Govt Targets Regulatory Hurdles in Companies Act Overhaul

A high-level meeting of the Sub-Committee on Regulatory Reforms, chaired by Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan, was held on Monday to review proposed changes to the Companies Act 2017.

The session was attended by Scott Jacobs, along with representatives from the Board of Investment (BOI), the Securities and Exchange Commission of Pakistan (SECP), and the State Bank of Pakistan (SBP).

The SECP and BOI jointly presented a detailed set of recommendations aimed at aligning the Companies Act with global standards and encouraging a more business-friendly environment.

Key proposals included removing the minimum and maximum membership limits for private and public companies, introducing more flexible corporate forms, and eliminating provisions seen as outdated or overly restrictive.

According to participants, the suggested reforms are intended to reduce procedural bottlenecks, streamline regulations, and promote innovation in corporate structures.

Officials pointed out that these measures could make Pakistan more competitive in attracting both local and foreign investment.

Mr Khan stressed that the final draft of the agreed changes should be prepared without delay. He observed that excessive regulations, lengthy procedures, and barriers to ease of doing business have long hindered enterprise growth in the country.

He also underlined the importance of removing obstacles that stifle modern corporate development.

The meeting concluded with a consensus to expedite the drafting process, with all stakeholders agreeing that legal reforms were essential for enhancing business confidence and fostering economic growth.