ISLAMABAD: Federal Minister for Finance and Revenue Shaukat Tarin on Monday chaired the first meeting of the Capital Market Advisory Council (CMAC).

Speaking at the meeting, Mr Tarin said the establishment of CMAC was long overdue. “Capital markets can improve risk sharing and the efficiency with which capital is allocated to the real economy; thereby boosting economic growth and development,” he added.

The CMAC was established under the Capital Market Development Plan (CMPD) in April 2020 with the goal of introducing reforms in capital markets across the country.

The finance secretary briefed the council members about the purpose behind the formation of the CMAC.

“The underlying rationale is to attract investors, especially ones with lesser resources, to contribute in capital markets so that their limited resources are channelised into more productive use. The reforms will be introduced after having input from all the relevant stakeholders,” he stressed.

On the occasion, the finance minister directed for the formation of a Coordination Committee for smooth implementation of the TORs of CMAC.

He further directed inclusion of members from the Securities and Exchange Commission of Pakistan (SECP), State Bank of Pakistan (SBP), Pakistan Banking Council, commercial markets, legal counsel and an expert on Islamic Banking in the Coordination Committee for comprehensive feedback from stakeholders.

It was also decided that the SECP would be the Secretariat of the Coordination Committee, with the chairman SECP as its head/secretary.

Published in Dawn, July 20th, 2021