Annual Report
The fiscal year 2023 witnessed a substantial surge in business startups, with a total of 27,746 new companies registered, according to the annual report of the Securities and Exchange Commission of Pakistan (SECP). This robust growth in new registrations was attributed to policy reforms and reinforced consumer protection measures implemented by the SECP. As of June 30, 2023, the total number of registered companies reached 196,805, showcasing the positive impact of these initiatives.
Despite the encouraging business landscape, the SECP remained vigilant against financial misconduct. Stringent actions were taken against companies that violated laws related to fund collection and financial irregularities, resulting in the collection of over Rs 5 billion in penalties. The breaches encompassed areas such as anti-money laundering and terror financing, reflecting the regulatory authority’s commitment to maintaining financial integrity.
In the non-banking financial sector, a notable growth of 35.9% was observed, indicating progress and stability in this domain. Similarly, the insurance sector reported a 34% increase in revenue, highlighting positive developments and financial health in these sectors.
However, the SECP did not shy away from addressing financial crimes. A total of 83 cases related to violations concerning anti-money laundering and terror financing were processed. Additionally, strict penalties were imposed on 24 companies found guilty of unlawfully extracting funds from consumers. In an effort to uphold corporate integrity, the SECP took action against 41 directors associated with more than 120 companies, restricting their involvement in board positions or forming new companies.
To further ensure compliance and integrity in the business landscape, legal proceedings were initiated to shut down 21 companies involved in various unlawful activities. These actions underscore the SECP’s commitment to maintaining a transparent, compliant, and ethical business environment in Pakistan.
