SECP expands collaborations to promote corporatization, economic growth

August 29, 2025 (MLN): The Securities and Exchange Commission of Pakistan (SECP) has reinforced its efforts to strengthen the country’s corporate sector by streamlining business registration processes and promoting corporatization as a driver of sustainable economic growth.

In pursuit of its commitment to formalization and inclusive development, the SECP has initiated strategic collaborations with multiple stakeholders, including government ministries, regulatory authorities, the State Bank of Pakistan (SBP), land authorities, electricity distribution companies, chambers of commerce, the Small and Medium Enterprises Development Authority (SMEDA), and leading digital banking platforms such as Easypaisa and JazzCash.

Formal communications have been issued to these organizations, encouraging them to prioritize engagement with SECP-registered companies. According to the regulator, this approach aims to expand the formal economy, enhance transparency, and create a more conducive environment for business incorporation.

The SECP highlighted the broad advantages of corporatization, such as limited liability protection, enhanced credibility, greater scalability, improved access to capital, perpetual succession, stronger governance frameworks, tax efficiencies, simplified ownership transfer, and better brand protection.

Companies under SECP oversight also benefit from regulatory compliance and monitoring, which reduces procurement-related risks, strengthens contractual enforceability, and improves investor confidence.

To build momentum, the SECP has also launched a comprehensive outreach campaign, including seminars, workshops, and digital media initiatives. The campaign specifically targets the informal sector, raising awareness about the commission’s digital and simplified business registration system.

Furthermore, SECP emphasized that cross-sectoral coordination is essential for removing administrative hurdles, ensuring policy alignment, and accelerating the shift towards a documented, transparent, and efficient economy.

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