ISLAMABAD, March 2: Prime Minister Shaukat Aziz on Wednesday said capital markets were playing a catalytic role in developing economy and emphasized the need for enlisting more companies on stock exchanges.

Speaking at the foundation laying ceremony of the 19-storeyed Islamabad Stock Exchange building here, the prime minister said: "Capital market is the key to progress ... and provides the engine to push the economy forward."

Calling for enlisting more companies on the stock exchanges, he said the government was pursuing the privatization programme through the now growing capital market. Mr Aziz reiterated his government's resolve to continue to pursue a policy of continuity and consistency in national policies.

"There will be no U-turn," he says and points out that stronger capital markets create better ambiance which has a positive affect on the psyche of the investors. The government and the Securities and Exchange Commission of Pakistan, he said, had worked hard and now the progress of capital markets in Pakistan had put the country in the front row of developed countries.

"The country is now entering the second generation reforms," he said, adding that there was still more to be done. "We need trading halls and electronic trading will be the next step."

"The necessary political will is there and the government is committed to pushing this process forward," Mr Aziz said. The prime minister said Pakistan was gaining strength on the fronts of economy, politics, diplomacy and security situation.

"The growth is around seven per cent, and there are indicators that it would touch the eight per cent mark." The government, he said, had opened the "doors of opportunity" and now it was up to the private sector to benefit. -APP