Islamabad: The Asian Development Bank (ADB) on Wednesday approved a technical financing arrangement for the launch of its financial markets development programme in Pakistan, a news source reported.
As per officials, the reforms programme aims to remove constraints in the way of achieving a vibrant capital market in the country. It will work on such issues as ad-hoc government debt management practices, absence of a clear capital market development strategy for debt issuance, shallow and illiquid corporate bond and equity markets, ineffective market facilitation and fragile market stability.
According to reports, the funds will help the government explore measures required to encourage broader participation of institutional investors in Pakistan’s securities markets. The programme also plans to lay groundwork for introducing alternative financing instruments, such as derivatives into the country.
