Capital Market Development Fund established to strengthen Pakistan’s capital markets

ISLAMABAD: Key capital market institutions of Pakistan on Wednesday established the Capital Market Development Fund (CMDF), aimed at promoting financial literacy, expanding financial inclusion and increasing retail investor participation in the capital markets across the country. The main participants of the CMDF included the Pakistan Stock Exchange (PSX), Central Depository Company (CDC), National Clearing Company of Pakistan Limited (NCCPL), Pakistan Mercantile Exchange (PMX) and the Institute of Financial Markets of Pakistan (IFMP). The CMDF was established under the auspices of the Securities and Exchange Commission of Pakistan (SECP) to ensure coordination in the industry and strengthen the institutional capacity in Pakistan’s capital markets. Addressing the ceremony, Finance Minister Muhammad Aurangzeb said recent regional tensions had reinforced the need for Pakistan to make independent commercial decisions, diversify energy resources, and mobilise domestic capital for national development. “We must rely on our own resources and strengthen self-sufficiency. Capital markets can play a vital role in providing the financing needed for economic independence,” he stated. Aurangzeb reaffirmed the government’s commitment to economic stability, sustainable growth and financial sector reforms. He also emphasised the importance of strengthening capital markets, promoting local investment, achieving self-reliance, and implementing key energy sector reforms, noting that Pakistan’s economy continues to move in a positive direction despite regional and economic challenges. The finance minister noted that despite regional uncertainties and global economic pressures, Pakistan’s economic indicators were showing consistent improvement. He added that the government remained focused on strengthening the current account balance and reducing the fiscal deficit while maintaining macroeconomic stability. Aurangzeb further stated that Pakistan’s stock market had demonstrated resilien