The National Bank of Belarus has issued two new licenses for foreign exchange brokerages. The local representative offices of Alpari and Gerchik&Co will be legally permitted to operate in the country. The acquisition of the licenses should enable the firms to start again, providing their services in Belarus in the very near future.
According to the official announcement by the National Bank of Belarus, the companies are going to get listed in the official register of forex dealers. Within three days the firms will have to deposit a deposit guarantee fee totaling no less than $55,000. The deposit insurance scheme is governed by the National Forex Center.
Curiously the deposit insurance scheme fee which the brokerages are paying are higher than those in Cyprus, where the initial Investor Compensation Fund contribution starts from €13,669 for straight-through processing brokers. That said, the companies regulated by the Cyprus Securities and Exchange Commission (CySEC) also contribute an annual fee totaling to 0.001% of client funds that they keep.
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The Total of Belarus-Regulated Companies Comes to Six
The Belorussian licenses of Alpari and Gerchik & Co are going to be activated only after the trading platform and systems which the companies are employing are inspected for compliance and found to adhere to the standards of the National Bank of Belarus.
Alpari registered its company Alpari Eurasia on the 19th of April 2016 in order to gain access to the local market. The firm has complied with the capital requirements of $100,000 while the National Bank of Belarus inspected the firm’s business for compliance with the law. Alpari has been holding an office in the capital of Belarus, Minsk since July 2010.
The Director of Alpari Eurasia Alexander Sabodin said: “Alpari has always been supportive of regulation in coutnries where our firm is operating. This is why we have become one of the most active firms in the region that has taken part in the definition of the regulatory framework for the forex industry.”
“The launch of the regulatory regime in Belarus and the acquisition of our license has been a very positive development for the firm. It is important to note that this is the start of a new era for the financial industry in the country. The Belorussian regulatory framework is aiming at creating a positive environment for the development of the forex market, warranting a steady flow of clients while protecting their interests.”
Currently six companies are possessing a license to operate within the jurisdiction of the National Bank of Belarus – Alpari Eurasia, Forex Club, FTM Brokers, Gerchik&Co, Open Investments (Otkrytye Investitsii) and TeletradeBel.