June 24, 2026 (MLN): China Financial Futures Exchange (CFFEX) has
welcomed the Securities and Exchange Commission of Pakistan’s (SECP) efforts
aimed at facilitating Chinese investment in Pakistan’s capital market, while
signaling greater interest from Chinese investors in the country’s financial
sector.

CFFEX Executive Vice President Yu Hong wrote a letter
to SECP Chairman Dr. Kabir Ahmed Sidhu, expressing gratitude on behalf
of the Chinese Investor Consortium and acknowledging the regulator’s support in
addressing key matters related to the consortium’s investments in Pakistan.

In his letter, Yu Hong appreciated Dr. Sidhu for resolving
several long-pending strategic issues concerning the Chinese consortium.

He specifically highlighted SECP’s approval for the
carve-out of real estate from the Pakistan Stock Exchange’s (PSX) core
operations and consent for PSX to increase its shareholding in the National
Clearing Company of Pakistan Limited (NCCPL) and the Central Depository
Company (CDC).

The Chinese consortium noted that these measures have helped
align Pakistan’s market infrastructure with international practices and have
removed important obstacles related to expanding Chinese investment in
Pakistan’s capital market infrastructure.

Yu Hong stated that the consortium views the future of
Pakistan’s capital markets positively and believes that the initiatives
discussed with SECP will gradually introduce Pakistan’s capital market to
Chinese institutional investors.

He added that the consortium would continue working closely
with SECP, Chinese regulators, and market participants in both countries to
promote investment cooperation.

The consortium also expressed interest in expanding Chinese
participation in Pakistan’s capital markets, including efforts aimed at
increasing investment opportunities and strengthening market linkages between
the two countries.

According to the information provided, Chinese investors are
interested in introducing new products at the Pakistan Stock Exchange,
including cross-border Exchange Traded Funds (ETFs), which could further
enhance cooperation between the Pakistani and Chinese capital markets.

The developments are expected to support the creation of new
opportunities for foreign investment in Pakistan’s capital market, while
ongoing reforms are contributing to stronger confidence among international
investors.

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