The Kuwaiti Parliament approved a law yesterday that will create an independent market regulator to oversee the Kuwaiti Stock Exchange. The AP reports that the new market regulator will have the authority to impose fines, oversee mergers and acquisitions and regulate delayed earnings reports. The new law also includes harsh penalties for insider trading, with the goal of boosting investor confidence in the region.
The Kuwaiti Stock Exchange is the second largest exchange in the region. Kuwait is the only Gulf Arab nation that does not currently have a market regulator.