Jordan’s Capital Market Regulator Eyes Compliance as Key to Growth and Stability
The Jordan Securities Commission (JSC), the country’s top financial watchdog, has been instrumental in shaping the country’s capital market into a thriving hub for investment. Established in 1997, the JSC has been working tirelessly to develop, regulate, and monitor the securities industry in Jordan.
Mission and Objectives
At the heart of the JSC’s mission is the protection of investors and the promotion of a fair, efficient, and transparent market. To achieve this goal, the commission has implemented a robust regulatory framework that governs all aspects of the securities industry. The JSC’s oversight extends to:
- Amman Stock Exchange (ASE)
- Securities Depository Center
- Financial Services Companies
- Issuers of Securities
- Mutual Funds
Initiatives and Collaborations
One of the key initiatives undertaken by the JSC is the electronic XBRL disclosure system, which was launched in collaboration with the ASE. Under this system, all entities subject to the commission’s supervision are required to submit their financial and non-financial disclosures in XBRL format.
The JSC has also been working closely with international organizations such as:
- European Bank for Reconstruction and Development (EBRD) to foster capital market growth, stability, and reliability.
- A road map was launched to implement the EBRD’s recommendations, which focus on:
- Increasing investor interest
- Making the market more attractive to issuers
- Strengthening the JSC’s regulatory processes
- A road map was launched to implement the EBRD’s recommendations, which focus on:
International Standards and Membership
The JSC is a member of the International Organization of Securities Commissions (IOSCO) and has implemented international standards such as:
- IOSCO’s Objectives and Principles of Securities Regulation
- International Financial Reporting Standards (IFRS)
- International Auditing Standards (IAS)
- Committee on Payment and Settlement Systems (CPSS-10) Principles for Financial Market Infrastructures
- OECD Principles of Corporate Governance
- Financial Action Task Force’s Anti-Money Laundering/Combating the Financing of Terrorism (AML/CTF) Standards
Impact and Commitment
The JSC’s commitment to compliance has been instrumental in establishing Jordan as a reliable destination for investment. The commission’s efforts have also helped to:
- Enhance investor confidence
- Attract new issuers
- Promote market stability
As the country continues to develop its financial sector, the JSC remains committed to its core mandate of protecting investors and promoting a fair and efficient market.