AIFC completes development of legal framework for activities
“The formation of the legal basis for the activities of the AIFC is being completed. So, an amendment to the Constitution has been adopted in March this year. It has consolidated the foundations of the special legal regime of the AIFC. Together with international experts in the field of financial services and English law, the development of normative documents of the Independent Court and the International Arbitration Center is finalized. The AIFC court will be independent in the conduct of its activities and separated from the judicial system of Kazakhstan, and it will not have jurisdiction over criminal and administrative cases. Execution of decisions of the courts of Kazakhstan in the territory of the AIFC will be carried out in accordance with the laws of Kazakhstan. The launch of the AIFC Court is expected in January 2018”, Zh. Kassymbek said.
According to him, the International Arbitration Center (IAC) will become an institution providing the resolution of possible disputes within the framework of arbitration agreements.
“The parties of the arbitration agreement will be able to significantly reduce court expenses, saving their time in the process of delivery, recognition and enforcement of the arbitral award in Kazakhstan and abroad. Recognition and enforcement of arbitral awards rendered by the arbitration courts of Kazakhstan on the territory of the Center will be carried out in accordance with the legislation of Kazakhstan. The launch of the IAC is expected in January 2018”, he added.
The AIFC Committee on Financial Services Regulation was also established. The Board of Directors included the world’s leading experts who worked as directors of regulatory agencies and international financial institutions in the United States, Britain, Australia and the Dubai Financial Center. The Financial Services Regulatory Committee (Astana Financial Services Authority), a body regulating the financial activity in the territory of the AIFC, was registered on January 28, 2017.
“AFSA will be independent in carrying out its activities and is accountable exclusively to the AIFC Management Board and the AIFC manager. Within its authority, AFSA establishes rules for the regulation of financial services and related activities. Independent regulation will ensure fair, transparent and effective regulation of financial services. This will provide protection to investors, financial services providers and customers, and also minimizes their risks. This regime will be based on an independent regulatory and legal framework”, K. Kassymbek explained.
We note that in the “National Plan � 100 steps” to implement five institutional reforms, the 24th step refers to the establishment of the International Arbitration Center AIFC in Astana, based on the experience in Dubai, as well as the 70th step refers to the establishment of the Astana International Financial Center (AIFC) on the basis of the infrastructure ASTANA EXPO 2017 with the granting of a special status. The consolidation of the special legal status of the financial center in the Constitution. In addition, it speaks about the formation of the center as a financial hub for the CIS countries, as well as the whole region of Western and Central Asia. Establish an independent judiciary with its own jurisdiction, which will function on the principles of the English law. The judiciary is formed from a number of foreign specialists. In the future, the financial hub of Kazakhstan should enter the 20 advanced financial centers of the world.
We remind that Astana is holding the 30th plenary session “New Energy” of the Foreign Investors Council under President of Kazakhstan Nursultan Nazarbayev. More than 300 participants are taking part in the event. The plenary meeting of the Foreign Investors Council was opened by President of Kazakhstan Nursultan Nazarbayev.
Source: Kazakhstan 2050