The Securities and Exchange Commission of Pakistan has recorded a landmark achievement in the fiscal year 2025, setting a new record for company incorporations in a single year. According to official data, over 35,000 new companies were registered during FY25, reflecting a 27 percent jump compared to the preceding financial year. This surge underscores SECP’s ongoing initiatives to modernize Pakistan’s corporate sector and simplify the business entry process through aggressive digitalization and regulatory enhancements.
A closer look at the monthly figures reveals that January and May stood out with the highest incorporations, reaching 3,442 and 3,605 companies respectively. The corporate registry’s total strength has now exceeded 258,000 entities, indicating a broadening base of formal business activity in the country. Strikingly, almost all these new registrations—99.9 percent—were processed online, highlighting the growing reliance on SECP’s digital infrastructure.
This record-breaking performance can be largely attributed to SECP’s sustained focus on technological upgrades and regulatory clarity. The eZfile system, a cornerstone of the commission’s online incorporation services, underwent major enhancements this year. New features include mandatory digital verification for changes in company management and dedicated cybersecurity protocols, which aim to safeguard sensitive corporate data.
Further cementing its digital drive, SECP launched the Electronic Mortgage Register, allowing banks and financial institutions real-time access to mortgage data, streamlining credit assessments and lending processes. The regulator is also advancing towards same-day bank account integrations and exploring AI-powered solutions to make company incorporation even faster and more accurate.
SECP has taken steps to align Pakistan’s corporate environment with global benchmarks. From March 3, 2025, it became mandatory for all newly incorporated firms to issue shares in dematerialized form, a move designed to reduce ownership disputes and enhance transparency. Efforts are also underway to include gender-based metrics and comprehensive Ultimate Beneficial Owner verifications, fulfilling World Bank B-Ready program requirements.
Pakistan’s reform efforts were recognized globally, with the country securing the 6th spot among 50 economies under the World Bank’s B-Ready 2024 ‘Business Entry’ indicator. This achievement speaks to SECP’s success in making Pakistan a more attractive destination for entrepreneurs and investors.
In parallel, SECP has proposed draft amendments to the Auditors’ Regulations, introducing mandatory Unique Document Identification Numbers (UDIN) for ICMAP members, and expanding cost audit coverage to the automobile sector. Such regulatory updates aim to reinforce financial discipline and sector-specific oversight.
Beyond policy measures, SECP has prioritized outreach and capacity building. It established a dedicated facilitation desk to swiftly resolve licensing and corporate compliance queries. Over the past year, more than 100 awareness sessions were organized nationwide, supplemented by detailed user guides and instructional videos. Additional educational resources on employee stock options, stock splits, and capital issuance are also in the pipeline.
Innovation continues to be a key focus, evident from initiatives like the LEAP project and the SECP-XS platform, which delivers omni-channel digital services to stakeholders. Meanwhile, work on a comprehensive Corporate Registration Manual is nearing completion to ensure uniform practices across all Company Registration Offices.
Through these combined efforts, SECP is not only reshaping Pakistan’s corporate compliance framework but also laying the groundwork for a robust, transparent, and investor-friendly business ecosystem. With these reforms gaining traction, Pakistan’s formal economy is poised to expand further, offering new opportunities for local and foreign enterprises alike.