The Securities and Exchange Commission of Pakistan (SECP) has announced that it has registered mammoth 926 new companies last month in May. According to an official statement, a striking surge of 44% has been observed in comparison to the same month of the previous year.
The SECP registered massive 7688 new companies during the first 11 months of the fiscal year 2016-17. The official statement read that it witnessed a remarkable growth of 35% as compared to the same period of the last year.
Following are some of the reasons why plenty of new companies got registered:
- Introduction of several reforms by the SECP
- Decline in fee
- Launch of swift incorporation process
- Support of incorporation by easing wings of CROs
- Eradication of acquiring of third-party digital signatures
- Introduction of simple, untiring and hassle-free CNIC based user ID and PIN system for incorporation and post-incorporation activities
The break-up of the 926 companies is as following:
- 86% of the companies are private limited
- 11% of the registered companies are single-member entity
- 3% of the companies are registered as unlisted, non-profit and foreign companies
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Services sector lead the chart with 136 companies
As per the official statement, the services sector lead the chart by registering 136 new companies. It is followed by the trade sector with 129 companies. The further breakdown is as following:
- Construction sector registered 114 companies
- IT sector registered 89 companies
- Tourism sector incorporated 57 companies
- Engineering sector listed 30 companies
- Education and fuel and energy sector incorporated 20 companies each
- Transport sector listed 17 companies
- Corporate agricultural farming sector registered 16 companies
- Lodging, pharmaceutical, power generation and textile recorded 15 companies each
- Cable and electric goods sector incorporated 14 companies each
- Auto allied registered 13 companies
- Other sectors listed 106 new companies
CROs in Islamabad, Karachi and Faisalabad registered 13 foreign companies, as per the official statement. In 75 new companies, foreign investment has been reported. The investment has come mostly from Australia, Austria, Bangladesh, China, Canada, Cyprus, Denmark, Germany, South Korea, Kuwait, The Netherlands, Norway, Oman, Singapore, Turkey, the UAE and the US.
During the month of May, the highest number of companies were registered at the Islamabad CRO with 338. It was closely followed by Lahore and Karachi CROs which registered 268 and 165 companies respectively. According to the official statement, 46, 43, 33, 15 and 13 companies were registered at the Multan, Faisalabad, Quetta, Sukkur and Gilgit-Baltistan CROs respectively.