Senate Finance Committee Probes Rs. 260M SECP Salaries

The Senate Standing Committee on Finance has voiced strong concerns over the Rs. 260 million salary and perks paid to employees of the Securities and Exchange Commission of Pakistan (SECP). Lawmakers called for a full audit, urging the financial regulator to justify its high payroll amid ongoing economic challenges.

What Happened

During a recent committee session chaired by Senator Saleem Mandviwalla, senators questioned whether the SECP’s compensation structure reflects its performance and efficiency. Officials revealed that the regulator’s annual payroll  including allowances and bonuses — had surpassed Rs. 260 million, sparking debate over public-sector pay standards.

Members highlighted a widening gap between SECP salaries and those of other government bodies, calling for performance-based accountability and better fiscal management.

Who Said What

Senator Mandviwalla said the figures were “alarming” and demanded a detailed audit of SECP’s human resource expenses.
“The regulator must be answerable for how it uses public resources. Transparency is essential for trust,” he remarked.

In response, an SECP spokesperson defended the current structure, stating,
“Our salaries align with market benchmarks to attract professionals capable of managing Pakistan’s capital markets and corporate regulation.”

Why It Matters

The SECP plays a vital role in supervising Pakistan’s corporate sector, capital markets, and investor protection mechanisms. Concerns over financial mismanagement or inflated salaries can directly impact market credibility and investor confidence — both crucial for economic stability.

Experts argue that if regulatory authorities fail to demonstrate fiscal discipline, it could deter foreign investors and undermine reform efforts in Pakistan’s financial sector.

What Could Happen Next

The Senate Committee is expected to recommend an independent audit of SECP finances in its upcoming session. Lawmakers are also considering proposals to link salary increments with measurable regulatory outcomes, ensuring that public funds are tied to performance and transparency.

Analysts believe such measures could restore public confidence and help align Pakistan’s regulatory framework with global governance standards.

Expert View

Economist Dr. Saima Ahmed 
“Competitive pay is justified only when matched with performance and transparency. The SECP must show results that justify its expenses.”

Summary Points

• Senate raises concerns over Rs. 260M SECP salary and perks.

• SECP defends pay, citing market competition.

• Lawmakers demand performance-based audits.

• Experts call for greater fiscal transparency and accountability.

Conclusion

The Senate’s scrutiny of SECP salaries highlights growing calls for transparency in Pakistan’s public institutions. As the government works to stabilize the economy, ensuring accountability in regulatory bodies like the SECP will be key to maintaining investor confidence and fiscal responsibility.