Manama:Bahrain Bourse has announced the introduction of a Closing Auction Session and a Trading at Last Session for securities listed on the Regular Market, set to take effect on December 1. This move is part of the exchange's ongoing efforts to enhance market infrastructure, improve price discovery, and support market liquidity and transparency.
According to Bahrain News Agency, the new market structure will include a dedicated closing auction at the end of the trading day. This auction will establish a transparent closing price based on current supply and demand, followed by a Trading at Last session. This session will enable market participants to execute eligible trades at the settled closing auction price.
The introduction of these mechanisms is aimed at improving the efficiency of the price formation process, offering greater transparency around closing prices, and providing investors with additional opportunities to execute trades at a reliable market benchmark. This initiative aligns Bahrain Bourse's market infrastructure with international best practices observed by leading exchanges worldwide.
Abdulla Janahi, Senior Director of Trading Operations at Bahrain Bourse, emphasized that the introduction of the Closing Auction and Trading at Last sessions marks a significant milestone in the exchange's market development strategy. Janahi highlighted that these enhancements are designed to strengthen price discovery, enhance market transparency, and align the market infrastructure with international standards. The move aims to boost investor confidence, improve trading efficiency, and further enhance the attractiveness of Bahrain's capital market.
This initiative is part of Bahrain Bourse's broader market enhancement efforts under its Capital Market Development Plan 2026-2028, named "Elevate." The plan focuses on increasing liquidity, enhancing market efficiency, and expanding the range of services and mechanisms available to investors.
Detailed implementation guidelines and technical specifications have been communicated to market participants and will be available through Bahrain Bourse's official channels before the implementation date.