Kyiv, June 12, 2015 – The National Securities and Stock Market Commission (NSSMC) has worked out a package of legal initiatives to protect investors’ interests, – said Tymur Khromayev, Head of the NSSMC at a press-briefing at the Ukraine Crisis Media Center.
“We need to drastically change our approach. The market needs to be easily accessible and transparent with open bidding. The capital and investment has to be secured. To achieve a better environment for investment an institutionally and politically independent agency is required. To implement above mentioned, the NSSMC drafter bills that are currently considered by the Parliament while the rest are to be submitted for consideration in the nearest months,” – said Tymur Khromayev.
Talking about the changes that are to affect Ukrainian stock market, the head of tge NSSMC noted that reform of depositary accounting is envision and a new legal basis for stock exchange is to be set up.
Additionally, the NSSMC plans to translate the legislation that regulates financial market into English, which is an innovation for Ukraine.
“The situation is disastrous: we don’t have a single document in English. Foreign investors have to pay legal firms for translation documents for them… It is called the “price for being brought in”. This is a wrong way of doing business. Furthermore, undoubtedly new laws need be adapted to the international norms,” – explained Head of the NSSMC.
He furthermore explained that the National Commission drastically changed its approach in the last four months after new appointees were taken on boar. Tymur Khromayev underlined the importance of adoption of the law designed to increase protection of minority stockholders (no. 2259 “On introducing changes to legal acts of Ukraine for the protection of investors’ rights”).
The NSSMC received considerable support from the German and American partners. They are providing technical assistance in drafting laws, staff training, and raising qualification for the personal responsible for overseeing bidding process. According to the head of the Commission, the number of the players on the stock-market will considerably decreased and same time, he maintained that it will take few years for the trust between the investors and government to be restored.