Kampala... The Capital Markets Authority (CMA) Act Cap 84 has been reprinted as a way of updating it to incorporate all amendments effected by the CMA Amendment Act, 2011 and the CMA Amendment Act, 2016.
The CMA Act Cap 84 which commenced on 24May, 1996 has been amended twice over the period to, among other things,incorporate sections that were repealed from the Companies Act Cap. 110; enable CMA attain international recognition as an efficient and effective regulator; improve corporate governance practices; increase CMA's regulatory powers and ensure effective implementation of the East African Community Council Directives for securities markets.
"While there is an impending review of the CMA Act to ensure its adherence to the recent developments in the sector, having a consolidated Act is a good step towards easing reference to the CMA Act,which has previously been in three parts",said CEO, Keith Kalyegira.
"One of elements of a well-functioning capital market as highlighted in the 10-year Capital Markets Development Master Plan is a clear and appropriate legal framework. Therefore our ultimate objective over the next five years is to ensure that we have a facilitative frame work for capital raising which supports the development of products that broaden and deepen Uganda's capital market."
Other regulatory instruments that are being reviewed include the Collective Investment Schemes Act, 2003; Licensing Regulations, Prospectus Regulations, as well as Exchange traded Fund and Depository Receipts Guidelines. CMA is also developing new instruments including the private placement guidelines which will facilitate private raising of capital for companies which should be able to list by introduction afterwards, as a precursor to raising capital.