THE BELGRADE STOCK EXCHANGE Market Overview with 2018 Outlook

Belgrade Stock Exchange in 2017
Inconsiderable market recovery, with continuing trend of market consolidation

The domestic stock market recorded less than 6% growth in 2017, measured by the Belex15 index, primarily driven by Belgrade Airport (AERO), which was the subject of a concession tender, as well as by a two-digit leap of smaller index components. Energoprojekt Holding (ENHL) was the most traded name, due to the takeover process, while the completion of this process brought a significant value drop. Considering Energoprojekt takeover, the trend of consolidation of the ownership structure of companies on the Belgrade Stock Exchange continued, and from the total market capitalization of the Belex15 index of EUR 2.16bn, the available amount of tradable stocks at the end of the year was worth only EUR 385m.
The traded volume compared to 2016 increased by 30%, but remained at a very modest level of EUR 67.9m (with average daily turnover of EUR 0.27m). Energoprojekt ToB, the concluded concession for Nikola Tesla Airport and announced takeover of Sojaprotein, on one hand, and the absence of new companies entering the market, on the other, in the current year, only deepened the liquidity crisis on the Belgrade Stock Exchange.