The State Bank of Pakistan (SBP) has rolled out a new Performance Evaluation System for Investment Abroad (PESIA), marking a major step in improving oversight and operational efficiency in Pakistan’s cross-border investment framework. Announced via a circular today, PESIA is designed as an online reporting mechanism for Authorized Dealers to submit data related to Equity Investment Abroad (EIA) transactions through the SBP’s Data Acquisition Portal (DAP).
The new system is structured around ten Data File Structures (DFS), each tailored to specific reporting requirements associated with EIA transactions conducted by Authorized Dealers on their own behalf or on behalf of clients under various categories of EIA policy. These DFS encompass approvals, remittances, entity details, and financial performance metrics for investee companies, providing a comprehensive view of overseas investment activity.
The DFS framework covers a wide range of reporting needs, including the designation of Authorized Dealers, approvals under multiple EIA categories, ESOP approvals, portfolio investments, remittance transactions, details of entities established or acquired abroad, and the annual financial performance of investee companies. Each DFS has been designed with unique variables and logics to ensure precise and consistent reporting.
To facilitate user adoption, SBP has also prepared a detailed user manual. This guide offers step-by-step instructions for downloading DFS files, inputting data correctly, and obtaining Investee Company (IC) codes required for specific DFS submissions. The manual has been attached with the circular for compliance by all Authorized Dealers.
Authorized Dealers are required to report monthly EIA transactions for DFS 1 to 9 by the fifth working day of the following month. Reporting on DFS 10, which details the financial performance of investee companies, will be submitted annually within three months after the close of the investee’s financial year.
The circular also addresses legacy EIA data. Phase I covers transactions from February 10, 2021, to July 31, 2025, which must be reported through the applicable DFS within three months, by November 28, 2025. Phase II includes transactions prior to February 9, 2021, with submission requirements to be communicated by SBP. A compliance report, signed by the Group Head Compliance of each Authorized Dealer, must be submitted by March 5, 2026, confirming the completeness and accuracy of all data.
Responsibility for ensuring strict adherence to these procedures lies with the Head of the EIA Unit, established under FE Circular No. 1 of February 10, 2021, and the Group Head Compliance of each Authorized Dealer. SBP emphasized the importance of data integrity and urged Authorized Dealers to notify all their constituents and ensure meticulous compliance with the new reporting framework.
By launching PESIA, SBP aims to strengthen transparency, enhance data-driven decision-making, and support efficient management of Pakistan’s overseas equity investments. The move aligns with broader strategic goals to improve the efficiency and effectiveness of the country’s financial system while leveraging technology to streamline regulatory compliance.