The Securities and Exchange Commission on Sunday announced a 10-year capital market master plan which would allow the commission to operate independently of the government.
According to the plan, the SEC will be able to formulate its own budget without permission of the government and will also able to recruit manpower according to its need.
The finance ministry and the SEC were on loggerhead over the issues after the SEC in October 2011 put forward a proposal to the ministry for amending the Securities and Securities and Exchange Commission Ordinance 1993 to allow the commission to operate independently of the government.
The capital market master plan also includes, formulating Financial Reporting Act to improve the financial reporting standard and forming a capital market tribunal for quick disposal of securities related cases.
It also includes formulating national policy on Financial Literacy and demutualization of the stock exchanges.
The plan said that the SEC would introduce an updated surveillance software for market monitoring and formulate a guideline for initial public offering.
The plans include forming a clearing exchange for shares settlement and bringing majority retail investors under institutional framework.
The SEC also announced to launch a derivatives market and strengthening the bond market.
A high-powered government committee that undertook a probe into the stock market scam of 2011 had recommended majority of those initiatives to restructure the capital market.
-With The Daily Star input
