Pakistan’s financial regulatory framework may soon see a notable shift in oversight as lawmakers move closer to becoming part of the policy board of the Securities and Exchange Commission of Pakistan (SECP). The development comes after the Senate Standing Committee on Finance approved an amendment to the SECP Act 1997, opening the door for parliamentary representation within the commission’s policymaking body.
The amendment, proposed by Senator Anusha Rehman, allows two parliamentarians—one member of the National Assembly and one senator—to sit on the SECP’s policy board. If enacted, the change will increase the number of government-nominated members from four to six. Supporters of the move argue that bringing elected representatives into the policy board will strengthen accountability and improve oversight of the country’s financial regulators.
During the committee meeting, lawmakers raised several concerns about decisions taken by the previous SECP leadership. Senator Rehman questioned the sharp rise in salaries and benefits approved for SECP officials under the former policy board. According to her remarks, the increase not only raised compensation packages significantly but also included the payment of arrears. She asked Finance Minister Muhammad Aurangzeb to clarify the basis on which these payments were approved and suggested that higher fees charged by the SECP might have been used to support the expanded pay structure.
Committee members also expressed frustration over the commission’s response to earlier requests for information. Senators said they had asked the SECP to provide details about foreign visits made by officials during a period when travel restrictions were reportedly in place. However, the requested information was not submitted to the committee. This prompted criticism of SECP Chairman Dr Kabir Ahmed Sidhu, with lawmakers arguing that the commission had failed to cooperate fully with parliamentary oversight.
Another point raised during the session was the possibility of recovering funds from former senior officials if investigations confirm that excessive financial benefits were granted. The committee mentioned former SECP chairman Akif Saeed among those whose tenure may need further review.
Despite reservations from the finance minister regarding the proposed amendment, the committee ultimately approved the change to include lawmakers on the policy board. Senator Rehman maintained that institutions such as the SECP and the State Bank of Pakistan have relatively high salary structures compared to many other public-sector bodies. In her view, the presence of parliamentarians could ensure that decisions affecting public resources are subject to greater scrutiny.
The amendment now represents another step in the ongoing debate about how independent Pakistan’s financial regulators should be while still remaining accountable to elected institutions. Supporters believe parliamentary inclusion could enhance transparency, while critics worry it may blur the line between regulatory independence and political influence.
As the amendment moves forward in the legislative process, it is likely to spark continued discussion about governance, oversight, and the balance between autonomy and accountability within Pakistan’s regulatory institutions.