9 Nov 2023 18:18

Sanctions have put SPB Exchange business model in doubt, it needs to look for new niches - Central Bank first dep governor

MOSCOW. Nov 9 (Interfax) - The owners and management of SPB Exchange face a serious challenge regarding the trading platform's long-term viability and will need to find new niches where they can find a competitive advantage, Central Bank First Deputy Governor Vladimir Chistyukhin said.

The U.S. Treasury added the SPB Exchange to its sanctions list on November 2. Trading in foreign and Russian securities on the stock exchange was suspended following the announcement.

"SPB Exchange focused on trading foreign securities. And you know that in this sense, even total concentration on foreign securities of only friendly states does not help entirely in this situation, because our partners are very careful about interacting with those companies that are under sanctions," Chistyukhin told reporters on the sidelines of the Finopolis forum.

"I think the SPB Exchange's shareholders and management of will face a very serious challenge regarding the long-term viability of this institution, they will need to find new niches of some kind, understand where they can find a competitive advantage, as was the case with trading in foreign securities," he said, adding that the exchange's shareholders had ideas in this regard.