Azerbaijan, Baku, Jan. 21 / Trend I.Khalilova/
In 2011, the Azerbaijani State Securities Committee intends to complete work on a new piece of legislation on securities and stock markets, Chairman Rufat Aslanli said. Currently, the activities of the securities market in Azerbaijan is governed by the law on securities dated Sept. 9, 1998.
"This draft law is declared as a priority for 2011. This bill would virtually create the basis for a qualitative jump in the Azerbaijani stock market and will allow to more effectively develop this segment of the economy," Aslanli told Trend earlier.
The new amendments to the Civil Code are under development in connection with the expansion of practice of the corporate governance standards apply. In the direction of improving the legal framework, the work is also underway on updating bylaws that provide for the simplification of procedures for trading and post-trade calculations.
Over the past period, there was held a very serious preparatory work for international standardization and improvement of legislative base.
Azerbaijan has already adopted the law on investment funds and intense work is underway on the preparation of bylaws, which in the future will allow for the formation and development of collective investment schemes needed for the emerging growth markets. The committee also has almost completed development of the legislative framework for corporate behavior to protect the rights of shareholders and, in general, investors. This year, the law has come into force.
"The Azerbaijani State Securities Committee will develop in 2011 the State Program on Securities Market Development for 2011-2020. Azerbaijani President Ilham Aliyev asked the State Committee to develop the state program in his decree on approval of the 2011 state budget," Aslanli said. "The committee has already begun work on preparing the program."
The international experts may also be involved in this process.
The committee has already begun to develop a medium-term strategy for the securities market development with the support of the World Bank.
Under this project, the country's securities market has been fully assessed with the participation of international experts, and a relevant document that defines the action plan was prepared based on this assessment.
In October 2010, Baku hosted an extended discussion of the document with the participation of representatives of the economic bloc of the government.