LAHORE: The Central Depository Company (CDC) of Pakistan has further reduced the base tariff for its major depository services to facilitate capital market participants.

The company has slashed processing charges by 50 per cent for the induction of physical share certificates and to promote digitisation.

It has also waived transaction fee on corporate action by 100pc and reduced certain tariff items for mutual funds to support leverage products.

The CDC has abolished Rs67,500 annual fee for eligible security issued amount (face value)/annual fee on CDS eligibility of units of open-end mutual funds.

It has slashed the Securities Deposit Processing Fee from 0.25pc to 0.0125pc, annual fee (individuals and other than individual) from Rs375 to Rs338 and from Rs2,000 to Rs1,800 and accounts statement fee from Rs100 to Rs50.

“Despite the pandemic induced circumstances since last year, we have ensured to pass on the benefits to the market players by undertaking these tariff reductions. This decision is in line with CDC’s strategy of reducing cost of doing business and facilitating all market players, including brokers, asset management companies and most importantly, investors,” says CDC Chief Executive Officer Badiuddin Akber.

“We are thankful to the SECP (Securities and Exchange Commission of Pakistan) in this regard as they have always encouraged us to bring out reforms to enhance ease of doing business and tariff reductions to reduce cost of doing of business for the market participants,” he added.

The CDC is the sole entity handling the electronic (paperless) settlement of transactions carried out at the Pakistan Stock Exchange.

Published in Dawn, October 6th, 2021