Gov’t: Laws crucial to financial development

The government’s economic diversification plan makes repeated reference to the development of modern finance, which, alongside big health, high and new technologies, as well as MICE, business, culture and sports, constitute the government’s four focus areas for economic development.

According to Secretary for Economy and Finance, Lei Wai Nong, the plan also stresses the constant improvement of financial infrastructures in Macau to support economic diversification. In response to a question from the Times about what infrastructures the government believes are still required for ongoing development, Lei briefly discussed the topic due to time constraints.

He said that a central securities depository is needed to foster modernized financial products and services, and that the depository had been established. The overall system will continue to be constructed “to accomplish an ecology for the development of modern finance in Macau, in which a clearance platform or system is crucial,” Lei explained.

In contrast to common law jurisdictions, Macau requires specific laws to clarify details in almost all areas. Therefore, Lei added that local laws will be either updated or created to foster development in the financial industry.

Updates to the legal system governing the financial system came into force yesterday. Lei also disclosed that the Securities Bill is expected to be presented to the parliament in the coming calendar year. Industry consultation will be finalized by the end of this year.

“Laws construct a system to protect the safety of transactions in the market,” Lei said. “The development of products and services require laws.” AL