New Investments Planned in Key Financial Infrastructure
ISLAMABAD: Chinese strategic shareholders of the Pakistan Stock Exchange have announced plans to expand their long-term investment in Pakistan’s financial sector, signaling growing confidence in the country’s capital markets and economic outlook.
According to an official statement issued on Monday, the Chinese consortium intends to increase its shareholding in the Central Depository Company and the National Clearing Company of Pakistan Limited through additional investments.
The announcement came during a meeting between a high-level Chinese delegation and Dr Kabir Ahmed Sidhu, chairman of the Securities and Exchange Commission of Pakistan. The delegation represented a consortium comprising the China Financial Futures Exchange, Shanghai Stock Exchange and Shenzhen Stock Exchange.
Officials said the SECP had granted key regulatory approvals, removing longstanding hurdles and opening the door for deeper financial cooperation between Pakistan and China.
Focus on Market Growth and New Financial Products
During the discussions, both sides reviewed opportunities to strengthen Pakistan’s capital markets, promote investment and introduce innovative financial products.
The Chinese delegation welcomed the resolution of pending regulatory matters and praised the approval allowing the transfer of PSX property management operations to a separate company under a Real Estate Investment Trust (REIT) model. The move is expected to enable the stock exchange to focus more effectively on market expansion and strategic development.
Cross-Border Cooperation Gains Momentum
Furthermore, the two sides discussed the early launch of cross-border Exchange Traded Funds (ETFs), which could provide investors in both countries with access to each other’s markets.
The delegation also explored opportunities to introduce advanced trading and settlement technologies, enhance market surveillance systems, improve liquidity and strengthen investor education initiatives.
Chinese representatives expressed confidence in Pakistan’s economic future and reaffirmed their commitment to supporting the continued growth and modernization of the country’s capital markets.
