SECP registers 1,101 new companies in August 2018

ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has registered 1,101 new companies in August 2018, raising the number of registered companies to 89,702.

It represents a growth of 17 percent compared to the corresponding month in the last financial year.

The massive increase is the result of the SECP’s various reforms measures, including introduction of simplified combined process for name reservation and incorporation, reduction of fee, and assistance of incorporation by facilitation wings of CROs.

Around 74 percent companies were registered as private limited companies, while around 23 percent were registered as single member companies. Three percent were registered as public unlisted, non-profit associations, foreign companies and limited liability partnership (LLP).

The trading sector took the lead with the incorporation of 189 companies, construction was second at 165 companies, services registered 129, IT 119, tourism 68, food and beverages 38, engineering 35, real estate development 31, textile 24, education 23, marketing and development 22, corporate agricultural farming 21, pharmaceutical 20, healthcare 19, auto and allied, and transport 18 each, logging 12, fuel and energy 11, and 139 companies were registered in other sectors.

Moreover, five foreign companies were also registered by CROs in Karachi, Islamabad and Lahore. Foreign investment has been reported in 52 new companies. These companies have foreign investors from, China, France, Germany, South Korea, New Zealand, Portugal, Saudi Arabia, Turkey, the UK, the US, and Yemen.

The highest numbers of companies – 361 – were registered in Islamabad, followed by 284 and 263 companies registered in Lahore and Karachi, respectively. The CROs in Peshawar, Multan, Faisalabad, Quetta, Gilgit-Baltistan, and Sukkur registered, 72, 41, 38, 19, 18, and five companies respectively.