SECP chief gets three-year extension of service

ISLAMABAD: The federal cabinet has approved the extension of Chairman Securities and Exchange Commission of Pakistan (SECP) Aamir Khan, for another term of three years.

Prime Minister Imran Khan first appointed Aamir Khan as Commissioner SECP in December 2018, and was later elevated as chairman in August 2019. This is for the first time that a sitting SECP chairman has been awarded extension.

According to a notification issued by the Finance Division here on Tuesday, the government has reappointed Aamir Khan as commissioner SECP for a further period of three years with effect from December 6, 2021. On his reappointment as Commissioner SECP, the federal government has appointed him as Chairman SECP in exercise of powers conferred under section 6 of the SECP Act 1997, it added.

Prime Minister advisor on Finance and Revenue, Shaukat Tarin has apprised the federal cabinet on significant reforms featuring legal, structural, regulatory, operational and product development initiatives by the SECP in last three years, to further the government’s vision of improving ease of doing business, expanding financial inclusion and digitizing corporate processes, develop capital market and strengthen enforcement of laws.

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The SECP has achieved end-to-end digitalization of the company registration process, which has resulted in nearly 60% growth in the number of registered companies over the past three years, accumulating to 156,000 companies as of November 30, 2021 from 93,000 in December 2018.

In order to simplify, speed up and make enforcement and supervision effective, the SECP has separated the functions of Supervision and Adjudication, by establishing two centralized autonomous divisions. All the SOPs and processes related to the initiation and conclusion of regulatory enforcement actions were revamped for ensuring independent adjudication and supervision.

The SECP in collaboration with the PSX has introduced an alternative board, the Growth Enterprise Market (GEM) to encourage smaller companies to list equity securities and avail the benefits of listing at the exchange. The first SME was successfully listed at the GEM Board last week.

The SECP introduced the electronic-IPO system in coordination with the Central Depository Company of Pakistan Limited (CDC). Through the said system investor(s) can submit IPO applications electronically and make subscription payments through e-banking channels. The simplification of the IPO process resulted in eight equity- and two debt-IPO issues took place during the year. The companies have raised Rs56 billion through IPOs in 2020-21, the highest in the last 10 years.

Copyright Business Recorder, 2021