Prime Minister Shaukat Aziz on Saturday said the government was providing an enabling and secure environment to people keen to invest in stock markets and urged regulators to be proactive and keep in view public interest. Speaking here at the launching of operations of a corporate brokerage house - the first National Equities Limited, he said the government will continue to offer shares of public companies through stock exchanges, adding the shares of Kapco will be offered soon.
The Prime Minister said introduction of positive investment policies, rapid pace of privatisation of government enterprises and improvement in regulatory framework have made investment in the country very attractive.
He said stock exchanges have appreciated considerably in the past two and a half years and were playing an important role in attracting investment and providing opportunity to small investors.
He cited the example of the Karachi Stock Exchange (KSE) which, he said, was one of the top performers in the entire developing world.
The Prime Minster also called for the need to facilitate listing of new companies, setting up of asset management companies to float closed- and open-ended mutual funds, educating small investor to invest in equities to help broaden the base of capital markets.
He urged small investors to opt for asset management and mutual funds. He urged investors to invest wisely, "as there are risks involved" and called for a balance in portfolio to minimise risks.
He said sectors like cement, telecommunications, oil and gas, banking, fertilisers and auto industry were getting stronger.
He, however, said that success of any company dealing with portfolio management depended on its ability to do research.
"A thorough study of a company through experienced analysts can enable it to give sound advice to its clients," he said.
The National Savings Centres into Pakistan Savings Company providing government-backed security to small and medium investors like pensioners and widows.
He said Pakistan could reach its full potential and will make it to the point where it should be. He said the country, today, needs a clear strategy to leverage its own potential
"Pakistan of today and tomorrow is looking towards cc very vibrant economy to create opportunities for our peoples" he said.
He said Pakistan' s growth rate was expected to increase from the 6.4 per cent of last year.
The Prime Minister noted that it was for the first time that a corporate brokerage house is being listed with a paid-up capital of Rs 500 million at the Karachi Stock Exchange.
"Enlistment of a corporate brokerage house with a significant capital base is indeed a good omen for capital markets of the country," he added.
He said new companies mean new job opportunities but said lots of hard work needs to be put in to succeed.
The government, he said, was coming up with new programmes to further improve country's economy.
He said stock exchanges have already modernised and it was time that online trading is given a boost.
He, however, said these activities need to be licensed and should operate within a regulatory framework to ensure protection and transparency in investment.
The Prime Minister commended the Securities and Exchange Commission of Pakistan (SECP), the Finance Ministry and the State Bank of Pakistan in promoting capital markets in Pakistan.
He said, shortly, the SECP will introduce regulations for online trading activities to ensure proper checks and balances and system audit requirements.
Comments
Comments are closed.