Commodities - Central Asia

Central Asia

The nominal value in the Commodities market is projected to reach US$90.24bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.51% resulting in a projected total amount of US$112.50bn by 2029.
The average price per contract in the Commodities market amounts to US$0.04 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$53,690.00bn in 2024).
In the Commodities market, the number of contracts is expected to amount to 2,685.00k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

Central Asia, known for its rich history and diverse culture, is experiencing significant developments in its Commodities market. Customer preferences in the region are shifting towards alternative investment options such as Commodities, driven by the desire for portfolio diversification and potential high returns.

Investors in Central Asia are increasingly looking for ways to hedge against market volatility and inflation, leading to a growing demand for Commodities as part of their investment strategy. Trends in the Commodities market in Central Asia are influenced by the region's geopolitical landscape and economic growth. As countries in Central Asia continue to focus on economic diversification and modernization, there is a growing interest in Commodities trading as a way to participate in global markets and capitalize on price fluctuations.

Additionally, the development of financial infrastructure and regulatory frameworks is making it easier for investors to access and trade Commodities in the region. Local special circumstances, such as the abundance of natural resources in Central Asia, play a significant role in shaping the Commodities market. Countries in the region are major producers of energy and minerals, which not only drive their economies but also impact the performance of Commodities markets.

The proximity to major markets in Europe and Asia also provides Central Asia with strategic advantages in trading Commodities. Underlying macroeconomic factors, including inflation rates, exchange rates, and government policies, have a direct impact on the Commodities market in Central Asia. As governments in the region work towards creating a more favorable investment climate and improving transparency, investor confidence in Commodities trading is expected to grow.

Additionally, the integration of Central Asian economies into global supply chains and financial markets is likely to further boost the Commodities market in the region.

Methodology

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.