A few years ago I was asked a question on this topic. I then answered that this is a very difficult task and I do not have an answer to two questions.
How will English law operate in Kazakhstan? According to the Constitution, only Kazakhstan law is in effect within our borders.
And how will justice be administered under English law, if it will be implemented?
The most important principle of the stock market is the protection of the interests of minority shareholders. The stock market is created specifically for them. It is created for those who want to buy at least one share of any public company. Lawyers in public companies protect the interests of minority shareholders rather than the company. That is the law. If the management does not act in the interests of the minority, then the holder of one and only share can sue, and the matter will be dealt with in court. For this reason, public companies are maximally accessible to all. Unlike private companies, they publish their financial statements and report any management decisions affecting the interests of minority shareholders. All civilized stock markets work that way. It is like a public hearing. The basis for this is the law, which investors trust.
Foreign players do not know and do not trust our law and our judicial system. It is unfamiliar to them. And that’s okay. We execute all M&A deals under English law, and not under Romanian or Vietnamese laws. This is required by all our partners. The entire world market of mergers and acquisitions mainly operates under English laws. This includes stock platforms - English, New York, Hong Kong...
A year ago I learned that specific changes have been made to the country's Constitution and a whole body of English judges have been brought to Astana for AIFC operation. And I began to hope that this could be a successful venture.
The key difference from previous attempts to create something like consists of the implementation of English law, which has already attracted international players. And I myself am thinking about opening a financial services company in the center.
AIFC was launched today/.
To have doubts, or not to believe - these are different things. I have doubts about the AIFC, and I try to dispel them. To this end, I ask questions and find answers to them. Doubts always exist. This is normal for any investor.
Do I believe it will work? I want to believe. It is easiest to disbelieve and show it; that's a foolproof position.
Do I support it? Definitely. And I really want everything to work out.
Guram Andronikashvili resigns from post of Chairman of Management Board of ForteBank
Anastassiya Novikova heads the united editorial staff of informburo.kz web portal and Informburo TV program on Channel 31