Democratic Governance of Stock Markets
Dr. Fathi Zerari
Associate professor – public law – Faculty of law and political science – University Mohamed Cherif Messaadia – Algeria
Abstract:
On the basis of the Law No. 7 of 2010 regarding the establishment of the Capital Markets Authority (CMA) and regulating securities activities and its amendments, particularly in its article 3, points 2, that emphasize growing the capital markets and diversifying and developing investment instruments in accordance with best international practice, and within the framework of the thirty (30) principles and objectives set by the IOSCO to evaluate the compliance of stock markets with universal standards, this paper suggests shifting from technocratic management and regulation of stock markets, whether in Kuwait or in other countries with similar circumstances, notably the GCC countries, to democratic modes of governance, utilizing an institutional approach.
This bottom-up approach in managing and regulating stock markets would have positive impacts on striking a balance between public interest and individual and group interests to pursue sustainable socio economic development through the participation of all stakeholders in providing a clearer vision on pertinent fiscal policies, tax instruments and early warning systems of financial crises.
Keywords: stakeholders, democracy, sustainable development, fiscal policies, tax instruments, financial crises early warning systems