Ministerial Committee of GCC Securities Market Regulators Approves Number of Recommendations:
- Forming a team to prepare a study for the GCC securities market integration strategy and mechanisms
- Approving the final changes made to the unified rules for share offering in the GCC securities markets
Abdullah Al Turifi: Promoting Networking among GCC Securities Markets Furthers Interests of GCC Nationals
The Securities and Commodities Authority (SCA) signed an MoU with the GCC securities market regulators on the sidelines of the sixth meeting of the Permanent Ministerial Committee of Board Chairpersons of the Gulf Cooperation Council (GCC) Securities Market Regulators held in Doha under the presence of the six chairpersons, as well as Abdullah Al Shibli, Assistant Secretary-General for Economic Affairs at the GCC General Secretariat.
H.E. Abdullah Al Turifi, CEO of SCA, signed the MoU on behalf of the UAE.
Scope and Objectives
Following the signing of the MoU, Al Turifi said that the MoU aims at establishing a framework for joint cooperation and facilitating the exchange of information among securities market regulators to enforce and ensure compliance with securities legislations and any laws or regulatory and supervisory requirements.
The MoU also aims at promoting investor protection and strengthening market soundness through exchanging information and providing assistance in conducting investigations to the extent permitted by the rules and practices of market regulators.
Al Turifi added that the MoU also places emphasis on promoting cooperation among securities market regulators in training, developing human resources, and exchanging information to support securities markets.
Ministerial Committee Resolutions
The meeting of the Ministerial Committee of Board Chairpersons of the GCC Securities Market Regulators has approved a recommendation made by the Committee of Heads of the GCC Securities Market Regulators the Committee of Heads of GCC Securities Market Regulators the Committee of Heads of GCC Securities Market Regulators the Committee of Heads of GCC Securities Market Regulators to approve the draft unified rules for acquisition in the GCC securities markets and presented the recommendation to the Ministerial Council of Foreign Ministers for approval by the GCC Supreme Council to be used as guidelines until the unified rules and principles for the GCC market integration become fully-fledged and to ensure harmonization and consistency among them. Member states should submit semi-annual periodic reports on enforceability, along with suggestions to improve such rules and present them to the relevant committees for consideration and approval.
Working Group on Strategy
The committee agreed to put together a working group of the GCC securities market regulators and the GCC General Secretariat to set five strategic objectives, launch a number of initiatives that constitute a framework for the work of the Committee of Heads of the GCC Securities Market Regulators, and propose preparing a study for the GCC securities market integration strategy and mechanisms.
The meeting approved the final changes made to the unified rules for share offering in the GCC securities markets following the addition of articles for private placement in the GCC securities markets.
It is worth noting that at its 25th session held last year, the GCC Supreme Council decided that all the unified rules and principles for market integration, which have already been approved, continue to be used as guidelines until such rules and principles become fully-fledged.
The Permanent Ministerial Committee of Board Chairpersons of the GCC Securities Market Regulators form perceptions and devise actual steps to address the obstacles on the road to market integration and put the procedures into effect in implementation of the economic agreement signed between the GCC states and the GCC Supreme Council resolutions in this regard, in addition to meeting the Common Gulf Market requirements and the provision that legal and natural nationals, in any member state, be treated as its own nationals without differentiation or discrimination in all economic fields, including trading shares, establishing companies, and launching creative initiatives.
Committee of Heads of GCC Securities Market Regulators
With regard to the 13th meeting of the Committee of Heads of the GCC Securities Market Regulators, which was held one day prior to the Ministerial Committee's meeting, Al Turifi said that the meeting discussed a number of important topics, mainly promoting cooperation among securities market regulators and working to unify systems to achieve market integration, pointing that the committee currently works on unifying legal frameworks and procedures for market unification. A number of projects have been completed and a number of resolutions have been approved in this context.
Al Turifi reiterated the importance of promoting networking among the GCC stock exchanges to further the interests of the GCC nationals and raise the status of the GCC markets globally.
He indicated that the meeting reviewed the results and recommendations made by the working groups on initial offerings, subscriptions, and supervision, as well as the working group on training in market regulators.
The meeting concluded with a discussion of the agenda of the proposed joint meeting to be held among the GCC Committee of Governors of Monetary Agencies and Central Banks and the Ministerial Committee of Board Chairpersons of the GCC Securities Market Regulators.
Al Turifi added that member states reviewed the General Secretariat's report on market integration strategy and mechanisms.
He explained that the committee emphasized the exchange of information as part of the work carried by the GCC markets being responsible for market supervision to protect markets and market participants and promote the principles of disclosure, transparency, and governance.
It is worth noting that the meeting has previously discussed market developments, promoting cooperation, and strengthening ties among financial market regulators.
The GCC securities market regulators attempt to strengthen ties and promote the exchange of information and expertise to develop their financial markets and enhance legislations.
