“Our mid-term and long-term strategy is to increase the role of the multi-pillar financial sector, including the role of the capital market,” said Dr. S.Davaasuren, Chairman of the Financial Regulatory Committee, in his opening remarks on “IPO and Dual listing” seminar today.
He emphasized that domestic companies should be able to issue new securities and depository receipts to raise capital, double-entry and foreign markets, and foreign companies should be able to access our capital market.
The Committee is implementing the “Capacity Building for Mongolian Capital Markets” project in cooperation with Japan’s International Cooperation Organization (JICA) in December 2014.
The purpose of the project is to address the challenges of introducing the best practices of international standards in Mongolia and introduce examples of high-technology countries, capacity building of market liquidity, and improve legal and regulatory environment.
The results of the first phase of the project have been recently evaluated as good and it is assessed by the Committee.
In today’s workshop, jointly organized by the Committee and JICA, project team consultant Royey Sukishita, Takahama Urade, has been explaining on the challenges that Mongolia facing on stock market, how market resolved itself and introduce re-model of the market, the challenges of domestic securities issuers as presenting presentation. Director of the International Stock Exchange of Tokyo Stock Exchange Mr. Hidetoshi Naga introduced opportunities for Mongolian companies to have investment from the Japanese market.
During the seminar, the Chairman of the Committee S.Davaasuren agreed to start second stage of the project which “Strengthening Capacity for Mongolian Capital Markets” starting from November 2017.
In the second phase, deepening the commencement of activities within the framework of the preliminary stages, such as increasing market diversification, protecting the rights of investors and improving public financial education, as well as capital markets professionals and It is planned to develop and implement a development program for non-bank financial institutions, insurance, savings and credit cooperatives.
The Committee renewed its Memorandum of Understanding with the Japan Financial Services Agency in March. In addition, addressed to that the co-operation is possible on outside of the securities market, also it is possible to expand the scope of the project.
Source: www.frc.mn