Business met with the National Securities Commission and the National Depository
On April 28, there was a meeting of the EBA Currency Regulation and Financial Services Committee to discuss current issues and proposals for the development of the stock market in Ukraine. We are grateful to Ruslan Magomedov, Chairman of the National Securities and Stock Market Commission, and Oleksiy Yudin, Chairman of the Board of the National Depository of Ukraine, for participating in the meeting.
As claimed by Mr. Magomedov, from the very beginning of the full-scale war, the Commission stopped the circulation of securities, except for IGLBs, military bonds and operations required for government agencies. The shutdown of the national depository system was initially aimed primarily at preserving assets and preventing panic in the stock market.
Now that we have a better understanding of how the situation unfolds and the National Commission plans to help businesses work and provide military assistance or humanitarian support to the population in those regions where possible. The work regime of the National Commission during martial law is special, now each case is considered separately within the shortest time as there is an understanding that Ukraine needs to start the economy, fulfill obligations, and give companies the opportunity to earn.
The goal of the National Commission is also to help the state, namely the Ministry of Finance, to attract funds to the country’s economy, to facilitate access to financial instruments in the domestic stock market. To this end, the Contribution project is currently being developed, thanks to which individuals in Ukraine and abroad will be able to quickly invest in IGLBs.
According to Mr. Yudin, the National Depository was as well prepared for full-scale aggression as possible. The emergency action plan started to be implemented from the first day – necessary measures were taken to protect the depository data, which are very sensitive, and the rights of shareholders.
Currently, the team of the National Depository is actively working to transfer Ukrainian securities to other countries. Cooperation is under way with other central depositories so that foreign companies can easily invest in Ukrainian securities after the war. The second important area of work is the development of electronic services. Work is also continuing on the further technical stability of the depository system.
The participants of the meeting of the EBA Currency Regulation and Financial Services also discussed the proposals and initiatives of the EBA companies, submitted to the regulator in advance, and they agreed on further steps, namely:
- Prospects for expanding the list of transactions with the assets of collective investment institutions;
- Further joint steps towards digitalization of interaction of market participants;
- Ways to improve the accounting system for repurchase transactions.
We are grateful to our colleagues for their time and constructive dialogue with business!