The government approved the relevant bill on markets for financial instruments and investment services at its meeting on July 22. The document provides for the creation of a modern legal framework for the organization and operation of financial instruments markets, the provision of investment services, investor protection, and increased transparency of transactions. At the same time, it implements a number of European standards, including rules governing short selling. The bill significantly changes the rules governing the operations of investment firms. Instead of the three existing license categories, the bill proposes introducing a unified authorization system, under which a license will specify the list of specific investment services that a company is authorized to provide. In addition, high-frequency trading (HFT) and the provision of direct electronic access to trading venues are being regulated for the first time. The document maintains restrictions on the promotion, sale, and distribution in Moldova of high-risk derivative financial instruments such as CFDs (Contracts for Difference) to unqualified investors. At the same time, the National Commission for the Financial Market will be granted the authority to restrict or prohibit the sale of certain financial products and the use of certain market practices that pose a threat to investors. The bill also introduces European standards for investment firms’ interactions with clients. Specifically, it establishes requirements for assessing the suitability of financial products to client needs, disclosing full information about risks and the cost of services, managing conflicts of interest, and executing client orders on the most favorable terms. For trading venues, new requirements are introduced regarding trading transparency, disclosure of transaction information, and reporting to the regulator. A legal framework is also being established for service providers engaged in the publication and processing of transaction data, and regulated markets, multilateral trading facilities (MTFs), and organized trading facilities (OTFs) will operate under the new rules. At the same time, the supervisory powers of the National Securities and Stock Market Commission (NSSMC) will be expanded. The regulator will be able to implement market intervention measures, conduct inspections, obtain necessary information, utilize whistleblowing mechanisms, and impose administrative sanctions in accordance with the European principles of “effectiveness, proportionality, and deterrence.” The new law will take effect six months after its publication in the Monitorul Oficial. However, certain provisions concerning the European “passport” mechanism for investment firms and cooperation with EU regulators will take effect after Moldova’s accession to the EU. Existing licenses and permits will remain valid until June 1, 2028, or until new authorizations are obtained, whichever comes first. Market participants must adapt their operations to the new requirements by December 31, 2027; otherwise, they may lose the right to provide investment services. The bill is pending approval by Parliament. // July 22, 2026 – InfoMarket.