Latest news with #AkifSaeed
Business Recorder
6 days ago
- Business
- Business Recorder
SECP strongly recommends that personal lines insurance should be exempted from ST
ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has strongly recommended the Federal Board of Revenue (FBR) to exempt personal lines insurance from the sales tax including health insurance. The SECP on Wednesday released a comprehensive report titled 'Healthcare Ecosystem in Pakistan.' With a special focus on the role of health insurance, the report highlights the state of the healthcare ecosystem, relevant stakeholders, market dynamics, and performance, along with key challenges hindering the optimization of healthcare delivery. The Insurance Reforms Committee formed by the Ministry of Commerce also recommended the removal of tax on health insurance as it increases the cost of insurance and eventually, makes healthcare expensive for the population. The assessment of the private health insurance market reveals that 99 percent of the health insurance market comprises corporate/ group business and only one percent with the individual/ retail market in terms of gross written premium for the year ended December 31, 2023. Only 31000 persons are covered under individual health and 6.5 million persons are covered under group health insurance. In a nutshell, the primary reasons for health insurance business losses include the rising costs of medical treatments due to inflation and currency depreciation, exaggerated bills of the insured population from private hospitals, and delayed claims management at the time of renewal and pricing, lack of product innovation and standardization, infrequent and inconsistent monitoring on underwriting practices, fraudulent claims reporting and varied third-party claims administrators practices along with inadequate automation and digitized processes, and lack of reinsurance support are some of the key causes of health insurance business in Pakistan. Despite healthcare being a priority area for the Government of Pakistan—as enshrined in Article 38 of the Constitution of Pakistan and recognized as one of the United Nations' (UN) Sustainable Development Goals — Pakistan ranks among the highest in out-of-pocket expenditures, according to the WHO Global Health Expenditure Database. At 47 percent, Pakistan's out-of-pocket spending far exceeds that of Sri Lanka (40pc), Malaysia (38pc), and China and Indonesia (both at 33pc). The development of the health insurance sector is one of the operational outcomes of the SECP's five-year strategic plan, 'Journey to an Insured Pakistan,' launched in December 2023. The report identifies various challenges and specific bottlenecks impeding the growth of the health insurance sector. Drawing from international best practices, it offers a strategic roadmap centred on key reform areas, including product innovation and inclusivity, conduct and administration, pricing and underwriting, oversight and monitoring, and creating a value-based health insurance ecosystem with enhanced private-sector participation. In his message, SECP Chairperson Akif Saeed emphasized the need for sector-wide integration, particularly the amalgamation of primary healthcare with universal health coverage through the participation of both public and private sectors. Commissioner Insurance Mujtaba A Lodhi further asserted that a broad-based, holistic national-level strategy — with the ownership of all relevant stakeholders—is essential for sustainable and comprehensive reforms in the sector. Copyright Business Recorder, 2025
Business Recorder
7 days ago
- Business
- Business Recorder
Advancing market infrastructure: SBP chief lands SECP's efforts
ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) and the State Bank of Pakistan (SBP) held the 33rd Coordination Committee Meeting at the SECP Head Office in Islamabad. The SBP-SECP Coordination Committee serves as a high-level platform for strategic dialogue and regulatory coordination between Pakistan's two key financial regulators. It aims to strengthen collaboration, ensure policy alignment, and drive joint initiatives for the development and stability of Pakistan's financial system. Governor Jameel Ahmad underscored the importance of leveraging capital markets as an alternative and sustainable source of funding for the government. He noted that this approach would enable banks to focus more on financing the private sector and driving economic growth. He appreciated SECP's efforts in advancing market infrastructure and reaffirmed SBP's commitment to collaborative reform. SECP Chairperson, Akif Saeed, highlighted the pivotal role of banks in strengthening Pakistan's capital markets. He emphasized that closer linkages with capital market institutions and active collaboration could enable banks to fully leverage permissible opportunities, driving market growth and broader economic development. Key discussion areas included digital payment integration within the capital market, streamlined access to credit information for regulatory purposes, and potential solutions to address legacy credit data challenges. The Committee also reviewed progress on initiatives related to financial product innovation, shared digital infrastructure, and regulatory alignment in emerging sectors. Both institutions reaffirmed their commitment to continued cooperation in building a resilient, inclusive, and technology-driven financial ecosystem. Copyright Business Recorder, 2025
Business Recorder
29-07-2025
- Business
- Business Recorder
February 9, 2026: PSX will adopt T+1 settlement cycle: SECP
KARACHI: In a move to modernize Pakistan's capital markets, the Securities and Exchange Commission of Pakistan (SECP) has announced that the Pakistan Stock Exchange (PSX) will adopt a T+1 (trade-plus-one) settlement cycle starting February 9, 2026. The announcement was made by SECP Chairman Akif Saeed at a high-level event in Karachi attended by representatives from PSX, National Clearing Company of Pakistan (NCCPL), Central Depository Company (CDC), PMEX, securities brokers, banks, and industry stakeholders. The shift from the current T+2 to a T+1 cycle is aimed at enhancing market efficiency, transparency, and investor protection by accelerating the settlement process and reducing exposure to credit and market risks. The faster settlement timeline is also expected to improve liquidity and reduce the chances of default due to market volatility or operational delays. Terming it a major milestone, the SECP Chairman noted that Pakistan is aligning itself with leading global markets such as the United States, China, Canada, Mexico, and Argentina—countries that have already implemented or are in the process of adopting the T+1 framework. NCCPL is spearheading the transition under SECP's direction, with a dedicated implementation committee formed to oversee the process. The committee includes representatives from SECP, capital market infrastructure institutions (CMIIs), custodian banks, and securities brokers. Consultations have also been held with foreign investors to ensure a smooth adaptation. To facilitate operational readiness, NCCPL has developed a detailed roadmap and procedural guide to help market participants identify and resolve any challenges ahead of the transition. The SECP Chairman urged all stakeholders to begin reviewing and upgrading their systems to align with the new settlement timeline. Market experts view the development as a strategic reform that underscores the growing maturity and resilience of Pakistan's financial markets. The initiative also reinforces ongoing efforts to align the capital market with international best practices. Copyright Business Recorder, 2025
Business Recorder
24-07-2025
- Business
- Business Recorder
IFC, SECP launch ESG Pakistan Project
ISLAMABAD: International Finance Corporation (IFC) in collaboration with the SECP has officially launched the ESG Pakistan Project, a three-year initiative aimed at aligning Pakistan's corporate sectors with international ESG (Environmental, Social, and Governance) standards. The launch was marked by an awareness workshop in Islamabad and attended by key stakeholders from the capital market institutions, corporate sector and professional bodies. SECP Chairperson, Akif Saeed, in his keynote remarks, emphasized the growing relevance of sustainability for capital markets and the urgent need to embed ESG principles across Pakistan's business frameworks. 'The global shift towards sustainable finance is irreversible. For a climate-vulnerable country like Pakistan, this transition is not only timely but essential.' He added that SECP has made substantial progress over the past three years through the ESG Regulatory Roadmap, ESG Disclosure Guidelines and the launch of the ESG Sustain Portal. 'Incorporating sustainability practices is now a critical priority for businesses, enabling them to strengthen their reputation, improve operational efficiency, attract investment, and drive sustainable growth' said Zeeshan Sheikh, IFC's Country Manager for Pakistan & Afghanistan. 'This project, including today's workshop, aims to accelerate the adoption of international sustainability standards in Pakistan by fostering awareness, building capacity, and supporting the implementation of related regulatory frameworks by drawing on IFC's global expertise in this field.' IFC will support SECP through a comprehensive set of interventions including awareness and sector-specific ESG capacity building workshops, development of ESG guidance materials and impact assessment of ESG practices among listed companies using data on ESG Sustain. Copyright Business Recorder, 2025
Business Recorder
26-05-2025
- Business
- Business Recorder
Mutual funds offer investment solutions: SECP chief
KARACHI: The Securities and Exchange Commission of Pakistan (SECP) conducted Mutual Fund Focus Group Sessions 2025. The closed-door session brought together a diverse range of stakeholders from across Pakistan's capital markets for in-depth discussions on critical issues shaping the mutual fund industry. According to the spokesperson, the event was structured into thematic segments and facilitated by expert-led deliberations on mutual fund reforms, product innovation, digital transformation, investor inclusion, governance frameworks and market development, addressing both domestic challenges and global best practices. During his opening remarks, SECP Chairman Akif Saeed underscored the strategic importance of mutual funds in broadening access to formal investment opportunities, particularly for retail investors. He stated that mutual funds have the potential to democratize investing by offering professionally managed, transparent, and regulated options to a wider investor base. He further emphasized that the SECP remains fully committed to strengthening the mutual fund ecosystem by fostering innovation, simplifying accessibility, and enhancing regulatory oversight to ensure long-term and inclusive growth of financial sector. The sessions featured robust discussions on emerging global trends, including the rise of ESG-focused, thematic, and infrastructure-linked funds, as well as the expanding market for Shariah-compliant investment products. A key focus was also placed on women's financial inclusion, with participants exploring how mutual funds can serve as an effective tool to enhance female participation in the economy. Discussion also centered on digital transformation and governance, with stakeholders examining the role of technologies such as Systematic Investment Plans (SIPs) and Centralized Gateway Portals (CGPs) in improving investor onboarding and operational efficiency. Additionally, discussions emphasized the need for strong governance frameworks, transparent disclosure practices, and robust risk management protocols to bolster investor confidence and safeguard market integrity. SECP Commissioner Abdul Rehman Warraich highlighted the significance of stakeholder input in shaping future regulatory policies. He thanks the stakeholders for the candid and constructive engagement from industry partners and hoped that the insights gathered will play a crucial role in informing upcoming reforms by SECP. He emphasized that a transparent, well-regulated, and inclusive mutual fund industry is vital for deepening Pakistan's capital markets and advancing financial inclusion. The SECP, as a sole regulator of capital markets in the country, extended its appreciation to the participants for their valuable contributions and reaffirmed its commitment to ongoing collaboration with industry stakeholders. The Mutual Fund Focus Group Sessions 2025 will also continue on Tuesday with further discussions on the same thematic areas involving a fresh group of experts and market participants. Copyright Business Recorder, 2025
