In the fiscal year 2022-2023, the Securities and Exchange Commission of Pakistan (SECP) achieved a remarkable milestone by registering 27,746 new companies, bringing the total tally to 196,805. This represents an impressive increase of approximately five percent compared to the previous year.
The significant growth in company registrations can be attributed to the seamless digital incorporation process implemented by the SECP, with nearly 99.8 percent of the new companies being registered online.
Moreover, the incorporation process attracted 1,256 foreign users who registered their companies from overseas.
The cumulative capitalisation of the newly incorporated companies in FY23 amounted to a substantial Rs36.6 billion, reflecting the expanding entrepreneurial landscape in Pakistan. Among the various sectors, real estate development & construction took the lead with 4,527 new incorporations, followed closely by information technology with 4,038 companies and trading with 3,539 new entities.
The SECP’s efforts to modernise and digitise the registration process have revolutionised the business environment in the country. The complete automation of the registration process, along with the issuance of company registration certificates, has allowed companies to register online from anywhere globally, eliminating the need to physically visit SECP offices.
Moreover, the seamless integration of SECP with other relevant government departments has facilitated business owners in the registration process.
During FY23, as a result of this integration, 26,125 companies were registered with the Federal Board of Revenue (FBR) for obtaining National Tax Numbers (NTN), 819 companies with the Employees’ Old-Age Benefits Institution (EOBI), 317 companies with the Punjab Employees’ Social Security Institution (PESSI)/Sindh Employees’ Social Security Institution (SESSI), and 569 companies with the excise and taxation departments.
Foreign investment has also played a pivotal role in boosting the Pakistani economy. In FY23, foreign investment was reported in 841 new companies, with China leading the way with 448 companies investing in the country.?