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The Securities and Exchange Commission of Pakistan (SECP) has placed six regulatory requirements for the branches of Non-Bank Microfinance Companies (NBMFCs). According to the circular number 23 of 2018 issued here on Friday, the Commission, in exercise of its powers conferred under sub-section (3) of section 282B of the Companies Ordinance 1984 issues the following requirements for the branches of NBMFCs:
Firstly, appropriate display of certificate of incorporation and valid license issued by the Commission to conduct the business of micro-financing.
Secondly, properly trained staff/human resource.
Thirdly, the security arrangements for the safety of documents and staff.
Fourthly, proper client support for filling up of applications and completion of documentation.
Fifthly, the grievance redressal system/mechanism for prompt and effective resolution of clients' complaints.
Sixthly, product information relating to various products being offered by the NBMFC at the branch through printed brochures for the information of potential/existing clients.
All NBMFCs must ensure compliance with the above mentioned requirements within 60 days of the date of this Circular, the SECP added.

Copyright Business Recorder, 2018

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