What Is Stock Exchange And Pakistan Industrial Credit & Investment Corporation (PICIC?)

Stock Exchange:
It is a market for existing securities which are issued by the public authorities. Stock exchange provides a place to the buyers and sellers of the shares and securities. Stock exchange indicates about the good or bad health of the economy. If the share prices are raising it means country is running on the path of development and prosperity. If the share prices are falling, it is a sign of down fall of the economy. At present there are two stock exchanges in Pakistan. The Karachi Stock Exchange was registered in 1949 and Lahore Stock Exchange in 1971.

Pakistan industrial Credit and Investment Corporation (PICIC):
The Pakistan industrial Credit and Investment Corporation was established in 1957 with the help of Govt. of Pakistan and World Bank. The private domestic investors hold 65% shares and the remaining 35% has been taken by foreign investors from Japan, U.K., West Germany and France. A board of Directors handles the activities of picic. Board consists upon the 20 members. Five members are foreign share holders.

The Pakistan industrial Credit and Investment Corporation provides the financial assistance to the new industries. Before advancing loan it examines the profitability and its importance to the economy. The objective of the picic is to support the private industrial sector, in the form of local and foreign currencies. It also provides technical skill to the industrialists. Corporation also arranges direct loans from abroad.

A Stock Exchange is a place where securities are bought and sold. Every company has one or more stock exchanges.

Pakistan also has 3 major stock exchanges operating in Karachi, Lahore and Islamabad cities. Karachi Stock Exchange or KSE is not only the largest stock exchange in Pakistan; it is also one of the major worldwide known SE. Corporate website for KSE is www.kse.com.pk.

Lahore Stock Exchange or LSE is the second largest SE operating in Pakistan. It was establishes on October 1970. LSE has a large number of companies known as members registered with it. Corporate website for LSE is www.lahorestock.com

Third SE in Pakistan is located in the capital city of Pakistan and known as Islamabad Stock Exchange (ISE). It was establishes on October 1989. ISE has 119 members registered with it including banks; brokerage house etc. Corporate website for ISE is www.ise.com.pk.

Pakistan industrial Credit & Investment Corporation commonly known as PICIC is another important financial institute in Pakistan that is formed with collaboration of Word Bank in 1957. PICIC was formed to fulfil the financial needs of large and medium organizations as well as it serves private sector in Pakistan. PICIC has a bank under it named as PICIC Commercial Bank. More about working of PICIC can be found on www.picic.com.