Ruslan Magomedov at the Mind Entrepreneur Summit: “Major Reforms Should Start with Ourselves”

Ruslan Magomedov, the Chairman of the National Securities and the Stock Market Commission (NSSMC), delivered a speech today, April 19, 2024, at the Mind Entrepreneur Summit. He discussed the anticipated transformation of the NSSMC and the regulator’s innovative products for the business environment.

“We must begin major reforms with ourselves, and soon the NSSMC will initiate significant internal and operational changes. We need to set an example for the business community, become more accessible, and enhance our efficiency. We aim to significantly simplify the procedures for registering financial instruments to facilitate quick capital raising by businesses. In the market, instruments should compete based on their nature and riskiness, not on tax benefits,” emphasized Mr. Magomedov.

During the conference, the NSSMC’s Chairman introduced participants to an innovative regulator project that is already operational in the market – the registration of shares of LLCs and JSCs in the Central Depository’s accounting system. This project provides guarantees for property rights protection for businesses and offers new modern services.

“The NSSMC has developed a product that allows protecting businesses from raiding. We have prevented risky scenarios where company shares are transferred to someone else without their knowledge. The system preserves all the rights of enterprise participants and grants access only to licensed depository institutions and NDUs,” the regulator’s head announced.

It is worth noting that last month in Ukraine, a new share accounting system was launched based on the National Depository of Ukraine.