Agricultural Product Derivatives - Kyrgyzstan

Kyrgyzstan

Highlights

The nominal value in the Agricultural Product Derivatives market is projected to reach US$750.80m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 0.88% resulting in a projected total amount of US$784.40m by 2029.
The average price per contract in the Agricultural Product Derivatives market amounts to US$0.02 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached United States (US$12.32tn in 2024).
In the Agricultural Product Derivatives market, the number of contracts is expected to amount to 33.18k by 2029.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Kyrgyzstan, a country known for its stunning mountain landscapes and nomadic traditions, is also experiencing interesting developments in its Agricultural Product Derivatives market. Customer preferences in Kyrgyzstan are shifting towards more diversified investment opportunities, including Agricultural Product Derivatives.

This trend mirrors the global movement towards alternative investments and risk management strategies in emerging markets. Trends in the market show a growing interest from local investors in Agricultural Product Derivatives as a way to hedge against price volatility in the agricultural sector. This trend is influenced by the increasing interconnectedness of global markets and the need for risk mitigation tools in the face of economic uncertainties.

Local special circumstances in Kyrgyzstan, such as the country's heavy reliance on agriculture as a key economic sector, play a significant role in driving the demand for Agricultural Product Derivatives. The need to manage risks associated with fluctuating commodity prices and unpredictable weather conditions makes these financial instruments particularly attractive to market participants. Underlying macroeconomic factors, including the country's efforts to modernize its financial markets and attract foreign investment, are also contributing to the growth of the Agricultural Product Derivatives market in Kyrgyzstan.

As the country continues to integrate into the global economy, the demand for sophisticated financial products is expected to rise, further fueling the development of this market.

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.