The Securities and Exchange Commission (SEC) has made a move to broad base the Colombo bourse, and as a first step it set up a joint committee comprising the regulator and market operator.
In an effort to diversify the capital market and create awareness amongst the general public on the bourse, the leadership of the SEC had decided to appoint a committee with representations from the SEC and the Colombo Stock Exchange.
While the objectives of the committee include formulating measures to educate and improve the knowledge of the general public on the capital market, it is also expected to present recommendations on the way forward in this regard.
The terms of reference of the committee will be to identify measures that are required to encourage companies to use the capital market to raise capital, foster broad visibility and collaboration regionally and internationally, engage in stakeholder education and awareness with an intention to broad-base the investor community and enhance investor confidence, and facilitate greater public participation in the securities market across the geographical regions of the country and internationally.
The committee in completing its task is expected to obtain views from relevant stakeholders as well as experts when necessary.