Facilitated Access to Government Securities for Foreign Investors

The amended Law on the Capital Market comes into force tomorrow on 12 February 2020. The amendments were adopted to align the Law on the Capital Market with the changes to the Law on Public Debt (published in the Official Gazette of RS, No 91/2019).

The amendments facilitated access to government securities for foreign investors. They will meet lower expenses if they opt for buying government securities issued by and traded in the Republic of Serbia, as the clearing and settlement services can now be provided by a foreign legal person authorized by the Minister of Finance in accordance with the Law on Public Debt.

This means that the availability of government securities has been increased when it comes to foreign investors as they will now have significantly less work when opening accounts which previously could have be opened with the Central Securities Depository only.

Now, a foreign legal person authorized by the Ministry of Finance to perform clearing and settlement activities does not have to establish its branch in the Republic of Serbia to participate in the market.

The English text of the Law can be downloaded at the following link: Law on the Capital Market