ISLAMABAD: Caretaker Prime Minister Mohammedmian Soomro has directed the Securities and Exchange Commission of Pakistan (SECP) to ensure expeditious settlement of insurance claim cases, in a transparent manner, of the affectees of the riots and disturbances after the December 27 incidents. He also took notice of the functioning of certain unregistered companies issuing 3rd party insurances and directed for appropriate action against such elements.
Talking to Chairman SECP Razi-ur-Rehman at the Prime Minister’s Secretariat, the Prime Minister called upon the need for high standards of corporate integrity and excellence, which are of fundamental importance for the development of any capital market. He also stressed for need to focus on achieving the highest standards of corporate governance, transparency and professionalism in order to strengthen investors’ confidence. Although companies have been able to raise some capital but further efforts need to be made to encourage companies to raise capital through fresh equity offerings, which will serve to deepen the market and develop the retail investor base, he added.
Chairman SECP apprised the Prime Minister about the outcome of the Commission’s recent meeting held with the Association of Insurance Companies including NIC and PRC in which the details of preliminary claims were examined. The detailed statement of exact claims, he mentioned, are still awaited. The insurance companies are confident about their financial position and have assured that genuine claims would be settled as soon these are verified, he added.
He also briefed the Prime Minister that continuous reforms are being adopted in SECP and Stock Exchanges and the second-generation reforms which cover both the capital market and the insurance sector are being implemented in line with the policies of the government. He said that these reforms would result in increased economic growth, better transparency and enable Pakistani capital market to attract domestic and foreign capital.-SANA