Publication
Omar Shaban Ismail · Al-Monitor · 2013
Al-Monitor 2013 analysis arguing the Palestinian Stock Exchange lacks effective public regulation, leaving it vulnerable to insider trading and price manipulation, and that building Palestinian capital markets requires an independent regulatory authority beyond the PSE itself.
Al-Monitor 2013 analysis arguing the Palestinian Stock Exchange lacks effective public regulation, leaving it vulnerable to insider trading and price…
Editorial summary — the full article is published by Al-Monitor and cannot be reproduced here. What follows is an account of the subject written afterwards, not the original text.
The Palestinian Stock Exchange (PSE), operating since 1997, suffers from a structural weakness that distinguishes it from most capital markets: the absence of independent public regulation. The securities market operates in a context where Palestinian regulatory capacity is limited by the occupation, where the large institutional investors (Palestinian Investment Fund, pension funds) are themselves political entities, and where market oversight mechanisms lack the independence needed to maintain investor confidence. Without effective public regulation — a Securities and Exchange Commission equivalent with genuine enforcement powers — the PSE remains vulnerable to insider trading, price manipulation, and governance failures that discourage both Palestinian and international capital from investing in Palestinian equities. Building Palestinian capital market capacity requires institutional development that goes beyond the PSE itself: an independent regulatory authority, trained financial professionals, transparent corporate governance standards, and a broader investor education program.
Topic: Palestinian Economy — Stock exchange · regulation — Text © Al-Monitor — archived here with attribution to the source. — Original source