News Regulations05 Feb 2026

Pakistan:New SECP Chairman signals bold reforms for insurance

| 05 Feb 2026

Source: SECP


The insurance industry will receive special attention as Dr Kabir Ahmed Sidhu has formally assumed charge as Chairman of the Securities and Exchange Commission of Pakistan (SECP), which is the primary regulator of Pakistan's corporate sector, capital markets, and non-banking financial institutions.

In a statement, the SECP said that Dr Sidhu reiterated the regulator’s commitment to increasing insurance penetration through digital microinsurance, takaful, parametric climate insurance, and greater transparency in policy offerings and claims management.

These reforms aim to extend insurance coverage to the informal sector and enhance consumer protection while strengthening the overall resilience of the economy.

Dr Sidhu’s appointment marks the beginning of a reform-driven agenda aligned with the Prime Minister’s Economic Governance Reforms, with a focus on strengthening Pakistan’s capital markets, improving the ease of doing business, and aaa financial inclusion, the SECP said.

Before his appointment, Dr Sidhu resigned from the position of Chairman of the Competition Commission of Pakistan (CCP). The Federal Cabinet accepted his resignation on 27 January.

Vision

Upon assuming office, Dr Sidhu outlined a clear vision focused on building a fair, transparent, and inclusive financial market that channels savings into investments, supports innovation, and sustainable economic growth.

He emphasised that SECP will prioritise reducing the cost of doing business by simplifying regulations, streamlining procedures, and accelerating digital transformation across the corporate and financial regulatory framework.

Capital markets

Dr Sidhu highlighted that the capital markets are the engine of economic growth. He will focus on broadening the investor base, encouraging new listings, and introducing diversified financial products, including revising the legal and regulatory framework for derivatives, REITs, green bonds, and fractional investment options. These measures aim to enhance market depth, liquidity and investor confidence, and ensure alignment with global best practices.

Non-banking financial sector

A major thrust of the new Chairman’s strategy is the promotion and revival of the Non-Banking Financial Companies sector. Dr Sidhu underscored the importance of leasing companies, digital lending, mortgage finance, housing finance, and peer-to-peer platforms in expanding credit access, particularly for SMEs, first-time borrowers, and underserved segments of the economy.

Digitalisation at the SECP

Dr Sidhu also emphasised advancing the SECP’s digital transformation journey. He stated that the licensing regime will be fully digitised, supported by a smart compliance system to simplify regulatory requirements, reduce compliance costs, and shorten turnaround time for businesses. These initiatives are expected to enhance regulatory efficiency and make Pakistan a more attractive destination for investment.

Background

Dr Sidhu brings a distinguished academic background and over 20 years of diverse experience across the legal, financial, and regulatory landscapes of the UK and Pakistan, according to a post by the SECP on its Facebook account.

He is a specialist in financial regulation. He holds a PhD from the University of Manchester, where his doctoral thesis focused specifically on the regulation of market abuse and manipulation, a core priority for the SECP. His academic credentials also include an LLM in Banking, Insurance, and International Business Law, with certifications in financial advice from the London Institute of Banking and Finance.

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