A. Background (BG)

1. 322 of 7.9.25 about Summary of Shariat Court Decision against Interest & Insurance - Implementation Deadlines Related Booklet with proper content (Attachment 323.1)

2. This refer to the related QCs in trial, blue, italic and double Line (a) BFIC 313 of 21.5.25 about Promoting Shariah-Compliant Intermediaries Consultation Paper (b) BFQC 70 of 24.2.21 about Free Webinar on Shariah-Compliant Shares, Sukuk, etc – MBL(c) BFQC 53 of 3.11.20 about Shariah compliant matter including tax credit (d) CoQC 278 of 6.11.18 about Shariah Governance Regulations & related tax matters vide SRO 1318

3. We also refer to several Other QCs including (a) CoQC 96 of 23.8.17 about Sukuk (Privately Placed) Regulations, 2017 (b) TLQC 204 of 12.1.17 about Shariah Compliant Tax Credit – SRO 12 (c) CoQC 5 of 5.9.16 about Shariah Screening of Listed Companies for Islamic Equity Indexes vide SECP Circular 29

B. Updated Commentary

1. Further to KQU 3537 of 2.9.25, being an Important matter, we would inform you that about Direction No 25 of 2025 PSX & CDC (Attachment 323.2) in the ensuing paragraph, in Italic with emphasis in bold & Underline, heading ours for quick reading.

2. In exercise of the powers conferred by section 40B of the SECP Act, 1997 (XLII of 1997), read with clause (x) of subsection (4) of section 20 thereof, the SECP hereby directs PSX and the CDC to comply with the requirements contained in this directive, as applicable to them, to enhance or incentivize offering of Shariah-compliant intermediary services.

3. The PSX shall

(a) Ensure timely development of a Shariah-compliant trading mechanism after consensus of stakeholders;

(b) Coordinate with TRE Certificate Holders to submit a plan for transitioning towards Shariah-compliant brokerage services through conversion, forming a subsidiary, or establishing window operations, for onward submission to the Commission; and

(c)  Formulate and execute a plan for awareness regarding Shariah-compliant brokerage services.

4. The CDC shall

(a) Create a separate category for Shariah-compliant intermediaries on Asaan Connect (Centralized Gateway Portal) and a separate category for Shariah compliant asset management companies on Emlaak Financials

(b) Collaborate with the SBP to develop a separate category for Shariah-compliant intermediaries on the websites and mobile applications of Islamic banks for the benefit of Roshan Digital Account clients.

C. Further Details & Services

Should you require any clarification or explanations in respect of the above or otherwise, please feel free to email Mr Amsal at amsal@786tax.com with CC to info.kasbati@professional-excellence.com.

Best regards for Here & Hereafter
Asif S Kasbati (FCA, FCMA & LLB