Azerbaijan, Baku, June 10 /Trend, I.Khalilova/
Azerbaijan Parliament's committee on economic policy made a proposal to establish model of economic dynamics of investment funds in Azerbaijan.
"The structure of Azerbaijan's economy diversifies, so the active public participation in the shares of large enterprises would be appropriate," said the chairman of the committee on economic policy Ziyad Samadzade during the discussions over the bill at the committee meeting on June 10.
This model would predict the parameters of investment funds, for example, for the next 10 years, he said.
The new law envisages establishing joint-stock share funds, as well as open and closed share funds with an interval share.
The joint-stock investment funds allow participation of any person and the acquisition of significant share (10 percent and over) in the authorized capital, including increasing their share to 20 or 33 percent of the authorized capital, bringing to 50 percent in the management.
Activities of investment funds will be licensed State Securities Committee. The agency regulating the activities of investment funds will be their state register.
"In Azerbaijan there are no financial institutions of which activities are not regulated. Unregulated operations of investment funds are one of the factors that gave impetus the world processes. From this point of view, the draft law on investment funds has been corrected, considering world's best practices," said Aslanli.
This is one of the bills included in the pilot project of the European Union within the twine program, so it will be updated in the future in accordance with international standards.
After the adoption of the first law on investment funds in 1999, investment funds have not been created in Azerbaijan in accordance with the provisions of this law. The main reason for this is that the law envisaged creating investment funds in form of joint stock companies.