ISLAMABAD, March 21: The Asian Development Bank may lend $250 to $300 million for implementation of the second phase of capital market reforms in Pakistan.

In this connection a two-member delegation of the ADB has come to Islamabad. It has already held discussions with senior officials of the Securities & Exchange Commission of Pakistan, the implementing agency for the three-year reform programme.

The delegation comprises senior ADB officials, including Klaus Gerhaeusser, director, Governance, Finance and Trade Division, South Asia Department; and Werner Liepach, principal, Financial Sector Specialties for South Asia.

The first phase of the programme has been implemented “successfully” with a $250-million loan from the ADB.

In the second phase, to be launched by the end of 2002, focus will be on financial market (non-bank) reforms, both macro- and micro-levels. In addition to a review of the fiscal incentives, the programme would also strive to improve the governance structure of financial market participants that include stock exchanges, non-bank financial institutions (NBFIs), accounting firms and investors.

At the micro-level, the objective of the programme will be to enhance the depth of financial market in Pakistan by introducing more financial products.