Regulatory & Legislative Role

CMA’s Role

1. Regulatory role:

CMA regulates regulations required to develop the capital market and insurance sectors. 

2.  Supervision role:

CMA supervises and monitors institutions regulated by CMA to upgrade the efficiency and the level of capital market and insurance sectors in general, and to protect investors and policyholders in particular.

3. Awareness role:

CMA is keen to upgrade the efficiency of investors and policyholders and to achieve this, CMA spreads awareness in matters related to investment and rights of investors. Moreover, CMA enhances  awareness of directors and management, establishes saving concept and investment , enhances awareness of the public on the importance of capital markets and dealing therein and enhances awareness on insurance for all the segments of the community. Through conferences, workshops, and issuing booklets and awareness brochures.

 Regulatory Role

The core business of the CMA is to Supervise the Capital Market and Insurance Sectors in the Sultanate. CMA assumes the following duties and responsibilities:

1) Regulating, licensing and monitoring the issuance of securities

2 ) Supervising:
 • Muscat Securities Market.

 • Muscat Clearing and Depository Company.

 • Public shareholding companies, and

 • Audit firms accredited to audit the accounts of the companies regulated by CMA.

3) Licensing and supervising :
 •Companies operating in the field of securities.

 •Investment funds.

 •Credit rating agencies .

 •Insurance companies.

 •Insurance brokers, and

 •Agents of insurance companies.

4) Constantly reviewing of legislation governing the two sectors , and developing them in accordance with the best international practices and

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5) Enforcing laws under its jurisdiction .


Legislative Role

 The legislative role of CMA is represented in regulating regulations for the capital market and insurance sectors.

The legislative frame of CMA witnessed  in the last period remarkable developments as a response for the requirements of the stages it has been through and for being in line with the developments regionally and internationally. In this frame, the Sultanate presided in a number of fields especially those related to disclosure, Corporate Governance and the development of legal frame of the capital market as mentioned in a number of reports issued by international and regional institutions.

CMA carried out the following in the regulatory infrastructures in 2013:

  1. Amendment of certain provisions of the Executive Regulation of the Capital Market Law.
  2. Amendments to the provisions of the Clearance and Settlement Regulation.
  3. Amendment to the candidacy form of the directors of joint stock companies.
  4. Amendment of the Administrative Decision establishing Investor Trust Fund.
  5. Amendment to the procedures of the Investor Trust Fund.
  6. Constituting audit committee at CMA and approving its articles.
  7. The directives for correction of transactions executed on the MSM.
  8. Approving compensation procedures for suspended transactions.
  9. Formation of work team to work on the draft Sukuk regulation.
  10. Finalization of preparing the financial regulation.
  11. Amendment of certain provisions of the Capital Market Law.

CMA carried out a number of initiatives with the aim of improving  corporate governance and organizing the market work and activities including directors’ compliance with  not  carrying out any trading in securities during the closed periods and amending the definition of related parties and independent director. CMA continued the efforts to execute certain schemes pertaining to the relevant laws and regulations as some have been completed and dispatched to the official entities such as the draft amendments to the Capital Market Law and the draft amendments to the Rules for Election of Directors of Public Joint Stock Companies and the Provisions Pertaining to their Responsibilities.

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