Islamabad (GNP): Veteran businessman Arif Habib said developed capital markets are essential for driving sustainable economic growth, drawing on more than five decades of experience in Pakistan’s financial markets during a session at the SECP Talk Series.
The event, attended by SECP Chairman Dr. Kabir Ahmed Sidhu, along with commissioners, market institutions, academics, and business leaders, focused on the evolution of Pakistan’s capital markets, the importance of long-term investing, and reforms needed to boost investor participation.
Opening the session, Dr. Sidhu explained that the Talk Series is designed to build a bridge between regulators and experienced market professionals, supporting policymaking grounded in real-world expertise.
He outlined ongoing SECP reforms, including digital investor onboarding, the rollout of the T+1 settlement cycle, and efforts to expand the investor base to 2.5 million through improved financial inclusion and easier market access. He said the goal is to build a capital market that is transparent, accessible, and aligned with global standards.
Habib’s Reflections on Market Evolution
Drawing on his career spanning over five decades, Habib traced Pakistan’s capital market journey from the era of open-outcry trading floors to today’s technology-driven system. He noted that while the mechanics of trading have changed dramatically, the core principles of successful investing — discipline, patience, and a long-term outlook — remain unchanged.
He pointed to the Pakistan Stock Exchange’s average annual return of roughly 22% over the past 22 years, along with a 14% dollar-denominated return over the last five years, as evidence of the market’s long-term value. He argued that short-term volatility is temporary, while sustained investment in fundamentally sound companies builds lasting wealth over time.
Habib also spoke about the broader economic role capital markets play — mobilizing savings, financing businesses, strengthening corporate governance, and generating employment across brokerage, asset management, investment banking, research, fintech, and advisory sectors. He stressed the importance of improving financial literacy, particularly among younger Pakistanis, to encourage wider participation in formal capital markets.
The session concluded with a question-and-answer segment, followed by the presentation of a commemorative shield to Habib.
SECP Chairman Dr. Kabir Ahmed Sidhu welcomed the chief guest, Arif Habib, at the SECP Talk Series, an initiative designed to provide participants with opportunities to learn from the experiences of leading business figures.
Addressing the audience, the Chairman highlighted SECP’s commitment to strengthening Pakistan’s capital market, stating that the regulator aims to increase the number of investors to 2.5 million.
He noted that the investor account-opening process is being further simplified, while rapid progress is being made toward implementing the T+1 settlement system.
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Dr. Saeed added that digital reforms are making investment easier and more secure, with the broader objective of aligning Pakistan’s capital market with global standards. He emphasized that attracting youth and new investors remains a key priority for SECP.
Sohail Majeed is a Special Correspondent at The Diplomatic Insight. He has twelve plus years of experience in journalism & reporting. He covers International Affairs, Diplomacy, UN, Sports, Climate Change, Economy, Technology, and Health.
