The capital market is vital for economic development, enabling businesses and governments to raise long-term funds. A strong legal framework ensures the market operates efficiently, fairly, and transparently, with securities laws, corporate governance, and investor protection regulations in place.
Key challenges in capital markets include market manipulation, insider trading, and compliance with strict reporting requirements. Cross-border transactions have increased the need for international regulatory cooperation.
In conclusion, a robust legal framework is crucial for maintaining market order, investor confidence, and economic stability. Laws must evolve to address emerging challenges and maintain market integrity in a globalized, technology-driven world.
