On 12 September 2019, the long-awaited law on the split of supervisory functions between financial markets regulators “On Amendments to Some Legislative Acts Regarding the Improvement of the Functions of State Regulation of Financial Services” (the “Split Law”) was adopted by the Parliament.
The Split Law reduces the number of regulators and supervisors on non-banking financial services markets by liquidating the National Commission for State Regulation of Financial Services Markets (the "NCSRFSM") and dividing its financial markets regulation duties between the National Bank of Ukraine (the “NBU”) and the National Securities and Stock Market Commission (the “NSSMC”).
According to the Split Law, the NCSRFSM’s supervisory duties will be distributed between the NBU and the NSSMC as follows:
The Split Law establishes a transition period (until 1 July 2020) for transferring the supervisory functions from the NCSRFSM to the NBU and the NSSMC. The NCSRFSM will continue regulating insurance, leasing, factoring companies, credit unions, pawnshops, credit bureaus, non-state pension funds and construction financing funds until 30 June 2020, and starting from 1 July 2020, the respective functions will be transferred to the NBU and the NSSMC.
Law of Ukraine “On Amendments to Some Legislative Acts Regarding the Improvement of the Functions of State Regulation of Financial Services” No. 79-ІХ of 12 September 2019.