PSX Islamic stock exchange award 2021

Pakistan Stock Exchange (PSX) has been awarded the Best Islamic Stock Exchange Award-2021 by Global Islamic Finance Awards (GIFA).

The award presented to PSX for the first time in 10-year history of GIFA is an international vote of confidence in PSX as a robust and active bourse, facilitating all types of companies and investors – whether Shariah-compliant or otherwise, said PSX statement on Tuesday.

GIFA is an internationally respected platform recognizing excellence in banking and finance in the Islamic world, which is a significant development at global level especially in the Islamic world.

Since 2011, the awards have been presented to individuals, institutions and government departments globally who has shown outstanding performance in promoting Islamic banking and finance, and in terms of commitment to social responsibility.

GIFA is the only global Islamic finance awards programme covering all parts of the world and includes all institutions and individuals who have contributed to growth and expansion of Islamic banking and finance with Sharia authenticity.

Pakistan Stock Exchange has a robust platform for providing Shariah compliant products including dedicated Islamic indices, Shariah compliant equities and debt instruments.

PSX has listed modarabas and Islamic Commercial Banks as well as products like Islamic Mutual Funds and an ETF. It boasts of total listed capital of Shariah-compliant companies of Rs 770 billion ; making up 53% of the total listed capital of all listed companies. PSX presents a strong product suite for investors looking to invest according to Islamic principles of finance. It is also a cost-effective and efficient platform for Shariah compliant companies to raise debt and equity capital, utilising Shariah compliant products.

PSX Chairperson, Dr. Shamshad Akhtar said it was definitely an immense achievement for the exchange PSX’s winning this accolade showed that it was a premium platform for listing and investing of Islamic capital market products.

“The winning of this award endorses that PSX is heading in the right direction in terms of facilitating and providing Islamic capital market products and offerings,” she remarked.

The management intended to build on Islamic finance business at PSX and ensure furthering PSX’s regulatory, operational, technological standards and products in providing diversified Islamic products and facilitating Shariah-compliant equity and debt listings.

PSX’s Managing Director, Farrukh H. Khan said the stock exchange was truly honoured and proud to win the Best Islamic Stock Exchange award-2021, under the auspices of the Global Islamic Finance Awards. The award was in fact a recognition not just of PSX’s standing in the world of Islamic finance but of Pakistan as well.

Both PSX and Pakistan have been working for many years to introduce Islamic modes of financing, in both the banking and capital markets. This has filled a real need of the financial sector customers. Today, Islamic financial products are the fastest growing in Pakistan.

He mentioned that Pakistan Stock Exchange had total market capital of Shariah compliant companies of Rs 4,770 billion which made up 57 percent of the total market capital of all listed companies (as of June 30th, 2021). With Sukuks, an ETF, Modarabas, Mutual Funds and equity listings that were Shariah compliant, PSX provided for a viable and convenient conduit for capital raising for those who wanted to list their products and companies in accordance with Shariah compliance.

At the same time PSX presented an attractive avenue for investors who wanted to invest as per Islamic principles of finance.

We are proud of our achievements and sincerely thank GIFA for honouring us with this award. None of this would have been possible without the great team at PSX, support of SECP, the brokerage community, our board and shareholders. And of course our listed companies and investors. We thank them all and look forward to continuing on this path of progress for PSX and Pakistan”, he added.

Chairman SECP, Aamir Khan felicitated PSX management with remarks that PSX had made commendable strides over the last two years. And, winning ‘Best Islamic Stock Exchange Award 2021’ was a testament to its efforts in promoting Islamic products and offerings in the capital market.

He assured that SECP would strongly support PSX’s continued efforts to serve a wider client base and meeting the needs of Shariah conscious issuers and investors.