CMA issues draft securities exchanges, depository centers regulations for public consultation

Logo of Capital Market Authority

The Capital Market Authority (CMA) will publish the draft of the securities exchanges and depository centers regulations for public consultation for 60 days ending on March 14.

The draft regulations aim to develop the regulatory framework for the authorization and supervision of securities exchanges and depository centers to efficiently perform their duties and obligations.

It further seeks to provide stability and regulatory environment of the capital market and enhance the confidence of capital market participants in support of its growth and prosperity.

The regulations will help develop procedures that ensure effective supervision over securities exchanges and depository centers in line with international best practices and standards in this regard.

Following the approval of the Securities Central Counterparties Regulations, which regulate securities clearing activities in the Kingdom and set out the authorization requirements for such activities, the draft regulations are a continuation of the CMA's efforts in developing the capital market's infrastructure.

The amendments to the Capital Market Law have granted the CMA the authority to establish regulatory authorization requirements for securities exchanges, depository centers and clearing centers, including the requirements for maintaining such authorization as well as its relinquishment.

The CMA will receive the public opinions through the unified electronic platform for consulting the public and government entities, affiliated with the National Competitiveness Center and email (laws.regulations@cma.org.sa).

The market authority said that all comments will be taken into full consideration to finalize the draft regulations.

Click on the link to view the draft regulations.