The Securities and Exchange Commission of Sri Lanka (SEC) expects the New SEC Act to be enacted within the first quarter of the year.
” The new SEC Act, which the SEC believes will be enacted within the first quarter of this year, has several salutary features which will amongst others, strengthen and streamline the regulatory regime, enable the development of the market, provide protection to the investors as well as provide for the Demutualization of the Stock Exchange,” SEC said in a press release.
Earlier this month, SEC also approved a new framework for listing of companies, granting complete autonomy to the CSE in the listing process.
Further, the SEC has also relaxed the Listing Rules in order to encourage more listings.
“This is expected to attract SMEs and Startups and many other initiatives are in the pipeline,” SEC said.
At a meeting had with the Board of Directors of the CSE in mid-December last year, the SEC has requested the CSE to implement a comprehensive program to attract companies to list and to educate the potential companies on the simplified processes that would be introduced as well as the incentives granted by the government by way of the Budget proposals.
The SEC has insisted upon the need to have a time-bound plan and has assured its fullest support towards such an endeavor.
The SEC is currently awaiting the response of the CSE in this regard.