The Securities and Exchange Commission of Pakistan (SECP) reported that it has supported the Debt Management Office (DMO) in conducting 18 auctions of Ijarah Sukuk since December 2023, raising a gross PKR 2.25 trillion. The update follows the move to issue and trade Shariah-compliant government debt using capital market institutions rather than relying on the over-the-counter market, with secondary-market trading volumes described as gradually increasing. The Ministry of Finance (MOF), with federal government approval, decided in December 2023 to use capital market institutions (CMIs) for issuance, registration, trading, settlement and transfer of Shariah-compliant government debt securities, which required Federal Cabinet amendments to relevant rules, CMI regulatory changes, and new processes and software. SECP highlighted collaboration with the MOF, DMO, State Bank of Pakistan (SBP), CMIs, banks, mutual funds and brokers, and noted CMI measures approved by SECP including brokerage commission rationalisation, a broker-quotation-based revaluation mechanism, same-day settlement, and direct secondary-market access for banks and mutual funds. SECP indicated it will continue working with the MOF on development of Pakistan’s domestic debt market.
Securites & Exchange Commission of Pakistan 2025-02-26
Securities and Exchange Commission of Pakistan says 18 Ijarah Sukuk auctions through capital market institutions raised PKR 2.25 trillion
The Securities and Exchange Commission of Pakistan (SECP) supported the Debt Management Office in conducting 18 auctions of Ijarah Sukuk, raising PKR 2.25 trillion since December 2023. This follows the Ministry of Finance's decision to use capital market institutions for Shariah-compliant government debt issuance and trading, requiring regulatory changes and new processes. SECP will continue collaborating with the Ministry of Finance to develop Pakistan’s domestic debt market.