Efforts on to modernize corporate sector: Asad Umar

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APP12-11 ISLAMABAD: March 11 – Finance Minister Asad Umar addressing launching ceremony of Pakistan Corporate Governance Assessment. APP

ISLAMABAD, Mar 11 (APP):Finance Minister Asad Umar Monday said that efforts were being made to modernize the corporate sector of the country by bringing about improvements in corporate laws.
Addressing a launching ceremony of Pakistan Corporate Governance Assessment Report 2018, organized by World Bank and Securities and Exchange Commission of Pakistan (SECP) here, the minister urged the regulators including SECP and Pakistan Stock Market (PSX) to fully facilitate the corporate sector in order to enhance its productivity and contribution to the economy.
He was of the view that there was need to change the fundamental operating procedures for the corporate sector to achieve the desired goals, adding the government was focusing on improving governance in public sector enterprises.
Comparing private and public sector organization, the minister said the procedures for procurement were quite complex in the public sector compared to private sector.
He said the cabinet had given approval to change the multilateral procurement rules. The minister also highlighted the importance of increasing incorporation of companies and urged for making the compliance system of departments easy to facilitate investors.
“We want to encourage more and more companies to come into the fold of corporatization, incorporate themselves and then many of them can go on to become listed companies,” the minister remarked.
He was of the view that the listed companies could utilize the capital market, to mobilize national savings and allocate those savings into productive assets.
Earlier, speaking on the occasion, SECP Chairman Farrukh H Sabzwari said that adoption of best world practices were needed to improve the performance of the corporate sector.
He said that efforts were being made to improve performance of government organization and also highlighted the importance improving SECP’s law implementation function to ensure protection of small investors.
He said that SECP was taking measures for ease of doing business and was also working on reducing documentation for registration.
Meanwhile, talking to media persons, the minister said Pakistan’s demand of removing Indian from co-chair of the Financial Action Task Force’s (FATF) Asia-Pacific Joint Group was a right and legal.
He said that politicians in India had been delivering speeches against Pakistan and India has been biased against Pakistan, so the demand of removing India from review group was made.
He said that there happens to be only one report prepared by FATF itself and countries’ do not prepared their own reports, however he added India had prepared separate report against Pakistan.
He said that India has been demanding to put Pakistan on black list and was lobbing through different companies to serve this purpose. He said that Pakistan reservations were lawful as India was lobbing in FATF.
He said that FATF was an international organization, so Pakistan’s likes or dislikes did not matter.
It is pertinent to mention here that finance minister, through a letter had asked President of Financial Action Task Force (FATF) Marshall Billingslea to appoint any other member of FATF as co-chair of the Asia-Pacific Joint Group, in place of India, to ensure that FATF review process was fair, unbiased and objective.
The minister, in a letter to the FATF president, said India’s animosity towards Pakistan was well known. The recent violation of Pakistan’s airspace and dropping of bombs inside its territory was another manifestation of India’s hostile attitude.