The Securities and Exchange Commission of Ghana has announced that it has gained full signatory to the International Organisation of Securities Commissions (IOSCO) Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (IOSCO MMoU) and subsequent recommendation of the IOSCO Screening Group.
According to SEC, the IOSCO Decision Making Group, on 12th September 2022, after the final review of Ghana’s application concluded that Ghana’s legal and regulatory framework governing the Securities Industry and other laws of general application are compliant with the international benchmarks set out by IOSCO’s Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (IOSCO MMoU).
In line with the above, Rev. Daniel Ogbarmey Tetteh, Director General of the SEC on 19th October 2022, signed the IOSCO MMoU at a signing ceremony for new signatories during the Presidents Committee Meeting at the IOSCO Annual Meeting held in Marrakech, Morocco.
As a signatory to the IOSCO MMoU, SEC Ghana will benefit from international collaboration to deepen Ghana’s securities market, combat cross-border fraud, strengthen cooperation towards the enforcement of domestic and international rules and benchmarks, help combat new and emerging risks associated with the development of new products with a view to achieving IOSCO’s core objectives of protecting investors, ensuring fair, efficient and transparent markets and reducing systemic risk in the securities industry.
Being a signatory to the IOSCO MMoU is a significant milestone because, since its inception in 2002, the MMoU has set international benchmarks for cross-border co-operation, allowing information requests to be made to signatories to the MMoU when signatories are investigating offences relating to activities under the relevant laws and regulations of the jurisdictions in question.
The MMoU covers topical areas like insider dealing and market manipulation; misrepresentation of material information and other fraudulent or manipulative practices relating to securities and derivatives; solicitation and handling of investor funds, and customer orders; the registration, issuance, offer, or sale of securities and derivatives; the activities of market intermediaries, including investment and trading advisers who are required to be licensed or registered, collective investment schemes, brokers, dealers, and transfer agents; and the operations of markets, exchanges, and clearing and settlement entities.
Following this achievement, the SEC Ghana has now moved from its signatory B status to signatory A status in its membership in IOSCO. This projects the regulatory framework within the securities industry in Ghana as compliant with the international benchmarks set out in the MMoU