Regulations of nonbank financial sector under revision

2018-04-24 14:02:14
Ulaanbaatar /MONTSAME/ For more than half year the Financial Regulatory Commission (FRC) has been updating, compiling and arranging the rules and regulations that apply to nonbank financial sector in accordance with the law requirements.

Since its establishment in 2006, the FRC has approved about 170 regulations and instructions for the insurance, securities market, nonbank financial institutions, and savings and credit cooperatives, 60 of which are for the securities market. The FRC is working to unite 33 regulations into four, revise 20 and invalidate three.

Three of the revised regulations including ‘Regulation on calculating and controlling the solvency of underwriters, brokers and dealers’, ‘Regulation on risk fund of regulated fund service providers’ and ‘Regulation on advertisement promotion of regulated financial service provider and issuer’ were discussed by the financial market participants last week.

In accordance with the law posted on the FRC page, the draft regulations were available for public review and input for a month and currently is being discussed by the representatives of securities trading organizations, underwriters, brokers and dealers.

It was concluded to submit a series of proposals from the participants and reflect them to the draft regulations.