January 10, 2020
Assessing the importance of youth awareness regarding corporate culture and good governance, Afghan Studies Center (ASC) organized a youth training workshop titled “Understanding Corporate Culture & Governance for Future Leaders” on January 9, 2020, at CRSS in Islamabad. Senior Legal Practitioner, Professor, and Faculty Member at Institute of Business Administration (IBA), Karachi, Mr. Rahat Aziz, was invited as the trainer.
The workshop was attended by 32 young bright Afghans and Pakistanis belonging to Abbottabad, Mardan, Peshawar, Bannu, Skardu, Hazara, Rawalpindi and Islamabad in Pakistan, and Nangarhar, Logar, and Kabul in Afghanistan.
Mr. Rahat Aziz stated that without corporations and private sector, it is very challenging for the governments to control the increasing unemployment. Expanding the corporate sector can play a vital role in reducing unemployment both in Afghanistan and Pakistan.
For the young Afghans and Pakistanis stepping into their careers, Mr. Rahat Aziz explained how the corporate sector operates, based on the laws and mechanisms created for its regulation. In addition to these, he expounded on how corporate governance works, whereby another layer of monitory system is created to watch these mechanisms.
In his detailed presentation, Mr. Rahat Aziz explained the different components of the corporate sector, the laws that are applicable to companies, and the regulatory bodies that monitor their operations.
He further explained that there are four types of companies, namely; 1) statutory companies, 2) registered companies, 3) foreign companies and 4) specialized companies.
The laws that govern these companies are 1) Companies Act 2017 Repealed Companies Ordinance 1984, 2) Banking Ordinance, 1962, 3) Insurance Ordinance, 2000, 4) Modaraba Co. & Modaraba Ordinance, 1980, 5) Securities Act 2015 Repealed Securities and Exchange Ordinance, 1969, and 6) CDC Act, 1997, mainly.
He stated that the regulators in Pakistan are the State Bank of Pakistan, Oil and Gas Regulatory Authority (OGRA), Securities and Exchange Commission of Pakistan (SECP), Higher Education Commission (HEC), Federal Board of Revenue (FBR), National Electric Power Regulatory Authority (NEPRA), and Registrar of Modaraba.
However, Mr. Rahat Aziz stated that to give confidence to stakeholders, another layer of laws had to be created to ensure transparency and accountability of the corporate sector. He quoted the father of Corporate Governance, Mr. Cadbury, to validate his point: “The foundation of any structure of Corporate Governance is disclosure, openness is the basis of public confidence in
the corporate system and funds will flow to centers of economic activity that inspire trust.”
The presentation was followed by an interactive Q&A session where participants raised questions about terms such as copyright, trademark, private limited, public limited and others that are used in everyday language but most don’t know what they mean. They appreciated the presentation, acknowledging the fact that as they are beginning their professional careers, the session on what corporate sector is based on was very enlightening, and insightful, by giving them the knowledge about the legal limitations on companies and corporate governance.
CRSS Project Director Mr. Aized Ali apprised the participants about the ongoing CRSS Pak-Afghan Track 1.5/II Initiative ‘Beyond Boundaries’ which has so far convened 17 high level meetings between the two Pak-Afghan influencers’ groups, to bridge the gulf of mistrust and improve bilateral relations between Pakistan and Afghanistan. He told the participants that the Afghan Studies Center emerged from this initiative, aiming to provide the youth of both countries a platform to inculcate critical, creative and out of box thinking, and to dispassionately interact and exchange ideas as they emerge as future leaders and ambassadors of peace.
At the end of the training session, ASC team presented the respected trainer with an honorary shield of appreciation, followed by group pictures with the participants.
Afghan Studies Center is a sister organization of the Center for Research and Security Studies (CRSS). As a youth-based platform, ASC has been working for the skill development, capacity building, and inculcation of critical thinking in the youth of Pakistan and Afghanistan, through a series of Pak- Afghan Youth Dialogues, and Pak- Afghan Youth Training Workshops. Established in April 2017, the Center currently has alumni of over 2000 members.
This was the 15th youth training workshop in its series.
