Romania ranks first among frontier markets worldwide, with yields on the bourse exceeding 40% in dollars since the beginning of the year, according to a press release the Bucharest Stock Exchange (BVB) released on Tuesday.

Nigeria ranks second, with yields of 39%, followed by Kazakhstan with 35.6%. Argentina and Estonia come next, with yields of 35.1%, respectively 33.4%.

“The Romanian capital market takes advantage of the positive macroeconomic context. The BET-Total Return (BET-TR) index, which includes dividends distributed by the most traded companies listed on the Bucharest Stock Exchange, has increased by more than 40% in USD since the beginning of this year and has therefore recorded the fastest growth in all 23 countries in the MSCI Frontier Markets index, shows an analysis by Berenberg based on Bloomberg data,” reads the BVB press release.

The result was possible due to double-digit dividend yields offered by several companies and market growth, with the BET main index reaching the highest level in nine years.

“Romania’s economy breaks record after records,” said Carsten Hesse, EME Equity Strategist within Berenberg. He added that Romania stands a great chance of advancing from frontier market to emerging market.

editor@romania-insider.com