Islamabad, The Securities and Exchange Commission of Pakistan (SECP) has announced proposed amendments to the General Takaful Accounting Regulations, 2019, aimed at enhancing transparency in financial reporting by non-life insurers involved in takaful (Islamic insurance) operations.

According to Securities and Exchange Commission of Pakistan, the proposed changes, detailed in SRO 569(I)/2024, would allow non-life insurers to provide a more comprehensive presentation of their takaful results within their financial statements. Currently, these results are required to be summarized as a single line item, regardless of the extent of the takaful operations conducted by the insurer. The amendments are designed to ensure that both conventional and takaful results are fully disclosed, with the draft stipulating that supporting notes in the financial statements should include a detailed breakdown of both types of operations.

The SECP has placed these proposed amendments on its website, inviting public feedback and suggestions. Stakeholders and interested parties are encouraged to submit their comments to the Director of the Insurance Division at the SECP’s headquarters in Islamabad. The public comment period is open for thirty days from the date of the SRO’s issuance, after which all feedback will be considered in the finalization of the amendments.

These regulatory updates are part of SECP’s ongoing efforts to align its supervisory framework with international best practices in financial reporting and transparency, particularly in the rapidly growing sector of Islamic finance.