Firms question SECC prakas
The Kingdom’s securities firms have raised concerns about an impending regulation that they said may stunt growth in the country’s fledgling financial markets. The Securities and Exchange Commission of Cambodia is considering a regulation, or prakas, that will require all market participants to maintain a certain amount of net capital in reserve, among other measures intended to guarantee the financial soundness of these companies. However, the firms themselves have taken issue with the way the net capital valuations will be determined. Most foreign assets, or those not sold in the Cambodian market, will be excluded from the value of a company’s total asset holdings under rules set out in the prakas, they said. As a result, companies with smaller amounts of capital may find their holdings tied up largely in Cambodian assets in order to meet the SECC’s requirements, rather than what insiders have said are safer international investments…
http://www.phnompenhpost.com/index.php/2011101352105/Business/firms-question-secc-prakas.html
