Bank Alfalah Limited, one of Pakistan’s largest commercial banks, has signed a Memorandum of Understanding (MoU) with the National Clearing Company of Pakistan Limited (NCCPL) to expand commercial banks’ participation in Pakistan’s capital markets. The agreement aims to enhance liquidity, broaden the investor base, and strengthen the integration of banking and capital market services for both domestic and overseas investors.
The partnership outlines multiple areas of collaboration. Bank Alfalah will explore serving as a financier for the Margin Trading System (MTS), becoming a custodian clearing member, and evaluating the potential of acquiring professional clearing membership. Additionally, the bank plans to utilize NCCPL’s capital gains tax system and work jointly on Shariah-compliant financial solutions to cater to both conventional and Islamic finance investors.
A key feature of the collaboration will be enhancing opportunities for non-resident Pakistanis through Roshan Digital Accounts (RDAs). By leveraging NCCPL’s infrastructure, the initiative aims to create seamless linkages that connect overseas investors with Pakistan’s capital markets, expanding access and simplifying participation.
Speaking at the signing ceremony, Atif Bajwa, President and CEO of Bank Alfalah, emphasized the bank’s vision for market innovation and inclusivity. “This partnership with NCCPL reflects our commitment to deepening Pakistan’s capital markets and driving innovation in both conventional and Islamic finance. By leveraging NCCPL’s infrastructure and our banking expertise, we aim to unlock new investment opportunities for local and overseas investors,” he said.
Naveed Qazi, CEO of NCCPL, highlighted the broader impact of the MoU. “NCCPL is excited to collaborate with Bank Alfalah in expanding the scope of capital market participation. Together, we will work to introduce new products and services that bring greater efficiency, transparency, and inclusivity to Pakistan’s financial ecosystem,” he noted.
The MoU signifies a forward-looking approach to diversifying Pakistan’s financial sector by bridging the gap between banks and capital markets. With commercial banks playing a stronger role in investor facilitation, the partnership is expected to not only deepen market liquidity but also provide innovative solutions that attract a wider range of participants, from institutional investors to retail and overseas stakeholders.
By combining the strengths of Bank Alfalah’s extensive banking network with NCCPL’s clearing and settlement infrastructure, the collaboration underscores a shared vision of developing a vibrant, accessible, and technology-driven financial marketplace in Pakistan.
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