Pakistan has taken significant steps toward modernising its regulatory landscape, introducing reforms that have strengthened anti-money laundering safeguards, enhanced corporate transparency and simplified the process of starting and operating a business. These measures have helped position the country as a more competitive and compliant participant in the global economy, with the Securities and Exchange Commission of Pakistan playing a central role in driving these changes.
The SECP’s efforts were formally recognised in December 2025, when it was awarded the title of national Reforms Champion by the prime minister during the launch of the National Regulatory Reforms initiative. The recognition reflected the regulator’s focus on institutional integrity, digital innovation, improved ease of doing business and alignment of the Companies Act, 2017, with international standards.
During the 2024–25 financial year, SECP-led national risk assessments contributed to progress under the Anti-Money Laundering and Counter Financing of Terrorism National Action Plan. The regulator worked closely with domestic and international partners to meet Financial Action Task Force requirements, reinforcing Pakistan’s commitment to global AML and CFT obligations.
A major milestone was achieved through the introduction of a dedicated Corporate Ultimate Beneficial Owner Registry following amendments to the Companies Regulations, 2024. Aligned with OECD guidelines, the framework requires companies to formally identify and verify indirect ultimate beneficial owners, focusing on natural persons who ultimately control or benefit from corporate entities. This measure is aimed at preventing the misuse of anonymous corporate structures for illicit financial activity.
In February 2025, the SECP introduced a risk-based beneficial ownership supervision methodology fully compliant with FATF standards. By prioritising higher-risk cases, the system ensures ownership information remains accurate and up to date, while strengthening safeguards against money laundering and terrorist financing.
To build capacity across sectors, the SECP organised 14 training sessions, both physical and virtual, reaching more than 900 participants from capital market institutions, securities brokers, non-banking financial companies, insurance firms and corporate entities, including limited liability partnerships. These initiatives promoted consistent application of risk-based supervisory practices nationwide.
The regulator also supported the International Monetary Fund’s Governance and Corruption Diagnostic Assessment mission by coordinating with stakeholders and applying global benchmarks to strengthen governance and AML priorities. Operational coordination with the Financial Monitoring Unit continued to improve suspicious transaction reporting and financial intelligence sharing, alongside the implementation of directives related to targeted financial sanctions.
For listed companies, the SECP maintained strict enforcement of disclosure and governance standards under the Companies Act, 2017, the Listed Companies Code of Corporate Governance Regulations and Pakistan Stock Exchange rules. Firms are required to prepare annual audited financial statements in line with Pakistan-adopted International Financial Reporting Standards, alongside regular interim disclosures to ensure market transparency.
One of the most impactful reforms has been the SECP’s fully digital one-window registration platform, eZfile. The system integrates services from multiple federal and provincial bodies, automates identity verification and issues consolidated electronic certificates. As a result, nearly all company incorporations are now conducted online, contributing to a sharp rise in new registrations and improved international rankings for business entry.
Together, these reforms have enhanced Pakistan’s regulatory credibility, strengthened transparency and created a more efficient and attractive environment for business and investment.
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