It was established on 22nd February, 1966 to encourage the investment in Pakistan.
CAPITAL:
It’s registered capital was Rs. 20 crore consists of 20 lac shares of Rs. 100 each. It’s paid up capital is Rs. 10 crore of which 70% contributed by nationalized banks and balance 30 % by foreign banks, State Life Insurance and Pakistan Insurance Corporation.
MANAGEMENT:
A board of 13 members (now 11 members) headed by Chairman, manages its functions. It’s Managing Director and Central Govt, nominates eight directors and shareholders elect other five directors.
OBJECTIVES And Functions of investment corporation of Pakistan.
- The corporation was established for the development of money market and investment in the country.
- This corporation introduced an investing scheme that induces the people to invest in shares business.
- In 1980, this scheme of investment was converted into profit & loss sharing to give an Islamic touch.
- Corporation had established 25 mutual funds for the investors.
- Valuable advices for the purchase and sale of shares and to provide
capital for new industries were the main objects of the corporation.
- To speed up economic growth in Pakistan.
Note: The IBDP had suffered from significant losses due to loan defaults by the mid~2000s, IDBP had accumulated loss of about 27 billion and was insolvent. The Pakistani government merged the profitable investment corporation of Pakistan with or into IDBP to improved its weak financial position.
HEAD OFFICE AND BRANCHES:
The Head Office of the corporation is in Karachi and its 9 more branches were working in different cities of Pakistan. No, the corporation has closed its 7 branches because of loss. Now only 3 branches are working in Lahore, Islamabad and Karachi.