KARACHI: The Securities and Exchange Commission of Pakistan (SECP) registered nearly 3,500 new companies in the month of Feb., it said on Friday, with China and United States (US) among top foreign investors.
The development comes at a time when Pakistan is seeking to increase foreign direct investment as it treads a long path to economic recovery under a $7 billion International Monetary Fund (IMF) bailout.
The South Asian country has announced several incentives for in its Special Economic Zones (SEZs), including exemption from income tax and sales tax on the import of machinery, to promote foreign investment.
On Tuesday, the SECP said addition of 3,444 new firms brings the total number of registered companies in Pakistan to 287,049, reflecting continued growth in the country’s corporate sector.
“Private limited companies accounted for 59 percent of the new registrations, followed by single-member companies at 38 percent. The remaining 3 percent comprised public unlisted companies, not-for-profit organizations, limited liability partnerships, and foreign companies,” the regulator said.
“Foreign investment remained robust, with 82 newly incorporated companies receiving international shareholding. China emerged as the leading source of investment with participation in 44 companies, followed by the United States with investments in seven companies.”
Other key investors included Palau, Germany Egypt, the United Kingdom, Australia, Indonesia, Azerbaijan, Jordan, Canada, Sweden, Denmark and Turkiye, according to the SECP.
The primary destinations for foreign investment were the mining and quarrying, trading, and information technology sectors, indicating sustained international interest in Pakistan’s natural resources, commercial markets and expanding digital economy.
Punjab led with 1,696 new companies, followed by the Islamabad Capital Territory with 656, Sindh with 555, Khyber Pakhtunkhwa with 317, Gilgit-Baltistan with 174 and Balochistan with 46, demonstrating broad-based geographic expansion of corporate activity.
“Sector-wise, the information technology and e-commerce sectors remained the leading drivers of growth with 723 new incorporations, followed by the trading sector with 531 registrations, services with 434, and real estate development and construction with 323 new companies,” the SECP said.
“Further diversification was observed across multiple sectors, including tourism and transport (194), food and beverages (165), education (107), mining and quarrying (79), textile (69), marketing and advertisement (64), chemicals (58), pharmaceuticals (58), corporate agricultural farming (57), health care (56), engineering (52), cosmetics (50), communications (44), fuel and energy (42), lodging (37), and auto-allied industries (35),” it said.
“In addition, 266 companies were incorporated across various other sectors, including cables and electric goods, sports, and paper and board, reflecting the continued broadening of Pakistan’s industrial and business base.”
