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August 7, 2025 – Islamabad: The Securities and Exchange Commission of Pakistan (SECP) has unveiled a series of transformative regulatory and developmental reforms aimed at strengthening the mutual funds industry and promoting financial inclusion across the country.
In a press briefing held at SECP Headquarters, Commissioner Zeeshan Rehman Khattak reaffirmed the Commission’s commitment to investor protection, operational efficiency, and alignment with international regulatory standards. He highlighted digitization as the key driver for innovation and growth in Pakistan’s financial ecosystem.
A major highlight of the reforms is the launch of a Digital Asset Management Companies (AMC) framework, which includes reduced capital and fund size requirements, end-to-end digital onboarding, and streamlined operations. These measures are intended to improve accessibility, lower entry barriers, and attract new market players.
In a landmark development, the SECP has officially registered the Mutual Funds Association of Pakistan (MUFAP) as a Self-Regulatory Organization (SRO) under the SECP Act, 1997 — marking the first time such a designation has been granted in the country’s financial services sector. MUFAP will now play a vital role in aiding regulatory development, ensuring member compliance, and strengthening investor confidence through targeted outreach.
To chart a future roadmap for the mutual funds sector, SECP has engaged industry stakeholders to draft a white paper that outlines strategic reforms. Key areas include the development of Exchange Traded Funds (ETFs), introduction of ESG and infrastructure funds, digital innovation, and strategies for broader financial inclusion. The white paper is now publicly available on the SECP website.
In addition, a dedicated committee has been formed to accelerate ETF market growth and encourage greater investor participation.
These steps demonstrate SECP’s proactive approach in fostering a resilient, innovative, and inclusive capital market environment in Pakistan.
