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ISLAMABAD, Oct 3 (APP):The Securities and Exchange Commission of Pakistan (SECP), led by Commissioner Muzzafar Ahmed Mirza on Friday held a consultation session with Muhammad Hassan Bakshi, Chairman of the Association of Builders and Developers of Pakistan (ABAD), and his team, which included industry experts.
The session aimed to deliberate on a regulatory framework for real estate companies that intend to invite advance deposits for real estate projects, said a press release issued by SECP.
The framework for such companies, which is provided under the Companies Act, 2017, has so far remained in abeyance. It requires companies to obtain a prior No-Objection Certificate (NOC) from the SECP before announcing or advertising any real estate project. Additionally, companies must maintain all public advances in an escrow account.
The participants held detailed discussions on the ground realities, practical aspects, and grey areas within the real estate sector to develop a robust framework that ensures both investor protection and sectoral growth. SECP representatives emphasized their commitment to strengthening regulatory safeguards, ensuring investor protection, and promoting transparency in project financing through a trustee mechanism.
This consultation marks an important step toward developing a balanced regulatory framework that addresses sector-specific challenges while maintaining public confidence in real estate investments.