GCC Capital Markets Authorities approve regulatory framework for investment funds


(MENAFN) The GCC Capital Markets Authorities have approved a regulatory framework for inter-registration and regulations governing investment funds between member states. This decision, made during the 29th meeting of the Committee of Heads of Capital Markets Authorities, marks a significant step toward closer financial integration within the Gulf region. The regulation is expected to take effect in early 2025 in member states that complete the necessary legislative requirements.

The Inter-Registration Regulation Project plays a pivotal role in the GCC's broader strategy for financial market integration. It aims to strengthen cooperation among member countries and streamline cross-border investment flows. By establishing a unified framework, the project seeks to enhance transparency and consistency in the registration and promotion of investment fund units across the region.

As the first financial product to be regulated under this unified framework, the regulation highlights the Gulf countries’ commitment to fostering an integrated and secure financial environment. It simplifies the process of registering and marketing investment funds, demonstrating the GCC's dedication to modernizing its financial systems and promoting regional economic growth.

This regulation is also designed to enhance the appeal of GCC countries as a premier investment destination. By providing investment funds with a flexible and simplified regulatory framework, it aims to facilitate cross-border operations and accelerate procedures. In doing so, the regulation paves the way for increased investment opportunities in the region’s financial markets, reinforcing the Gulf’s position as a hub for global investors.

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