Baku Stock Exchange

What Baku Stock Exchange does

Baku Stock Exchange (BFB) is the sole regulated securities exchange in Azerbaijan, operating as a private joint-stock company since its founding in June 2000 with Borsa Istanbul as a 19% founding shareholder. The exchange runs three core trading venues — an Equity Market (Səhm), a Bond Market (İstiqraz), and a REPO Market — serving 13 member brokerage firms, 37 listed equity issuers, and 384 listed bonds, with a combined listed stock market capitalization of AZN 3.755 billion and bond market value of AZN 10.272 billion.

The exchange's business model is fee-based and transaction-driven: it charges 5 basis points on equity trades, 1–2 basis points on bonds, and 0.1 basis points on REPO transactions, supplemented by listing fees, an annual membership admission fee of 60,000 AZN, and ancillary post-trade and data services. On a lean operating base of 11–50 employees, BFB processed AZN 54.62 billion in 2025 turnover (up 8.5% YoY on a 61.6% surge in deal count), with member ABB Invest dominating activity at AZN 23.4 billion across 18,824 operations. The technology stack is a conventional order-matching and clearing platform; no proprietary AI, algorithmic trading, or advanced surveillance capabilities are disclosed.

Major shareholders include Kapital Bank, Borsa Istanbul, ABB, Unicapital, and InvestAZ. BFB is governed by a professionalized leadership team led by CEO Ruslan Khalilov (Duke MBA, CFA, appointed December 2023), CCO Oqtay Qasımov, and COO Mətin Yolçiyev. The exchange holds memberships in the World Federation of Exchanges and UN Sustainable Stock Exchanges (both since 2020) and pursues partnerships with regional and multilateral counterparties including KASE (2018) and the Asian Development Bank (2026). Its recent flagship transaction — the PASHA Bank IPO in June 2026, the first private-sector bank listing — attracted ~18,000 investors and roughly $39 million in orders, lifting market cap-to-GDP from 2.7–3% to ~4% and establishing a template for future private-sector issuance.

Name

Baku Stock Exchange

Legal name

Bakı Fond Birjası QSC

Website

https://bfb.az

Company type

Private

Founded year

2000

Operating status

Operating

Headcount range

11–50 employees

Short description

Baku Stock Exchange (BFB) is Azerbaijan's sole regulated securities exchange, operating equity, bond, and REPO markets for 13 member brokerage firms and connecting domestic issuers with institutional and retail investors through transaction fees and listing services.

Ownership category

akta.pro rank

Product category

Securities Exchange

NAICS

Securities and Commodity Exchanges (52321), Securities and Commodity Exchanges (523210)

SIC

Security & Commodity Brokers, Dealers, Exchanges & Services (6200)

akta.pro primary industry

Primary Listing Stock Exchanges (FSAFAAAA)

akta.pro secondary industries

Money Markets & Repo Trading Platforms (FSAFANAG), Auction-Based Equity Trading Venues (Opening/Closing Auctions) (FSAFAAAF)

Keywords

• Securities exchange operations
• Equity trading services
• Bond market listings
• Repo operations
• Capital markets infrastructure

Headquarters

HQ city

Baku

HQ country

Azerbaijan

HQ region

Asia

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Technology or R&D, Operations, Infrastructure, Marketing or Sales

Revenue model

1. Trading Commissions: Transaction fees charged on securities and repo trading. Stock trading fees are 5 basis points on placement and secondary market trades. Bond trading fees are 2 bps for placement and 1 bps for secondary market. Repo trading fees are 0.1 bps for up to 7 days, with additional daily charges.
2. Listing Fees: Initial listing fees of 5,000 AZN for stocks (one-time) and annual listing fees of 1 basis point on market capitalization (minimum 2,000 AZN, maximum 20,000 AZN). Bonds have no initial listing fee and annual fees of 500-1,000 AZN depending on market segment.
3. Membership Fees: Admission fee of 60,000 AZN one-time, plus annual membership fees of 5,000 AZN for bond market, 1,000 AZN for stock market, and trading terminal fees of 300 AZN setup plus 60 AZN monthly per trader.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels7 records

Core offering

Baku Stock Exchange operates Azerbaijan's primary securities market as a regulated exchange infrastructure offering electronic trading of equities, bonds (government, corporate, mortgage, and green bonds), and repo operations across three core markets. The exchange facilitates capital raising for corporate and government issuers through its listing process, executes secondary market trades through 13 licensed member firms, and provides market data through its BFB Data platform. Settlement occurs through the National Depository Center with T+0 primary market and T+1 secondary market cycles.

Product overview

Baku Stock Exchange (BFB) operates Azerbaijan's primary securities market as a centralized platform offering three core trading products: Equity Market (Səhm) for stock trading, Bond Market (İstiqraz) for government and corporate debt instruments, and REPO Market for short-term borrowing operations. The exchange provides supplementary services including the BFB Data market data platform, a Listing Advisory Program (LMP) to guide issuers through the listing process, and periodic market statistics. The exchange supports three listing segments: Main Market, Standard Market, and Development Market, with various instrument types including green bonds, mortgage bonds, and sukuk.

Differentiator

Problem solved

Functional benefit

Brands

• BFB Data: Data platform providing market statistics and trading information for the Baku Stock Exchange
• Listinq Məsləhət Proqramı (LMP)
• Bazara Baxış

Products and services

• Equity Market (Səhm) Stock trading platform enabling buy/sell transactions in listed equities. Features opening and closing auctions and continuous trading sessions. Settlement operates on T+0 for primary market and T+1 for secondary market. Supports 37 listed companies with stock market capitalization of 3.755 billion AZN as of August 2026.
• Bond Market (İstiqraz) Debt securities trading platform covering government securities, corporate bonds, mortgage bonds, green bonds, and state-owned enterprise bonds. Supports various maturities and coupon structures. Lists 384 bonds valued at 10.272 billion AZN as of August 2026, with active issuers including SOCAR, Kapital Bank, Unibank, and Bank ABB.
• REPO Market Short-term borrowing and lending platform for securities. Includes interbank REPO operations between the Central Bank and commercial banks. Includes daily reference interest rate indices. Repo operations accounted for 79.9% of total turnover in the first ten months of 2025, reaching 43.65 billion manats.
• BFB Data Platform Market data platform providing real-time and historical data for securities, bonds, and REPO markets. Includes market statistics, issuer information, and analytical tools. Integrates TradingView and Highcharts for market analytics visualization.
• Listing Advisory Program (LMP) Advisory service supporting companies through the listing process from application to trading. Includes an issuer calculator for cost estimation. Supports three listing segments: Main Market, Standard Market, and Development Market.
• Market Statistics and Reports Periodic statistical reports including monthly turnover reports, annual statistics from 2016-2026, and market data available in Excel and PDF formats. Provides comprehensive trading statistics across equity, bond, and repo markets.

Quantifiable outcome

• Market cap-to-GDP ratio increased from 2.7-3% to nearly 4% following PASHA Bank IPO
• +3 more outcomes

Named customers8 records

Segments4 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration3 records

Feature2 records

Partnerships

Six partnerships are on record, tiered moderate and core.

• Asian Development Bank (ADB)moderateStrategic or Co-development Partner · 12 August 2026ADB launched a regional project to support capital market growth in 43 Asia-Pacific economies including Azerbaijan, with $225,000 in technical assistance funding to advance capital market development.
• UN Sustainable Stock Exchange Initiative (UN SSE)coreStrategic or Co-development Partner · 31 March 2020Baku Stock Exchange joined the UN Sustainable Stock Exchange Initiative on March 31, 2020. The initiative, established in 2009, aims to create a organized platform for exchanges to learn and implement environmental, social, and governance principles, and promote investment and financing principles within sustainable development goals.
• World Federation of Exchanges (WFE)coreStrategic or Co-development Partner · 15 January 2020Baku Stock Exchange applied for membership in the World Federation of Exchanges to represent Azerbaijan's capital market internationally and expand cooperation and experience exchange with leading global exchanges. On January 15, 2020, BSE received partner exchange status, becoming the first exchange in the region to join the Federation.
• International Exchanges AssociationmoderateStrategic or Co-development Partner · 6 September 2019International Exchanges Association is a non-profit organization operating under voluntary and self-governance principles in accordance with Russian Federation legislation. BSE was admitted to membership on September 6, 2019.
• Kazakhstan Stock Exchange (KASE)moderateStrategic or Co-development Partner · 25 November 2018A Memorandum of Understanding was signed between Baku Stock Exchange and Kazakhstan Stock Exchange on November 25, 2018, establishing cooperation framework for regional capital market development.
• Borsa IstanbulcoreStrategic or Co-development Partner · 1 June 2000Borsa Istanbul participated in BSE's charter capital and became one of its founders. Since June 2000, Borsa Istanbul has been BSE's 19th shareholder, representing a key strategic partnership between Azerbaijan and Turkey capital markets.

Scale indicators13 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Pakistan Stock Exchange (PSX): Frontier/emerging market exchange with a similar product mix of equities, government and corporate bonds, and an Islamic finance (sukuk) segment. Comparable in terms of capital-market development trajectory in a non-mature economy.

Emerging players

• Belgrade Stock Exchange (BELEX): Emerging European exchange with a similarly small listed universe in a transitioning economy. Comparable in scale, market depth constraints, and reliance on government bond listings to drive turnover.
• Tunis Stock Exchange (BVMT): Frontier North African exchange with comparable small market cap, limited listed universe, and dependence on bank and government bond issuance — a useful analog for capital-market deepening trajectories.
• Ukrainian Exchange (UX): Emerging European exchange serving a frontier market in the post-Soviet space. Comparable in product offering and the role of government securities in driving repo and secondary-market activity.
• Bucharest Stock Exchange (BVB): Emerging European exchange with a comparable small-to-mid market cap, listed-company count, and product mix. Frequently cited as a benchmark for frontier exchange growth and IPO pipeline development.

Regional players

• Georgian Stock Exchange (GSE): Caucasus-region securities exchange with a similarly small listed universe and emerging market profile. Operates as a regional peer in a comparable frontier-economy context adjacent to Azerbaijan.

Peers

• Armenian Stock Exchange (AMX): Armenia's primary securities exchange operating in a comparable small Caucasus economy. Provides a parallel benchmark for emerging-market exchange development in the same region.

Direct peers

• Borsa Istanbul: Turkey's national exchange and BSE's 19% founding shareholder. Operates equity, debt, derivatives, and repo markets, providing a directly comparable exchange model while also serving as BSE's key strategic regional partner.
• Kazakhstan Stock Exchange (KASE): National securities exchange of Kazakhstan operating equity, bond, and repo markets in a comparable post-Soviet/Caspian emerging market. BSE has an active MOU with KASE since 2018, making it the most directly comparable peer in terms of product mix and regional positioning.

Others

• Central Depository of Azerbaijan (MDM): Azerbaijan's central securities depository referenced as a separate market participant that handles settlement and custody for BSE-traded securities. Included as an adjacent ecosystem infrastructure provider rather than a competitor.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/bakifondbirjasi

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Baku Stock Exchange