February 2, 2023

RIFBO.COM

Free Guest Post Blog

Businesses urged to tap in the stock exchange market

[File Photo]

Changes in the 2022-2023 National Budget provide opportunities for developing the South Pacific Stock Exchange.

Actively engaging in the stock exchange market is an economic venture that not a lot of local businesses tap into.

Rabi Yazbek the ANZ Country Head says certain changes in the 2022-2023 National Budget will affect the Equity Market and this means that a lot of corporates listed in the SPX will lose their concessional tax treatment in the new financial year.

Article continues after advertisement


“The Concessional tax treatment for companies listed in the South Pacific Stock Exchange is now kept at 7 years, so you have a 10% rather than a 20% tax treatment that’s now kept at 7 years and it falls away.”

These changes also provide an opportunity to make the South Pacific Stock Exchange more attractive.

“Why companies choose to list on the stock exchange is to access capital markets and that’s not the case in Fiji today. most of the funding in Fiji today is through bank debt and private capital. We’ve got deep-pocketed investors who are ready to make those commitments but we don’t have enough companies on the exchange for them.”

SPX originated from a trading post in 1979 with only six securities listed, today there are 19 entities listed on its official board.

 

See also  US economy shrinks again sparking recession fears