ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has approved Al-Hilal Shariah Advisors (Pvt) Limited to independently conduct Shariah screening of securities. It is the first entity other than the Pakistan Stock Exchange (PSX) and its partners to receive such approval, opening the door for greater competition in Shariah-compliant investment services.
Under the Shariah Governance Regulations, 2023, any person other than an issuer who publicly declares securities as Shariah-compliant is required to develop a Shariah screening process approved by SECP. The approval granted to Al-Hilal Shariah Advisors provides a structured regulatory pathway for alternative Shariah screening arrangements.
Currently, listed securities are screened for Shariah compliance by the Pakistan Stock Exchange in collaboration with Meezan Bank Limited and Al-Meezan Investments. Out of a total of 535 listed securities at PSX, 308 are currently classified as Shariah-compliant. These companies represent a market capitalisation of Rs 12,373 billion, accounting for approximately 63 percent of the total market capitalisation of Rs 19,679 billion as of December 31, 2025. The data also reflects a growing trend among listed companies towards Shariah compliance in recent years.
Al-Hilal Shariah Advisors (Pvt) Limited is an SECP-licenced Shariah Advisor providing Shariah advisory, governance, and compliance services to capital market participants, financial institutions, and corporate entities. The company also offers investment advisory services in its capacity as a securities advisor.
The approval enables the company to independently screen securities for Shariah compliance for the benefit of its clients and the general public.
Copyright Business Recorder, 2026
Comments
Comments are closed for this article.