The Central Bank of Azerbaijan (CBA) is planning to establish a legal basis for new financial instruments as part of its “Financial Sector Development Strategy for 2024-2026,” the bank said in response to Report’s inquiry.

“The strategy outlines several measures aimed at promoting the capital market, including reviewing and improving the ‘Bill on Securities Market,” expanding investors’ access to the market, creating a legal framework for new financial instruments, and providing incentives for accessing capital markets,” the CBA said.

Additionally, the CBA intends to reassess the regulatory framework related to emissions and establish a legal framework for protecting investors’ rights.

“These changes are designed to increase the market’s coverage and diversify financial instruments, which should contribute to the formation of a modern capital market that offers more favorable financing opportunities for the real sector of the economy,” the CBA noted.