Investment Corporation of Pakistan
Transcript of Investment Corporation of Pakistan
Liaqat Ali MC14-282
Usman Ashraf MC14 – 278
Presented By
INTERODUCTION
The investment Corporation of pakistan (ICP) was established through an ordinance
passed by Pakistan national assembly in February 1966. with the view to develop
the capital market of the Economy.
During the second five-year plan (1960-1965) investors lost their confidence. In the regime of Gen. Auyb Khan Government was working on the green Revolution at the same time it was also thought that the Pakistan also needed a support of industrial infrastructure therefore the investment corporation of Pakistan was established
Why ICP is Established
The privatization of the leftover ICP with an attractive investment portfolio passed through various stages .The privatization commission wanted to privatize it under its supervision .Certain legal and technical hitches ,there were never public , and eventually the state bank of Pakistan took up the responsibility
PRIVATIZATION
Authorized capital=Rs.200 Millions
subscribed Capital=Rs.100 Millions
(by the banks ,state life insurance and Pakistan Insurance Corporation)
SHARE CAPITAL
Authorized capital Subscribed Capital0
50000000
100000000
150000000
200000000
250000000
Capital
The corporation managed by Board of Directors consisting of eleven member
&A chairman and managing director are
appointed by Federal Government.
Management
To underwrite the issue of new securities and debentures .To promote and develop the capital market To help in the floatation of mutual funds To safeguard the stability of share marketTo promote industrial development in PakistanTo speedup economical growth in Pakistan
Objectives
•Lahore •Karachi•Islamabad •Rawalpindi•Faislabad•Pishawar
•Queta•Multan•Hydrabad•Sukhar
Branches
Functions Of ICP
It own Share CapitalInvestors money Issuance of Bonds and DebentureLong –term Loans Borrowing from different institution including SBP
Source of Funds
The annual reports reveals loans write Offs of more than Rs.27 million against companies that include a small amount against a well known NWFP family.
Write Off Loans
Shareholders
86%
14%
Banks & DFIs
Insurance Companies
Shareholders
UBLHBL
NBPMCB
ABLIDBP
Standard
Chartered ban
k
Citi Bank
NIT
Union Bank
Pakist
an Govt.
05
10152025 22.99
19.96 19.89
12.49
4.992 1.59 0.4 0.76 0.4 0.12
Shares Hold By Banks
The investment portfolio provided about 80% capital gains and 20% dividend incomes .
The biggest investment of Rs.254.37 million is in oil and gas followed by Rs228.92 million in the government securities .
Investment Portfolio
It is agreed that ICP has played an efficient role in the development and
maintenance of stability of capital market.
Summing Up