In September 2024, Rabee Securities reported an 8.5 per cent increase in the Rabee Securities Iraq Stock Exchange Index (RSISX Index), highlighting the strong performance of key companies across various sectors. Companies such as Al-Mansour Bank, Asiacell, National Bank of Iraq, Commercial Bank of Iraq, and Bank of Baghdad saw notable increases in share prices, contributing significantly to the overall index improvement. However, the decline in the share price of Iraqi for Seed Production partially limited the full extent of the index’s growth.
The RSISX Total Return (RSISXTR) Index saw a higher increase of 9.6 per cent, mainly due to the absence of Baghdad Soft Drinks’ dividend payout, which previously affected the index. Baghdad Soft Drinks and Modern Sewing distributed dividends in September, further boosting returns for shareholders. Modern Sewing’s dividend payout offered a yield of 2.8 per cent, while Baghdad Soft Drinks provided a 7.0 per cent yield.
While the total trading volume on the Iraq Stock Exchange (ISX) decreased by 28 per cent in September to $41.8 million, excluding cross transactions, trading volumes increased by 24 per cent to $31.9 million. The banking sector dominated trading activity with 71.6 per cent of the total volume, followed by the telecom sector, industry, agriculture, hotels and tourism, and services sectors. September also witnessed impressive gains for several companies, with thirty-five companies experiencing an increase in share prices, and key players in the market performing exceptionally well.
In tandem with the stock market developments, a significant agreement was signed between the International Finance Corporation (IFC) and the Central Bank of Iraq (CBI) in September. This agreement aims to improve environmental and social risk management in the banking sector and introduces a sustainable finance roadmap along with an environmental, social, and governance (ESG) Code to promote sustainable financing and strengthen Iraq’s financial infrastructure. Additionally, the US-led international mission in Iraq will continue through September 2025, providing further stability to the region.
Overall, September 2024 proved to be a positive month for the Iraq Stock Exchange, with the RSISX Index and RSISXTR Index showing significant growth. Companies across various sectors saw increases in share prices, driving the overall index improvements. The signing of the agreement between the IFC and CBI reflects a commitment to sustainable finance and environmental and social risk management in Iraq’s banking sector. With the US-led international mission in Iraq continuing, the region can expect further stability and economic growth in the coming years.
