Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, emphasized the need for comprehensive tax reform to make Pakistan’s capital markets more attractive and competitive.
Chairing the inaugural meeting of the Capital Market Development Council (CMDC) in Islamabad, the minister directed the Tax Policy Office, State Bank of Pakistan (SBP), Securities and Exchange Commission of Pakistan (SECP), Debt Management Office (DMO), and Finance Division to jointly review capital market taxation, issuer-side incentives, and measures to encourage wider listings and transparency.
“Taxation remains a key factor affecting capital market attractiveness,” Aurangzeb said, urging reforms that reward compliant and transparent companies rather than penalize them. The meeting brought together senior officials from SECP, SBP, Pakistan Banks Association, Pakistan Stock Exchange, Central Depository Company, National Clearing Company, Pakistan Business Council, and Finance Division.
Participants discussed enhancing retail and institutional investor participation, developing diversified investment products, facilitating intermediaries, and creating incentives for investors and issuers. Cross-border integration, regulatory modernization, and promotion of debt and equity markets were also reviewed.
Aurangzeb reaffirmed the government’s commitment to building a modern, investor-friendly capital market ecosystem to improve access to finance, promote savings, and strengthen Pakistan’s economic resilience. Dedicated working groups will prepare KPIs and action plans within two weeks, with quarterly reviews to monitor progress. The council will continue to meet quarterly to evaluate outcomes.
