SAPM Chairs Meeting on Companies Act Reforms
ISLAMABAD: A high-level meeting of the Sub-Committee on the Modernization of the Companies Act 2017 was held under the chairmanship of Special Assistant to the Prime Minister, Mr. Haroon Akhtar Khan.
The meeting was attended by Scott Jacobs, representatives from the Board of Investment (BoI), Securities and Exchange Commission of Pakistan (SECP), and the Overseas Investors Chamber of Commerce (OICC).
The participants held detailed discussions on regulatory reforms and the modernization of the Companies Act 2017. Mr. Haroon Akhtar Khan stressed the need for simplifying the registration process of unlisted companies, noting that delays, excessive regulation, and the lack of ease in doing business have become serious challenges for the business community.
SECP witnessed 39% growth in companies’ incorporation
He emphasized that the corporate governance of unlisted companies should be determined through corporate by-laws and the Articles of Associations. He pointed out that several restrictions and structural hurdles in the current Act are obstructing innovation in emerging corporate models.
“Due to rigid laws, many people refrain from registering their companies,” said Mr. Khan.
The Board of Investment presented a set of recommendations for the modernization of the Companies Act, which will be taken up for final approval for the proposal in the next meeting.
