Bureau Report
KARACHI: The Chairman, Securities & Exchange Commission of Pakistan (SECP) Akif Saeed said regulatory and structural reforms will be introduced along with product development to link Pakistan Mercantile Exchange (PMEX) with the rural economy of Pakistan.
The Chairman SECP, accompanied by senior officials, met the Board of Directors and senior management of Pakistan Mercantile Exchange (PMEX) and the senior management of the Central Depository Company (CDC).
Akif Saeed reviewed the progress of new contracts on Electronic Warehouse Receipts (EWR) and measures to promote trading activity at the PMEX. He said that PMEX can provide alternate avenues of liquidity to the producers and processors of agricultural commodities which will benefit the farmers and boost economy activity. He highlighted need for increasing outreach and tapping the potential of remote areas by ensuring presence of commodity brokers and developing warehouse infrastructure.
In a separate meeting with CDC, the Chairman was briefed about the ongoing projects and future plans for facilitation of investors of capital market. The meeting reviewed digital solutions for investors of capital market and availability of National Saving Schemes certificates in book-entry form. Further, the operations and sustainability of EClear Services Limited, which provides clearing and custodial services to the Trading Only (TO) category of brokers as a subsidiary of CDC, were also deliberated.
Later, the SECP team led by its Chairman held separate meetings with members of the Board of Directors of Mutual Funds Association of Pakistan (MUFAP) and NBFI and Modaraba Association. The meeting with MUFAP reviewed the progress and timelines on the conversion of MUFAP into SRO and digitalization of the AML/KYC requirements etc. SECP Chairman stressed on using digital technology for growth of the retail investors in mutual funds. Akif also stressed on introducing new products particularly for retail investors, increasing digital on boarding of small investors.
The NBFI and Modaraba Association delegation was led by Mr. Basheer A. Chowdry who sought SECP’s support for the inclusion of the NBFI and Modaraba sectors in concessional schemes of the SBP for SME financing. The Chairman SECP assured its support, particularly for the promotion of Islamic finance through the Modaraba segment.