The Securities and Exchange Commission of Pakistan (SECP) has officially operationalised the Capital Market Development Fund (CMDF), aimed at addressing immediate development needs of Pakistan’s capital market in accordance with international best practices.
The primary goal of the CMDF is to increase financial literacy among retail investors and raise public awareness about opportunities in the capital market. By equipping investors with knowledge, the fund aims to boost financial inclusion and offer an alternative source of funding to meet the country’s credit requirements. Secondary goals include enhancing the capabilities of market participants and reaching untapped segments across various demographics and regions.
To support the CMDF, the Pakistan Stock Exchange (PSX), National Clearing Company of Pakistan Limited (NCCPL), Central Depository Company (CDC), and Pakistan Mercantile Exchange (PMEX) will contribute a combined PKR 30 million as seed capital, alongside 1% of their annual revenue. These contributions will fund market development activities aimed at strengthening Pakistan’s financial markets.
The fund will be managed by the Institute of Financial Markets of Pakistan (IFMP), under the supervision of a Steering Committee (SC), which includes representatives from IFMP, PSX, NCCPL, CDC, and PMEX. The Steering Committee will provide governance and strategic direction to ensure the effective implementation of CMDF activities.
The official launch of the CMDF took place during a consultative workshop titled “Unlocking Capital Market Potential for Banks” on August 18, 2025, led by the Honourable Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb.
