ISLAMABAD: Chairman, Securities and Exchange Commission of Pakistan (SECP), Aamir Khan, reiterated the SECP’s commitment for outcome-based regulation by reducing regulatory burden, simplification of laws, and optimal use of technology.
He was addressing a virtual interactive session with the representatives of the Pakistan Business Council (PBC) led by its CEO Ehsan Malik.
Aamir Khan briefed the participants about key reforms undertaken by the SECP to promote ease of doing business, enhance access to finance, development of the capital market, and improve transparency in Commission’s regulatory functions as well as its regulated sectors.
To facilitate the corporate sector and ensure desired efficiency in processes, a number of reforms have been undertaken including: digital certificate of incorporation, creation of a special portal for banks to facilitate account opening, digitisation of account opening process for residents and non-residents for investment in the capital market etc.
Khan also highlighted a number of targeted measures implemented for reducing cost of doing business and supporting companies in the wake of Covid-19.
He said that simplification of Buy Back Regulations, amendments in Further Issue of Shares Regulations, revamping of Private Funds Regulation, and the NBFC Regulations would facilitate business growth.
While apprising the participants about the SECP’s roadmap, he said that introduction of electronically-signed Certified True Copies, replacing eServices with a modern registry, simplification and consolidation legal framework of statutory returns, and growth of capital market were key focus areas for the current financial year.
The SECP chair assured the PBC members of a consultative approach, while finalising any regulatory changes.
In a presentation, the SECP chairman informed that the SECP has introduced reforms for simplification/consolidation of Statutory Returns; promoting digitisation and self-regulatory organisation in regulated sectors and amendment bills laid before the National Assembly: CRC Act, Companies Act, Modaraba Ordinance, and Secured Transactions Act.
The SECP officials stated that the legislation was ready for submission to government through Draft Insurance Bill, NBFC Law, Merger and Simplification of Securities and Future Act.
The SECP has also provided clarity on the issue of shares for non-cash Consideration; issue of shares to persons other than existing members by private companies and proposed amendment in Further Issue of Shares Regulations.
Under the reforms, the SECP has allowed conversion of preference into ordinary shares and approved Commission for issue of shares with differential rights being abolished.
The SECP has also provided mechanism for Registered Valuers.
On behalf of Pakistan Business Council, CEO Ehsan Malik appreciated the SECP’s efforts for primarily ease of doing business (EOBI), and shared his thoughts as how to further improve the business climate.
Copyright Business Recorder, 2021