ISLAMABAD, Jan 5 (Pakistan Point News - APP - 05th Jan, 2017 ) : The number of companies registered with the Securities and Exchange Commission of Pakistan (SECP) during December 2016 has exhibited a remarkable growth of 30% over the corresponding month of the last year. The number of companies incorporated in the last six months of 2016 witnessed an impressive growth of 23% as compared to corresponding period, primarily due to wide-ranging reform measures undertaken by the SECP.
A multi-pronged strategy has been adopted to further encourage corporatization in the country, comprising restructuring of Company Registration Offices (CROs), legislative reforms, increasing adoption of information and communication technologies, simplification of administrative procedures, and investor awareness and facilitation measures. In order to facilitate the entrepreneurs' incorporation facilitation desks have been established at CROs in Islamabad, Karachi and Lahore, according to SECP press statement.
To ensure that company is registered the same day if the application is received in first half of the day. These measures are aimed at reducing business start-up time and cost as well as number of regulatory procedures so as to encourage investors adopt the corporate form of business organization. The measures would also assist the government in documentation of economy. Around 85 percent companies have been registered as private limited companies, while around 13 percent companies were registered as single member companies.
Two percent of companies were registered as public unlisted, non-profit associations and foreign companies. The services sector took the lead with the incorporation of 140 companies, followed by trading with 95, construction with 69, information technology with 56, tourism with 33, engineering with 24, food and beverages with 21, auto and allied with 19, fuel and energy with 18, corporate agricultural farming , education, and real estate development with 17 each, transport with 16, communications, healthcare and power generation with 14 each, textile and pharmaceutical with 10 each, 99 companies were registered in other sectors.
Moreover, 6 foreign companies were also registered by the CRO in Islamabad and Karachi. Foreign investment has been reported in 50 new companies. These companies have foreign investors from, Afghanistan, Australia, China, Egypt, Iran, Nigeria, Norway, Singapore, Switzerland, Ukraine, the UK and the US. During the month, the highest numbers of companies, i.e. 240, were registered at the Islamabad CRO, followed by 207 and 160 companies registered at Lahore and Karachi CROs respectively. The CROs in Peshawar, Multan, Faisalabad, Quetta and Sukkur and Gilgit registered 38, 39, 10, 7 and 1 and 1 company respectively. APP/maw/kmd � 18:15/18:30/18:30