Pakistan recorded its highest-ever number of new company registrations in fiscal year 2025-26, as more businesses entered the formal economy and investor interest remained strong across several sectors.
According to the Securities and Exchange Commission of Pakistan (SECP), 43,559 companies were registered during the fiscal year, taking the country’s total number of registered companies to 301,615. The latest figure represents a 24 percent increase compared with the previous fiscal year.
The momentum continued through the final month of the year. In June alone, 4,323 companies were registered, making it the strongest single month on record for new incorporations.
The SECP said registrations of public sector companies also showed healthy growth, rising 25 percent during the fiscal year.
Punjab remained the biggest contributor to the country’s business expansion, with 22,364 new companies registered during the year. Sindh followed with 6,691 registrations, while Khyber Pakhtunkhwa added 3,820 new firms.
Among the smaller regions, Gilgit-Baltistan posted the fastest growth. A total of 1,585 companies were registered there, reflecting a 65 percent increase from the previous year. Balochistan also recorded notable progress, with 759 new companies, up 36 percent year-on-year.
Trading sector leads new business activity
The trading sector accounted for the largest share of newly registered companies, making up 41 percent of all incorporations during FY2025-26. The trend points to continued business activity in wholesale, retail and commercial services.
Foreign investment also contributed to the rise in new registrations. During the fiscal year, 1,014 companies backed by foreign investors were incorporated with a combined paid-up capital of Rs2.5 billion.
The SECP said overseas investors showed the strongest interest in the trading, mining and information technology sectors.
China accounted for the highest number of foreign-backed company registrations during the year. Investors from the US, UK, Germany, Canada and Spain also established new businesses in Pakistan, reflecting continued international interest in the country’s corporate sector.
Read next: FBR cuts tax irregularities by Rs421bn as compliance improves
