BAKU, Azerbaijan, Dec. 31
By Zeyni Jafarov - Trend:
Intensive work was carried out to develop the capital market, improve the efficiency of regulation and control processes in 2020, Trend reports referring to the Central Bank of Azerbaijan (CBA).
A stimulating tariff regime was created and differentiated tariffs stimulating listing on the stock exchange were set to expand the opportunities for issuers and investors to participate in the capital market.
"The legal framework was improved in the outgoing year to expand financing opportunities by issuing bonds on the securities market," the CBA’s statement said.
The cooperation with international depositories was underway to expand the access for foreign investors to enter the Azerbaijani capital market and thus, associative membership of the CBA in the International Organization of Securities Commissions (IOSCO) was ensured.
In general, the volume of trading in the secondary corporate securities market increased by 1.7 times, while in the repo market – by 1.9 times as of early December 2020 compared to the same period of last year.
Earlier, the CBA introduced a regulatory holiday to support capital market participants during a pandemic, as well as tariff preferences to support the participation of issuers and investors in the capital market.
Within the new rules, the tariffs which are paid by the companies listed on the stock exchange to the National Depository Center have been reduced by more than twofold. The tariffs which are charged from investors by the National Depository Center for the registration of corporate securities in the secondary market, market makers and repo transactions have been optimized.
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