88% of unlisted licensed companies now disclose financials on PSX portal

The Securities and Exchange Commission of Pakistan (SECP) has announced that 88% of unlisted licensed companies are now publicly disclosing their annual audited financial statements through the dedicated portal of the Pakistan Stock Exchange (PSX), marking a sharp rise in compliance levels across the regulated sector.

The disclosure is being made through the PSX’s Financial Portal for Unlisted Companies (FPUC), a platform established to improve transparency and accessibility of financial information for entities operating outside the listed market.

According to the regulator, the progress follows a directive issued in January last year requiring all unlisted licensed companies to upload and publicly disseminate their audited financial statements via the PSX portal. Companies were also instructed to sign formal agreements with PSX to gain access to the FPUC and ensure timely submission of financial reports within prescribed deadlines.

The SECP said the directive was aimed at enhancing transparency, strengthening disclosure standards, and improving governance practices among entities operating in areas of significant public interest. These include brokers, insurance companies, non-banking finance companies (NBFCs), modarabas, and other licensed entities under the commission’s oversight.

Public access to audited financial statements is expected to enable investors, creditors, and other stakeholders to better assess the performance and financial health of these companies. By centralising disclosures on a single, accessible platform, the regulator seeks to bring greater consistency and visibility to the unlisted segment of the financial services sector.

The SECP noted that compliance has increased from negligible levels prior to the directive to 88% of companies now publishing their audited accounts through the portal. As part of its supervisory role, the commission conducted an extensive sector-wide compliance drive to ensure implementation of the directive.

The regulator added that supervisory actions have been initiated under the applicable legal framework against the remaining non-compliant entities.

Reaffirming its commitment to regulatory enforcement, the SECP said it will continue to pursue a firm approach to promote transparency, accountability, good governance, and investor protection across Pakistan’s financial services landscape.