Lawmakers on Monday began reviewing proposed legislation requiring Cyprus to participate in an EU-wide centralised platform providing data on companies and financial institutions.

Officials have prepared a dozen bills for harmonisation with an EU Directive providing for the creation of the European Single Access Point (Esap).

Esap will serve as the EU public’s portal, providing easier access to all publicly available information. This will bring the data under one roof, as opposed to now when public information on companies and financial products is scattered across many different places – for example issuer websites, national or EU public registers.

The Esap regulation gives the European Securities and Markets Authority (Esma) the mandate to establish and operate the EU’s public portal.

The stated aim is to boost ease of access to data, while also giving companies greater visibility towards investors, which is particularly important for small businesses in small capital markets to attract EU and international investment.

The Esap is a two-tier system: information is first collected from reporting entities by a ‘collection body’ (which may be the national competent authority, another national body or register) and then submitted to Esap, so that the information can then be provided to the public on the Esma-operated portal.

Financial, non-financial and capital market-based companies will be represented on the Esap, as well as large companies, SMEs, non-capital market-oriented companies and companies with a non-EU parent.

The searchable portal will also feature annual financial statements alongside related audit reports, as well as sustainability statements with their corresponding assurance reports.

The relevant EU directive provides for a phased rollout.

In Cyprus, when it comes to reporting on financial institutions to the Esap, the Central Bank is designated as the collection body. The Securities and Exchange Commission is the collection body for investment firms.