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ISLAMABAD: The Federal Minister for Information Technology and Telecommunication, Dr Umer Saif, envisaged setting up a government backed Venture Capital (VC) Fund of Fund to strengthen the startup and fintech ecosystems by providing financial support to new ventures and startups.

During his visit to the Securities and Exchange Commission of Pakistan (SECP), Dr Saif showed a keen interest in the SECP’s Regulatory Sand Box and the cutting-edge business models being considered, such as asset fractionalization.

Akif Saeed, Chairman SECP, presented a detailed briefing to the Federal Minister, outlining the organization’s significant efforts in digitalization, innovation, regulatory support, capacity building, investment facilitation, and policy advocacy.

The Chairman also informed Dr Saif about the pioneering regulatory sandbox programme implemented by SECP to facilitate fintech, seamlessly embed technology into conventional financial services, and bring innovation to them.

The SECP Commissioner Mujtaba Ahmad Lodhi, Executive Director Specialised Companies Ms Khalida Habib, CEO IGNITE Asim Shahryar Husain and other senior officials were also present.

Khalida Habib briefed the Minister on the regulatory requirements for the formation of a government backed VC Fund of Fund and provided detailed insights for effectively establishing a well-structured VC Fund of Fund.

The minister also witnessed the signing of a Memorandum of Understanding (MoU) between SECP and IGNITE, focusing on awareness sessions, regulatory compliance education, addressing challenges faced by Pakistani startups, fostering fintech innovation, and fostering investment-friendly environments.

The MoU was signed by Mujtaba Ahmad Lodhi, Commissioner SECP, and Asim Shahryar Husain, Chief Executive Officer of Ignite.

Copyright Business Recorder, 2023

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