Rabee Securities: Iraq Stock Exchange Shows 1.6% Growth Despite Market Volatility

Rabee Securities, a key player in Iraq’s financial sector, announced a 1.6% rise in the Rabee Securities Iraq Stock Exchange Index (RSISX Index) for March 2025. This growth comes at a time when many neighbouring markets have been under economic strain, making Iraq’s performance stand out in the region.

Regional Markets Falter as Iraq Shows Resilience

In contrast to Iraq’s gains, other regional financial hubs saw notable downturns. Markets in Dubai, Abu Dhabi, Qatar, Muscat, and Saudi Arabia posted declines of 4.5%, 2.3%, 2.0%, 1.6%, and 0.7%, respectively. Iraq’s relative stability was underscored by the RSISX Total Return (RSISXTR) Index, which rose 2.0%, thanks to strong dividend strategies, high investor participation, and capital inflows into crucial sectors.

Investor Confidence Spurs Higher Trading Activity

Despite global economic volatility, Iraq's financial market displayed strength. Excluding cross transactions, trading volumes in March jumped 31%, reaching USD 26.9 million. This uptick reflects growing investor confidence and Iraq’s strategic positioning to capture emerging opportunities.

According to Tugba Tan Karakaya, Equity Analyst at Rabee Securities, the consistent growth in trading volume underscores Iraq’s ability to attract and retain investor interest. “The continued momentum in trading activity reflects a resilient investor base that recognises the potential within Iraq’s financial markets. We are seeing substantial engagement across key sectors, with the banking sector particularly demonstrating strong performance and investor interest.”

Economic Reforms and Major Deals Signal Long-Term Vision

Iraq made significant strides in economic development during the month. A standout initiative was the launch of the National Mobile Telecommunications Company (NMTC) in partnership with Vodafone Group to roll out 5G infrastructure. Additionally, a landmark $25 billion agreement with BP aims to revitalize four oilfields in Kirkuk. This deal targets an increase of 450,000 barrels of oil per day and substantial growth in natural gas output, aiming for at least 400 million cubic metres annually.

Advancing Islamic Banking and Financial Inclusion

The Central Bank of Iraq also took a major step by partnering with Emirates Islamic Bank to strengthen Iraq’s Islamic finance sector. This collaboration is expected to expand access to sukuk investments and correspondent banking services, enhancing financial inclusivity and broadening the investor base.

Rabee Securities Sets the Pace in a Shifting Region

In a region coping with economic challenges, Rabee Securities has remained a beacon of consistency and growth. Their solid performance not only reflects Iraq’s strategic adaptability but also reinforces their role in offering valuable insights and guidance to investors focused on sustainable long-term growth.