According to Securities and Exchange Commission of Pakistan (SECP), thousands of new companies have been registered in Pakistan during the month of February. The data shows that 1021 new companies were registered in February which was up by 19% as compared to corresponding period of last year.
Now SECP data shows the total number of registered companies in Pakistan reached 84,809. The significant increase in company registration is a result of reforms introduced by SECP which includes simplifying the registration procedure, fee reduction and assistance offered by facilitation wings of CROs.
SECP has recently launched an online registration system of companies where businesses can register themselves online with ease, the growth in companies registrations is also the part of programme “ease of doing business in Pakistan” which specifically focuses on simplifying all the procedures and help businesses to set up in Pakistan.
The data shows that 81% of registered companies during February were private limited companies, while 17% of the companies were registered as sole-proprietorship. Two percent of the companies were public unlisted, trade organizations, non-profit or foreign companies.
The companies were registered in various sectors but the services sector is the leading one followed by the trading and IT sector. Total 162 companies were registered in services sector which is a record high, 145 companies were registered under the trading category, IT companies are also rising and total 120 companies were registered in this category. Construction, Tourism, Food & Beverages, Agricultural farming, education, Engineering & real estate development categories got 111, 47 39, 38, 30 and 27 companies registered respectively.
While other sectors including communication, textile, pharmaceutical, mining, healthcare & electric & energy & fuel, auto & allied and logging got registered companies 24, 22, 17, 15, 14, 13 and 11 respectively. Moreover, 131 companies were registered in other sectors, additionally, 3 foreign companies were also registered by CROs in Islamabad, Karachi, and Lahore.
Besides registration, foreign investments were also reported in 40 new companies, top foreign investors were from the countries: US, Russia, South Korea, China, Germany, Sweden, Singapore, Portugal, Denmark, Argentina, Kenya, and Jordan.
Islamabad registered the highest number of companies 345 as compared to other cities, 303 companies were registered in Karachi while, 195 companies were registered in Lahore. Other cities also received some registrations, Peshawar, Multan, Gilgit-Baltistan, Faisalabad, Quetta, and Sukkur registered 53, 48, 38, 25, 12 and 2 companies respectively.