«The effective regulation of the capital and commodity markets is our common task», Ruslan Magomedov told about the Draft Law 5865

The Verkhovna Rada of Ukraine at the plenary session on December 14, 2021 adopted in the first reading the Draft Law of Ukraine on Amendments to the Law of Ukraine On State Regulation Of Capital Markets And Organized Commodity Markets and some other legislative acts of Ukraine (registration №5865 dated 26.08.2021). The NSSMC (National Securities and Stock Market Commission) generally supports the Draft Law submitted to the Parliament by People’s Deputies of Ukraine, D.A. Hetmantsevyi and others, and notes a number of revisions, required by the document.

«We thank the Chairman of the Committee on Financial, Customs and Tax Policy for his attention and legislative initiative regarding the Regulator, and the deputies for its support, – Ruslan Magomedov, the Chairman of the NSSMC said. – However, we have to improve the Draft Law together before the second reading.  This is necessary for the NSSMC to carry out the functions of proper, effective, and fair market regulation applied by the President.  In addition, gaining institutional independence, provided by the Draft Law, will help the State receive the necessary assistance from the IMF».

We are talking about a number of improvements. In particular, the NSSMC should have a clearly defined list of functions with the possibility to revise the perimeter of regulation in order to prevent pathal situations. Also, the NSSMC’s acts should not require approval or endorsement by state authorities and other legal entities, instead, the NSSMC proposes to create a Coordinating Council with the participation of the market community. “This will allow filling in the documents with more expertise and accelerate the implementation of the tasks of the NSSMC for the introduction of the second level of pension reform, the regulation of the virtual assets market and other tasks of the modern financial world,” Mr. Magomedov stressed.

«The NSSMC fully supports the need to improve the legislation in terms of capital market and organized commodity markets regulation. We, as parliamentarians, aim at the same time to ensure the institutional and financial independence of the Commission, and as a result, the development of the financial system in the State and the protection of investors’ rights», the Chairman of the NSSMC concluded.