A developed capital market is indispensable for sustainable economic growth, veteran businessman Arif Habib said at the SECP Talk Series on Thursday, as he shared insights from over five decades in Pakistan’s capital markets.
Attended by Securities and Exchange Commission of Pakistan (SECP) Chairman Kabir Ahmed Sidhu, commissioners, market institutions, academia and business leaders, the Talk session explored the evolution of Pakistan’s capital markets, long-term investing and the reforms needed to deepen investor participation.
In his opening address, Sidhu said the Talk Series aimed to institutionalize knowledge-sharing by connecting regulators with experienced market practitioners to support evidence-based policymaking. He highlighted the SECP’s ongoing reforms, including digital investor onboarding, implementation of the T+1 settlement cycle, and initiatives to expand the investor base to 2.5 million through greater financial inclusion and easier market access.
“Our objective is to build a capital market ecosystem that is transparent, accessible and aligned with global standards,” he said.
Reflecting on more than five decades in the market, Habib traced Pakistan’s capital market journey from open-outcry trading floors to today’s technology-driven marketplace. He emphasized that while markets evolve, the principles of successful investing remain discipline, patience and long-term thinking.
The businessman noted that the Pakistan Stock Exchange has delivered an average annual return of around 22% over the past 22 years and a 14% dollar-denominated return over the last five years. He stressed that market volatility is temporary, while long-term investment in fundamentally strong companies creates sustainable wealth.
He also underscored the role of capital markets in mobilizing savings, financing businesses, strengthening corporate governance and creating employment across brokerage, asset management, investment banking, research, fintech and advisory services. He emphasized the need to increase financial literacy, particularly among young Pakistanis, to broaden participation in formal capital markets.
The session concluded with a question-and-answer session and the presentation of a commemorative shield to Arif Habib.