Procedures hamper investment

KARACHI: Securities and Exchange Commission of Pakistan (SECP) has been informed that foreign investment was hampered due to cumbersome procedures for adopting or nominating a foreign director in a company.

Speakers, including business community, lawyers, chartered accountants and cost accountants have pointed out that delay in security clearance to foreign directors discouraging overseas investment.

The issue was highlighted at the Consultative Session on the Draft Companies Bill, 2015 held at Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Monday.

Tahir Mehmood, Commissioner, Company Law Division, SECP responded that the commission forwarded such request to ministry of interior and on approval from the ministry SECP granted permission. He said that considering prevailing law and order situation thorough scrutiny was required while inducting a foreign person.