SECP Approves 7 New Contribution-Based Pension Schemes for Balochistan

The Securities and Exchange Commission of Pakistan (SECP) has approved seven pension funds for the Government of Balochistan, marking a key step in implementing the Defined Contribution pension system in the province.

The move is part of a national shift from the traditional Defined Benefit model to a more sustainable and transparent pension framework. Under the new system, pension benefits are based on contributions made by employees and employers, with funds managed professionally and returns linked to investment performance.

Punjab and Khyber Pakhtunkhwa have already introduced contributory pension schemes, while the federal government and Sindh are in the process of operationalising similar structures.

Authorities say all governments have now established the legal frameworks required for this transition.

The newly approved funds will be managed by licensed asset managers, including Atlas Asset Management Limited, ABL Asset Management Limited, Pak Qatar Family Takaful Limited, Faysal Asset Management Limited and Al Meezan Investment Management Limited.

The SECP said the reform will help reduce long-term pension liabilities, improve fiscal sustainability and gradually ease pressure on government budgets. Applications for 17 additional pension funds are also under review as part of the ongoing reform pro