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Tax concessions can be suggested for development of Azerbaijanâ€™s Stock Market

15 November 2011 14:14 (UTC +04:00)

According to APA-Economics, this was planned within the â€œModernization project of Capital markets in Azerbaijanâ€. The project aims to promote the extension of usage from share and debt instruments via regulating frame and forming of infrastructure.

According to project, State Committee for Securities has announced interest expression quotation on Advisory Services about increase of potential and stimulation of offers.

Advisory services consist of 4 components: Improvement and automatization o market infrastructure, Improvement of legal and regulating market, Stimulation of Suggest and Increase of Institutional and Investor potential.

Improvement and automatization o market infrastructure includes mainly solution of technical issues, as well establishment of single institution for post-trade operations and etc.

Improvement of legal and regulating market includes improvement of new draft law on securities market, forming of normative base under the law. Besides, the advisory company will make proposals on participation of insurance companies and banks in the securities market. One of the interesting innovations will be related with promotion of market. So that recommendations on tax policy supporting the development of securities market must be drafted.

SCC spokesman Ilkin Aliyev noted that, the talks were about implementation of large infrastructural projects not via loans, but via placement of bonds and other securities.

Mechanism on the State support to Entrepreneurship can be made amendments within the â€œModernization project of Capital markets in Azerbaijanâ€. So that usage of capital markets instruments are planned to promote and extend in the support of state to the entrepreneurship. Aliyev noted that, these include support to small and medium companies via stock market. But for this, issuer-companies must meet the listing demands.

All of these works are planned to carry out in 2012-2015.