The Securities and Exchange Commission of Pakistan (SECP) has initiated a final round of public consultation on draft amendments to the Real Estate Investment Trust Regulations, 2015.
The proposed amendments aim to provide a much-needed stimulus for developing Pakistan’s formal real estate sector through the REIT model, by creating further flexibility, efficiency and ease of doing business.
The amendments propose the elimination of key hindrances highlighted by players and investors of the real estate sector.
In addition to a major revamp of the conventional REIT model (rental, hybrid and developmental), the amendments are expected to provide viable capital market-oriented investment and financing solutions for the ever-growing infrastructure demand of the country. A complete model enabling the launch of REITs for public-private partnership (PPP) based infrastructure projects is hence introduced under the REIT umbrella.
Notification for the draft amendments is placed on the SECP website inviting comments from the public within a fourteen-day period. It is expected that once promulgated, the amendments would usher growth in the REIT sector and the PPP infrastructure space. The SECP also plans to hold a virtual session to answer questions and provide clarifications with regards to these proposals in due course.
Source: Pro Pakistani