Minister of Commerce and Industry Dr. Abdulmohsen Al-Madaj said Monday his ministry is mulling a mechanism for ending the overlapping with the Capital Market Authority (CMA), formed four years ago, regarding supervision over shareholding companies.
"A CMA approval is one of the prerequisites for any company to get listed on Kuwait Stock Exchange (KSE) pursuant to the mandate and statutes of the Authority," Al-Madaj, also Deputy Prime Minister, told reporters.
Al-Madaj made the comments after signing a memorandum of understanding between his ministry and CMA at the headquarters of Kuwait Direct Investment Promotion Authority (KDIPA).
"The MoU, part of the efforts to end overlapping with the CMA and other supervisory bodies, addresses the regulations of the stock market and CMA which now has the main jurisdiction over all measures relating to KSE-listed companies funds and portfolios," he made clear.
Al-Madaj added that CMA had previously signed the same MoU with the Central Bank of Kuwait with a view to cutting red tape.
On his part Chairman of CMA Board of Governors Dr. Nayef Al-Hajraf said the Authority is keen on putting an end to overlapping with other supervisory bodies while ensuring full coordination with them.
"The newly-signed MoU will reflect positively on the efforts aiming to cut red tape and facilitate the measures relating to shareholding companies," he added.