The SECP has briefed ABAD members on corporate reforms, digital incorporation and opportunities to establish Real Estate Investment Trusts.
KARACHI: The Securities and Exchange Commission of Pakistan (SECP) has briefed members of the Association of Builders and Developers of Pakistan (ABAD) on the benefits of corporatisation and opportunities for registering Real Estate Investment Trusts (REITs).
The briefing was held at ABAD’s head office on Wednesday, with SECP Commissioner Muzzafar Ahmed Mirza leading the Commission’s delegation. ABAD Chairman Mohammed Hassan Bakshi, Senior Vice Chairman Syed Afzal Hameed, Vice Chairman Tariq Aziz Memon and representatives of the country’s builder and developer community attended the session, according to a news release.
SECP Outlines Corporate Reforms
Mirza outlined recent SECP reforms aimed at simplifying business incorporation, improving regulatory clarity and encouraging informal businesses and partnerships to transition towards formal corporate structures.
He explained that incorporation establishes a business as a separate legal entity and generally limits the liability of shareholders. This structure can help distinguish a company’s financial and legal obligations from the personal assets of its members.
The SECP officials also provided a practical demonstration of the eZfile platform, highlighting how digital integration with external registries has streamlined the incorporation process and made corporate filings more convenient.
Corporatisation Can Improve Access to Finance
The session also examined the broader benefits of adopting a corporate structure, including improved access to financing and domestic and international markets.
Corporatisation can strengthen business credibility, transparency and continuity while providing a more structured framework for long-term growth.
The SECP delegation highlighted how formal corporate structures can provide businesses with clearer governance arrangements and support their expansion as they seek access to wider sources of investment and financing.
SECP Briefs ABAD on REIT Opportunities
The delegation also briefed ABAD members on opportunities for registering Real Estate Investment Trusts, or REITs.
REITs provide a regulated corporate structure through which investment can be channelled into the real estate sector. The SECP highlighted the opportunities available to businesses and investors interested in using the mechanism as part of the formalisation and development of the property market.
The briefing comes as the real estate sector continues to explore corporate structures that can support investment, transparency and access to capital.
ABAD to Coordinate with SECP
ABAD’s leadership welcomed the SECP’s outreach initiative and noted that its members were actively exploring corporatisation and REIT registration.
The association also agreed to coordinate with the SECP and submit recommendations on regulatory matters affecting the real estate sector under the Companies Act, 2017.
The engagement reflects efforts by the regulator and the real estate industry to promote greater formalisation, transparency and investment through improved corporate and regulatory frameworks.