Definition
The Tunisia Capital Markets Council, officially known as the Financial Market Council (CMF), is an independent public authority that regulates and supervises Tunisia's financial markets. Established in 1994, the CMF oversees the Tunis Stock Exchange and assures that companies and market participants follow proper rules and regulations.
Since 1994, the CMF has served as Tunisia's independent financial market regulator, overseeing the Tunis Stock Exchange and ensuring compliance with market rules.
It protects investors by enforcing disclosure requirements, investigating violations like insider trading and market manipulation, and licensing stock brokers. Think of it as a referee for Tunisia's stock market, making sure everyone plays by the rules.
The CMF operates with financial autonomy and legal authority to impose penalties on those who break market regulations, while also working to develop and modernize the country's capital markets. While the CMF primarily focuses on securities markets, understanding regulatory standards across different financial sectors, including foreign exchange trading, provides important context for how financial authorities maintain market integrity.
In short: The CMF is Tunisia's independent watchdog that regulates the stock market, protects investors, and enforces financial market rules.
Example in Action
During the global market chaos of March 2020, Tunisia's Capital Markets Council faced its biggest test since the 2008 financial crisis. The CMF capped daily stock swings at 3% after the index dropped 4.10% in one session. They also introduced order validity rules and daily settlement clearing. These moves stabilized trading. Foreign investors didn't flee—their participation actually rose to 25.25%. The CMF's regulatory framework also oversees forex trading activities to ensure compliance with Tunisia's foreign exchange market regulations.
Why It Matters
For African traders looking at Tunisia's forex and capital markets, understanding the CMF‘s role means grasping how regulation directly affects their money.
The CMF protects investments through enforcement powers and sanctions.
It sets takeover rules when stakes exceed 40% of voting rights.
It oversees intermediaries and monitors price limits.
The regulator shapes crowdfunding laws for startups.
It works with international bodies to strengthen investor protection across borders.
Like the Financial Services Commission in Mauritius, the CMF serves as a dedicated regulatory authority overseeing forex trading activities within its jurisdiction.
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