A new law intended to simplify procedures and interactions on the securities market is under way. By employing a new IT service, legal formalities will be unified and finally become paperless.
The Parliament of Azerbaijan considered the draft law concerning the securities market which will have significant impact on existing market infrastructure and regulations.
It is presumed that brokers and dealers will be replaced by investment companies established as Joint Stock Companies, which will simplify the licensing and reporting procedures of professional market participants and the interactions between them and issuers or investors. Another benefit of this legislative revision is completely paperless workflow across the Azerbaijani stock market: the use of the classic "paper" securities will be discontinued.
Also, all legal formalities relating to the securities market: documentary evidence, safekeeping, record-keeping, validation of ownership, encumbrances and other back office functions will be arranged through the Depository Centre using the IT service ‘One window’.
‘One window’ services will allow the application of a new mechanism of notarial transactions with securities in the online-mode: the parties involved in deals will turn to the notary for registration of the transaction, without providing any paper documents.
Yuliya Shibukova, Relationship Manager Russia