Bill on stock market passes first reading in Belarus

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MINSK, 9 November (BelTA) – The bill “On Amendments to Laws on the Stock Market” passed the first reading at the sixth session of the House of Representatives of the National Assembly of Belarus on 9 November, BelTA has learned.

The bill was submitted to the House of Representatives by the Council of Ministers. It was prompted by the need for a better regulation of securities based on past application and taking into account the principles of the International Organization of Securities Commissions and international agreements on the convergence of laws regulating the financial market within the framework of the Eurasian Economic Union.

The bill seeks to streamline the issue of securities, including by reducing the list of documents needed for state registration of securities. It also proposes to create an institution of a nominee holder of securities, introduce new financial instruments – Notes – and establish the procedure and terms for their issue, specify grounds for refusal of state registration by authorized bodies (the stock exchange or the central depository of securities issues).

The bill provides for introducing a system of internal accounting and risk management. It proposes to allow a greater number of non-professional players on the stock market to take part in stock exchange trading. It also seeks to streamline the issue and circulation of securities of non-resident issuers in Belarus, including granting them the right to issue securities in accordance with the legislation by decision of the government. The bill also embraces international standards in the field of stock market regulation taking into account the requirements of the International Organization of Securities Commissions and standards of the Financial Action Task Force, as well as measures stipulated by the action plan to bring into line the laws regulating the financial market of the Eurasian Economic Union member states.