Aurangzeb visits SECP, pledges support for capital markets and ease of doing business
- Authorities preparing to extend the mandatory motor insurance regime to Punjab, Khyber Pakhtunkhwa and Balochistan
Sindh's mandatory third-party motor insurance has significantly increased accident victim compensation to Rs. 700,000, boosting vehicle insurance policies by 1,300% and setting a precedent for other provinces.
- Increased compensation for road accident victims.
- Record increase in vehicle insurance policies.
- Extension of mandatory insurance to other provinces.
- Broader insurance sector reforms and Takaful growth.
Finance Minister Muhammad Aurangzeb visited the Securities and Exchange Commission of Pakistan (SECP) headquarters on Wednesday for a high-level meeting focused on boosting investment, strengthening capital markets, and improving the ease of doing business.
As per a statement, SECP Chairman Dr Kabir Ahmed Sidhu gave the minister a detailed briefing.
Discussions covered the corporate sector, capital markets, and the non-banking financial sector, with particular emphasis on measures to attract investment and drive sustainable growth in Pakistan’s financial system.
The SECP briefed the minister on major progress since January 2026. It was reported that a total of 18,057 new companies have been registered, while a record 109,878 post-incorporation processes, including forms and returns, have been completed.
The SECP has also issued 149 new licences across different sectors.
To further streamline processes, the SECP has developed a Central Ultimate Beneficial Ownership (UBO) Registry portal, with companies already submitting information online. Work is also underway on an AI-based system for company registration.
The Commission decided to convert shares of unlisted companies from manual to book-entry form. Business Facilitation Centres are planned for Islamabad, Lahore and Karachi, it was told.
The minister appreciated SECP’s actions on issuing notices to State-Owned Enterprises.
On the markets front, the SECP confirmed that long-standing issues of the Chinese consortium at the Pakistan Stock Exchange had been resolved. It also granted conditional approval to PSX’s demerger scheme for real estate assets.
The investment limit for Sahulat Accounts has been raised from Rs1 million to Rs3 million, and the Capital Market Development Fund has been formally launched.
Since January 2026, the SECP has approved IPOs for 10 companies. An easier app-based interface for gold trading is also being developed, said SECP.
Major reforms were also announced for insurance, it was said.
Third-party motor insurance has been implemented in Sindh, with compensation for accident victims increased from Rs20,000 to Rs700,000, which would be paid automatically without court proceedings.
Commercial vehicle insurance policies have seen a record 1,300% increase, rising from 11,000 to over 165,000. The SECP is preparing to extend motor insurance coverage to Punjab, Khyber Pakhtunkhwa and Balochistan.
New life insurance annuity products for retirees have been introduced, and a consortium of insurance companies has been set up for crop insurance. The takaful sector’s share has reached 14%, with new guidelines issued, the meeting was informed.