The Capital Markets Board of Turkey (CMB) and the Securities and Exchange Commission (USA) signed a Terms of Reference and started a new relationship to enhance cooperation and collaboration with the aim of promoting investor protection, fostering market integrity, and facilitating cross-border securities activities between Turkey and the United States on 21 July 2011, in Washington D.C.. In light of the growing interest in the cross-border flow of financial services and investment between Turkey and the U.S. this bilateral regulatory dialogue will provide an opportunity for the CMB and the SEC to discuss issues of common concern, including those relating to supervisory and enforcement matters. The CMB-SEC regulatory dialogue has three main objectives;
- Identify and discuss regulatory issues of common concern.
- Improve cooperation and the exchange of information in cross-border securities enforcement matters.
- Maintain and continue to develop the existing jointly-sponsored training and technical assistance programs that benefit the SEC, CMB, and other regulators in the region.
The CMB and the SEC cooperation that will occur through bilateral regulatory dialogue will significantly improve cooperation for regulatory and supervisory issues, address common concerns more effectively. Upgrading Turkish financial markets in an internationally collaborative way will contribute to the Istanbul Financial Center workplan as well. This initiative will facilitate the CMB's mission of investor protection, market integrity, and a regulatory environment that encourages capital formation.
Regulatory Dialogue reflects the long-standing tradition of bilateral technical assistance programs between the CMB and the SEC. In 2008, 2009, and 2010, the CMB co-sponsored three major regional training sessions in Turkey on market regulation, inspections, enforcement, and disclosure with more than 575 people trained, including financial services staff and officials from the Turkish market as well as other foreign authorities from the region. At these programs, CMB and SEC senior staff shared their insights on promoting timely and accurate disclosure and transparency as a tool for regulating capital markets. The CMB has been particularly successful in attracting participation in these market-development training programs due to its current role as head of IOSCO's Emerging Market Committee.