The Securities and Exchange Commission of Pakistan (SECP) has stated that any Shariah-compliant scheme initiated following the introduction of the Shariah Governance Regulations, 2023, must secure a Shariah compliance certificate by September 30, 2025.
The SECP issued S.R.O. 600(I)/2025 on Tuesday to amend the Non-Banking Finance Companies and Notified Entities Regulations, 2008.
According to the SECP, a “Shariah Compliant Scheme” refers to a Collective Investment Scheme or Pension Fund that has been officially declared Shariah-compliant under the Companies Act, 2017, in conjunction with the Shariah Governance Regulations, 2023.
The Asset Management Company is responsible for ensuring ongoing Shariah compliance for Shariah-compliant schemes and must adhere to the certification conditions outlined in the Shariah Governance Regulations, 2023.
The SECP directed that any Sharia-compliant scheme launched after the implementation of the Shariah Governance Regulations, 2023, which has not yet obtained a Shariah compliance certificate, must do so by September 30, 2025.
The SECP stated that an annual report by Shariah Auditors, as mandated under regulation 29(5) of the Shariah Governance Regulations, 2023, must be submitted to the Board of Directors.
The SECP stated that Shariah-compliant schemes similar to an already approved Shariah-compliant scheme by the Commission—having the same foundational structure, mode of Islamic financing, and terms and conditions, except for differences in commercial aspects—will not be required to obtain a separate Shariah compliance certificate. for differences in commercial aspects like pricing and issue size—will not need a separate Shariah compliance certificate. However, the Asset Management Company must submit Form E as per the Shariah Governance Regulations, 2023, prior to launching such additional schemes.
In the case of a Shariah-compliant scheme, the Asset Management Company must ensure that all new and additional Constitutive Documents adhere to the clauses specified in Schedules III, IV, VII, and VIII concerning Shariah compliance.
