ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has issued a circular prescribing a Standard Format of Board Resolution for companies opening corporate bank accounts under the Companies Act, 2017. The initiative is part of SECP’s ongoing reforms under the theme of its 7th Registrar Conference, “From Paper to Platform,” aimed at promoting standardization and digital transformation in corporate practices.
The circular, developed after extensive consultations with the Pakistan Banks’ Association and other stakeholders, seeks to address challenges caused by the previous lack of a prescribed format. Inconsistent documentation had often resulted in delays, compliance queries, and verification issues, particularly affecting start-ups and companies with foreign directors, which in turn slowed foreign direct investment (FDI).
The new standard resolution format will ensure uniform documentation, facilitate faster onboarding of corporate clients, and enhance transparency and security through QR code-enabled digital verification, safeguarding against forgery or unauthorized alterations. Companies will submit the resolution electronically, digitally signed and authenticated by an authorized officer. QR codes will allow instant verification of key details, including company name, resolution date, directors present, and authorized signatories.
Financial institutions are encouraged to accept the QR-enabled format, subject to their internal due diligence. The measure is expected to reduce verification delays, improve compliance efficiency, and deliver time and cost savings for both companies and banks.
The SECP said the initiative reinforces regulatory oversight while promoting a paperless and secure framework, reflecting its commitment to digitalization and improving Pakistan’s ease of doing business.
The Standard Board Resolution format is available for download on SECP’s official website.
