OECD members - Market capitalization of listed domestic companies (% of GDP)

Market capitalization of listed domestic companies (% of GDP) in OECD members was 147.45 as of 2020. Its highest value over the past 45 years was 147.45 in 2020, while its lowest value was 23.03 in 1978.

Definition: Market capitalization (also known as market value) is the share price times the number of shares outstanding (including their several classes) for listed domestic companies. Investment funds, unit trusts, and companies whose only business goal is to hold shares of other listed companies are excluded. Data are end of year values.

Source: World Federation of Exchanges database.

See also:

Year Value
1975 27.03
1976 30.79
1977 26.07
1978 23.03
1979 24.76
1980 28.79
1981 26.33
1982 30.19
1983 36.36
1984 34.45
1985 46.78
1986 53.07
1987 55.07
1988 59.68
1989 68.15
1990 50.27
1991 56.01
1992 49.25
1993 59.17
1994 58.79
1995 62.91
1996 70.89
1997 81.96
1998 91.84
1999 117.04
2000 105.82
2001 92.30
2002 74.30
2003 87.93
2004 93.22
2005 97.61
2006 110.23
2007 108.86
2008 57.21
2009 81.96
2010 87.50
2011 72.67
2012 83.90
2013 101.53
2014 100.81
2015 104.60
2016 108.47
2017 125.34
2018 106.71
2019 121.78
2020 147.45

Development Relevance: Stock market size can be measured in various ways, and each may produce a different ranking of countries. The development of an economy's financial markets is closely related to its overall development. Well-functioning financial systems provide good and easily accessible information which can lower transaction costs and subsequently improve resource allocation and boosts economic growth. Both banking systems and stock markets enhance growth, the main factor in poverty reduction. At low levels of economic development commercial banks tend to dominate the financial system, while at higher levels domestic stock markets tend to become more active and efficient relative to domestic banks. Open economies with sound macroeconomic policies, good legal systems, and shareholder protection attract capital and therefore have larger financial markets. Recent research on stock market development shows that modern communications technology and increased financial integration have resulted in more cross-border capital flows, a stronger presence of financial firms around the world, and the migration of stock exchange activities to international exchanges. Many firms in emerging markets now cross-list on international exchanges, which provides them with lower cost capital and more liquidity-traded shares. However, this also means that exchanges in emerging markets may not have enough financial activity to sustain them, putting pressure on them to rethink their operations.

Limitations and Exceptions: Data cover measures of size (market capitalization, number of listed domestic companies) and liquidity (value of shares traded as a percentage of gross domestic product, value of shares traded as a percentage of market capitalization). The comparability of such data across countries may be limited by conceptual and statistical weaknesses, such as inaccurate reporting and differences in accounting standards.

Statistical Concept and Methodology: Market capitalization figures include: shares of listed domestic companies; shares of foreign companies which are exclusively listed on an exchange (i.e., the foreign company is not listed on any other exchange); common and preferred shares of domestic companies; and shares without voting rights. Market capitalization figures exclude: collective investment funds ; rights, warrants, ETFs, convertible instruments ; options, futures ; foreign listed shares other than exclusively listed ones; companies whose only business goal is to hold shares of other listed companies, such as holding companies and investment companies, regardless of their legal status; and companies admitted to trading (i.e., companies whose shares are traded at the exchange but not listed at the exchange).

Aggregation method: Weighted average

Periodicity: Annual

General Comments: Stock market data were previously sourced from Standard & Poor's until they discontinued their "Global Stock Markets Factbook" and database in April 2013. Time series have been replaced in December 2015 with data from the World Federation of Exchanges and

Classification

Topic: Financial Sector Indicators

Sub-Topic: Capital markets