In a recent development, the Securities and Exchange Commission of Pakistan (SECP) has announced the registration of 2,539 new companies in May 2023, adding to the country’s total number of registered companies, which now stands at 194,466. These newly registered companies had a total paid-up capital of Rs. 2.7 billion.
Among the registered businesses, approximately 57 percent were classified as private limited companies, 40 percent as single-member businesses, and the remaining 3 percent as limited liability partnerships, not-for-profit organizations, and unlisted public companies. An impressive 99.7 percent of the registrations were completed online, showcasing the digitalization efforts in business registration. Notably, 65 foreign applicants were among the new registrations, indicating the country’s growing appeal to international investors.
The information technology sector emerged as the leading sector with the incorporation of 407 companies, followed by trading with 339, real estate development & construction with 331, and services with 287 companies. Additionally, 112 companies were registered in the food and beverage sector, 102 in tourism, 81 in education, and 66 in e-commerce. The remaining 814 companies spanned across various other sectors.
In further collaboration with other governmental departments, the SECP facilitated the registration of 2,439 companies with the Federal Board of Revenue (FBR) for the registration of National Tax Numbers (NTN). Additionally, 63 companies registered with the Employees’ Old-Age Benefits Institution (EOBI), 46 companies with the Punjab Employees’ Social Security Institution (PESSI)/Sindh Employees’ Social Security Institution (SESSI), and 57 companies with the excise and taxation department.
Foreign investment was a notable aspect of the new registrations, with 81 companies reporting investments from countries such as Afghanistan, Australia, China, Indonesia, Ireland, Italy, the Netherlands, Nigeria, Norway, Romania, Russia, Singapore, Spain, Thailand, Turkey, the United Arab Emirates (UAE), the United Kingdom (UK), and the United States (US). China led the way with 47 companies, followed by the UK with 5 companies, and the US with 4 companies. Other countries made investments in 3 or fewer companies each, contributing to the overall growth of the Pakistani business landscape.
To enhance accessibility and facilitate queries, the SECP has established a dedicated WhatsApp facility for instant resolution of name availability and incorporation process-related questions. During the month of May, approximately 1,290 queries were handled through this platform, achieving a commendable 97 percent satisfaction rate.
The SECP’s efforts in registering new companies, particularly in the thriving IT sector, demonstrate the ongoing growth and potential of Pakistan’s business ecosystem. With continued digitalization and investor-friendly policies, the country aims to attract more domestic and foreign investments, fostering economic development and creating employment opportunities for its citizens.
