KARACHI: Dr Kabir Ahmed Sidhu, Chairman, Securities and Exchange Commission of Pakistan (SECP) on Monday unveiled an ambitious reform agenda aimed at expanding Pakistan’s investor base, promoting financial literacy and accelerating the development of the country’s capital markets during his first official visit to the Pakistan Stock Exchange (PSX).
Addressing a gong ceremony after ringing the trading bell to mark the commencement of trading at the exchange, Dr Sidhu said the regulator had set a long-term target of expanding the country’s investor base to 2.5 million investors, emphasising that greater participation, particularly from young Pakistanis, was essential for promoting savings, wealth creation and inclusive economic growth.
“Financial literacy is one of the most powerful tools for expanding participation in capital markets. We want to create opportunities for young Pakistanis to learn, invest and participate in wealth creation through accessible education and simplified investment processes,” he said.
The SECP chairman outlined a reform agenda built around three pillars — people, processes and technology — and announced plans to revitalise the Institute of Financial Markets of Pakistan (IFMP), launch short online financial education courses, expand investor awareness campaigns nationwide and simplify investor onboarding through digital channels.
He also highlighted ongoing reforms in the insurance sector, saying a new legislative framework was being developed to modernise the industry, increase competition and improve insurance penetration across the country.
Welcoming the SECP chairman, PSX Managing Director and Chief Executive Officer Farrukh H. Sabzwari said the country’s capital market had witnessed significant growth in recent years.
He said PSX’s market capitalisation had reached Rs20 trillion, while average daily trading volumes stood at 57 million shares. He added that the exchange had recorded 11 initial public offerings (IPOs) during the current fiscal year, making it the third highest annual IPO count in the last 25 years.
Sabzwari said the recent listing of Service Long March (SLM) Tyres Limited marked a historic milestone and reflected strong investor confidence in Pakistan’s capital markets.
“Our investor base has now expanded to 563,000 Unique Investor Numbers (UINs), with Millennials and Gen Z driving participation through awareness and education initiatives,” he said.
He added that Pakistan’s equity market remained competitive globally, delivering returns of 95 percent, 57 percent and 44 percent over the past three years, respectively, ranking among the top-performing frontier markets.
Speaking on the occasion, SECP Commissioner Ali Farid Khawaja said Pakistan’s capital market had demonstrated resilience despite domestic and global economic challenges.
He said improved macroeconomic stability, regulatory reforms and rising investor confidence had contributed to stronger market performance over the past year.
He stressed that sustaining reform momentum, broadening market participation and strengthening market infrastructure would be critical to unlocking the next phase of growth in Pakistan’s capital markets.
Following the ceremony, Dr. Sidhu chaired a meeting of the PSX Board of Directors to discuss key initiatives for the future development of Pakistan’s capital markets.
According to a statement, the board discussed the launch of exchange-traded funds (ETFs) linked to Chinese and Saudi Arabian markets, measures to improve listings on the Growth Enterprise Market (GEM) Board, the development of derivatives products and the enhancement of market surveillance systems.
The board also reviewed proposals aimed at improving operational efficiency across PSX, Central Depository Company (CDC) and National Clearing Company of Pakistan Limited (NCCPL) through greater use of technology and human resources.
Participants also discussed strategies to promote Pakistan’s capital market among overseas Pakistanis and foreign investors.
Dr. Sidhu assured the board of SECP’s full support in advancing these initiatives and achieving the shared objective of developing a deeper, more efficient and investor-friendly capital market.
Copyright Business Recorder, 2026