Country Report on NBFI & Modaraba Sector Launched at IBA
Country report on NBFI & Modaraba sector prepared by IBA-CEIF in collaboration with NBFI & Modaraba Association was launched at the IBA City campus.
The project was led by Dr. Irum Saba from IBA CEIF and Mr. Sami Ullah from Modaraba Association of Pakistan. Mr. Basheer A. Chowdry, Chairman presented the Report to Dr. S. Akbar Zaidi, Executive Director, Institute of Business Administration (IBA).
Mr. Chowdry said that the report includes various aspects of the Non-Banking and Modaraba sector encompassing its evolution, growth, structure, performance, shariah compliance and regulatory framework and provide a comprehensive coverage of the sector. He highlighted the performance and contribution of the sector and said that the sector has distributed significant amount to its shareholders/certificate holders in the shape of cash dividend. He also highlighted the various measures taken by the Association for the awareness, growth and image building of the Sector.
Dr. S. Akbar Zaidi, Executive Director, IBA also addressed the participants and appreciated the coordination between IBA-CEIF and NBFI & Modaraba Association of Pakistan and hoped that in future a series of such type of reports would also be brought for the awareness of the sector.
Dr. Ishrat Husain, Advisor to PM on Institutional Reforms & Austerity, the Chief guest of the event suggested a number of measures to be taken by the NBFI & Modaraba Sector for its development and growth. He congratulated the authors and people who worked hard to produce such a fine report on the sector. He said that introduction of Fintech in the country would disrupt primacy of both the banking and non-banking sector to reposition themselves. He also mentioned that SME lending of the banks has reached from 17% to 7% which is very disturbing for the development of the SME Sector.
Mr. Farrukh H. Sabzwari Commissioner SECP said that SECP has recommended various amendments in the Modaraba Ordinance, 1980 including Introduction of Unlisted Modaraba, Powers to the Certificate holders and giving voting rights etc, Consolidation of weak leasing Companies and Modarabas etc. He pointed out that Institute of Financial Markets in Pakistan (IFMP) has been reshaped and new CEO has been appointed to accelerate the activities including holding of awareness session in collaboration with other financial institutions.
The dignitaries who witnessed the launch includes Mufti Irshad Ahmad Aijaz, Mr. Ahmed Ali Siddiqui, Mr. Raheel Q. Ahmad, Mr. Shoaib, Mr. Omar Mustafa Ansari, Mr. Bilal Rasool, Ms. Bushra Aslam.