Serbian Prime Minister Mirko Cvetkovic said Wednesday that the new law on capital market would equalize the rights of domestic and foreign investors.
Opening a conference on the capital market and protection of investors’ rights, Cvetkovic said that the new law would be protecting small shareholders and relevant by-laws should render the market more transparent.
He pointed out that the law had been adopted on November 17, 2011, and was fully in line with the EU directives and international law.
He stressed that the new legal framework for the capital market in Serbia was complemented with the companies and takeover acts.
Ever since the beginning of its term, the Serbian government has been working on some very important legislation for the country, including the ones regulating the capital market, Cvetkovic said, adding that the new set of financial laws would help alleviate the negative impact the global recession had on Serbia.
Cvetkovic noted that the new legislation was fully regulating the work of the Securities Commission, which would now have more opportunities and greater authority in monitoring participants in the capital market.
U.S. Charge d’Affaires in Belgrade Lee Litzenberger said that the capital market, together with financial institutions and a system of regulatory supervision, improves the mobilization of savings in the economy, its distribution and investment in the real sector.
Litzenberger said that the financial crisis had shown that developing economies should diversify their financial systems and lessen their dependence on bank funding.
He added that the United States, via USAID, helped the Serbin government draft the law on capital market and accompanying by-laws.
