The Pakistan Stock Exchange (PSX) has formalized a tripartite memorandum of understanding (MoU) with the Colombo Stock Exchange (CSE) and the Dhaka Stock Exchange (DSE) to enhance regional capital market cooperation.
The MoU, signed on Thursday in Sri Lanka, aims to create an exchange forum for joint initiatives on technology development, human resource sharing, product development, regulatory collaboration, and investor protection. Additionally, the agreement will promote knowledge exchange between the three exchanges.
The signing ceremony was attended by the senior leadership of the exchanges, including PSX Managing Director and CEO Farrukh H Sabzwari, CSE CEO Rajeeva Bandaranaike, and DSE Chairman Mominul Islam. Akif Saeed, Chairman of the Securities and Exchange Commission of Pakistan (SECP), was also present.
Under the MoU, the three exchanges will collaborate on advancing technology, including system development and digital transformation. The agreement also calls for cross-exchange training programs and knowledge-sharing initiatives to foster human capital development. Furthermore, the exchanges will work together on product innovation and the development of new financial instruments.
A key focus of the agreement is harmonizing regulatory practices to strengthen market oversight and improve investor protection. Additionally, the MoU explores the possibility of dual listings, allowing companies to list on multiple exchanges, which would open up cross-border investment opportunities.
Finally, the MoU seeks to enhance commercial linkages, facilitating broker partnerships and institutional connectivity to encourage greater collaboration between the financial markets.
“This strategic partnership marks a significant step forward in regional market integration,” said SECP Chairman Akif Saeed at the signing ceremony.
