Proposed reforms of the enterprise bonds market ill considered

The draft of the statute amending Polish bonds market laws indicates that its authors have precious little knowledge about how this market operates in practice. One can only hope that its numerous shortcomings might be repaired as the bill progresses through the legislative process, writes Małgorzata Badowska, partner at GESSEL.

The draft legislative act regarding amendment of certain acts in connection with increasing oversight and protection of investors in the financial market put forward by the Polish Minister of Finance and approved by the Council of Ministers on 4 September not only comes as a surprise, but has triggered outrage in the professional community. In my view – justifiably so. The draft, presumably, comes as a reaction to the GetBack debacle, but if it comes out at the other end of the legislative process without some critical changes, the purpose of protecting bond investors and ensuring some semblance of stability in the bond market will be defeated (…)

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