The 26th meeting of the Securities and Exchange Commission of Pakistan (SECP) and State Bank of Pakistan (SBP) Coordination Committee was held on Wednesday at the SECP head office Islamabad wherein SBP Governor Ashraf Mahmood Wathra and SECP Chairman Zafar Hijazi were present along with their teams. During the meeting various incentives for development of bond market, ease of doing business, strict enforcement of financial laws, collective action against those involved in financial malpractices and improving financial inclusion in the country.The SBP governor stated that regulatory objectives of the two regulators are being served well through the ongoing consultative process between the SECP and SBP.
There was a broad consensus on approaching the systemic risk and financial stability issues in close collaboration between the two regulators.
Furthermore, it was stressed that special attention to the ongoing financial scams and fraudulent financial activities should be given in addition to illegal liquidity mobilisation schemes and unregulated lending operations by adopting a joint approach aimed at eradicating such practices. The committee encouraged the concerned authorities to seek the cooperation of law enforcement agencies to catch the culprits and ensure that the guilty are denied access to the formal financial sector, by imposing restrictions and information sharing among all stakeholders.
The SECP chairman stressed upon the need for effective collaboration between financial sector regulators for effective implementation of relevant rules and regulations as well as development of efficient financial markets.
The SECP-SBP Coordination Committee meets once in a quarter to maintain ongoing regular coordination between the two regulators on all matters of mutual interest. The two committees share their viewpoints and collaborate with each other for the overall stability, and smooth functioning of the financial sector.