares also slid as bullion prices fell below the important $300−an−ounce level.

By the start of the third quarter, a weak supply of foreign currency reserves left the government unable to ward off increasing pressure on the rand, causing speculators to take profits. The central bank continued to tinker with overnight repurchase rates throughout July, only to induce more pessimism over the short−term future of South African stocks. News that Labor Minister Tito Mboweni had been appointed the nation's next central bank governor, replacing Chris Stals in August 1999, shook the market in the first week of July. Initial reaction to the appointment proved to be negative, as the perception of Mboweni's lack of financial experience sent bond and currency markets into a downward frenzy. The rand took the biggest hit with the news, falling to an all−time low against the dollar. The market drifted higher in the fourth quarter, rebounding from a miserable August when South African stocks felt the pressure of a prevailing global market deterioration that plunged the local market to a 42−month low. With a slower−than−expected rise in the September producer price index, as well as the U.S. Federal Reserve's announcement of a less−than−expected increase in the broad M3 money supply, JSE equities fought for some strong results. However, despite some late rallies in the market during December, the Johannesburg Stock Exchange was unable to pare back all of its early losses, ending the year with a disappointing performance.break

Monthly Value Traded (US$ millions)

South Africa

IFCI South Africa Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

403

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (rand per U.S. dollar)

* 51 markets covered by EMDB South Africa 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

639

642

645

648

651

649

653

659

661

Number of Listed Companies Johannesburg Stock Exchange

638

Market Capitalization In rand

1,133,451 1,296,130 1,389,884 1,519,439 1,411,550 1,275,413 1,324,010 1,286,056 956,557 1,081,

In U.S. dollars

229,583

262,295

275,825

300,492

273,768

216,539

215,637

200,155

162,680 192,73

In rand

18,330

20,651

28,524

30,711

28,807

31,525

34,141

28,785

26,643

27,814

In U.S. dollars

3,713

4,179

5,661

6,074

5,587

5,352

5,560

4,480

4,531

4,958

Turnover ratio (%)

1.6

1.7

2.1

2.1

2.0

2.3

2.6

2.2

2.4

2.7

Trading Value

Local Index

South Africa 1998: (Currency in Millions)

404

Emerging Stock Markets Factbook 1999 JSE Overall*

6,550.3

7,095.7

7,578.9

8,235.5

7,629.6

6,772.0

7,020.0

4,923.0

5,098.6 5,828.

Change in index (%)

5.6

8.3

6.8

8.7

−7.4

−11.2

3.7

−29.9

3.6

14.3

Number of stocks

78

77

77

76

75

72

71

70

70

67

Share of market cap. (%)*

57.6

53.7

53.5

54.2

53.0

52.0

51.2

37.8

53.6

53.4

Share of 64.8 trading value (%)

56.0

56.2

58.7

50.6

53.4

54.8

51.4

61.9

60.1

P/E ratio

11.7

12.3

13.3

14.6

12.5

10.5

10.5

7.8

9.1

10.4

P/BV ratio

1.7

1.8

2.0

2.1

1.8

1.6

1.6

1.2

1.2

1.5

Dividend yield (%)

2.3

2.1

2.2

1.9

2.0

2.5

2.5

3.7

3.6

3.3

Total return index*

218.9

234.9

247.7

270.0

238.3

183.2

180.3

121.0

138.8

169.2

Change in total return index (%)

5.7

7.3

5.4

9.0

−11.8

−23.1

−1.6

−32.9

14.7

21.9

4.9370

4.9415

5.0390

5.0565

5.1560

5.8900

6.1400

6.4253

5.8800

5.6100

IFC Global Index

Exchange Rates Exchange rates (end of period)

Notes: The base date for the JSE All−Share Index is Jan. 1960=100. The base date for the IFCG South Africa Index is Dec. 1992=100. In calculating share of total mark adjusted for cross holdings.

Johannesburg Stock Exchange Mr. R.M. Loubser, Executive President

IFC Correspondent: HSBC Simpson McK

P.O. Box 1174 Johannesburg, 2000 South Africa Tel: (27−11) 377−2200 Fax: (27−11) 834−7402 http://www.jse.co.za

HSBC Place G−9 Riviera Road Houghton, Johannesb South Africa Tel: (27−11) 481−420 Fax: (27−11) 646−83

South Africa 1998: (Currency in Millions)

405

Emerging Stock Markets Factbook 1999 South Africa 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

748

732

688

683

647

640

640

626

642

Number of Listed Companies Johannesburg Stock Exchange

Market Capitalization In rand

332,367 350,726 462,187 501,324 737,632 919,802 1,022,656 1,129,949 1,129,362

In U.S. dollars

131,060 137,540 168,497 103,537 171,942 225,718 280,526

241,571

232,069

In rand

18,607

21,130

22,231

22,134

44,077

70,104

63,237

117,099

206,838

In U.S. dollars

7,095

8,158

8,051

7,767

13,049

15,607

17,048

27,202

44,893

Turnover ratio (%)

1.6

6.2

5.5

4.6

7.1

8.5

6.5

10.9

18.3

Trading Value

Local Index JSE Overall*

2,976.0 2,719.7 3,440.3 3,259.0 4,893.0 5,867.0 6,228.0

6,657.5

6,202.3

Change in index (%)

50.0

−8.6

26.5

−5.3

50.1

19.9

6.2

6.9

−6.8

−

−

−

62

63

63

65

63

78

Share of market cap. (%)* −

−

−

58.1

62.7

61.1

58.0

54.4

54.0

P/E ratio

−

−

−

13.2

17.3

21.3

18.8

16.3

10.8

P/BV ratio

−

−

−

1.4

1.8

2.6

2.5

2.3

1.6

Dividend yield (%)

−

−

−

−

−

2.2

2.3

2.7

2.5

Total return index*

−

−

−

100.0

182.4

239.5

282.1

233.9

207.1

Change in index (%)

−

−

−

−

82.4

31.3

17.8

−17.1

−11.5

IFC Global Index Number of stocks

Economic Data

South Africa 1989−1998: (Currency in Millions; End of Period Levels)

406

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

91,753

106,682 112,309 119,850 116,998 121,444 133,613

126,238

129,094

Change in consumer price index (%)

14.7

14.4

15.3

13.9

9.7

9.0

8.6

7.4

8.5

Exchange rate (end of period)

2.5360

2.5500

2.7430

4.8420

4.2900

4.0750

3.6455

4.6775

4.8665

Exchange rate (average of period)

2.6227

2.5900

2.7613

2.8498

3.3779

4.4918

3.7094

4.3048

4.6074

Notes: The base date for the JSE All−Share Index is Jan. 1960=100. The base date for the IFCG South Africa Index is Dec 1992=100. The exchange rates shown prior to 1992 are for the commercial rand. Between 1992 and 1994, the financial ran reported. South Africa abolished its dual exchange−rate regime in March 1995. In calculating share of total market cap, IF market cap is not adjusted for cross holdings. Statistics for "number of listed companies," "market capitalization" and "trad value" include listed foreign comanies and domestic closed−end investment companies. "Turnover ratio" excludes arbitrag Sri Lanka Market Performance

Sri Lankan equities fell prey to the subcontinent's nuclear arms race, after India and Pakistan each detonated their own nuclear devices. Although the market picked up significantly at the end of the year, it was not enough to bring Sri Lankan equities into positive territory. For 1998, the dollar−based IFCI and IFCG Sri Lanka indexes fell 29.2% and 20.9%, respectively, while the rupee−based Colombo Stock Exchange (CSE) Sensitive Index shed 13.6%. The rupee depreciated 9.8% vis−à−vis the dollar. Sri Lankan equities started the new year on a bullish note as both foreign and local institutions bought into the market following good end−quarter 1997 earnings results. Foreign institutional investors remained interested in the market, thanks to the listing of nine plantation issues. The earnings results and new listings proved a fruitful combination for the quarter, and the IFCI Index finished the period with a 5.1% gain, while the Sensitive Index ended 4.1% higher. Persistent interest in plantation issues catapulted Sri Lankan equities to the best gains in Asia for April (up 13.2% in IFCI terms). Unfortunately, the remainder of the second quarter was marred by separate nuclear tests conducted by Sri Lanka's neighbors, India and Pakistan. Despite strong corporate fundamentals for Sri Lankan equities across the board, foreign investors opted for the sidelines until the full effects of sanctions imposed on India and Pakistan could be fully gauged. Second−quarter results were a dismal 35.7% loss for the IFCI Index, while the CSE Sensitive Index was better insulated from a 4.5% depreciation of the rupee and shed 24.2%.

Sri Lanka

407

Emerging Stock Markets Factbook 1999

Despite a solid 10.8% rise in IFCI terms in July, thanks to strong dividend payouts by plantation stocks, third−quarter returns were clearly still on a downward path. The July gains were quickly erased following the continuing turmoil in Asia as well as the financial problems affecting Russia. For the quarter, the IFCI Index lost 18.8%, while the CSE Sensitive Index posted a milder loss of 15.6%. Sri Lankan investors actively participated in the end−year buying wave that swept across Southeast Asia as local and foreign investors returned to the market, seeking attractively priced blue chips, banks, and plantation issues. Plantation issues remained in the spotlight after a 4.4% rise in tea exports was reported for the first eight months of the year. Sri Lankan equities ended the fourth quarter with a 29.1% gain on the dollar−based IFCI Index, while the rupee−based CSE Sensitive Index fared slightly better with a 29.9% surge. For the period, the rupee lost an additional 3.6% against the dollar. In regulatory news, the government launched a $2.3 million Settlement Guarantee Fund to boost investor confidence. The fund will guarantee settlement of trades among clearing members of the Central Depository System of the Colombo Stock Exchange under the current six−day settlement period.break

Monthly Value Traded (US$ millions)

Sri Lanka

IFCI Sri Lanka Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

408

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (rupee per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Sri Lanka 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

N

239

239

240

240

241

243

233

233

233

233

23

Number of Listed Companies Colombo Stock Exchange

Market Capitalization In rupee

122,339 128,880 134,766 147,885 129,699 111,121 114,420 96,190

97,271

97,312

11

In U.S. dollars

1,965

2,086

2,159

2,336

1,998

1,699

1,736

1,449

1,474

1,451

1,

In rupee

1,398

1,698

1,497

1,796

2,800

1,979

1,563

1,297

935

724

1,

In U.S. dollars

22.0

27.0

24.0

28.0

43.0

30.0

24.0

20.0

14.0

11.0

27

Turnover ratio (%)

1.1

1.3

1.1

1.3

2.0

1.6

1.4

1.2

1.0

0.7

1.

Trading Value

Local Index Sri Lanka 1998: (Currency in Millions)

409

Emerging Stock Markets Factbook 1999 CSE Sensitive*

1,016.4 1,075.9 1,111.5 1,236.6 1,024.1 842.0

Change in index (%) −4.8

893.5

701.0

710.6

723.1

88

5.8

3.3

11.3

−17.2

−17.8

6.1

−21.5

1.4

1.8

21

50

50

50

50

50

50

50

50

50

51

Share of market cap. 65.2 (%)*

65.7

65.1

65.8

67.1

65.3

65.8

62.6

63.4

63.9

67

Share of trading value (%)

78.2

78.6

88.7

64.7

51.8

65.7

63.0

52.6

67.3

77.9

90

P/E ratio

11.1

11.8

12.1

11.6

10.2

8.3

8.9

7.1

6.8

6.9

8.

P/BV ratio

1.3

1.4

1.4

1.5

1.3

1.0

1.1

0.9

0.9

0.9

1.

Dividend yield (%)

2.8

2.5

2.7

2.6

3.0

4.2

4.1

5.6

5.2

5.0

4.

Total return index*

94.9

101.6

104.6

115.3

94.8

79.1

81.6

65.2

67.4

67.2

80

Change in total return index (%)

−5.9

7.1

2.9

10.2

−17.8

−16.6

3.2

−20.0

3.4

−0.4

20

IFC Global Index Number of stocks

50

Exchange Rates

Exchange rates (end 62.2500 61.7700 62.4300 63.3050 64.9300 65.4000 65.9250 66.3850 65.9850 67.0750 67 of period)

Notes: The base date for the CSE Sensitive Index is Jan. 1985=100. The base date for the IFCG Sri Lanka Index is Dec. 19 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Colombo Stock Exchange Mr. Rienzie T. Wijetilleke, Chairman Mr. Hiran Mendis, Director General 04−01, West Block World Trade Centre, Echelon Square Colombo 1, Sri Lanka Tel: (94−1) 446−581, 445−280 Fax: (94−1) 445−279 http://www.lanka.net/lisl2/yellow/stocks

IFC Corresponent: Eagle NDB Fund Ma Ltd. 163, Union Place Colombo 02 Sri Lanka Tel: (94−172) 288−80 Fax: (94−172) 288−8

Sri Lanka 1989−1998: (Currency in Millions; End of Period Levels)

Sri Lanka 1989−1998: (Currency in Millions; End of Period Levels)

410

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

176

175

178

190

200

215

226

235

239

233

In rupee

17,087

36,880

82,700

66,200

123,790 143,213 106,869 104,848 129,428 116,665

In U.S. dollars

427

917

1,936

1,439

2,498

2,884

1,998

1,848

2,096

1,705

In rupee

256

1,563

4,302

4,969

18,579

34,522

11,249

7,403

18,314

18,207

In U.S. dollars

7.0

39.0

104.0

114.0

385.0

700.0

221.0

134.0

311.0

281.0

Turnover ratio (%)

1.6

5.8

7.2

6.7

19.6

25.9

9.0

7.0

15.6

14.8

CSE Sensitive*

341.7

680.3

1,198.6 826.6

1,442.4 1,438.8 990.5

897.7

1,068.0 923.0

Change in index (%)

98.2

99.1

76.2

−31.0

74.5

−0.3

−31.2

−9.4

19.0

−13.6

Number of stocks

−

−

−

29

30

32

41

47

50

51

Share of market cap. (%)*

−

−

−

57.7

58.7

59.3

62.5

64.1

65.1

67.0

P/E ratio

−

−

−

−

27.8

17.6

8.2

9.7

11.7

7.7

P/BV ratio

−

−

−

−

4.2

2.8

1.4

1.2

1.3

1.1

Dividend yield (%)

−

−

−

−

1.6

1.7

3.0

3.1

2.6

4.5

Total return index*

−

−

−

100.0

165.4

164.8

102.3

90.8

100.8

83.4

Change in index (%)

−

−

−

−

65.4

−0.4

−37.9

−11.2

11.0

−17.3

6,997

8,025

8,994

9,712

10,343

11,722

13,017

13,890

15,093

−

Number of Listed Companies Colombo Stock Exchange

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

Sri Lanka 1989−1998: (Currency in Millions; End of Period Levels)

411

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

11.6

21.5

12.2

11.4

11.7

8.4

7.7

15.9

9.6

−

Exchange rate (end of period)

40.0000 40.2400 42.7138 46.0000 49.5600 49.6650 53.5000 56.7300 61.7500 68.4300

Exchange rate (average 37.3858 40.0692 41.5084 43.6870 48.2626 49.3288 50.7864 55.2645 58.9484 64.8311 of period)

Notes: The base date for the CSE Sensitive Index is Jan. 1985=100. The base date for the IFCG Sri Lanka Index is Dec. 1992=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Taiwan, China Market Performance

Shares at the Taiwan Stock Exchange ebbed during 1998 in response to constricted demand for export−oriented high−technology stocks and the destabilizing ripple effects from the Asian financial crisis. The IFCI Taiwan, China Index fell 17.9% in U.S. dollar terms, and the NT dollar was resilient, gaining 1.4%. When S&P reaffirmed the island economy's AA+ rating in June, foreign reserves exceeded total short−term debt by three to one. Foreigners own less than 4% of market capitalization, with the legal limit for 1998 at 30%. Most of the selling pressure came from local institutions and retail investors. Retail investors are responsible for approximately 80% of trading volume. A stronger NT dollar, positive performance in trend−setting computer shares, and confidence that the regional crisis had reached its climax heaved the market higher in the first two months. In addition, the positive performance of computer stocks listed on the U.S. Nasdaq Stock Exchange reassured investors that local electronic companies would show steady profit growth. As the economic outlook deteriorated and contagion effects from the region mounted in the next two quarters, investors unloaded jittery computer shares and the IFCI Index plunged 34.4%. Bank stocks fell on record losses in Asian investments and deteriorating loan quality. Companies scaled back local investments, as high interest rates throughout the region stymied growth and reduced demand for locally made products. TSMC, the world's largest chipmaker, reported that profits in the second quarter tumbled 46% from the first quarter, raising fears that the tech sector would be severely bruised by the Asian crisis. Similarly, International Data Corp. posted a decrease in the value of computer sales in Asia—except in Japan—by 29% during the first quarter. Political upheaval in Indonesia and atomic tests in India and Pakistan fed the weak prognosis. In August, Russia's move toward devaluing the ruble and suspension of payments on foreign loans roiled the market further. Weakness in the Japanese yen, which sank to an eight−year low of 147.14 on August 11, mounted competition against the island's exports. By September, the Ministry of Finance was determined to resist block speculation and tightened rules governing short−selling, instituting a "tick rule" similar to Hong Kong's to prevent short sellers from aggravating index declines.

Taiwan, China

412

Emerging Stock Markets Factbook 1999

The market rebounded 8% in IFCI Index terms during the last quarter, as foreigners became more active. Foreign investors took their cue from regional market rallies, a revival in Asian portfolio investments, and rises in U.S. high−technology stocks. Computer shipments to the U.S. rose 15% in the third quarter, compared to the previous year. Moreover, preliminary data showed real GDP growth for the year was 4.8%, admirable compared to many Asian economies. Undermining the rebound was a less enthusiastic reception from local participants, who responded with caution to a spate of stock payment defaults. Stock payment defaults totaling US$30.8 million in November sent prices reeling and forced the government to create a $8.7 billion fund to stabilize financial markets. Although the fund for official share purchases and liquidity assistance to companies contained the damage and fueled a 12% rise in the local TAIEX Index through the December 12 elections, it aroused concern about the frail health of several financial firms. The ruling Nationalist Party won 55% of the parliament's directly elected seats in December, compared with 51% in the outgoing chamber.break

Monthly Value Traded (US$ millions)

Taiwan, China

IFCI Taiwan, China Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

413

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (NT dollars per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Taiwan, China 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

O

405

408

411

412

416

416

419

421

42

Number of Listed Companies Taiwan Stock Exchange

405

Market Capitalization In New Taiwan dollars

9,699,670 11,097,464 11,037,215 10,067,556 9,441,001 8,468,495 8,617,548 7,811,208 8,451,568 9,

In U.S. dollars

284,882

345,974

335,814

305,313

277,881

246,460

250,765

224,106

245,867

28

Trading Value In New Taiwan dollars

1,453,174 4,526,848

3,647,688

2,879,608

2,172,185 2,639,282 2,594,260 1,792,767 2,043,773 1,

In U.S. dollars

42,680

141,129

110,983

87,328

63,935

76,812

75,491

51,435

59,456

58

Turnover ratio (%)

15.2

43.5

33.0

27.3

22.3

29.5

30.4

21.8

25.1

21

Taiwan, China 1998: (Currency in Millions)

414

Emerging Stock Markets Factbook 1999 Local Index TAIEX*

8,085.5

9,202.6

9,091.2

8,304.2

7,903.3

7,548.8

7,653.5

6,550.1

6,833.9

7,

Change in index (%)

−1.2

13.8

−1.2

−8.7

−4.8

−4.5

1.4

−14.4

4.3

4.

98

98

98

98

98

98

98

98

98

98

Share of 57.1 market cap. (%)*

57.2

55.6

55.3

55.7

57.9

57.9

54.1

53.3

51

Share of trading value (%)

42.9

50.7

43.7

42.0

36.7

38.5

34.7

32.6

41.4

44

P/E ratio

28.2

32.3

31.3

28.4

26.8

25.0

23.5

19.9

20.8

22

P/BV ratio

3.0

3.4

3.3

3.0

2.8

2.6

2.6

2.2

2.4

2.

Dividend yield (%)

0.7

0.6

0.6

0.7

0.8

0.8

0.7

0.8

0.8

0.

Total return 970.3 index*

1,181.8

1,117.9

1,005.8

910.0

835.7

849.5

706.4

760.5

85

Change in total return index (%)

−5.3

21.8

−5.4

−10.0

−9.5

−8.2

1.6

−16.8

7.7

12

34.0480

32.0760

32.8670

32.9745

33.9750

34.3605

34.3650

34.8550

34.3745

32

IFC Global Index Number of stocks

Exchange Rates Exchange rates (end of period)

Notes: The base date for the TAIEX (Taiwan Stock Exchange Capitalization Weighted Stock Index) is 1966=100. The base date for the IFCG Taiwan, China Index is D total market cap, IFCG market cap is not adjusted for cross holdings.

Taiwan Stock Exchange Co. Mr. C.Y. Lee, Chairman

IFC Corresponde Wellphone Securit

10F, City Building #85 Yen−Ping S. Road Taipei Taiwan, Republic of China Tel: (886−2) 2348−5678 Fax: (886−2) 2348−5232 http://www.tse.com.tw

No. 1 Section 2 Nanking E. Road Taipei Taiwan, Republic Tel: (886−2) 581− Fax: (886−2) 563−

Taiwan, China 1998: (Currency in Millions)

415

Emerging Stock Markets Factbook 1999 Taiwan, China 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

19

181

199

221

256

285

313

347

382

40

In New Taiwan dollars

6,174,164

2,681,911

3,184,028 2,545,302 5,145,410 6,501,682

5,108,292

7,524,211

9,

In U.S. dollars

237,012

100,710

124,864

187,206

273,608

28

Number of Listed Companies Taiwan Stock Exchange

Market Capitalization

101,124

195,198

247,325

Trading Value In New Taiwan dollars

25,407,964 19,031,282 9,682,738 5,995,748 9,056,716 18,812,112 10,151,198 12,907,589 37

In U.S. dollars

965,840

715,005

365,232

240,667

346,487

711,346

383,099

470,193

1,

Turnover ratio (%)

531.7

429.8

330.1

209.3

235.5

323.1

174.9

204.4

44

9,624.2

4,530.2

4,600.7

3,377.1

6,070.6

7,124.7

5,173.7

6,933.9

8,

−52.9

1.6

−26.6

79.8

17.4

−27.4

34.0

18

70

70

70

78

92

93

90

98

Share of market cap. 62.1 (%)*

81.7

66.5

59.8

63.9

64.8

60.4

61.0

59

P/E ratio

53.6

25.0

22.3

16.6

34.7

36.8

21.4

28.2

28

P/BV ratio

10.8

4.0

3.3

2.1

3.9

4.4

2.7

3.3

3.

Dividend yield (%)

0.6

0.0

0.9

1.8

0.8

0.7

1.2

0.9

0.

Total return index*

1,407.1

690.8

686.6

503.7

952.2

1,166.2

808.7

1,110.8

1,

−50.9

−0.6

−26.6

89.0

22.5

−30.7

37.4

−7

Local Index TAIEX*

Change in index (%) 88.0

IFC Global Index Number of stocks

62

Change in index (%) 100.0

Taiwan, China 1989−1998: (Currency in Millions; End of Period Levels)

416

Emerging Stock Markets Factbook 1999

Economic Data Gross domestic product (US$)

149,159

160,155

179,404

212,116

222,629

241,014

260,213

272,325

28

Change in consumer 4.4 price index (%)

4.1

3.6

4.5

2.9

4.1

3.7

3.1

0.

Exchange rate (end of period)

26.0500

26.6300

25.5000

25.1700

26.3600

26.2880

27.2870

27.5000

32

Exchange rate (average of period)

26.3066

26.6170

26.5112

24.9130

26.1387

26.4458

26.4976

27.4517

28

Notes: The base date for the TAIEX (Taiwan Stock Exchange Capitalization Weighted Stock Index) is 1966=100. The bas Taiwan, China Index is Dec. 1984=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross Thailand Market Performance

Thailand stocks recovered from a four−year downtrend in 1998, becoming the second−best−performing Asian market behind Korea. Despite a recession, the IFCI Thailand Index rose 34.3% in dollars in response to a stronger baht and consolidation in the financial sector. The market recouped barely half of 1997's IFCI Index losses because regional economic malaise hindered growth, as reflected by an approximate 8% reduction in GDP. The stronger baht set off a first−quarter rally, and the IFCI Index rose 62.6% in dollars, while the currency rose to 39.3 baht from 48.2 against the dollar in December 1997. A decision by the central bank to dismantle a two−tiered baht exchange market on January 30 stimulated demand among foreign investors. The government eliminated different onshore and offshore rates, in line with the stipulations for reform under the IMF's $17.2 billion emergency credit line in 1997. The IFCI Index plunged 48.0% in the second quarter, as the baht slid back to 42.3 and interest rates remained at six−year highs of approximately 13%. The higher servicing cost of foreign−denominated debt and concern that steep interest rates would trigger bankruptcies battered bank stocks. The central bank ordered banks to recapitalize to boost reserves to cover loan defaults, but as companies competed for limited funds, prices plummeted further. Regional factors added impetus, with tensions on the Indonesia political front in May and concern about economic slowdowns in Hong Kong and Malaysia combining to force stocks lower. Because Asia receives more than 50% of Thai exports, pessimism that the Thai economic recovery would be delayed was pervasive. Export−oriented firms that had bucked the decline no longer benefited from the cheaper Thai baht as regional currencies weakened. In positive news, many companies returned a profit for the first quarter because of a 23% strengthening of the Thai baht.

Thailand

417

Emerging Stock Markets Factbook 1999

Stocks sank to their lowest point during the third quarter, as external factors offset local optimism over falling interest rates and a stronger currency. In July, the market rose s lightly in reaction to a new interest rate policy that capped bank deposit rates at two percentage points above the average savings rate at the five biggest banks. Yet when the Japanese yen reached an eight−year low in August, hopes for an export−driven recovery were dashed. Rumors that China may devalue its currency, trepidation over second−quarter results, and Russia's move to devalue its currency all knocked stocks to an 11−year low in August. Thai stocks shot higher between September and November as foreign investors entered in full force. The pace of restructuring and policy reforms sparked the rally, while the government produced tax incentives for banks that restructure delinquent loans. Bank stocks traded cautiously in the days preceding the December 15 deadline for banks to submit recapitalization plans, and the rally fizzled out on non−performing loan fears. According to the central bank, 46% of Thai bank loans were at least three months delinquent at year's end. The Financial Sector Restructuring Authority auctioned loans from defunct finance companies and property developers but only sold 8% of the total 388 billion baht of loans ($11 billion) at the December auction, with the winners bidding an average 37% of the loan's face value. Stocks also fell on delays in legislation concerning the privatization of state enterprises.break

Monthly Value Traded (US$ millions)

Thailand

IFCI Thailand Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

418

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Exchange Rate (baht per U.S. dollar)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion) * 51 markets covered by EMDB

Thailand 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

432

431

431

430

428

423

422

422

422

Number of Listed Companies Stock Exchange of Thailand

432

Market Capitalization In baht

1,545,007 1,689,529 1,476,520 1,345,603 1,121,225 924,223 923,313 759,451 898,555 1,187,12

In U.S. dollars 29,289

39,200

37,618

34,793

27,760

21,849

22,603

18,125

22,731

32,307

118,217

75,426

30,391

31,682

35,248

40,211

37,482

46,486

123,815

In U.S. dollars 1,346

2,743

1,922

786

784

833

984

895

1,176

3,370

Turnover ratio 5.3 (%)

7.3

4.8

2.1

2.6

3.4

4.3

4.4

5.6

11.9

528.4

459.1

412.1

325.6

267.3

266.7

214.5

253.8

331.3

Trading Value In baht

71,022

Local Index SET*

495.2

Thailand 1998: (Currency in Millions)

419

Emerging Stock Markets Factbook 1999 Change in index (%)

32.9

6.7

−13.1

−10.2

−21.0

−17.9

−0.2

−19.6

18.3

30.5

Number of stocks

74

74

74

74

74

74

74

74

74

74

Share of market cap. (%)*

76.9

72.7

71.6

71.1

70.5

71.1

73.8

71.4

76.6

73.9

Share of trading value (%)

65.5

43.4

48.8

74.7

82.0

84.3

81.6

72.6

78.1

75.3

P/E ratio

−48.1

−51.1

−4.5

−3.8

−3.1

−2.5

−2.5

−1.9

−2.4

−3.3

P/BV ratio

1.1

1.2

1.2

1.1

0.9

0.7

0.7

0.6

0.7

1.1

Dividend yield 5.3 (%)

4.8

3.8

2.8

2.4

3.0

3.0

1.9

1.0

0.7

Total return index*

363.5

343.1

312.3

224.2

169.4

171.8

131.5

171.1

251.4

32.6

−5.6

−9.0

−28.2

−24.4

1.4

−23.4

30.1

46.9

43.1000

39.2500

38.6750

40.3900

42.3000 40.8500 41.9000 39.5300 36.7450

IFC Global Index

274.0

Change in total 30.4 return index (%)

Exchange Rates Exchange rates (end of period)

52.7500

Notes: The base date for the SET Index is Apr. 30, 1975=100. The base date for the IFCG Thailand Index is Dec. 1984=100. In calculating share of total market cap, IF for cross holdings.

Stock Exchange of Thailand Mr. Singh Tangtatswas, President

IFC Correspondent: Mutual Fund Public Co. L

The Stock Exchange of Thailand Building 62 Rachadapisek Road, Klongtoey Bangkok, 10110 Thailand Tel: (66−2) 229−2000, 654−5656 Fax: (66−2) 654−5649 http://www.set.or.th

30th−32nd Floor, Lake R 193−195 Rachadapisek R Bangkok, 10110 Thailand Tel: (66−2) 661−9000, 66 Fax: (66−2) 661−9106 http://www.mfcfund.com

Email: [email protected]

Email: [email protected]

Thailand 1989−1998: (Currency in Millions; End of Period Levels)

Thailand 1989−1998: (Currency in Millions; End of Period Levels)

420

Emerging Stock Markets Factbook 1999 1989

1990

1991

1992

1993

1994

1995

1996

1997

175

214

276

305

347

389

416

454

431

Number of Listed Companies Stock Exchange of Thailand

Market Capitalization In baht

656,842 604,566 897,159 1,485,019 3,325,393 3,300,769 3,564,569 2,559,579 1,133,344

In U.S. dollars

25,648

23,896

35,815

58,259

130,510

131,479

141,507

99,828

23,538

Trading Value In baht

344,778 584,154 767,056 1,830,026 2,201,148 2,018,955 1,420,330 1,124,860 724,252

In U.S. dollars

13,452

22,894

30,089

72,060

86,934

80,188

57,000

44,365

23,119

Turnover ratio (%)

78.5

92.6

102.2

153.6

91.5

60.9

41.4

36.7

39.2

SET*

879.2

612.9

711.4

893.4

1,682.8

1,360.1

1,280.8

831.6

372.7

Change in index (%)

127.3

−30.3

16.1

25.6

88.4

−19.2

−5.8

−35.1

−55.2

Number of stocks

29

44

51

51

58

61

76

88

74

Share of market cap. (%)*

45.8

44.0

50.0

48.7

57.2

60.6

67.3

67.1

73.3

P/E ratio

16.3

8.7

12.0

13.9

27.5

21.2

21.7

13.1

−32.8

P/BV ratio

3.1

2.1

2.1

2.5

4.7

3.7

3.3

1.8

0.8

Dividend yield (%)

7.9

4.2

1.9

2.6

1.5

2.0

2.2

3.3

7.7

Total return index*

679.3

538.4

641.8

900.4

1,827.8

1,621.2

1,598.1

1,013.4

210.1

Change in index (%)

100.8

−20.7

19.2

40.3

103.0

−11.3

−1.4

−36.6

−79.3

72,251

85,345

98,234

111,453

125,213

144,366

168,129

181,445

153,909

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

Thailand 1989−1998: (Currency in Millions; End of Period Levels)

421

Emerging Stock Markets Factbook 1999 Change in consumer price index (%)

5.4

6.0

5.7

4.1

3.4

5.0

5.8

5.8

5.6

Exchange rates (end of 25.6100 25.3000 25.0500 25.4900 period)

25.4800

25.1050

25.1900

25.6400

48.1500

Exchange rates (average of period)

25.3198

25.1779

24.9180

25.3545

31.3278

25.6308 25.5160 25.4933 25.3960

Notes: The base date for the SET Index is Apr. 30, 1975=100. The base date for the IFCG Thailand Index is Dec. 1984=10 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Trinidad & Tobago Market Performance

A pro−business climate and prudent macroeconomic management continued to attract foreign investment in 1998, helping the Trinidad and Tobago Stock Exchange buck the year's trend toward huge losses among emerging markets. Stocks soared relative to most emerging markets, with the local TTSE Index surging 23.7% in T&T dollar terms, in spite of record−low energy prices and decreasing government revenue. Trinidad and Tobago equities registered the sixth best performance among the eighteen markets with IFCG frontier indexes in 1998, rising 17.4% in local currency terms and 17.5% in U.S. dollar terms. Equities rose over eight successive months on economic growth expectations of around 4.3% for the year but sank in three of the final four months of 1998 as neighboring Latin American markets tumbled in the wake of Brazilian capital flight. The trade balance deteriorated sharply from diminished oil export revenue and increased capital imports, placing downward pressure on the local currency. Central bank intervention helped the Trinidad and Tobago dollar appreciate 0.11% over the year. Stocks performed robustly in the first quarter in response to the government's intention to resume its privatization program. The IFCG Index rose 10.1% over the period, spurred by remarks of Planning and Development Minister Trevor Sudama that the government would seek to earn US$90.6 million by selling 30 state−run companies. In February, the government maintained its resolve, announcing plans to cash out of its majority stake in National Flour Mills, the largest flour mill in the Caribbean.

In the second quarter, investors shook off worries over the glut in world oil and natural gas markets, sending the IFCG Index up 6.4% in spite of abysmal commodity prices. The economy grew 0.8% over the period largely because of 11.2% growth in the petrochemicals subsector of the oil industry as two ammonia plants and one Trinidad & Tobago

422

Emerging Stock Markets Factbook 1999 methanol facility commenced operations. In spite of a sharp contraction in the agricultural sector in the quarter, increasing electricity and water demand by consumers and industry pushed the year−on−year GDP growth rate to 4.5% for the first six months of 1998. Confidence in the economy remained steady in the third quarter, which helped the market record another stellar performance. The market gained 5.2% even as neighboring Latin American markets and far−off East European bourses plummeted. Investors pushed shares higher in spite of the government's 1% budgetary shortfall from soft oil prices. Oil accounts for 15% of government revenues. Investors were also unfazed by higher food prices, which forced the government to revise its projection for 1998 inflation from 3.8% to 6.3%. The IFCG Index sank 4.8% in the fourth quarter as investors reassessed news of an increasing government budget deficit, which was expected to lower GDP and earnings growth in 1999. The market decline came in spite of other good news. The government's effort to diversify the economy away from the energy sector was given a major boost when Norsk Hydro announced its intention to invest in an aluminum smelter facility that would export to U.S. and Latin American automobile industries. Also, Moody's awarded the government kudos as the rating agency upgraded domestic currency bonds, citing a 20% decline in public debt since 1993. The higher rating was expected to increase domestic bond offerings as access to foreign credit remained difficult.break

Monthly Value Traded (US$ millions)

Trinidad & Tobago

IFCG Trinidad & Tobago Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

423

Emerging Stock Markets Factbook 1999 Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (T&T dollars per U.S. dollar)

* 51 markets covered by EMDB Trinidad & Tobago 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

24

24

24

24

24

24

24

24

24

24

Number of Listed Companies Trinidad and Tobago Stock Exchange

Market Capitalization In Trinidad & Tobago dollars

20,121.2 20,551.3 21,296.4 22,211.5 22,351.1 24,313.1 24,511.8 26,892.2 25,592.8 25,488.5

In US dollars

3,193.9

3,262.2

3,380.7

3,525.8

3,547.9

3,859.3

3,891.4

4,272.0

4,062.5

4,045.9

In Trinidad & Tobago dollars

78.5

40.4

70.3

149.6

78.6

255.6

74.5

84.7

97.9

33.3

In US dollars

12.5

6.4

11.2

23.7

12.5

40.6

11.8

13.5

15.5

5.3

Turnover ratio (%)

0.2

0.2

0.3

0.7

0.3

1.1

0.3

0.3

0.4

0.1

TTSE*

361.0

369.0

382.3

398.7

401.5

434.7

442.3

479.3

455.9

454.1

Change in index (%)

2.2

2.2

3.6

4.3

0.7

8.3

1.8

8.4

−4.9

−0.4

11

11

11

11

11

11

11

11

11

11

75.2

75.2

75.0

74.3

74.1

70.4

71.5

67.9

70.6

71.4

Trading Value

Local Index

IFC Global Index Number of stocks

Trinidad & Tobago 1998: (Currency in Millions)

424

Emerging Stock Markets Factbook 1999 Share of market cap. (%)* Share of trading value (%)

78.9

80.4

95.5

93.1

90.6

97.6

84.6

90.6

90.4

88.6

P/E ratio

18.0

18.3

17.2

16.4

16.5

17.0

17.4

18.2

18.0

18.1

P/BV ratio

3.4

3.5

3.6

3.6

3.6

3.7

3.8

4.0

3.9

4.0

Dividend yield (%)

22.5

28.3

27.5

27.5

27.5

27.0

26.3

25.5

25.8

25.8

Total return index*

318.1

346.3

358.5

372.4

375.9

387.9

397.9

415.6

410.5

414.2

Change in total return index (%)

16.1

8.8

3.5

3.9

0.9

3.2

2.6

4.4

−1.2

0.9

6.2999

6.2999

6.2995

6.2998

6.2999

6.2998

6.2990

6.2950

6.2998

6.2998

Exchange Rates Exchange rate (end of period)

Notes: The base date for the TTSE Index is Jan. 1983=100. The base date for the IFCG Trinidad & Tobago Index is Dec. 1 calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

IFC Corresponde Ansa Finance and Tatil Building 11 Maraval Road Port of Spain Trinidad & Tobag Tel: (868) 623−86 Fax: (868) 625−58

Trinidad and Tobago Stock Exchange Mr. Hugh Edwards, General Manager Mr. Anthony Taitt, Deputy General Manager 65 Independence Square Port of Spain Trinidad & Tobago Tel: (868) 625−5107 Fax: (868) 623−0089 http://stockex.co.tt Trinidad & Tobago 1989−1998: (Currency in Millions; end of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

199

30

29

28

26

27

27

23

24

25

Number of Listed Companies Trinidad and Tobago Stock 31 Exchange

Trinidad & Tobago 1989−1998: (Currency in Millions; end of Period Levels)

425

Emerging Stock Markets Factbook 1999 Market Capitalization In Trinidad & Tobago dollars

1,748.4 2,956.0 2,851.7 2,185.0 2,851.0 3,873.9 6,750.7 8,771.6 19,634.5 24,6

In US dollars

411.4

695.5

671.0

509.7

484.9

663.0

1,125.1 1,404.6 3,116.6

3,92

In Trinidad & Tobago dollars

146.7

235.0

338.7

95.0

301.0

300.9

812.4

643.0

843.1

1,11

In US dollars

34.5

55.3

79.7

22.4

56.3

51.7

137.2

106.5

133.8

176

Turnover ratio (%)

10.2

10.0

11.7

3.8

12.0

8.9

15.3

8.3

5.9

5.0

TTSE*

48.7

83.1

81.8

60.2

82.5

88.6

150.2

167.4

352.3

436

Change in index (%)

50.3

70.6

−1.6

−26.4

37.0

7.4

69.5

11.5

110.5

23.8

Number of stocks

−

−

−

−

−

−

11

11

11

11

Share of market cap. (%)*

−

−

−

−

−

−

77.4

73.1

74.2

69.8

P/E ratio

−

−

−

−

−

−

−

15.5

17.4

17.2

P/BV ratio

−

−

−

−

−

−

−

1.9

3.3

3.8

Dividend yield (%)

−

−

−

−

−

−

−

3.9

11.8

19.0

Total return index*

−

−

−

−

−

−

100.0

115.5

274.0

393

Change in total return index − (%)

−

−

−

−

−

−

15.5

137.2

43.6

Trading Value

Local Index

IFC Global Index

Economic Data Gross domestic product (US$)

4,323

5,068

5,308

5,780

4,581

4,950

5,305

5,649

5,892

6,15

Change in consumer price index (%)

11.4

11.1

3.8

6.4

10.8

8.8

5.2

3.4

3.6

−

Exchange rate (end of period)

4.2500

4.2500

4.2500

4.2872

5.8790

5.8431

5.9999

6.2450

6.2999

6.29

Exchange rate (average of period)

4.2500

4.2500

4.2500

4.2500

5.3511

5.8180

5.9192

6.0371

6.2999

6.29

Trinidad & Tobago 1989−1998: (Currency in Millions; end of Period Levels)

426

Emerging Stock Markets Factbook 1999 Notes: The base date for the TTSE Index is Jan. 1983=100. The base date for the IFCG Trinidad & Tobago Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Tunisia Market Performance

The Tunisian equity market was characterized by a lack of trading volume and sporadic investor interest during 1998. The stock market weathered well the Brazilian and Russian financial crises, and ended 1998 with a modest loss of 6.4% as measured by the dollar−based IFCG Tunisia Index. The market appreciated slightly in January on light turnover as investors awaited the release of year−end company reports. Trading activity remained flat in February but inched up in March, with blue chips leading the gains on the back of positive corporate earnings reports for fourth quarter 1998. In March, a trade agreement between Tunisia and the European Union took effect that aims to dismantle trade barriers over the next 12 years. Several religious holidays in April shortened trading weeks and kept prices fluctuating in a narrow range. To improve the competitiveness of Tunisian companies, the government established a new organization to investigate the subject and recommend methods of adapting domestic firms to international standards. Share prices slid in May in a market once again characterized by a lack of investor interest. On the economic front, the minister for economic development pledged that Tunisia would privatize another 50 firms before the year 2000. The bearish trend continued in June, with the IFCG Index dropping 6.5%, the largest decline of 1998. Although investors looked favorably on reports that foreign investment grew 24% in 1997, the enthusiasm was tempered by news that the level of economic activity was virtually unchanged year−on−year.

The Tunisian equity market was steady and trading activity was light in July. Several index constituents, however, saw sizable price changes. The government reported that portfolio investments jumped 85% in 1997, despite the bearish sentiment in the equities market during the year. The market gained ground in August for the first month since April, with the IFCG Index rising nearly 1.8% in dollar terms. Light turnover continued to plague the market in July. July's inflation report revealed a 3.3% year−on−year increase, slightly below projections of a 3.7% rise. Tunisia was mostly unaffected by world financial market volatility in August and September, posting modest gains of 1.8% and 3.5%, respectively, as measured by the dollar−based IFCG Index. Investors were inactive, however, choosing to await the sale of part of the government's stake in bottle manufacturer Sotuver, scheduled for October. Shares held steady in October, with slight price movements usually the result of block trades in major stocks, especially in the insurance and banking sector. The successful privatization of two cement companies and Sotuver brought sufficient cash into government coffers that it was not necessary to raise funds on the expensive Tunisia

427

Emerging Stock Markets Factbook 1999 international debt market during the last two weeks of October. The dollar−based IFCG Index lost 3.1% in November on a combination of regional worries and weakness in the local currency. The market was guided by block trades in December, fluctuating in both directions with daily changes in local indexes usually in fractions of a percent.break

Monthly Value Traded (US$ millions)

IFCG Tunisia Index Correlation (36−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (dinar per U.S. dollar)

* 51 markets covered by EMDB Tunisia 1998: (Currency in Millions)

Tunisia 1998: (Currency in Millions)

428

Emerging Stock Markets Factbook 1999 Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

34

34

34

35

35

37

37

37

38

38

38

Number of Listed Companies Tunis Stock Exchange

Market Capitalization In dinars

2,670.4 2,704.3 2,729.5 2,704.9 2,633.6 2,576.3 2,489.1 2,510.3 2,511.2 2,484.9 2,48

In US dollars

2,322.1 2,338.1 2,312.9 2,344.1 2,285.1 2,217.9 2,167.3 2,194.5 2,295.6 2,305.1 2,23

Trading Value In dinars

17.7

13.9

20.9

9.9

22.8

27.2

18.9

8.1

11.2

17.4

16.9

In US dollars

15.4

12.0

17.8

8.6

19.8

23.4

16.5

7.1

10.3

16.2

15.2

Turnover ratio (%)

0.1

0.5

0.8

0.4

0.8

1.0

0.8

0.3

0.4

0.7

0.7

BVM General*

460.0

462.3

465.8

462.0

462.3

457.5

453.9

460.9

462.1

464.6

463.

Change in index (%)

0.5

0.5

0.7

−0.8

0.1

−1.0

−0.8

1.5

0.3

0.5

−0.3

Number of stocks

13

13

13

13

13

13

13

13

13

13

13

Share of market cap. (%)*

72.2

72.8

73.2

72.7

72.2

70.1

69.7

69.4

68.8

68.6

68.3

Share of trading value 30.3 (%)

58.2

65.8

69.7

43.4

30.1

39.7

72.0

50.9

71.4

63.0

P/E ratio

13.2

13.9

13.2

12.7

12.3

11.7

11.4

11.6

11.4

11.3

11.7

P/BV ratio

1.7

1.8

1.8

1.7

1.7

1.4

1.4

1.4

1.4

1.4

1.4

Dividend yield (%)

2.1

2.1

2.6

2.9

3.6

2.8

3.9

4.2

4.3

4.3

4.3

Total return index*

51.8

53.0

52.7

52.9

51.5

48.8

48.5

49.5

51.3

51.3

49.7

2.2

−0.6

0.5

−2.6

−5.4

−0.6

2.2

3.5

0.0

−3.1

Local Index

IFC Global Index

Change in total return 0.6 index (%)

Tunisia 1998: (Currency in Millions)

429

Emerging Stock Markets Factbook 1999 Exchange Rates Exchange rate (end of 1.1500 period)

1.1566

1.1801

1.1539

1.1525

1.1616

1.1485

1.1439

1.0939

1.0780

1.11

Notes: The base date for the BVM General Index is Sept. 30, 1990=100. The base date for the IFCG Tunisia Index is Dec. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

Tunis Stock Exchange Mr. Ahmed Hadouej, Chairman 19 bis, rue Kamel Attaturk Centre Babel − Bloc E − Zone Montplaisir Tunis, 1002 Tunisia Tel: (216−1) 780−288 Fax: (216−1) 789−189

IFC Correspondent: Tunisie Valeurs 78, Av. Mohamed V Tunis, 1002 Tunisia Tel: (216−1) 799−676 Fax: (216−1) 789−355 Email: [email protected]

Tunisia 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

13

15

17

19

21

26

30

34

38

In dinars

577.0

445.0

611.0

777.0

1,000.0 2,525.0 3,809.0 4,251.0 2,655.5 2,487.0

In US dollars

637.9

532.6

711.5

813.6

956.0

2,560.9 3,926.8 4,263.4 2,320.6 2,268.3

In dinars

30.0

17.0

28.0

29.0

46.0

300.0

627.0

273.5

287.0

213.9

In US dollars

31.6

19.4

30.3

32.8

45.8

296.4

662.9

280.6

285.0

188.5

Turnover ratio (%)

5.3

3.3

5.3

4.2

5.2

17.0

19.8

6.8

8.3

0.9

−

127.8

170.6

199.4

251.0

507.2

534.7

570.6

455.6

464.6

Number of Listed Companies Tunis Stock Exchange

Market Capitalization

Trading Value

Local Index BVM General*

Tunisia 1989−1998: (Currency in Millions; End of Period Levels)

430

Emerging Stock Markets Factbook 1999 Change in index (%)

−

−

33.5

16.9

25.9

102.1

5.4

6.7

−20.2

2.0

Number of stocks

−

−

−

−

−

−

11

11

13

13

Share of market cap. (%)*

−

−

−

−

−

−

74.9

66.4

72.1

67.8

P/E ratio

−

−

−

−

−

−

−

25.8

13.1

10.5

P/BV ratio

−

−

−

−

−

−

−

3.1

1.7

1.3

Dividend yield (%)

−

−

−

−

−

−

−

2.2

2.2

4.7

Total return index*

−

−

−

−

−

−

100.0

95.5

51.5

50.2

Change in total return index (%)

−

−

−

−

−

−

−

−4.5

−46.1

−2.5

Gross domestic product 10,102 12,291 13,075 15,575 14,663 (US$)

15,650

17,987

19,589

18,937

22,041

Change in consumer price index (%)

7.7

4.7

6.2

3.7

3.7

−

Exchange rate (end of period)

0.9046 0.8355 0.8588 0.9550 1.0460

0.9860

0.9700

0.9971

1.1443

1.0964

Exchange rate (average of period)

0.9493 0.8783 0.9246 0.8844 1.0037

1.0120

0.9458

0.9746

1.0069

1.1347

IFC Global Index

Economic Data

6.5

8.2

5.8

4.0

Notes: The base date for the BVM General Index is Sept. 30, 1990=100. The base date for the IFCG Tunisia Index is Dec. 1995=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Turkey Market Performance

Domestic political uncertainty, mixed economic signals, and declines in emerging markets worldwide weighed heavily on Turkish equities in 1998. The dollar−based IFCI Turkey Index lost 53% of its value with the lira−based Istanbul Stock Exchange Composite Index lost 24.7%. Although the government's anti−inflation program helped lift the market in early 1998, investor sentiment turned bearish on news that consumer prices rose almost 100% in 1997. The government's decision to raise lending rates to protect the lira further depressed share prices, as investors moved funds to fixed−income vehicles. Rising tension along the Iraqi border added to the downward pressure. Plans to partially deregulate the petroleum and electricity industries created some upward momentum in February, but the threat of a possible capital gains tax weighed heavily on investor sentiment, and the IFCI Turkey Index fell 11.4%. In the following month, a brief recovery was wiped out by concerns that upcoming state asset sales would flood the market with shares and by Turkey

431

Emerging Stock Markets Factbook 1999 fears that the coalition government would be forced to call early elections. Stock market performance was mixed in the second quarter. Shares were initially boosted by a drop in interest rates and news that GNP growth had exceeded projections by reaching 8.0% in 1997. Shares slumped at the end of April, however, following Prime Minister Mesut Yilmaz's announcement that he had agreed to early elections in March 1999. The international routing of markets prompted by the crisis in Asia left foreign investors running from emerging markets in May. This, along with continuing domestic uncertainties, pushed Turkish share prices lower. The quarter ended on a positive note as a rally in regional markets and hopes for an Asian bailout package improved the investment climate.

Share prices held steady at the beginning of the third quarter as news of falling inflation was offset by concerns about Russia and Asia, which kept foreign investors on the sidelines. The Russian equity free−fall had a severe negative impact on the Turkish market in August. Stocks on the Istanbul Stock Exchange plummeted, with the IFCI Index falling nearly 41% in dollar terms. Many portfolio managers carry Turkish and Russian equities in the same basket of stocks, and the Russian turmoil prompted foreign investors to shift funds to developed markets. The slide continued through September, fueled by the worsening situation in neighboring Russia and confirmation that the government would impose capital gains taxes in 1999. Stocks slid through October amid tension between Turkey and Syria over Damascus's alleged support for Kurdish rebels. Poor inflation results for September also weighed on the market. Optimism in U.S. and European bourses and expectations of healthy earnings created upward pressure in November. Political unrest, however, kept stocks from staging a strong rally. Political uncertainties magnified in December, as one attempt after another to form an interim government failed, causing significant losses on the market. This trend was reversed when analysts released favorable projections for banking sector earnings. This, along with signs that the country would finally have a government, helped move shares higher at year's end.break

Turkey

432

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCI Turkey Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (lira per U.S. dollar)

* 51 markets covered by EMDB Turkey 1998: (Currency in Millions)

Turkey 1998: (Currency in Millions)

433

Emerging Stock Markets Factbook 1999

Notes: The base date for the ISE National−100 Index, formerly known as the ISE Index, is Jan. 1986=1. The base date for IFCG Turkey Index is Dec. 1986=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross

Istanbul Stock Exchange Mr. Osman Birsen, Chairman & CEO Mr. Aril Seren, Senior Vice President Istinye Istanbul, 80860 Turkey Tel: (90−212) 298−2100 Fax: (90−212)298−2500 http://www.ise.org

IFC Correspondent: TEB Ekonomi Arastirmalari Meclis−i Mebusan Cad, No. Findikli 80040 Istanbul, Turkey Tel: (90−212)251−8910 Fax: (90−212) 251−8912 http://www.teb.com.tr Email: TEBEATuemKullanclar@te

Turkey 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

50

110

134

145

152

176

205

229

257

Number of Listed Companies Istanbul Stock Exchange

Market Capitalization In lira (1/1,000)

15,553.0 55,249.7 78,906.6 84,809.0 546,316.2 836,117.8 1,264,998 3,275,038 12,653,30

In U.S. dollars

6,783

19,065

In lira (1/1,000)

1,668.6

15,028.2 35,487.1 55,855.5 255,223.2 650,864.1 2,374,085 3,025,986 9,038,528

In U.S. dollars

798

5,841

8,571

8,191

23,242

21,692

51,392

36,831

59,105

Turnover ratio (%)

19.0

42.4

52.9

68.3

80.9

94.2

226.0

133.3

113.5

National−100*

22.2

32.6

43.7

40.0

206.8

272.6

400.2

975.9

3,451.0

Change in index (%)

493.1

46.8

34.0

−8.5

417.0

31.8

46.8

143.9

253.6

15,703

9,931

37,496

21,605

20,772

30,020

61,090

Trading Value

Local Index

Turkey 1989−1998: (Currency in Millions; End of Period Levels)

434

Emerging Stock Markets Factbook 1999

IFC Global Index Number of stocks

18

25

25

25

36

40

44

58

58

Share of market cap. (%)*

67.9

23.2

52.7

39.0

63.3

69.9

66.3

74.2

79.1

P/E ratio

16.5

13.2

13.7

6.9

36.3

31.0

8.4

10.7

20.1

P/BV ratio

6.7

4.0

2.3

1.3

7.2

6.3

2.7

4.0

6.8

Dividend yield (%)

3.6

5.5

4.4

8.1

2.4

3.6

4.4

3.3

1.6

Total return index*

849.0

825.3

480.5

227.0

759.0

449.7

402.1

599.0

1,300.2

Change in index (%)

502.4

−2.8

−41.8

−52.8

234.4

−40.8

−10.6

49.0

117.1

Economic Data Gross domestic product (US$)

107,142 150,659

151,042

159,105

180,422

130,655

169,319

181,465

189,878

Change in consumer price index (%)

63.3

66.0

70.1

66.1

106.3

88.1

80.3

85.7

Exchange rate (end of 2,293.00 2,898.00 5,025.00 8,540.00 14,570.00 38,700.0 period)

60,900.0

109,095.0 207,125.0

Exchange rate (average of period)

46,195.8

82,159.4

60.3

2,090.26 2,572.77 4,140.47 6,819.38 10,981.04 30,005.4

152,922.5

Notes: The base date for the ISE National−100 Index, formerly known as the ISE Index, is Jan. 1986=1. The base date for Turkey Index is Dec. 1986=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdin Ukraine Market Performance

For the Ukrainian stock market, 1998 was a year of severe shocks. The index of the PFTS trading system registered a loss of 73.7% for the year in local currency terms, while the IFCG Ukraine Index (launched in 1998) plunged by 82.3% in dollar terms. Ukraine's depressed economic situation, high yields on the local debt market, and weak currency weighed hard on equity market sentiment. As the Asian crisis prompted an outflow of funds from more risky emerging markets, foreigners started pulling out of Ukraine's domestic Treasury bill market, causing strong pressure on the hryvna. In response, the National Bank switched to a new trading band of 1.80 to 2.25 HU to the dollar. The bank also sold DM 750 million three−year bonds to replace more costly short−term domestic debt and formulated an austerity program aimed at reducing the budget deficit from 3.3% of GDP to 2.5%, a main condition for disbursement of a $49 million IMF loan. In addition, the government announced an ambitious $1 billion privatization program. These measures failed to change market sentiment and the equities market experienced a sharp decline.

Ukraine

435

Emerging Stock Markets Factbook 1999 March parliamentary elections added political uncertainty to the mix while the country's budget deficit continued to widen. The hryvna fell to record lows, pushing the boundaries of the newly established band. To replenish reserves spent on defending the currency, the government hurriedly issued euro−denominated bonds while the national bank bought government debt amid a lack of demand from investors. The parliamentary elections strengthened the Communist Party's hold as it received 26% of the vote. In the past, the party consistently opposed President Leonid Kuchma's efforts to accelerate sales of state−owned enterprises and to implement other economic reforms. The auctions to sell several power distribution companies and oil refineries failed as high prices, insufficient local funds, and low foreign investor interest contributed to a lack of buyers.

In the second quarter, the equity market continued to decline as yields on T−bills soared above 60% from about 55% in May and the National Bank raised the discount rate to 82% from 51%. In July, the government faced difficulties with debt repayments, which amounted to almost half of its foreign reserves. It was actively seeking more than $2 billion in loans from the IMF to shore up the reserves, which dwindled by $1.2 billion from the start of the year. The government also announced that it would sell more than 25% of telecommunications company Ukrtelecom before the end of the year. During the summer, several Ukrainian companies launched GDR programs. However, the issues failed to make a significant impact on the domestic equity market, which was suffering from the adverse macroeconomic situation in the country. Even though Ukraine made all due foreign debt payments and secured IMF funds, the Russian crash in August dealt the Ukrainian stock market another blow. The market plummeted to historic lows and was almost totally paralyzed for two months. September monthly value traded declined by 73% to $1.8 million. Pressure on the currency forced the National Bank to widen the trading band for the hryvna from 2.5 to 3.5 per dollar. Notwithstanding, the local stock market remained depressed throughout the end of the year.break

Ukraine

436

Emerging Stock Markets Factbook 1999

Monthly Value Traded (US$ millions)

IFCG Ukraine Index Correlation (12−month period ending 12/98)

IFCG P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (hryvna per U.S. dollar)

* 51 markets covered by EMDB Ukraine 1998: (Currency in Millions) Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

151

151

157

164

161

155

153

154

155

146

Number of Listed Companies PFTS (OTC Trading System)

Market Capitalization In hyrvna

5,644.9 5,299.5 5,534.2 5,305.3 4,122.5 2,686.1 3,455.0 1,932.4 1,686.7 1,343.3

In US dollars

2,925.6 2,630.2 2,715.1 2,597.5 2,003.9 1,300.9 1,618.3 858.8

495.4

392.0

In hyrvna

10.0

13.8

17.9

28.8

26.1

13.3

43.3

15.5

6.3

4.9

In US dollars

5.2

6.9

8.8

14.1

12.7

6.5

20.3

6.9

1.8

1.4

Trading Value

Ukraine 1998: (Currency in Millions)

437

Emerging Stock Markets Factbook 1999 Turnover ratio (%)

0.2

0.3

0.3

0.5

0.5

0.4

1.4

0.6

0.3

0.3

PFTS*

67.1

61.0

63.0

52.7

43.3

34.6

39.3

26.3

22.4

17.3

Change in index (%)

−9.0

−9.0

3.2

−16.4

−17.8

−20.0

13.5

−33.2

−14.7

−22.9

Number of stocks

17

17

17

17

17

17

17

17

17

17

Share of market cap. (%)*

−

−

−

−

−

−

−

−

−

−

Share of trading value 91.9 (%)

93.2

84.0

61.6

77.6

75.0

52.8

81.8

31.4

32.7

P/E ratio

2.4

2.1

2.5

2.1

1.8

3.3

1.6

1.3

1.2

1.1

P/BV ratio

0.3

0.3

0.3

0.3

0.2

0.2

0.2

0.1

0.1

0.1

Dividend yield (%)

−

−

−

−

−

−

−

−

−

−

Total return index*

82.4

71.3

73.7

65.4

54.0

40.4

39.8

31.3

18.8

17.3

−13.4

3.3

−11.3

−17.4

−25.1

−1.6

−21.4

−39.9

−7.8

2.0149

2.0383

2.0425

2.0573

2.0647

2.1349

2.2500

3.4050

3.4270

Local Index

IFC Global Index

Change in total return −17.6 index (%)

Exchange Rates Exchange rate (end of 1.9295 period)

Notes: The base date for the PFTS Index is Oct. 1, 1997=100. The base date for the IFCG Ukraine Index is Dec. 1997=100 share of total market cap, IFCG market cap is not adjusted for cross holdings.

OTC Stock Trading System Ms. Irina Zarya, President Mr. Vitaly Kozakov, Executive Director 5th floor, 31 Schchorsa St. Kiev 252133, Ukraine Tel: (380−44) 252−8800 Fax: (380−44) 252−8553 http://www.pfts.com Email: [email protected]

Ukraine 1998: (Currency in Millions)

IFC Correspondent Finance and Credit Mr. Sergey Grachov 30/1 Hrushevskogo Kiev, 252021 Ukraine Tel: (380 44) 253−8 http://www.fci.com Email: [email protected]

438

Emerging Stock Markets Factbook 1999 Ukraine 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

−

−

−

−

−

−

−

−

−

125

In hryvna

−

−

−

−

−

−

−

−

6,952.2 1,954.8

In US dollars

−

−

−

−

−

−

−

−

3,666.8 570.4

In hryvna

−

−

−

−

−

−

−

−

−

208.8

In US dollars

−

−

−

−

−

−

−

−

−

84.1

Turnover ratio (%)

−

−

−

−

−

−

−

−

−

4.7

PFTS*

−

−

−

−

−

−

−

−

79.7

21.0

Change in index (%)

−

−

−

−

−

−

−

−

−

−73.7

Number of stocks

−

−

−

−

−

−

−

−

17

16

Share of market cap. (%)*

−

−

−

−

−

−

−

−

−

96.1

P/E ratio

−

−

−

−

−

−

−

−

4.6

1.2

P/BV ratio

−

−

−

−

−

−

−

−

0.6

0.1

Dividend yield (%)

−

−

−

−

−

−

−

−

−

0.0

Total return index*

−

−

−

−

−

−

−

−

100.0

17.8

Change in total return index − (%)

−

−

−

−

−

−

−

−

−82.2

Number of Listed Companies PFTS (OTC Trading System)

Market Capitalization

Trading Value

Local Index

IFC Global Index

Economic Data Ukraine 1989−1998: (Currency in Millions; End of Period Levels)

439

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

77,868 91,311 81,359 91,505 71,285 92,598 85,853 44,558 49,677

−

Change in consumer price index (%)

−

−

−

−

−

−

−

−

−

−

Exchange rate (end of period)

−

−

−

−

−

−

−

−

1.8960

3.4270

Exchange rate (average of period)

−

−

−

−

−

−

−

−

−

2.4838

Notes: The base date for the PFTS Index is Oct. 1, 1997=100. The base date for the IFCG Ukraine Index is Dec. 1997=100. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings. Venezuela Market Performance

Low commodity prices and the general emerging market maelstrom dropped Venezuelan shares to two−and−half−year lows in 1998. Rockbottom oil prices and pre−election jitters vitiated demand for Venezuelan assets, sending the local market index tumbling 44.7% in bolivars. The government's decision to defend the bolivar's crawling exchange rate peg limited the falls of the IFCI and IFCG Venezuela indexes to 50.5% and 51.8%, respectively, in dollar terms. Investors wiped 49.9% off the IFCI Index in the first half of 1998 as oil prices sank, and polls indicated that former coup leader and left−leaning populist Hugo Chavez was the favorite to win December's presidential election. Because Venezuela depends on oil sales for 40% of its public sector revenues and 80% of its exports, investors worried that lower oil prices would force the government to rein in spending, thereby arresting economic growth. The price of Venezuelan export crude fell to $13 per barrel in January, down 36% from its January 1997 price of $20.36 per barrel, sending the market falling 17% for the first month of the year. The IFCI Venezuela Index plunged 22.8% in April as 28−day certificates of deposit rose to 37%, their highest level in two years, on continued doubts regarding the stability of emerging markets. Stock prices tumbled yet again in June, with the dollar−based IFCI Index falling by 23.8% when the price of Venezuelan export crude hit its lowest level of the year, $9.72 per barrel. In the same month, the central bank pared back its economic growth forecast from 6% to 1% for the year.

Venezuela

440

Emerging Stock Markets Factbook 1999 The market touched bottom in August when the Russian ruble devaluation unleashed another round of contagion turmoil, this time in Latin America. Stock prices spiraled 40.6% downward as sky−high interest rates and depressed oil prices diminished any remaining prospects of economic growth. Interest rates on benchmark 55−day government bonds soared to 60% and oil prices remained below $10 per barrel as year−to−date stock market losses reached 70% by the end of August. Equity prices rallied in the final months of 1998, gaining 66.0% over their August level. The IFCI Index rebounded 34.2% in September as the government announced $540 million in deficit−reduction measures, and Venezuelan crude prices jumped 6%. After mixed results in October and November, the market extended its fourth−quarter comeback in December, soaring 22.1% in dollars as investors factored in market−friendly remarks from Chavez, the winner of the December 6 election. That market had been concerned that a victory by Chavez would herald a rollback of privatization and free−market reforms. Chavez backtracked on earlier statements that he would place a moratorium on foreign debt, nationalize industries, and devalue the bolivar. In a bid to shore up confidence, the president−elect suggested that he would reduce crude output in accordance with OPEC targets as well as tackle the gaping fiscal deficit by laying off civil servants and clamping down on tax evasion. The new tone sent the market in a frenzy, with the local index roaring ahead 22% and 19% in two straight trading sessions. The market retrenched throughout the remainder of the year, as there was no end in sight to the deepening recession in Latin America and the continued weakness of the petroleum market.break

Monthly Value Traded (US$ millions)

Venezuela

IFCI Venezuela Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

441

Emerging Stock Markets Factbook 1999

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (bolivars per U.S. dollar)

* 51 markets covered by EMDB Venezuela 1998: (Currency in Millions)

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

91

91

93

93

93

93

93

93

93

Number of Listed Companies Bolsa de Valores de Caracas

91

Market Capitalization In bolivars

6,127,000 6,002,285 6,256,398 5,211,845 5,338,152 4,509,484 4,418,497 3,177,028 3,472,164 3,444

In U.S. dollars

11,998

11,610

11,921

9,720

9,913

8,158

7,850

5,459

6,056

6,070

In bolivars

122,235

89,129

108,359

117,116

72,939

48,268

56,432

54,599

40,562

20,24

In U.S. dollars

239

172

206

218

135

87

100

94

71

36

Turnover ratio (%)

1.8

1.5

1.8

2.0

1.4

1.0

1.3

1.4

1.2

0.6

Indice de Capitalizacion*

7,332.8

7,175.6

7,685.8

6,104.3

6,179.5

4,802.6

4,846.4

2,904.0

3,893.9

3,631

Change in index (%)

−15.3

−2.1

7.1

−20.6

1.2

−22.3

0.9

−40.1

34.1

−6.8

Number of stocks

19

19

19

19

19

19

19

19

19

19

Share of market cap.

68.0

67.9

68.3

64.7

64.7

62.7

63.5

53.8

65.5

60.8

Trading Value

Local Index

IFC Global Index

Venezuela 1998: (Currency in Millions)

442

Emerging Stock Markets Factbook 1999 (%)* Share of trading value (%)

83.6

83.5

89.6

55.6

61.1

83.2

92.8

56.4

65.2

83.5

P/E ratio

10.4

9.6

9.8

6.8

6.8

5.5

5.4

3.8

5.1

4.6

P/BV ratio

1.0

0.9

0.9

0.7

0.7

0.6

0.6

0.3

0.5

0.4

Dividend yield (%)

1.5

1.4

1.4

2.4

2.3

2.6

2.9

6.0

5.9

6.6

Total return index*

633.1

612.6

627.1

485.9

499.7

385.4

381.3

230.2

313.6

294.3

Change in total return index (%)

−16.8

−3.2

2.4

−22.5

2.8

−22.9

−1.1

−39.6

36.2

−6.2

510.680

517.000

524.800

536.225

538.500

552.755

562.855

582.005

573.375

567.5

Exchange Rates Exchange rates (end of period)

Notes: The base date of the Indice de Capitalizacion de la BVC is Dec. 1993=1,000. The base date for the IFCG Venezuela Index is Dec. 1984=100. In calculating shar cap is not adjusted for cross holdings.

Caracas Stock Exchange Mr. Alejandro Salcedo Thielen, Chairman

Venezuelan Electronic Stock Exchange Jose Vicente Urdaneta, President

IFC Correspondent: Merinvest

Calle Sorocaima Entre Tamanaco y Venezuela Atrium, Piso 1, El Rosal Caracas, 1060−A Venezuela Tel: (58−2) 905−5511 Fax: (58−2) 952−2640 http://www.caracasstock.com

Avenida Principal de Los Ruices Centro Empresarial Autana, Piso 2, Oficina 2−A Caracas Venezuela Tel: (58−2) 239−8433 Fax: (58−2) 237−7949 http://www.venezuelastock.com

Av. Andres Bello No. Torre Mercantil Piso 2 Caracas, 1010 Venezuela Tel: (58−2) 503−2752 Fax: (58−2) 575−0783

Venezuela 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

74

76

87

91

93

90

90

87

91

Number of Listed Companies Bolsa de Valores de Caracas

Venezuela 1989−1998: (Currency in Millions; End of Period Levels)

443

Emerging Stock Markets Factbook 1999 Market Capitalization In bolivars

64,051

415,893

681,838

593,993

836,679

698,320

1,241,061 4,788,748 7,352,98

In U.S. dollars

1,472

8,361

11,214

7,600

8,010

4,111

3,655

10,055

14,581

In bolivars

3,575

103,236

181,688

177,648

169,168

139,932

94,655

592,159

1,884,11

In U.S. dollars

93

2,232

3,240

2,631

1,874

936

510

1,275

3,858

Turnover ratio (%)

5.4

43.0

33.1

27.8

23.6

18.2

9.8

19.6

31.0

Indice de Capitalizacion*

2,754.0

17,881.9 29,316.6 19,874.1 // 1,000.0 1,348.8

2,019.4

6,690.1

8,656.0

Change in index (%)

−28.8

549.3

63.9

−32.2

−

34.9

49.7

231.3

29.4

Number of stocks

13

16

17

17

17

17

16

18

19

Share of market cap. (%)

53.0

64.6

77.1

65.8

60.4

81.6

67.9

74.6

66.9

P/E ratio

4.1

26.0

28.5

15.6

17.4

18.1

12.0

32.5

12.8

P/BV ratio

0.8

3.4

3.6

1.6

1.8

1.8

1.6

3.3

1.2

Dividend yield (%)

2.2

0.7

0.5

1.0

2.3

2.5

2.6

1.3

1.2

Total return index*

89.4

627.4

907.4

523.6

487.3

362.2

255.5

609.5

760.5

Change in index (%)

−33.1

601.8

44.6

−42.3

−6.9

−25.7

−29.5

138.6

24.8

Gross domestic product 43,551 (US$)

48,593

53,453

60,765

60,049

58,403

77,261

70,292

87,480

Change in consumer price index (%)

84.5

40.7

34.2

31.4

38.1

60.8

59.9

99.9

50.0

Exchange rate (end of period)

43.5000 49.7400

60.8000

78.1600

104.4600 169.8700 339.5406 476.2550 504.3000

Exchange rate (average 38.5919 46.2453 of period)

56.0683

67.5143

90.2763

Trading Value

Local Index

IFC Global Index

Economic Data

Venezuela 1989−1998: (Currency in Millions; End of Period Levels)

149.5574 185.6402 464.5281 488.4015

444

Emerging Stock Markets Factbook 1999

Notes: IFC switched to the Indice de Capitalizacion in January 1995. The index's base date is Dec. 1993=1,000. The base d IFCG Venezuela Index is Dec. 1984=100. Since Nov. 29, 1995, the exchange rate applied was the implicit rate derived fro Venezuelan Brady Bond trading. Following the implementation of a new foreign exchange regime on April 22, 1996, whe government allowed the bolivar (fixed at 85.290 per US$) to float, the exchange rate applied is the central bank market rat cap and trading value data does not include the Venezuelan Electronic Stock Exchange, which opened in mid−1995. In cal share of total market cap, IFCG market cap is not adjusted for cross holdings. Zimbabwe Market Performance

For the second year in a row, shares on the Zimbabwe Stock Exchange (ZSE) fell sharply in 1998. High interest rates, social unrest, and a Zimbabwe dollar depreciation of more than 50% sharply diminished enthusiasm for what was once considered one of the most promising markets in the African region. For the year, the dollar−based IFCI and IFCG indexes fell 58.1% and 59.2%, respectively, while the local ZSE Industrial Index shed 11% in local currency. A drop in bullion prices slashed 18% off the Zimbabwe Mining Index. Shares began the year on a positive note as much−needed rains, the IMF's conditional promise of $176 million in aid, and the World Bank's decision to release $60 million in funds to prevent a balance−of−payments crisis lifted investor sentiments. By the end of the first quarter, however, fears of a fuel hike and uncertainty over the government's proposed land reforms drew investors slowly away from the market. The market's decline truly became apparent early in the second quarter as the Zimbabwe equity market stumbled sharply amid banking sector worries and continued high interest rates. In June, shares were given a temporary reprieve with the IMF's announcement of a $176 million standby credit to support Zimbabwe's effort toward market reforms, in which the market quickly reacted with a strong upward surge. However, tough monetary and fiscal targets set by the IMF, combined with the growing international fear of investing in emerging markets, brought the market back down to its previous index levels by the end of the month.

By the third quarter, rumors of low foreign exchange reserves were confirmed when the government left the dollar unprotected from speculation. While the declining currency made exports and imports more competitive with those from South Africa, the government's lack of intervention hurt the finance and business sectors, helping to drive the equity market down. The economy received even worse news in August when the IMF suspended its expected $176 million loan. The money was withheld after the government reapplied price controls on food staples. While the actual contribution from the IMF was not expected to be anything more than a fraction of what the economy needed as a financial boost, the suspension only helped to further deteriorate the severe lack of investor faith in the Zimbabwe economy.

Zimbabwe

445

Emerging Stock Markets Factbook 1999 Despite the turmoil that rocked the local market early in the year, heavy rains as well as lower rates in domestic money markets helped give the local Zimbabwe equity market a year−end boost. Zimbabwe shares finished December on a bullish note despite the traditional lull during the holiday month and a 10.8% point jump in the inflation rate.break

Monthly Value Traded (US$ millions)

IFCI Zimbabwe Index Correlation (5−year period ending 12/98)

IFCI P/E Ratio (end of month values)

Monthly Market Capitalization (US$ millions)

Share of Emerging Market Capitalization* (end−1998; total=$1,868 billion)

Exchange Rate (Z dollars per U.S. dollar)

* 51 markets covered by EMDB Zimbabwe 1998: (Currency in Millions)

Zimbabwe 1998: (Currency in Millions)

446

Emerging Stock Markets Factbook 1999 Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

No

64

64

64

65

65

66

66

67

67

67

67

In Zimbabwe dollars 42,825

44,757

45,806

45,328

43,475

43,795

37,980

37,373

45,767

47,169

47,

In U.S. dollars

2,763

2,836

2,651

2,422

2,432

1,935

1,359

1,408

1,318

1,2

In Zimbabwe dollars 292

335

219

379

805

230

270

253

309

185

355

In U.S. dollars

17

21

14

22

45

13

14

9

10

5

10

Turnover ratio (%)

0.7

0.8

0.5

0.8

1.8

0.5

0.7

0.7

0.7

0.4

0.8

Number of Listed Companies Zimbabwe Stock Exchange

Market Capitalization

2,519

Trading Value

Local Index ZSE Industrial*

7,895.7 7,879.5 8,795.7 7,724.7 7,307.2 7,417.9 7,003.1 5,577.7 5,789.8 5,832.5 5,8

Change in index (%) 9.7

−0.2

11.6

−12.2

−5.4

1.5

−5.6

−20.3

3.8

0.7

0.9

22

22

22

22

22

22

22

22

22

24

Share of market cap. 67.1 (%)*

63.6

69.5

61.0

59.5

60.3

65.4

54.4

44.2

43.7

52.

Share of trading value (%)

91.1

74.6

66.4

85.0

95.1

76.9

68.1

51.8

71.5

55.5

86.

P/E ratio

10.3

10.2

11.4

10.0

9.3

10.3

9.7

8.1

8.4

8.5

6.2

P/BV ratio

1.7

1.7

1.8

1.6

1.4

1.4

1.4

1.1

1.1

1.2

1.2

Dividend yield (%)

2.5

2.6

2.4

2.6

2.8

3.8

4.3

5.1

5.0

4.8

3.1

Total return index*

1,249.4 1,296.6 1,430.2 1,177.1 1,038.7 1,080.6 940.8

558.4

470.5

433.9

424

Change in total return index (%)

14.4

−40.6

−15.7

−7.8

−2.

IFC Global Index Number of stocks

22

3.8

10.3

Zimbabwe 1998: (Currency in Millions)

−17.7

−11.8

4.0

−12.9

447

Emerging Stock Markets Factbook 1999 Exchange Rates

Exchange rates (end 17.0000 16.2000 16.1500 17.1000 17.9500 18.0100 19.6250 27.5000 32.5000 35.8000 37. of period)

Notes: The base date for the ZSE Industrial Index is 1967=100. The base date for the IFCG Zimbabwe Index is Dec. 1984 company and market capitalization figures do not include foreign−based shares that are cross−listed. In calculating share o cap, IFCG market cap is not adjusted for cross holdings.

IFC Correspondent: Sagit Stockbrokers (Pv 20th Floor, Karigamom Samora Machel Avenu P.O. Box 21 Harare Zimbabwe Tel: (263−4) 757−867 Fax: (263−4) 750−564

Zimbabwe Stock Exchange Mr. A. Barfoot, Chief Executive Officer P.O. Box 234 UA 5th Floor, Southampton House Union Avenue Harare Zimbabwe Tel: (263−4) 736−861, 796−255 Fax: (263−4) 791−045 Zimbabwe 1989−1998: (Currency in Millions; End of Period Levels) 1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

54

57

60

62

62

64

64

64

64

67

In Zimbabwe dollars

2,396

6,373

7,020

3,440

9,937

15,292

18,988

39,337

36,322

48,770

In U.S. dollars

1,067

2,395

1,394

628

1,433

1,828

2,038

3,635

1,969

1,310

In Zimbabwe dollars

75

126

282

103

347

1,445

1,299

2,555

6,452

3,931

In U.S. dollars

36

51

77

20

53

176

150

255

532

166

Turnover ratio (%)

3.9

2.9

4.2

2.0

5.2

11.5

7.6

8.8

17.1

9.2

Number of Listed Companies Zimbabwe Stock Exchange

Market Capitalization

Trading Value

Zimbabwe 1989−1998: (Currency in Millions; End of Period Levels)

448

Emerging Stock Markets Factbook 1999 Local Index ZSE Industrial*

869.1

2,282.6 1,953.6 865.6

2,325.3 3,160.8 3,972.6 8,786.3

7,196.4

6,408.4

Change in index (%)

57.3

162.6

−14.4

−55.7

168.6

35.9

25.7

121.2

−18.1

−10.9

Number of stocks

11

18

17

17

21

24

24

22

22

24

Share of market cap. (%)*

46.5

56.5

50.0

42.7

62.2

73.4

74.5

72.8

76.4

54.2

P/E ratio

4.4

8.3

7.0

2.0

8.8

10.1

7.3

12.9

10.3

5.8

P/BV ratio

0.9

1.5

1.0

0.3

0.9

1.2

1.3

2.4

1.7

1.3

Dividend yield (%)

9.8

4.0

5.8

6.1

3.6

4.6

5.2

2.8

2.9

2.8

Total return index*

1,028.9 2,005.8 956.1

384.8

938.0

1,203.2 1,403.8 2,338.8

1,092.4

460.4

Change in index (%)

40.8

94.9

−52.3

−59.8

143.8

28.3

16.7

66.6

−53.3

−57.9

Gross domestic product (US$)

8,286

8,784

8,642

6,752

6,564

6,891

7,134

8,545

8,906

−

Change in consumer price index (%)

12.9

17.4

23.3

42.1

27.6

22.3

22.6

21.4

18.7

−

Exchange rate (end of period)

2.2448

2.6609

5.0355

5.4816

6.9351

8.3650

9.3188

10.8225 18.4500 37.215

Exchange rate (average of period)

2.1173

2.4481

3.6346

5.1112

6.5061

8.2064

8.6820

10.0159 12.1380 23.730

IFC Global Index

Economic Data

Notes: The base date for the ZSE Industrial Index is 1967=100. The base date for the IFCG Zimbabwe Index is Dec. 1984=100. Listed company and market capitalization figures do not include foreign−based shares that are cross−listed. In calculating share of total market cap, IFCG market cap is not adjusted for cross holdings.

7— Other Equity Market Profiles Other Markets 1998: (Currency in Millions; End of Period Levels)

7— Other Equity Market Profiles

449

Emerging Stock Markets Factbook 1999

Armenia

1995

1996

1997

1998

Number of Listed Companies

Yerevan Stock Exchange

Azerbaijan

1995

1996

199

−

−

−

Number of Listed Companies 1

10

59

82

Market Capitalization

Baku Interbank Currency Exchange

Market Capitalization

In dram

1,315.0

2,925.0

7,881.0

9,206.0

In manat

−

−

−

In US dollars

3.0

7.0

16.0

18.0

In US dollars

−

−

−

Trading Value

Trading Value

In dram

460.0

17.0

488.0

399.0

In manat

−

−

−

In US dollars

1.1

0.0

1.0

0.8

In US dollars

−

−

−

Turnover ratio

61.0

0.8

9.0

4.7

Turnover ratio

−

−

−

Local Index

Local Index

−

−

−

−

36.1

−

−

−

−

% change in index

.−

−

−

−

% change in index

−

−

−

P/E ratio

−

−

34.1

−

P/E ratio

−

−

−

P/BV ratio

−

−

−

−

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

−

Economic Data

Economic Data

Gross domestic product (US$)

2,886.9

1,594.8

1,627.7

−

Gross domestic product 3,497.1 (US$)

3,650.3

4,39

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

−

−

−

Exchange rate (end of period)

402.000

441.200

494.980 517.120

Exchange rate (end of period)

−

−

−

Exchange rate (average 403.000 of period)

415.580

483.684 514.880

Exchange rate (average of period)

−

−

−

7— Other Equity Market Profiles

450

Emerging Stock Markets Factbook 1999 Yerevan Stock Exchange Dr. Sedrak Sldrakian, President

Baku Interbank Currency Exchange Fuad Akhundov, Board Chairman

22, Sarian St. Yerevan Armenia Tel: (3742) 52−58−01 Fax: (3742) 15−15−48

Farkhad Amirbekov, General Manager 57, Inglab Street 370110 Baku, Azerbaijan Tel: (99412) 906−516, 906−309 Fax: (99412) 906−516 http://www.az/bicex

Email: [email protected] (table continued on next page)

(table continued from previous page)

Bahrain

1995

1996

1997

1998

Number of Listed Companies

Bahrain Stock Exchange

Barbados

1995

1996

199

18

19

18

Number of Listed Companies −

−

−

38

Market Capitalization

Securities Exchange of Barbados

Market Capitalization

In dinars

−

−

−

2,552.0

In Barbadian dollars

989.0

1,540.0

2,28

In US dollars

−

−

−

6,770.0

In US dollars

494.0

770.0

1,14

Trading Value

Trading Value

In dinars

−

−

−

217.0

In dollars

7.0

12.0

47.0

In US dollars

−

−

−

576.5

In US dollars

3.3

6.2

23.3

Turnover ratio

−

−

−

−

Turnover ratio

0.6

1.0

2.4

Local Index

Local Index

Bahrain Index (Composite)

−

−

−

2,188.9

SEB Index (Jan. 1, 1988=1,000)

1,297.6

1,257.9

1,89

% change in index

−

−

−

−

% change in index

−7.0

−3.1

50.5

P/E ratio

−

−

−

9.8

P/E ratio

13.2

10.7

13.6

P/BV ratio

−

−

−

1.3

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

5.2

Dividend yield (%)

4.2

6.6

5.5

Economic Data

7— Other Equity Market Profiles

451

Emerging Stock Markets Factbook 1999 Economic Data Gross domestic product (US$)

5,485.9

5,807.7

6,096.8

−

Gross domestic product 1,742.9 (US$)

−

−

Change in consumer price index (%)

−

−0.2

−

−

Change in consumer price index (%)

1.9

2.4

7.7

Exchange rate (end of period)

−

−

−

.3770

Exchange rate (end of period)

2.0000

2.0000

2.00

Exchange rate (average − of period)

−

−

−

Exchange rate (average of period)

2.0000

2.0000

2.00

Bahrain Stock Exchange P.O. Box 3203

Securities Exchange of Barbados Mr. Neville Smith, Chairman

Manama Bahrain Tel: (0973) 210810 Fax: (0973) 210149 http://www.bahrainstock.com

Mrs.Virginia Mapp, General Manager 5th Floor, Tom Adams Financial Centre Church Village, St. Michael, Barbados Tel: (246) 436−9871, 436−9872 Fax: (246) 429−8942 http://www.cweek.com

Email: [email protected]

Email: [email protected]

(table continued on next page)

(table continued from previous page)

Bolivia

1995

1996

1997

1998

Number of Listed Companies

Bolsa Boliviana de Valores

Costa Rica

1995

1996

1997

118

114

114

Number of Listed Companies 7

10

11

14

Market Capitalization

Bolsa Nacional de Valores

Market Capitalization

In bolivianos

479.0

589.0

1,844.0

3,222.0

In colones

−

172,081.0 200,

In US dollars

97.0

114.0

328.0

570.3

In US dollars

−

781.0

820.

Trading Value

Trading Value

In bolivianos

3.0

3.0

4.0

33.0

In colones

2,876.0

3,047.0

−

In US dollars

0.6

0.6

0.6

5.9

In US dollars

16.0

14.6

−

7— Other Equity Market Profiles

452

Emerging Stock Markets Factbook 1999 Turnover ratio

1.0

0.6

0.3

1.3

Local Index

Turnover ratio

−

3.5

−

Local Index

−

−

−

−

−

BNV Index (Jan. 1995=100)

1,252.4

1,438.2

1,67

% change in index

−

−

−

−

% change in index

25.2

14.8

16.8

P/E ratio

−

−

−

−

P/E ratio

−

−

−

P/BV ratio

−

−

−

−

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

−

Economic Data

Economic Data

Gross domestic product (US$)

6,715.6

7,529.6

7,976.8

8,557.6

Gross domestic product 9,027.4 (US$)

9,024.8

9,52

Change in consumer price index (%)

10.2

12.4

4.7

−

Change in consumer price index (%)

23.2

17.5

13.2

Exchange rate (end of period)

4.9300

5.1800

5.6150

5.6500

Exchange rate (end of period)

195.370

220.310

244.

Exchange rate (average of period)

4.8100

5.0700

5.6083

−

Exchange rate (average 180.010 of period)

208.040

232.

Bolivian Stock Exchange Fernando Campero Paz, CEO

National Stock Exchange Rodrigo Arias Sánchez, Chairman

C. Montevideo No. 140 Edif. Zambrana P.B. La Paz, 12521, Bolivia Tel: (591−2) 392−911 to 14, 350−935 Fax: (591−2) 352−308 http://www.bolsa−valores−bolivia.com

Roberto Venegas Renauld, General Manager Calle Central, Av. #1 San Jose, Costa Rica Tel: (506) 256−1180 Fax: (506) 255−9135 http://www.bnv.co.cr

Email: info@bolsa−valores−bolivia.com

Email: [email protected]

(table continued on next page)

(table continued from previous page)

7— Other Equity Market Profiles

453

Emerging Stock Markets Factbook 1999

El Salvador

1995

1996

1997

1998

Number of Listed Companies

El Salvador Stock Exchange

Fiji

1995

1996

199

4

4

8

Number of Listed Companies −

49

59

80

Market Capitalization

Suva Stock Exchange

Market Capitalization

In colones

−

3,959.0

4,370.0

12,618.0

In Fiji dollars

96.0

113.0

144

In US dollars

−

452.0

499.0

1,435.0

In US dollars

67.0

82.0

93.

Trading Value

Trading Value

In colones

−

86.0

127.0

157.0

In Fiji dollars

0.0

0.0

2.0

In US dollars

−

9.8

14.5

17.9

In US dollars

0.0

0.1

1.5

Turnover ratio

−

−

3.1

1.8

Turnover ratio

0.1

0.1

1.7

Local Index

Local Index

−

−

−

−

−

−

−

−

−

% change in index

−

−

−

−

% change in index

−

−

−

P/E ratio

−

7.9

10.2

−

P/E ratio

−

−

−

P/BV ratio

−

−

−

−

P/BV ratio

−

−

0.2

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

6.1

Economic Data

Economic Data

Gross domestic product (US$)

9,500.5

10,358.5

11,263.7 12,147.7

Gross domestic product 1,952.8 (US$)

2,120.7

2,1

Change in consumer price index (%)

10.0

9.8

4.5

−

Change in consumer price index (%)

2.2

3.1

3.4

Exchange rate (end of period)

−

8.7550

8.7550

8.7900

Exchange rate (end of period)

1.4294

1.3839

1.5

Exchange rate (average − of period)

8.7550

8.7550

8.7550

Exchange rate (average of period)

1.4063

1.4033

1.4

El Salvador Stock Exchange

7— Other Equity Market Profiles

Suva Stock Exchange

454

Emerging Stock Markets Factbook 1999 Dr. Guillermo Hidalgo−Quehl, President

Ms. Foana Tukana, Chairman

Edificio La Centroamericana Alameda Roosevelt No. 3107 San Salvador, El Salvador Tel: (503) 298−4244 Fax: (503) 223−2898 http://www.bolsavalores.com.sv

Level 2, Plaza One, Provident Plaza P.O. Box 11089 Suva, Fiji Tel: (679) 304−130 Fax: (965) 304−145 http://www.suvastockex.com

Email: [email protected]

Email: [email protected]

(table continued on next page)

(table continued from previous page)

Guatemala

1995

1996

1997

1998

Number of Listed Companies

Bolsa de Valores Nacional

Honduras

1995

1996

199

99

111

119

Number of Listed Companies 7

9

7

7

Market Capitalization

Bolsa Hondurena de Valores

Market Capitalization

In quetzal

747.0

1,001.0

861.0

1,179.0

In lempira

3,501.0

−

−

In US dollars

124.0

168.0

139.0

172.0

In US dollars

338.0

−

−

Trading Value

Trading Value

In quetzal

26.0

22.0

9.0

101.0

In lempira

3.0

6.0

5.0

In US dollars

4.5

3.6

1.5

15.0

In US dollars

0.3

0.5

0.4

Turnover ratio

−

2.5

0.9

9.9

Turnover ratio

0.1

0.3

−

Local Index

Local Index

−

−

−

−

−

−

−

−

−

% change in index

−

−

−

−

% change in index

−

−

−

P/E ratio

−

−

31.9

31.9

P/E ratio

−

−

−

P/BV ratio

−

−

2.1

2.1

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

−

Economic Data

7— Other Equity Market Profiles

Economic Data 455

Emerging Stock Markets Factbook 1999 Gross domestic product (US$)

14,656.9

15,677.9

17,771.6 19,280.6

Gross domestic product 3,970.1 (US$)

4,009.6

4,4

Change in consumer price index (%)

8.4

11.1

9.2

−

Change in consumer price index (%)

29.5

23.8

20.

Exchange rate (end of period)

6.0418

5.9656

6.1769

6.8482

Exchange rate (end of period)

10.3428

12.8694

13.

Exchange rate (average of period)

5.8103

6.0495

6.0653

6.7284

Exchange rate (average 9.4710 of period)

11.7053

13.

National Stock Exchange Ing. Rolando San Román, General Manager

Honduras Stock Exchange Lic. Marco Tulio Lopez, General Manager

Lic. Enrique Crespo, Sub General Manager 7 avenida 5−10, Zona 4, Centro Financiero Torre II, 2o. Nivel, Guatemala Tel: (502) 332−2301 Fax: (502) 332−1722 http://www.bbvnsa.com.gt

Barrio El Centro 3 Ave. 2 Calle 1er Piso Local 103, San Pedro Sula Honduras, C.A. Tel: (504) 553−4410 Fax: (504) 553−4480 http://www.bhv.hn

Email: [email protected]

Email: [email protected]

(table continued on next page)

(table continued from previous page)

India

1995

1996

1997

1998

Number of Listed Companies Calcutta Stock Exchange

India

1995

1996

19

3,415

3,839

3,8

Number of Listed Companies 3,315

3,199

−

−

Market Capitalization

Delhi Stock Exchange

Market Capitalization

In rupee

4,159,514.0 4,891,228.0 −

−

In rupee

2,079,396.0 2,195,778.0 2,4

In US dollars

118,286.0

−

In US dollars

59,133.0

61,292.0

62

136,531.0

−

Trading Value

Trading Value

In rupee

64,996.0

124,298.0

−

−

In rupee

111,815.0

333,667.0

72

In US dollars

2,003.1

3,514.7

−

−

In US dollars

3,446.1

9,434.8

19

Turnover ratio

3.1

2.8

−

−

Turnover ratio

4.8

15.6

31

7— Other Equity Market Profiles

456

Emerging Stock Markets Factbook 1999

Local Index

Local Index

CSE 75 Index

−

414.7

−

−

DSE Sensitive Index (1983=100)

703.6

689.5

77

% change in index

−

−

−

−

% change in index

−19.0

−2.0

12

P/E ratio

−

−

−

−

P/E ratio

−

−

−

P/BV ratio

−

−

−

−

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

−

Dividend yield (%) −

−

−

Economic Data

Economic Data

Gross domestic product (US$)

334,429.2

359,718.3

381,566.2 383,428.6

Gross domestic product (US$)

334,429.2

359,718.3

38

Change in consumer price index (%)

10.2

9.0

7.2

−

Change in consumer price index (%)

10.2

9.0

7.2

Exchange rate (end of period)

35.1650

35.8250

39.2100

−

Exchange rate (end 35.1650 of period)

35.8250

39

Exchange rate (average of period)

32.4471

35.3656

36.3184

−

Exchange rate 32.4471 (average of period)

35.3656

36

Calcutta Stock Exchange Association Mr. P.K. De, Secretary

Delhi Stock Exchange Association Mr. S.S. Sodhi, Executive Director

7 Lyons Range Calcutta, 700 001 West Bengal India Tel: (91−33) 220−6977, 220−9366 Fax: (91−33) 20−2514

3 & 4/4B, Asaf Ali Road New Delhi 110002 India Tel: (91−11) 337−9590 Fax: (91−11) 337−9953 Email: [email protected]

(table continued on next page)

(table continued from previous page)

7— Other Equity Market Profiles

457

Emerging Stock Markets Factbook 1999

India

1995

1996

1997

1998

Number of Listed Companies Madras Stock Exchange

India

1995

1996

19

378

535

1,4

Number of Listed Companies 1,458

1,750

−

−

Market Capitalization

National Stock Exchange of India

Market Capitalization

In rupee

1,956,593.0 2,068,415.0 −

−

In rupee

1,797,499.0 2,349,219.0 4,2

In US dollars

55,640.0

−

In US dollars

51,116.0

65,575.0

57,737.0

−

Trading Value

10

Trading Value

In rupee

102,159.0

16,602.0

−

−

In rupee

268,855.0

2,455,450.0 3,7

In US dollars

3,148.5

469.4

−

−

In US dollars

8,285.9

69,430.5

10

Turnover ratio

10.4

0.8

−

−

Turnover ratio

−

118.4

11

Local Index

Local Index

MSE Index (1983=100)

3,114.3

3,070.2

−

−

NSE 50 (Nov.3, 1995=1000)

908.5

889.1

1,0

% change in index

−8.2

−1.4

−

−

% change in index

0.0

−2.1

21

P/E ratio

15.9

−

−

−

P/E ratio

−

−

−

P/BV ratio

−

−

−

−

P/BV ratio

−

9.3

−

Dividend yield (%)

−

−

−

−

Dividend yield (%) −

−

−

Economic Data

Economic Data

Gross domestic product (US$)

334,429.2

359,718.3

381,566.2 383,428.6

Gross domestic product (US$)

334,429.2

359,718.3

38

Change in consumer price index (%)

10.2

9.0

7.2

−

Change in consumer price index (%)

10.2

9.0

7.2

Exchange rate (end of period)

35.1650

35.8250

39.2100

−

Exchange rate (end 35.1650 of period)

35.8250

39

32.4471

35.3656

36.3184

−

32.4471

35.3656

36

7— Other Equity Market Profiles

458

Emerging Stock Markets Factbook 1999 Exchange rate (average of period)

Exchange rate (average of period)

Madras Stock Exchange, Ltd. Mr. A. Rajaei Salmassi, Secretary General

National Stock Exchange of India, Ltd. Dr. R.H. Patil, Managing Director

No. 11, Second Line Beach Madras 600 004 Tamilnadu State India Tel: (91−44) 522−1071 Fax: (91−44) 524−4897

Mahindra Towers, First Floor, A−Wing Mumbai, 400 018, India Maharashtra, India Tel: (91−22) 493−8009 Fax: (91−22) 493−5631 http://www.nse.co.in

Email: [email protected] (table continued on next page)

(table continued from previous page)

India

1995

1996

1997

1998

Number of Listed Companies OTC Exchange of India

Iran

1995

1996

1997

169

220

263

Number of Listed Companies 79

106

115

−

Market Capitalization

Tehran Stock Exchange

Market Capitalization

In rupee

5,836.0

3,394.0

61,744.0

−

In rial

11,465,811.0 29,750,211.0 26,5

In US dollars

166.0

95.0

1,575.0

−

In US dollars

6,552.0

17,024.0

15,1

Trading Value

Trading Value

In rupee

2,799.0

2,090.0

2,500.0

−

In rial

1,296,572.0

4,573,631.0

2,12

In US dollars

86.3

59.1

68.8

−

In US dollars

740.9

2,617.2

1,21

Turnover ratio

−

45.3

7.7

−

Turnover ratio

15.9

22.2

7.5

1,288.1

1,967.3

1,63

Local Index OTCEI Composite Index

Local Index 161.7

88.9

7— Other Equity Market Profiles

111.2

−

Tepix (Nov. 3, 1990=100)

459

Emerging Stock Markets Factbook 1999 % change in index

0.0

−45.0

25.1

−

% change in index

125.8

52.7

−17.

P/E ratio

8.4

5.0

4.5

−

P/E ratio

−

8.4

4.9

P/BV ratio

1.1

−

−

−

P/BV ratio

−

−

−

Dividend yield (%)

2.0

−

−

−

Dividend yield (%) −

−

−

Economic Data

Economic Data

Gross domestic product (US$)

334,429.2 359,718.3 381,566.2 383,428.6

Gross domestic product (US$)

89,979.0

−

−

Change in consumer price index (%)

10.2

9.0

7.2

−

Change in consumer price index (%)

49.6

28.9

17.2

Exchange rate (end of period)

35.1650

35.8250

39.2100

−

Exchange rate (end 1,750.00 of period)

1,747.50

1,75

Exchange rate (average of period)

32.4471

35.3656

36.3184

−

Exchange rate 1,750.00 (average of period)

1,747.50

1,75

OTC Exchange of India M. Pushpangadan, Managing Director

Tehran Stock Exchange A. Amirasslani, Chairman

92 Maker Tower "F" Cuffe Parade Mumbai India 400 005 Tel: (91−22)218−8164,218−8165/8511 Fax: (91−22) 218−8503

228, Hafez Avenue Tehran, 11389 Iran Tel: (98−21) 670−8385 Fax: (98−21) 670−7888 Email: [email protected]

(table continued on next page)

(table continued from previous page)

Kazakhstan

1995

1996

1997

1998

Number of Listed Companies Kazakhstan Stock Exchange

Lebanon

1995

1996

1997

3

−

9

Number of Listed Companies −

−

−

18

Beirut Stock Exchange

Market Capitalization

7— Other Equity Market Profiles

460

Emerging Stock Markets Factbook 1999 Market Capitalization In tenge

−

−

−

142,150.0

In pounds

638,400.0 −

4,434

In US dollars

−

−

−

37.0

In US dollars

400.0

−

2,904

Trading Value

Trading Value

In tenge

−

−

−

2,401.0

In pounds

−

−

985,0

In US dollars

−

−

−

−

In US dollars

−

−

639.8

Turnover ratio

−

−

−

−

Turnover ratio

−

−

−

Local Index

Local Index

−

−

−

−

−

−

−

−

−

% change in index

−

−

−

−

% change in index

−

−

−

P/E ratio

−

−

−

2.9

P/E ratio

−

−

16.4

P/BV ratio

−

−

−

0.7

P/BV ratio

−

−

2.5

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

1.9

Economic Data

Economic Data

Gross domestic product (US$)

19,925.1 21,036.4 22,165.2 21,029.4

Gross domestic product (US$)

11,118.5

12,992.9 14,96

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

−

−

Exchange rate (end of period)

−

−

−

3,890.00

Exchange rate (end of 1,596.00 period)

1,552.00 1,527

Exchange rate (average of period)

−

−

−

−

Exchange rate (average of period)

1,571.40 1,539

Kazakhstan Stock Exchange Inc. Azat G.Nukushev, President & CEO

Beirut Stock Exchange Gabriel Sehnaovi, Director

67 Aiteke−bi Almaty 480091 Kazakhstan Tel: (7 3272) 63 98 98 Fax: (7 3272) 63 89 80 http://kase.kazecon.kz

Sadat Street, Dabaghi Building Beirut Lebanon Tel: (961−1) 786 501 Fax: (961−1) 807 331 http://www.bse.com.lb

Email: [email protected]

Email: [email protected]

1,621.40

−

(table continued on next page)

7— Other Equity Market Profiles

461

Emerging Stock Markets Factbook 1999 (table continued from previous page)

Macedonia

1995

1996

1997

1998

Number of Listed Companies

Macedonian Stock Exchange

Malta

1995

1996

199

5

6

6

Number of Listed Companies −

−

−

2

Market Capitalization

Malta Stock Exchange

Market Capitalization

In local currency

−

−

−

437.0

In Maltese lira

437.0

170.0

720

In US dollars

−

−

−

8.0

In US dollars

154.0

61.0

281

Trading Value

Trading Value

In local currency

−

−

−

5.0

In Maltese lira

46.0

5.0

8.0

In US dollars

−

−

−

0.1

In US dollars

16.3

1.8

3.1

Turnover ratio

−

−

−

−

Turnover ratio

16.0

1.6

1.8

Local Index

Local Index

−

−

−

−

−

MSE Share Index

−

990.3

1,0

% change in index

−

−

−

−

% change in index

−

−

6.8

P/E ratio

−

−

−

−

P/E ratio

11.9

9.7

−

P/BV ratio

−

−

−

−

P/BV ratio

0.8

−

−

Dividend yield (%)

−

−

−

−

Dividend yield (%)

4.3

3.2

4.5

Economic Data

Economic Data

Gross domestic product (US$)

2,077.8

2,202.8

2,200.6

−

Gross domestic product 3,245.1 (US$)

3,354.9

3,3

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

−

2.5

3.1

Exchange rate (end of period)

−

−

−

51.8360

Exchange rate (end of period)

2.8377

2.7760

2.5

Exchange rate (average − of period)

−

−

51.7370

Exchange rate (average of period)

2.8355

2.7745

2.5

7— Other Equity Market Profiles

462

Emerging Stock Markets Factbook 1999

Macedonian Stock Exchange Evgeni Zografski, CEO

Malta Stock Exchange Mr. Paul J. Spiteri, CEO

Mito Hadzi Vasilev 20 91000 Skopje Republic of Macedonia Tel: (389 91) 122−055 Fax: (389 91) 122−069 http://www.mse.org.mk

Mr. Mark A Guillaumier, General Manager 27 Pietro Floriani Street Floriana Vlt 14 Malta Tel: (356) 244051/5 Fax: (356) 244071 [email protected]

Email: [email protected] (table continued on next page)

(table continued from previous page)

Moldova

1995

1996

1997

1998

Number of Listed Companies

Moldovan Stock Exchange

Mongolia

1995

1996

199

461

449

434

Number of Listed Companies −

−

−

21

Market Capitalization

Mongolian Stock Exchange

Market Capitalization

In lei

−

−

−

450.0

In tugrik

12,592.0

17,731.0

44,0

In US dollars

−

−

−

0.0

In US dollars

27.0

26.0

54.0

Trading Value

Trading Value

In lei

−

−

−

437.0

In tugrik

851.0

4,157.0

12,1

In US dollars

−

−

−

−

In US dollars

1.9

7.6

15.4

Turnover ratio

−

−

−

−

Turnover ratio

−

27.4

39.4

Local Index

Local Index

−

−

−

−

−

Top−75

112.8

118.5

−

% change in index

−

−

−

−

% change in index

−

5.1

−

P/E ratio

−

−

−

−

P/E ratio

−

−

2.1

P/BV ratio

−

−

−

−

P/BV ratio

−

−

0.3

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

−

9.7

7— Other Equity Market Profiles

463

Emerging Stock Markets Factbook 1999 Economic Data

Economic Data

Gross domestic product (US$)

3,092.9

1,663.2

1,871.9

−

Gross domestic product 956.7 (US$)

971.6

862

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

−

−

−

Exchange rate (end of period)

−

−

−

3,890.00

Exchange rate (end of period)

473.620

693.510

813

Exchange rate (average − of period)

−

−

−

Exchange rate (average 448.610 of period)

548.400

789

1995

1996

199

83

90

98

Moldovan Stock Exchange Dodu Corneliu, President

Mongolian Stock Exchange Enkhbayar Ochirbal, CEO

Stanciu Nadejda, Vice President Stefan cel Mare blvd. 73, Room 302 Chisinau, MD2001 Republic of Moldova Tel: (3732) 222−266 Fax: 229−305, 226−351 http://www.moldse.com

Amarsanaa Nosgoi, Deputy Director Sukhbaatar Square, 14 Ulaanbaatar, Mongolia Tel: (976−1) 310−501, 321−315 Fax: (976−1) 325−170 http://www.mse.com.mn

Email: [email protected]

(table continued on next page)

(table continued from previous page)

Namibia

1995

1996

1997

1998

Number of Listed Companies

Nambian Stock Exchange

Nepal

Number of Listed Companies 10

12

13

15

Market Capitalization *

Nepal Stock Exchange

Market Capitalization

In Namibia dollars

689.0

2,215.0

3,354.0

2,515.0

In rupee

13,681.0

11,849.0

12,6

In US dollars

189.0

473.0

689.0

429.0

In US dollars

244.0

207.0

200

Trading Value*

Trading Value

In Nambia dollars

11.0

176.0

112.0

76.0

In rupee

915.0

287.0

277

In US dollars

3.0

40.9

24.3

13.0

In US dollars

17.6

5.1

4.8

Turnover ratio

1.6

12.1

4.0

2.6

Turnover ratio

6.9

2.3

2.3

7— Other Equity Market Profiles

464

Emerging Stock Markets Factbook 1999

Local Index

Local Index

NSE Index (Dec 1992=100)

86.4

150.6

164.2

106.0

NPSE Index

206.6

−

170

% change in index

0.0

74.3

9.0

−35.4

% change in index

5.8

−

−

P/E ratio

11.0

23.8

14.2

−

P/E ratio

23.2

10.2

8.5

P/BV ratio

−

−

−

−

P/BV ratio

534.6

34.9

1.2

Dividend yield (%)

3.6

1.5

1.4

−

Dividend yield (%)

3.6

5.6

6.2

Economic Data

Economic Data

Gross domestic product (US$)

3,335.8

3,189.3

3,280.2

−

Gross domestic product 4,392.3 (US$)

4,509.3

4,92

Change in consumer price index (%)

10.0

8.0

8.8

−

Change in consumer price index (%)

7.6

9.2

4.0

Exchange rate (end of period)

3.6475

4.6825

4.8675

5.8600

Exchange rate (end of period)

56.0000

57.3000

63.3

Exchange rate (average 3.6271 of period)

4.2994

4.6080

5.8922

Exchange rate (average 51.8900 of period)

56.6920

58.0

1995

1996

199

16

19

21

* Figures do not include cross−listed South African companies.

Namibian Stock Exchange Mr. Tom Minney, General Manager

Nepal Stock Exchange Mr. Madan Raj Joshi, General Manager

Shop #8, Kaiserkrone Centre Post Street Mall, P.O. Box 2401 Windhoek, Namibia Tel: (264−61) 227−647 Fax: (264−61) 248−531 http://www.nse.com.na

Mr. Murari Prasad Sharma, Manager P.O. Box 1550 Singhadurbar Plaza Kathmandu Nepal Tel: (977−1) 250735 Fax: (977−1) 262538 Email: [email protected]

Email: [email protected] (table continued on next page)

(table continued from previous page)

Oman

1995

1996

1997

1998

Number of Listed Companies

Muscat Securities Market

Panama

Number of Listed Companies 80

7— Other Equity Market Profiles

94

114

131

Panama Stock

465

Emerging Stock Markets Factbook 1999 Exchange

Market Capitalization

Market Capitalization

In Omani rials

762.0

1,028.0

2,737.0

1,691.0

In balboas

831.0

1,279.0

2,1

In US dollars

1,978.0

2,662.0

7,108.0

4,392.0

In US dollars

831.0

1,279.0

2,1

Trading Value

Trading Value

In Omani rials

81.0

210.0

1,496.0

748.0

In balboas

9.0

24.0

42.

In US dollars

211.4

544.6

3,879.9

1,942.9

In US dollars

8.6

23.6

42.

Turnover ratio

11.5

23.5

79.5

33.8

Turnover ratio

1.1

2.2

2.4

Local Index

Local Index

MSM Index (Jan. 1, 1992=100)

158.1

199.4

480.6

228.5

BVP Indice General

222.4

277.6

445

% change in index

8.2

26.1

141.1

−52.5

% change in index

3.3

24.8

60.

P/E ratio

9.7

12.7

25.5

6.8

P/E ratio

9.4

−

21.

P/BV ratio

1.5

1.4

4.0

1.4

P/BV ratio

1.9

−

2.2

Dividend yield (%)

5.7

4.2

2.0

4.2

Dividend yield (%)

4.0

−

3.1

Economic Data

Economic Data

Gross domestic product (US$)

12,102.0

−

−

−

Gross domestic product 7,906.1 (US$)

8,243.6

−

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

1.0

1.3

1.3

Exchange rate (end of period)

0.3850

0.3860

0.3850

0.3850

Exchange rate (end of period)

1.0000

1.0000

1.0

Exchange rate (average 0.3850 of period)

0.3860

0.3855

0.3850

Exchange rate (average of period)

1.0000

1.0000

1.0

Muscat Securities Market Mr. Mahmood Al−Jarwani, Executive President

Panama Stock Exchange Pilar de Alemán, President

P.O. Box 3265 Ruwi Postal Code 112 Muscat Oman Tel: (968) 7712607 Fax: (968) 7716691 http://www.msm−oman.com

Felipe E. Chapman, General Manager Calle 52 Edif. Vallarino, Planta Baja Panama City, Panama Tel: (507)264−1966 Fax: (507) 269−2457 http://www.panabolsa.com

7— Other Equity Market Profiles

Email: [email protected] 466

Emerging Stock Markets Factbook 1999 (table continued on next page)

(table continued from previous page)

Paraguay

1995

1996

1997

1 998

Number of Listed Companies

Asuncion Stock Exchange

Swaziland

1995

1996

19

4

6

4

Number of Listed Companies 30

60

60

55

Market Capitalization

Swaziland Stock Market

Market Capitalization

In guarani

287,000.0 813,830.0 953,369.0 894,799.0

In lilangeni

1,235.0

2,204.0

63

In US dollars

144.0

In US dollars

339.0

471.0

12

383.0

389.0

312.0

Trading Value

Trading Value

In guarani

42,864.0

62,443.0

43,668.0

43,518.0

In lilangeni

1.0

10.0

1,

In US dollars

21.8

30.2

19.9

15.2

In US dollars

0.4

2.2

37

Turnover ratio

22.9

11.3

4.9

4.7

Turnover ratio

0.1

0.6

12

Local Index

Local Index

PDV General (Oct. 11, 1993=100)

127.4

217.8

261.3

270.1

SSM Index (Jul 1990=100)

136.8

192.8

11

% change in index

20.8

70.9

20.0

3.4

% change in index

2.9

41.0

−4

P/E ratio

13.6

12.2

−

−

P/E ratio

7.4

9.7

6.

P/BV ratio

−

1.4

−

1.9

P/BV ratio

1.3

1.8

1.

Dividend yield (%)

12.8

11.5

−

8.7

Dividend yield (%)

5.7

5.2

9.

Economic Data

Economic Data

Gross domestic product (US$)

8,982.2

9,672.9

10,179.8

−

Gross domestic product 1,267.4 (US$)

1,227.6

1,

Change in consumer price index (%)

13.4

9.8

7.0

−

Change in consumer price index (%)

14.7

12.5

9.

2,125.00

2,450.00

2,865.00

Exchange rate (end of period)

3.6488

4.6785

4.

Exchange rate (end of 1,988.00 period) 7— Other Equity Market Profiles

467

Emerging Stock Markets Factbook 1999 Exchange rate (average of period)

1,962.00

2,065.00

2,191.00

2,859.30

Exchange rate (average 3.6257 of period)

Asuncion Stock Exchange Hugo Salinas, Predident

Swaziland Stockbrokers Mr. Andrew McGuire, CEO

Estrella 540 Asuncion Paraguay Tel: (595−21) 442 445, 450 103, 450 104 Fax: (595−21) 442−446 http://www.pdv.com.py/bolsa

Suite 208, 2nd Floor Dhlan Ubeka House, Walker Street P.O. Box 2818 Mbabane, Swaziland Tel: (268) 4046163 Fax: (268) 4044132 Email: [email protected]

Email: [email protected]

4.6839

4.

(table continued on next page)

(table continued from previous page)

Uruguay

1995

1996

1997

1998

Number of Listed Companies

Montevideo Stock Exchange

Uzbekistan

1995

1996

19

−

4

−

Number of Listed Companies 20

18

16

19

Market Capitalization

Toshkent Republic Stock Exchange

Market Capitalization

In nuevo pesos

1,300.0

2,320.0

2,133.0

2,261.0

In local currency

−

7,025.0

37

In US dollars

183.0

266.0

212.0

209.0

In US dollars

−

128.0

46

Trading Value

Trading Value

In nuevo pesos

31.0

32.0

32.0

47.0

In local currency

−

2,815.0

2,3

In US dollars

4.8

4.0

3.3

4.5

In US dollars

−

69.6

34

Turnover ratio

2.7

1.7

1.4

2.1

Turnover ratio

−

−

10

Local Index

Local Index

Indice de Precios (Dec. 31, 1977=100)

860.3

−

−

−

−

−

−

−

% change in index

35.4

−

−

−

% change in index

−

−

−

P/E ratio

−

−

−

14.5

P/E ratio

−

−

−

7— Other Equity Market Profiles

468

Emerging Stock Markets Factbook 1999 P/ BV ratio

−

−

−

0.0

P/BV ratio

−

−

−

Dividend yield (%)

−

−

−

0.1

Dividend yield (%)

−

−

−

Economic Data

Economic Data

Gross domestic product (US$)

18,042.9

19,127.9

19,971.3 20,155.1

Gross domestic product 22,365.7 (US$)

23,811.6

25

Change in consumer price index (%)

42.2

28.3

19.8

Change in consumer price index (%)

−

−

−

Exchange rate (end of period)

7.1130

8.7150

10.0400 10.8250

Exchange rate (end of period)

−

54.7000

80

Exchange rate (average 6.3491 of period)

7.9718

9.4448

Exchange rate (average − of period)

40.4800

67

−

10.4698

Montevideo Stock Exchange Mr. Ignacio Rospide, President

Toshkent Republic Stock Exchange 8, Pravda Vostoka St.

Misiones 1400 Montevideo CP 11000 Uruguay Tel: (598−2) 916−5051 Fax: (598−2) 916−1900 http://www.bvm.com/uy

700047 Tashkent Republic of Uzbekistan Tel: (7−3712) 36−07−40,36−05−36 Fax: (7−3712) 33−32−31

Email: [email protected] (table continued on next page)

(table continued from previous page)

West Bank and Gaza

1995

1996

1997

1998

Number of Listed Companies

Palestine Securities Exchange

Zambia

1995

1996

1997

6

6

Number of Listed Companies −

−

27

20

Market Capitalization

Lusaka Stock Exchange 2

Market Capitalization

In Jordanian dinars

−

−

470.0

418.0

In kwacha

18,053.0

252,467.0 1,006

In US dollars

−

−

662.0

589.0

In US dollars

19.0

195.0

Trading Value

7— Other Equity Market Profiles

Trading Value 469

705.0

Emerging Stock Markets Factbook 1999 In Jordanian dinars

−

−

18.0

49.0

In kwacha

217.0

3,428.0

11,58

In US dollars

−

−

25.4

68.8

In US dollars

0.3

2.8

8.5

Turnover ratio

−

−

−

−

Turnover ratio

−

2.5

1.8

Local Index

Local Index

Al−Quds

−

−

139.1

155.0

LuSE Stock Index

−

−

210.7

% change in index

−

−

−

−

% change in index

−

−

−

P/E ratio

−

−

−

−

P/E ratio

7.5

4.0

9.8

P/BV ratio

−

−

−

−

P/BV ratio

−

3.1

1.2

Dividend yield (%)

−

−

−

−

Dividend yield (%)

−

9.5

3.0

Economic Data

Economic Data

Gross domestic product (US$)

−

−

−

−

Gross domestic product 3,497.7 (US$)

3,297.7

3,865

Change in consumer price index (%)

−

−

−

−

Change in consumer price index (%)

34.2

46.3

24.8

Exchange rate (end of period)

3.7450

3.7450

0.7095

0.7095

Exchange rate (end of period)

950.000

1,297.00

1,427

Exchange rate (average of period)

3.7450

3.7450

0.7095

0.7095

Exchange rate (average 820.000 of period)

1,228.00

1,362

Palestine Securities Exchange Mr. Sabeih Masri, Chairman

Lusaka Stock Exchange Ltd Mr. Charles Mate, General Manager

Dr. Sulieman Abaddi, General Manager P.O. Box 128 Nablus, Palestine Tel: (972 9) 237−5946, 237−5947 Fax: (972 9) 237−5945 http://www.p−s−e.com

Mr. Bruce Bouchard, Chairman Cairo Road, P.O. Box 34523 Lusaka, Zambia Tel: (260−1) 228−594, 228−537, 228−391 Fax: (260−1) 225−969 http://www.luse.co.zm

Email: [email protected]

Email: [email protected]

Appendix 1— Sources and Notes Stock Market Reference List IFC conducts an annual survey of the world's stock exchanges as the basis for the figures presented in this Factbook. The information for 1998 in this Factbook is from the following stock exchanges:break

Appendix 1— Sources and Notes

470

Emerging Stock Markets Factbook 1999

Argentina

Buenos Aires Stock Exchange

Armenia

Yerevan Stock Exchange

Australia

Australian Stock Exchange

Azerbaijan

Baku Interbank Currency Exchange

Austria

Vienna Stock Exchange

Bangladesh

Dhaka Stock Exchange Chittagong Stock Exchange

Bahrain

Bahrain Stock Exchange

Barbados

Securities Exchange of Barbados

Belgium

Brussels Stock Exchange

Bermuda

Bermuda Stock Exchange

Bolivia

Bolsa de Boliviana de Valores

Botswana

Botswana Stock Exchange

Brazil

Sao Paulo Stock Exchange Rio de Janeiro Stock Exchange

Bulgaria

Bulgarian Stock Exchange − Sofia

Cayman Islands

Cayman Islands Stock Exchange

Canada

Toronto Stock Exchange Montreal Stock Exchange Vancouver Stock Exchange

Chile

Santiago Stock Exchange

China

Shanghai Stock Exchange Shenzhen Stock Exchange

Colombia

Bogota Stock Exchange Medellin Stock Exchange Occidente Stock Exchanges

Costa Rica

Bolsa Nacional de Valores

Cote dlvoire

Bourse Regionale des Valeurs Mobilieres

Croatia

Zagreb Stock Exchange

Cyprus

Cyprus Stock Exchange

Czech Republic

Prague Stock Exchange

Denmark

Copenhagen Stock Exchange

Dominican Republic

Santo Domingo Securities Exchange

Ecuador

Guayaquil Stock Exchange Quito Stock Exchange

Egypt, Arab Rep. Appendix 1— Sources and Notes

471

Emerging Stock Markets Factbook 1999 Cairo Stock Exchange Alexandria Stock Exchange El Salvador

Mercado de Valores de El Salvador

Estonia

Tallinn Stock Exchange

Fiji

Suva Stock Exchange

Finland

Helsinki Stock Exchange

France

Paris Stock Exchange

Germany

Deutsche Bourse AG

Ghana

Ghana Stock Exchange

Greece

Athens Stock Exchange

Guatemala

Bolsa de Valores Nacional

Honduras

Bolsa Hondurena de Valores

Hong Kong

Stock Exchange of Hong Kong

Hungary

Budapest Stock Exchange

Iceland

Iceland Stock Exchange

India

Mumbai Stock Exchange Calcutta, Delhi, Madras, National and OTC Exchanges

Indonesia

Jakarta Stock Exchange Surabaya Stock Exchange

Iran, Islamic Republic

Tehran Stock Exchange

Ireland

Irish Stock Exchange

Israel

Tel−Aviv Stock Exchange

Italy

Italian Stock Exchange

Jamaica

Jamaica Stock Exchange

Japan

Tokyo Stock Exchange Osaka Securities Exchange

Jordan

Amman Financial Market

Kazakhstan

Kazakhstan Stock Exchange

Kenya

Nairobi Stock Exchange

Korea

Korea Stock Exchange

Kuwait

Kuwait Stock Exchange

Latvia

Riga Stock Exchange

Lebanon

Beirut Stock Exchange

Lithuania

National Stock Exchange of Lithuania

Luxembourg

Luxembourg Stock Exchange

Appendix 1— Sources and Notes

472

Emerging Stock Markets Factbook 1999 Macedonia

Macedonian Stock Exchange

Malaysia

Kuala Lumpur Stock Exchange

Malta

Malta Stock Exchange

Mauritius

Stock Exchange of Mauritius

Mexico

Mexican Stock Exchange

Moldova

Moldovian Stock Exchange

Mongolia

Mongolian Stock Exchange

Morocco

Casablanca Stock Exchange

Namibia

Namibian Stock Exchange

Nepal

Nepal Stock Exchange

Netherlands

Amsterdam Stock Exchange

New Zealand

New Zealand Stock Exchange

Nigeria

Nigerian Stock Exchange

Norway

Oslo Stock Exchange

Oman

Muscat Securities Market

Pakistan

Karachi Stock Exchange Islamabad Stock Exchange Lahore Stock Exchange

Panama

Panama Stock Exchange

Paraguay

Asuncion Stock Exchange

Peru

Lima Stock Exchange

Philippines

Philippine Stock Exchange

Poland

Warsaw Stock Exchange

Portugal

Lisbon Stock Exchange

Romania

Bucharest Stock Exchange RASDAQ OTC Trading System

Russia

Russian Trading System Moscow Stock Exchange

Saudi Arabia

Electronic Securities Information System

Singapore

Stock Exchange of Singapore

Slovakia

Bratislava Stock Exchange

Slovenia

Ljubljana Stock Exchange

South Africa

Johannesburg Stock Exchange

Appendix 1— Sources and Notes

473

Emerging Stock Markets Factbook 1999 Spain

Madrid Stock Exchange Barcelona, Bilbao, and Valencia Stock Exchanges

Sri Lanka

Colombo Stock Exchange

Swaziland

Swaziland Stock Market

Sweden

Stockholm Stock Exchange

Switzerland

Swiss Stock Exchange

Taiwan, China

Taiwan Stock Exchange

Thailand

Stock Exchange of Thailand

Trinidad & Tobago

Trinidad & Tobago Stock Exchange

Tunisia

Tunis Stock Exchange

Turkey

Istanbul Stock Exchange

United Arab Emirates

United Arab Emirates OTC Market

United Kingdom

London Stock Exchange

Ukraine

PFTS OTC Trading System

United States

New York Stock Exchange American Stock Exchange NASDAQ Stock Exchange

Uruguay

Montevideo Stock Exchange

Venezuela

Caracas Stock Exchange

West Bank and Gaza

Palestine Securities Exchange

Yugoslavia

Belgrade Stock Exchange

Zambia

Lusaka Stock Exchange

Zimbabwe Zimbabwe Stock Exchange Notes On Macroeconomic Data Macroeconomic data in Chapter 1 is from the 1999 edition of the World Bank Atlas. Data on net aggregate financial flows to developing countries in Chapter 1 was obtained from the 1999 edition of Global Development Finance, World Bank. Macroeconomic data in Chapters 6 and 7 comes from the Development Data Group at the World Bank. For information on how to obtain copies of the publications cited in Chapter 1, write to: World Bank Infoshop 701 18th Street, NW Washington, DC 20433 Inquiries and orders can also be faxed to World Bank Publications at (202) 477−0604.break

Notes On Macroeconomic Data

474

Emerging Stock Markets Factbook 1999 Currency Notes All IFC Index data variables are maintained in local currency terms. If a local currency unit changes in a currency reform, IFC's custom is to restate the data in the new currency unit; if several currency reforms threaten to eliminate significant digits (as has been the case for Argentina and Brazil), IFC uses a currency factor to create an internal currency conversion rate. IFC also calculates index levels in U.S. dollar terms. As a rule, IFC uses spot exchange rates to the U.S. dollar which it believes represent mid−rates between those a foreign portfolio manager might reasonably expect to receive when selling dollars (for stock purchases) and buying dollars (selling currency received from proceeds of stock sales for repatriation), or for valuing a portfolio in U.S. dollar terms. In the absence of a legal market−determined rate, IFC uses the official rate. IFC's multi−market indexes are prepared in U.S. dollar terms by converting constituent data into U.S. dollars and calculating index levels as if all constituents are part of a single market. Calculation of the indexes in currencies other than the U.S. dollar can be done by using a currency's cross−rate to the U.S. dollar. IFC's procedure for converting local currency values to U.S. dollar values is to choose one source of exchange rates as its primary source, and to compare that source's rate to the U.S. dollar with at least two other sources to ensure the primary source's figure has not been corrupted or is not moving out of line with comparators. Currencies are carried to four decimal places. The sources cited below are those used by IFC at the dates shown. IFC began using the WM/Reuters exchange rate service as its principal source for closing rates in October 1994. The WM/Reuters closing spot rates are derived daily by the WM Company from the latest quotes available to Reuters at or near 4 p.m. London time. Each published rate is the median of a series of snapshots taken around this time. Commercial interbank bid and offer quotes are used unless a different type of rate is deemed to be more appropriate for foreign investors. IFC reserves the right to substitute other sources of exchange rates if the WM/Reuters rates are not available or if in IFC's opinion the rates are not reflective of market circumstances. Since October 1994: The WM/Reuters Closing Spot Rates Service. Prior to October 1994: Argentina

Central Bank selling rate at close

Brazil

Commercial Banks' selling rate posted by Gazeta Mercantil

Chile

Observado rate posted by the Bolsa de

Comercio

de Santiago

China

Shanghai Swap Center mid−rate for renminbi to U.S. dollars; Shenzhen Swap Center mid−rates for Hong Kong dollars to renminbi

Colombia

Bank of America, World Value of the Dollar

Hungary

National Bank of Hungary official buying rate for dollars at close of business

Currency Notes

475

Emerging Stock Markets Factbook 1999 Korea

Bank of America, World Value of the Dollar

Mexico

Diario Oficial rate (average mid−rate posted by exchange houses)

Nigeria

Central Bank mid−rate

Peru

Closing mid−rate posted by the Bolsa de Valores de Lima

Poland

Bank Rozwoju Eksportu Spolka Akcyjna buying rate for dollars at close of business

South Africa Mid−rates for the financial rand Sri Lanka

Central Bank spot rate (mid−point) for dealings with commercial banks

Zimbabwe

Open market rate at close of business

The Wall Street Journal's foreign exchange tables were used for the following countries: Greece, India, Indonesia, Jordan, Malaysia, Pakistan, Philippines, Portugal, Taiwan (China), Thailand, Turkey, and Venezuela. A number of emerging markets have made major currency reforms or changes of foreign exchange investment regimes during the life of the IFC indexes. These changes are listed below. Argentina June 1, 1983: The peso Argentino replaces the peso, 1 peso Argentino for 10,000 pesos. June 14, 1985: The austral replaces the peso Argentino, 1 austral for 1,000 pesos Argentino. Jan. 1, 1992: The peso Argentine replaces the austral, 1 peso for 10,000 australes. Brazil Feb. 28, 1986: The cruzado replaces the cruzeiro, at the rate of 1 cruzado for 1,000 cruzeiros. Jan. 15, 1989: The new cruzado replaces the cruzado, at the rate of 1 new cruzado for 1,000 cruzados. Mar. 16, 1990: The cruzeiro replaces the new cruzado, at a rate of 1 cruzeiro for each cruzado. Aug. 1, 1993: The cruzeiro real replaces the cruzeiro, at the rate of 1 cruzeiro real for 1,000 cruzeiros. July 1, 1994: The real replaces the cruzeiro, at a rate of 1 real or 2,750 cruzeiro. Mexico Jan. 1, 1993: The new peso replaces the peso, at a rate of 1 new peso for each 1,000 pesos. Nigeria Jan. 1994: The government banned the formerly legal parallel market for the naira (N44/US$1 at the time), which IFC had been using and limited foreign exchange transactions to the official rate only (N22/US$1). The forced switch to the official rate boosted the IFCG Nigeria Index for a one−time US$ gain of nearly 100%. March 1995: IFC switched from using the official government exchange rate to the autonomous rate for purposes of calculating the IFCG Nigeria Index. Peru Feb. 1, 1985: The inti replaces the sol, at a rate of 1 inti for each 1,000 sol. Jul. 1, 1991: The new sol (sol nuevo) replaces the inti, at a rate of 1 new sol for each 1,000,000 intis. Poland Jan. 1, 1995: The zloty is "revalued", with the new zloty equal to 10,000 old zlotys. The new currency retains the name zloty. Currency Notes

476

Emerging Stock Markets Factbook 1999 Venezuela In June 1994, Venezuelan authorities fixed the exchange rate at Bs.170 per U.S. dollar. In June 1995, authorities permitted Venezuelan Brady bonds that trade abroad in dollars to be quoted also at the Caracas bolsa and pricing differences between the two markets creates an "implied" exchange rate. IFC began using the implied rate for index calculation purposes in November 1995. On April 22, 1996, the Venezuelan government implemented a new foreign exchange system that allows the exchange rate to fluctuate within an official band, and IFC returned to the official rate. Russia Jan. 1, 1998: The ruble is "revalued", with the new ruble equal to 1,000 old rubles. The new currency retains the name ruble.break

Standard Industrial Classification (SIC) Codes Versions of the U.S. Government SIC codes are commonly used to identify the business sectors in which companies operate. IFC adapted the following list from the Standard and Poor's Register for use with the stocks in its Emerging Markets Data Base. Companies belong to a sector, which has a one−digit code, and an industry, which has a twodigit code. In some cases, IFC further identifies a sub−industry. Sector 0— Agriculture, Forestry and Fishing

1 Agricultural production—crops 2 Agricultural production—livestock 7 Agricultural services 8 Forestry 9 Fishing, hunting and trapping Sector 1— Mining

10 Metal mining 11 Anthracite mining 12 Bituminous coal and lignite mining 13 Oil and gas extraction 14 Mining and quarrying of non−metallic minerals, except fuels Sector 2— Construction

15 Building construction—general contractors and operative builders 16 Construction other than building construction—general contractors Standard Industrial Classification (SIC) Codes

477

Emerging Stock Markets Factbook 1999 17 Construction—special trade contractors Sector 3— Manufacturing

20 Food and kindred products 21 Tobacco manufacture 22 Textile mill products 23 Apparel and other finished products made from fabrics and similar materials 24 Lumber and wood products, except furniture 25 Furniture and fixtures 26 Paper and allied products 27 Printing, publishing, and allied industries 28 Chemicals and allied products 29 Petroleum refining and related industries 30 Rubber and miscellaneous plastics products 31 Leather and leather products 32 Stone, clay, glass, and concrete products 33 Primary metal industries 34 Fabricated metal products, except machinery and transportation equipment 35 Machinery, except electrical 36 Electrical and electronic machinery, equipment and supplies 37 Transportation equipment 38 Measuring, analyzing and controlling instruments; photographic, medical and optical goods; watches and clocks 39 Miscellaneous manufacturing industries Sector 4— Transportation, Communication, Electric, Gas and Sanitary Services

40 Railroad transportation

Sector 3— Manufacturing

478

Emerging Stock Markets Factbook 1999 41 Local and suburban transit and interurban highway passenger transportation 42 Motor freight transportation and warehousing 43 Postal Service 44 Water transportation 45 Transportation by air 46 Pipelines, except natural gas 47 Transportation services 48 Communication 49 Electric, gas, and sanitary services Sector 5— Wholesale Trade and Retail Trade

50 Wholesale trade—durable goods 51 Wholesale trade—nondurable goods 52 Building materials, hardware, garden supply and mobile home dealers 53 General merchandise stores 54 Food stores 55 Automotive dealers and gasoline service stations 56 Apparel and accessory stores 57 Furniture, home furnishings and equipment stores 58 Eating and drinking places 59 Miscellaneous retail Sector 6— Finance, Insurance and Real Estate

60 Banking 61 Credit agencies other than banks 62 Security and commodity brokers, dealers, exchanges and services 63 Insurance Sector 5— Wholesale Trade and Retail Trade

479

Emerging Stock Markets Factbook 1999 64 Insurance agents, brokers, and service 65 Real estate 66 Combinations of real estate, insurance, loans, law offices 67 Holding and other investment companies Sector 7— Services

70 Hotels, rooming houses, camps and other lodging places 72 Personal services 73 Business services 75 Automotive repair services and garages 76 Miscellaneous repair services 79 Amusement and recreation services, except motion pictures 78 Motion pictures 80 Health services 81 Legal services 82 Educational services 83 Social services 84 Museums, art galleries, botanical and zoological gardens 86 Membership organizations 88 Private households 89 Miscellaneous services Sector 8— Government

91 Executive, legislative, and general government, except finance Sector 9— Other

99 Nonclassifiable establishmentsbreak

Sector 7— Services

480

Emerging Stock Markets Factbook 1999

Appendix 2— Investor Information Foreign Investment Ceiling for Listed Stocks in Emerging Markets: (Markets Covered by IFC Indexes, End−1998)

Markets

Latin America Argentina

100% in general

Brazil

49% common stocks; 100% preferred stocks; 0% for bank ordinary shares

Chile

100% in general

Colombia

100% in general

Ecuador

100% in general

Jamaica

100% in general

Mexico

100% in general

Peru

100% in general

Trinidad & Tobago

30% in general

Venezuela

100% in general

Asia Bangladesh

100% in general

China

100% only for B− and H−class shares

India

24% in general, up to 30% with board of directors approval

Indonesia

100% in general; 49% banks, 85% for securities companies

Korea

100% in general;

Korea

30% for KEPCO & POSCO; 33% for SKTelecom,

Korea

49.99% air transportation, 49.99% mining

Malaysia

100% in general

Pakistan

100% in general

Appendix 2— Investor Information

481

Emerging Stock Markets Factbook 1999 Philippines

40% in general; 30% for banks

Sri Lanka

100% in general; 49% for banks

Taiwan, China

30% in general

Thailand

10%−49% depending on company by−laws

Europe Bulgaria

100% in general; banks need central bank approval

Croatia

100% in general

Czech Republic

100% in general

Estonia

100% in general

Greece

100% in general

Hungary

100% in general

Latvia

100% in general

Lithuania

100% in general

Morocco

100% in general

Poland

100% in general

Portugal

100% in general

Romania

100% in general

Russia

100% in general; 9% for Gazprom, 25% for UES. Banks need central bank approval.

Slovakia

100% in general; banks need central bank approval

Slovenia

closed to portfolio investors

Turkey

100% in general

Ukraine

100% in general

Mideast/Africa Botswana

55% for institutional, 10% for private

Cote d'Ivoire

100% in general

Egypt

100% in general

Ghana

74% in general

Israel

100% in general

Jordan Appendix 2— Investor Information

482

Emerging Stock Markets Factbook 1999 100% in general; 50% for construction, retail trade, & mining sectors Kenya

40% in locally controlled companies

Mauritius

100% in general; 15% for sugar companies

Nigeria

100% in general

Saudi Arabia

25% for GCC, otherwise closed for portfolio investors

South Africa

100% in general

Tunisia

49.9% in general

Zimbabwe

40% in general

Withholding Taxes In Emerging Markets: (U.S.−based Institutional Investors; End−1998)

Market

Interest (%)

Dividends (%)

Long−term capital gains on listed shares (%)

Argentina

0

0

0

Bangladesh

0

15

0

Botswana

15

15

0

Brazil

15

0

0

Bulgaria

15

15

0

Chile

15

15

35

China

0

20

0

Colombia

7

0

0

Cote d'Ivoire

0

10

0

Croatia

0

0

0

Czech Republic

15

25

0

Ecuador

8

0

0

Egypt

0

0

0

Estonia

10

5−15

26

Ghana*

0

10

0

Greece

0

35

0

Hungary

0

10

10

Withholding Taxes In Emerging Markets: (U.S.−based Institutional Investors; End−1998)

483

Emerging Stock Markets Factbook 1999 India

20

20

10

Indonesia

20

20

0

Israel*

35

25

0

Jamaica

25

25

0

Jordan

0

10

0

Kenya

10

10

0

Korea*

13.2

16.5

0

Latvia

0

10

0

Lithuania

0

0

0

Malaysia

15

0

0

Mauritius

0

0

0

Mexico

0

0

0

Morocco

10

10

0

Nigeria

10

10

10

Pakistan

10

10

0

Peru

0

0

0

Philippines*

20

15

0.5

Poland*

40

20

0

Portugal

20

25

0

Romania

0

10

0

Russia

0

10

−

Saudi Arabia

0

0

0

Slovakia

0

0

0

Slovenia

0

15

0

South Africa

0

0

0

Sri Lanka

0

15

0

Taiwan, China

20

35

0

Thailand

15

10

0

Trinidad & Tobago*

10

10*

0

Tunisia

20

0

0

Turkey

13.2

0

0

Ukraine

15

15

0

Venezuela*

0

0

1*

Withholding Taxes In Emerging Markets: (U.S.−based Institutional Investors; End−1998)

484

Emerging Stock Markets Factbook 1999 Zimbabwe

30

15

10

Notes: List includes 51 emerging markets covered by IFC. Estonia: 5% tax on dividends for holdings exceeding 10% of shares; 15% otherwise Ghana: No withholding tax on dividends for individuals. Israel: Tax treaties exist with some countries that lower these figures, including the U.S. (17.5%) and the U.K. (15%). Korea: Rates are for funds in which U.S. investments total more than 25%. Tax rates shown include 10% resident tax applied to base rate. Philippines: Transactions tax in lieu of a capital gains tax. Poland: No withholding tax on interest for individuals. Trinidad and Tobago: 15% tax on dividends for individuals. Venezuela: Transactions tax. Benchmarks for Settlement, Safekeeping, and Operational Risk: (As of End−1998) GSCS Benchmarks indexes provide an indication to institutional investors of the aggregate level of operational efficiency in securities markets post−trade. The risk/reward ratio in emerging markets is usually calculated without regard to the unexpected—and often unquantified—costs of failure in market processes. GSCS Settlement Benchmark Market

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Ave. 1998

Ave. 1997

Argentina

88.1

91.2

92.5

90.8

90.7

87.9

Brazil

88.8

89.6

84.8

87.8

87.8

88.0

China

71.7

81.5

87.0

92.9

83.3

68.3

Czech Rep.

74.9

78.5

72.3

81.2

76.7

65.8

Greece

74.5

31.4

−1.0

43.1

37.0

67.1

Hungary

24.4

38.6

37.6

51.7

38.1

17.6

India

−0.4

2.9

18.6

18.8

10.0

−1.2

Indonesia

52.3

54.9

59.8

74.1

60.3

46.0

Korea

93.3

93.7

94.2

95.1

94.1

90.8

Malaysia

90.3

92.1

94.5

94.8

92.9

91.2

Benchmarks for Settlement, Safekeeping, and Operational Risk: (As of End−1998)

485

Emerging Stock Markets Factbook 1999 Mexico

91.0

93.4

92.3

92.6

92.3

89.3

Peru

83.9

87.5

88.5

85.5

86.4

90.3

Philippines

85.8

86.8

89.0

88.0

87.4

82.9

Poland

79.9

81.0

85.3

82.2

81.9

77.4

Portugal

72.7

78.7

67.0

67.1

71.4

74.9

South Africa

−1.2

−1.2

−1.6

−1.3

−1.3

−0.9

Thailand

92.1

92.8

89.4

91.4

91.4

86.9

Turkey

95.6

95.0

92.9

96.1

94.9

95.8

Venezuela

43.6

65.1

−8.7

60.4

40.1

18.7

GSCS Safekeeping Benchmark Market

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Ave. 1998

Ave. 1997

Argentina

92.8

84.2

90.3

92.3

89.9

92.1

Brazil

89.8

87.6

86.2

87.0

87.7

91.8

China

92.2

n /a

93.5

94.9

93.5

90.0

Czech Rep.

64.1

91.2

92.2

89.3

84.2

74.6

Greece

57.6

52.3

52.3

80.3

60.6

81.1

Hungary

91.8

93.1

76.4

71.8

83.3

80.5

India

72.2

59.9

65.1

81.7

69.7

76.8

Indonesia

88.1

87.8

88.1

90.6

88.7

89.0

Korea

92.4

91.8

91.8

92.1

92.0

90.9

Malaysia

91.9

89.0

89.0

91.8

90.4

91.4

Mexico

92.5

89.3

87.9

81.8

87.9

91.0

Peru

85.6

67.7

67.7

88.8

77.5

82.5

Philippines

85.1

72.7

72.7

80.2

77.7

79.0

Poland

65.3

93.1

81.6

89.1

82.3

74.4

Portugal

95.0

91.6

93.1

93.6

93.1

80.2

South Africa

90.0

87.4

87.6

89.5

88.6

92.2

Thailand

83.8

63.7

87.8

87.9

80.8

88.1

Turkey

91.8

72.4

72.4

93.3

82.5

92.2

Venezuela

88.3

81.9

66.5

89.6

81.6

81.9

Benchmarks for Settlement, Safekeeping, and Operational Risk: (As of End−1998)

486

Emerging Stock Markets Factbook 1999 GSCS Operational Risk Benchmark Market

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Ave. 1998

Ave. 1997

Argentina

69.4

75.6

75.6

70.6

72.8

69.0

Brazil

67.5

73.7

71.3

66.2

69.7

67.6

China

59.7

67.1

69.7

70.9

66.9

57.5

Czech Rep.

53.8

69.3

69.3

63.6

64.0

53.1

Greece

54.3

72.9

70.4

46.7

61.1

57.8

Hungary

42.8

68.5

66.8

47.4

56.4

36.4

India

24.9

62.6

65.3

36.5

47.3

23.5

Indonesia

55.2

65.3

69.8

63.8

63.5

53.4

Korea

74.3

78.2

76.6

75.0

76.0

72.7

Malaysia

71.4

74.9

75.0

73.0

73.6

71.5

Mexico

71.9

74.3

75.0

68.9

72.5

70.7

Peru

65.6

75.8

75.8

67.4

71.2

67.3

Philippines

63.7

71.4

71.8

62.9

67.5

60.4

Poland

54.6

72.8

72.8

63.1

65.8

56.6

Portugal

67.7

75.4

77.2

64.8

71.3

62.6

South Africa

26.7

64.3

72.5

26.2

47.4

28.7

Thailand

70.1

76.2

76.2

71.4

73.5

69.7

Turkey

71.5

73.6

72.6

72.2

72.5

71.7

Venezuela

46.8

74.5

74.5

54.8

62.7

31.0

Settlement

The Settlement Benchmark provides a means of comparing the settlement efficiency of different markets and tracking the evolution of settlement performance of individual markets over time. The benchmark incorporates four components which, combined together, reflect the overall cost to the market participants of failed trades. These include average trade size, local market interest rates, the proportion of trades that fail, and the length of time for which they fail. By converting information back into a base currency, comparisons between markets become possible. The Benchmarks are expressed as a score out of 100. For the fourth consecutive year, Turkey was topranked in terms of settlement, achieving a settlement benchmark of 94.9. Although this figure was down slightly from 1997, Turkey's performance still surpasses many of the major markets. However, Korea now comes a close second, having shown continual improvement throughout the year. Other markets with settlement scores above 90 were Argentina, Malaysia, Mexico, and Thailand. Overall, fourteen markets saw an increase in settlement efficiency during 1998. In several cases, notably China and Indonesia, the improvements were consistent quarter to quarter. Of the six declines, only Greece reported a significantly lower performance, having grappled with huge volume increases and a delay in planned infrastructure reforms. Dematerialization is, however, due to start at the end of March 1999 and this should help Settlement

487

Emerging Stock Markets Factbook 1999 address processing bottlenecks. India has begun to see the fruits of infrastructure reform, though scores have a long way to climb. The same can be expected in South Africa once the reform program, which includes contractual settlement dates and dematerialization, is completed.break

GSCS Safekeeping Benchmark

The Safekeeping Benchmark compares the efficiency of different markets in terms of collection of dividends and interest, reclamation of excess withheld taxes, and protection of rights in the event of a corporate action. The Benchmark assesses these aspects through a five factor model. These include typical market yields on equity and fixed income securities, rates of withholding tax and reclaim potential, average time between payable date and receipt of payment, local market interest rates, and number and type of corporate actions that occur. By assigning weights to each of these factors, it is possible to calculate a Benchmark as a score out of a maximum of 100. For the second year running, emerging market scores for safekeeping showed a small decline with 13 markets reporting an average annual decrease. Top ranked in 1998 were China and Portugal with totals of 93.5 and 93.1, respectively. Korea and Malaysia were the only other markets to score above 90. GSCS Operational Risk Benchmark

The Operational Risk Benchmark takes into consideration the settlement and safekeeping benchmarks. However, it assigns them a different weight depending on the relative complexity of each in the different markets. The Benchmark takes into account other operational factors such as the level of compliance with the recommendations of the Group of Thirty (G30). It also accounts for the complexity and effectiveness of the regulatory and legal structure of the market, such as constraints on capital flows, foreign investment restrictions, and market supervision. Finally, it incorporates two factors which may not be the direct responsibility of the custodians but which cannot be ignored by them: counterparty risk and "force majeure" risk. Korea once more gained the highest Operational Risk Benchmark, improving on an already strong operational performance to score 76.0. Three other markets, Argentina, Malaysia, and Thailand, achieved scores above last year's highest. All the markets covered showed some improvement on the previous year in terms of operational risk. For further information, contact: Peter Staras, GSCS Benchmarks Ltd tel: (+44−171) 415− 7199 fax: (+44−171) 415 −7198 E−mail: [email protected] GSCS/Thomson Index

The GSCS/Thomson Operational Risk Adjusted Index has been created to help investment managers, custodians, broker/dealers and their clients better understand exactly what happens to costs when portfolios of cross−border equity securities are changed. The Index captures both the investment return of different markets as measured by standard indices and the operational costs incurred through dealing in these markets. Index calculations for all of the major markets and most of the emerging markets were set at 100 on December 31, 1992. Where new markets have been added to the sample, their date of entry is indicated in the accompanying table. GSCS Safekeeping Benchmark

488

Emerging Stock Markets Factbook 1999 Overall, 13 of the 20 emerging markets surveyed registered a decline between December 1997 and December 1998 as measured by the GSCS/Thomson Index. Some markets have by contrast shown significant gains, operational costs notwithstanding. Korea saw an increase of over 139% though it remains well below its base year index level. The highest ranking markets in index terms at the end of 1998 were Portugal and Greece. For further information, contact, Robert Kay, GSCS Ltd Tel: (+44−1932) 568−488 Fax: (+44−1932) 564−290 Denise Farrell, Thomson ESG Tel: (+44−171) 369−7086 Fax: (+44−171) 369−7101break Dec 1997

Dec 1998

Change (%)

Argentina

153.76

108.24

−29.60

Brazil

326.92

184.23

−43.65

China

66.24

29.93

−54.82

Czech Republic

76.39

69.95

−8.43

Greece

122.62

237.92

94.03

Hungary

143.94

126.98

−11.78

India

104.49

76.98

−26.33

Indonesia

52.16

35.09

−32.73

Korea

20.54

49.12

139.14

Malaysia

46.25

44.23

−4.37

Mexico

104.65

61.76

−40.98

Peru

156.93

93.43

−40.46

Philippines

38.86

41.73

7.39

Poland

76.00

65.66

−13.61

Portugal

243.19

295.95

21.69

South Africa 79.57

80.28

0.89

Thailand

14.83

20.38

37.42

Turkey

392.74

181.73

−53.73

Venezuela

232.86

112.29

−51.78

Base = 100 as of 12/31/92 except India

3/31/93 Venezuela 2/29/96

GSCS Safekeeping Benchmark

489

Emerging Stock Markets Factbook 1999 Peru

2/28/95 China

12/31/96

Philippines

2/28/95 Czech Rep.

12/31/96

S. Africa

2/28/95 Hungary

12/31/96

Ireland

2/29/96 Poland

12/31/96

Global Trading Costs: (Fourth Quarter 1998) Elkins/McSherry (E/M) has been involved with trading cost studies for more than 600 institutions during the past 11 years. The company analyzes global trading costs for 140 large global institutions (pension funds, investment managers, banks, and brokers), which send E/M all of their global equity trades quarterly. The E/M analysis measures total trading cost, which consists of commissions, fees, and market impact. Market impact is the difference between the price at which a trade is executed and the average of the stock's high, low, opening, and closing prices during the trade date. The E/M Trading Cost Analysis Service is not designed to assess the quality of a trade, but rather to give an indication of how commissions, fees and market impact costs compare to a universe of costs in 42 countries. Elkins/McSherry consulted with prominent global investment managers before creating its market impact methodology. Investment managers consistently favored a benchmark based on the average of the high, low, opening, and closing prices. After extensive testing, this approach was adopted. The data base contains the high, low, opening, closing prices, and volume traded for every equity traded in 42 countries beginning January 1995. E/M's 42 country universe is composed of data from 140 global institutions. The data is compiled to create average trading costs for these countries. The chart provides a global equity investor with a universe of average costs to compare their costs versus 140 other institutions. It confirms that it is considerably more expensive to trade in emerging markets. It is broken down into five columns: Average stock price is the average traded stock price in U.S. dollars in that country. Average commission is the average commission paid in that country (U.S. dollars). Average fees is the average fee paid in that country (U.S. dollars). Market impact is the average cost of trading in that country (U.S. dollars). More precisely, it is the average cost to trade versus the average price. Total is the total cost of trading in that country (U.S. dollars). The number is simply obtained by adding the cost of commission, fees and market impact. For further information, contact: James Bryson, Elkins/McSherry tel: (212) 371−3728 fax: (212) 207−4563 E−mail: jimb@elkins−mcsherry.combreak

Global Trading Costs: (Fourth Quarter 1998)

490

Emerging Stock Markets Factbook 1999 Fourth Quarter, 1998 Elkins/McSherry Global Universe

Country Avgs.

Price

Comm

Mkt Impact

Total

Argentina

$4.61

34.73BP 5.19BP

8.75BP

48.67BP

Australia

$3.95

30.78BP 14.13BP 2.13BP

47.04BP

Austria

$80.77

29.54BP 3.39BP

21.19BP

54.12BP

Belgium

$241.08 21.24BP 2.19BP

10.50BP

33.93BP

Brazil

$0.22

30.39BP 3.69BP

12.54BP

46.62BP

Canada

$26.73

19.57BP 0.01 BP

24.36BP

43.94BP

Chile

$24.39

23.69BP 0.00BP

23.34BP

47.03BP

Colombia

$4.83

48.09BP 0.00BP

47.01BP

95.10BP

Czech Republic

$81.83

62.02BP 1.73BP

97.22BP

160.97BP

Denmark

$95.13

23.25BP 1.32BP

18.82BP

43.39BP

Finland

$37.65

25.99BP 1.86BP

16.12BP

43.97BP

France

$95.22

21.68BP 1.29BP

3.59BP

26.56BP

Germany

$87.48

22.45BP 1.65BP

3.48BP

27.58BP

Greece

$44.60

39.25BP 14.03BP 10.33BP

63.61BP

Hong Kong

$2.36

30.71BP 14.20BP 5.19BP

50.10BP

Hungary

$33.58

63.21BP 4.43BP

34.68BP

102.32BP

India

$13.70

16.04BP 0.00BP

48.73BP

64.77BP

Indonesia

$0.39

64.34BP 12.69BP 18.48BP

95.51BP

Ireland

$9.77

26.00BP 56.05BP 17.37BP

99.42BP

Italy

$5.18

22.38BP 1.81BP

6.19BP

30.38BP

Japan−Buys

$14.73

17.12BP 0.03BP

1.09BP

18.24BP

Japan−Sells

$11.01

16.89BP 13.57BP 5.83BP

36.29BP

Korea

$15.28

43.86BP 11.64BP 42.33BP

97.83BP

Luxembourg

$53.22

25.82BP 5.00BP

39.22BP

70.04BP

Malaysia

$1.32

62.67BP 9.45BP

18.71BP

90.83BP

Mexico

$2.90

32.18BP 1.89BP

26.91BP

60.98BP

Netherlands

$49.32

21.47BP 1.73BP

6.70BP

29.90BP

30.85BP 0.27BP

7.81BP

38.93BP

New Zealand $2.23

Fees

Global Trading Costs: (Fourth Quarter 1998)

491

Emerging Stock Markets Factbook 1999 Norway

$20.78

26.97BP 1.26BP

8.14BP

36.37BP

Peru

$3.28

38.99BP 6.71 BP

30.27BP

75.97BP

Philippines

$1.39

68.48BP 28.03BP 8.50BP

105.01BP

Portugal

$38.33

27.91BP 5.42BP

7.81BP

41.14BP

Singapore

$2.80

56.52BP 4.43BP

23.91 BP

84.86BP

South Africa

$9.22

29.26BP 16.07BP 13.17B−

58.50BP

Spain

$33.58

25.12BP 2.01BP

15.91BP

43.04BP

Sweden

$24.32

23.62BP 1.06BP

6.22BP

30.90BP

Switzerland

$838.01 23.70BP 5.13BP

17.21BP

46.04BP

Taiwan

$4.10

22.92BP 29.35BP 4.55BP

56.82BP

Thailand

$2.31

60.55BP 2.84BP

12.13BP

75.52BP

Turkey

$0.07

35.71BP 4.53BP

16.86BP

57.10BP

U.K.−Buys

$8.08

18.13BP 47.58BP 5.29BP

71.00BP

U.K.−Sells

$8.81

15.98BP 0.12BP

18.12BP

34.22BP

U.S.−NYSE

$41.06

13.92BP 0.15BP

9.48BP

23.55BP

U.S.−OTC

$34.30

3.15BP

26.61BP

29.89BP

Venezuela

$5.68

84.92BP 27.77BP 32.04BP

144.73BP

Total−45

$47.10

32.93BP 8.13BP

59.62BP

0.13BP

18.55BP

*Note: The United States, United Kingdom, and Japan have two universes to acknowledge special tariffs and marketplaces in those countries.

Investment Regulations Summary for Entering and Exiting Emerging Markets: (As of End−1998) Entry

Exit

Are listed stocks freely available to foreign investors?

Repatriation of Income

Capital

Argentina

Free

Free

Bangladesh

Free

Free

Bulgaria

Free

Free

Free Entry

Investment Regulations Summary for Entering and Exiting Emerging Markets: (As of End−1998)

492

Emerging Stock Markets Factbook 1999 Botswana

Free

Free

Brazil

Free

Free

Cote d'Ivoire

Free

Free

Croatia

Free

Free

Czech Republic

Free

Free

Ecuador

Free

Free

Egypt

Free

Free

Estonia

Free

Free

Ghana

Free

Free

Greece

Free

Free

Hungary

Free

Free

Israel

Free

Free

Jordan

Free

Free

Latvia

Free

Free

Lithuania

Free

Free

Mexico

Free

Free

Morocco

Free

Free

Pakistan

Free

Free

Panama

Free

Free

Peru

Free

Free

Poland

Free

Free

Portugal

Free

Free

Romania

Free

Free

Russia

Free

Free

South Africa

Free

Free

Turkey

Free

Free

Ukraine

Free

Free

Chile

Free

After 1 year

Indonesia

Some restrictions

Some restrictions

Jamaica

Free

Free

Relatively Free Entry

Investment Regulations Summary for Entering and Exiting Emerging Markets: (As of End−1998)

493

Emerging Stock Markets Factbook 1999 Kenya

Free

Free

Korea

Free

Free

Malaysia*

Free

After 1 year

Mauritius

Free

Free

Nigeria

Free

Free

Sri Lanka

Some restrictions

Some restrictions

Thailand

Free

Free

Trinidad & Tobago

Free

Free

Tunisia

Free

Free

Ukraine

Some restrictions

Some restrictions

Venezuela

Some restrictions

Some restrictions

Zimbabwe

Free

Free

China

Free

Free

Philippines

Free

Free

Colombia

Free

Free

India

Free

Free

Taiwan, China

Some restrictions

Some restrictions

Saudi Arabia

Closed

Closed

Slovenia Key to Entry:

Restrictions

Restrictions

Special Classes of Shares

Authorized Investors Only

Closed

Free Entry: No significant restrictions to purchasing stocks. Relatively Free Entry: Some registration procedures required to ensure repatriation rights, or significant limits on foreign ownership. Investment Regulations Summary for Entering and Exiting Emerging Markets: (As of End−1998)

494

Emerging Stock Markets Factbook 1999 Special Classes: Foreigners restricted to certain classes of stocks, designated for foreign investors. Authorized Investors Only: Only approved foreign investors may buy stocks. Closed: closed or severely restricted (e.g., for non−resident nationals only). Key to Exit: Repatriation of income: Dividends, interest, and realized capital gains. Repatriation of capital: Initial capital invested. Free: Repatriation done routinely. Some Restrictions: Typically, requires some registration with or permission of Central Bank, Ministry of Finance, or an Office of Exchange Controls that may restrict the timing of exchange release. Notes: In February 1999, the Malaysian government replaced the 12−month holding period for equities imposed in September 1998 with a Repatriation Levy—a graduated levy to be paid upon repatriation ranging from 10% to 30% depending on the holding period. Some industries in some countries are considered strategic and are not available to foreign or non−resident investors. The level of foreign investment in other cases may be limited by national law or corporate policy to minority positions, not to aggregate more than 49% of voting stock. The summaries above refer to "new money" investment by foreign institutions.break

Appendix 3— IFC Emerging Markets Data Base EMDB Publications and Products Publications Emerging Stock Markets Review

This publication provides regular coverage of emerging stock markets as well as hundreds of stocks comprising the IFC Global and Investable indexes. Each issue contains: Comparative tables, with the most recent information on the IFC Indexes, market valuation measures, and exchange rates Market weights in the IFC Global and Investable indexes Largest 100 stocks in the IFCG and IFCI Composite Indexes, listing market caps, weight in the composite, and foreign investable weight factors for each stock 50 best and worst performing stocks in the IFCG and IFCI Composite Indexes

Appendix 3— IFC Emerging Markets Data Base

495

Emerging Stock Markets Factbook 1999 Stock weights in the IFCG and IFCI Composite Index by market, listing market caps, weight in market, region, and composite, and foreign investable weight factor for each stock Details on constituents of the IFC Industry Indexes Subscribers also receive the monthly Frontier Stock Markets Review and the annual Emerging Stock Markets Factbook. Frontier Stock Markets Review

This publication provides regular coverage of "frontier" stock markets and includes most of the features found in the Emerging Stock Markets Review. Subscribers also receive the monthly Emerging Stock Markets Review and the annual Emerging Stock Markets Factbook. Emerging Stock Markets Factbook

The Factbook is considered the foremost annual publication on stock markets in the developing world. In one convenient volume, it combines various time series of fundamental market data on the primary emerging markets. With a ten−year historical perspective, the Factbook provides both fundamental economic information and vital data on market size, liquidity, and valuations. Each Factbook is divided into several sections: An overview provides commentaries, tables, and charts on a variety of statistics for the key emerging markets An extensive section on indexes provides the methodology, statistical characteristics, and the IFC Indexes and their local counterparts Market profiles provide a statistical look at more than 50 emerging markets A listing of stock exchanges showing principal officers, addresses, hours of operation, and telephone/fax numbers of more than 75 stock exchanges in the developing world The IFC Indexes: Methodology, Definitions, and Practices

The IFC Indexes explains in detail the methodology and selection criteria for the markets and stocks that make up the IFC indexes. It also elaborates on the need for a standard measure of performance in emerging markets and describes the basic characteristics and weights of the indexes.break

Computer Products

EMDB produces three principal time series of emerging stock market data. The data is accessible through EMDB 2000, a PC−based data management and report−writing system that make EMDB data files easy to use and to update. Stock Series

This series provides data on more than 2,200 stocks in 51 emerging markets. It includes data on prices, changes in capitalization, trading volume, and valuation ratios and financial data. The data is available in daily, weekly, and monthly time series. Frontier Stock Markets Review

496

Emerging Stock Markets Factbook 1999 Index Series

This series consists of parallel sets of IFC Global and Investable Indexes for the markets covered by EMDB. Statistics include price and total return indexes in local currency and U.S. dollars, as well as index−level capitalization, trading volume, and valuation ratios. Market Series

This series provides monthly and annual series of aggregate market data for 51 emerging markets, dating to 1975. Data Delivery

EMDB now provides the fastest data delivery in emerging markets. Computer products can be updated by FTP or through e−mail either daily, weekly, or monthly. EMDB publications are sent by courier delivery. Please call for more information. EMDB Online

EMDB maintains a comprehensive site on the Internet. Features include: a monthly newsletter with commentary on all 51 markets covered by IFC; daily, weekly, and monthly index results; EMDB technical notices and special announcements; links to emerging stock markets. EMDB's home page is www.ifc.org/emdb . Subscription Information For more information on Emerging Markets Data Base products and services, please call, write, fax, or email: Emerging Markets Data Base 2121 Pennsylvania Avenue, NW F−6K−118 Washington, D.C. 20433 USA Telephone: (202) 473−9520 Facsimile: (202) 974−4805 E−mail: [email protected] News Service Access to Indexes The IFC Indexes are carried in whole or part by the following information services: Periodicals

Financial Times (daily)

Index Series

497

Emerging Stock Markets Factbook 1999 New York Times (weekly) Nikkei Financial Daily International Financing Review (IFR) Emerging Markets Week (Institutional Investor) Global Finance Emerging Markets Investor Global Investment and Daily Foreign Exchange News Quote Services with Daily Index Updates

Reuters page Bloomberg FactSet Datastream Telekurs Zephyr FT Analytics Rimes BARRA Fame Wilshire

Quote Services with Daily Index Updates

498