PSX Launches Islamic Trading Counter Just for Investors

PSX Shariah trading counter has opened for investors who want to buy and sell shares and securities in line with Islamic principles. The Pakistan Stock Exchange launched the dedicated counter on 29 October 2026, after the Securities and Exchange Commission of Pakistan approved the Shariah Trading Counter Regulations.

PSX Shariah trading counter is a separate platform for retail and institutional investors who want their market activity to follow Islamic rules.

For years, many investors in Pakistan stayed away from the stock market because they were unsure which shares were compliant. The new counter tries to remove that doubt by limiting trading to instruments that meet Shariah standards.

PSX Shariah trading counter: what investors can trade

PSX Shariah trading counter allows trading only in Shariah-compliant shares, government Ijarah Sukuk and corporate Sukuk. That short list is the point of the platform. If an instrument is not compliant, it cannot be traded through this counter.

Shariah-compliant shares are shares of companies whose business and finances meet Islamic criteria. Government Ijarah Sukuk are Islamic bonds issued by the government, while corporate Sukuk are similar instruments issued by companies, both structured to avoid interest-based returns.

Investors can also use the PSX Shariah trading counter to clean up an existing portfolio. They can sell non-compliant holdings and bring their portfolio in line with Islamic principles, a process often called portfolio purification. This matters for investors who already hold shares and want to shift toward compliance step by step.

To make the choice easier, the PSX has introduced a Shariah portal on its Data Portal, where investors can check which shares and Sukuk are eligible, instead of relying on guesswork or informal lists.

What is not allowed on the new counter

The rules are strict about what stays out: interest-based financing products, short selling and derivatives trading are all not allowed.

The Margin Trading System, known as MTS, is blocked on the counter. MTS is a conventional way of borrowing to buy shares, and it does not fit the Islamic model the counter is built on.

In its place, Murabaha Share Financing, known as MSF, is available as the Shariah-compliant alternative to conventional share financing. Murabaha is a cost-plus financing structure used in Islamic finance, and here it gives investors a compliant way to finance share purchases.

How investors can join the counter

Joining the PSX Shariah trading counter does not need a completely new kind of account. Investors can open regular trading accounts or Sahulat Accounts, using a Shariah-compliant customer relationship and risk disclosure document.

Sahulat Accounts are simplified accounts for small investors, so the counter is open to newcomers as well as experienced traders. The compliant disclosure document tells investors, in clear terms, how the counter works and what risks remain.

A total of 39 brokerage firms have joined the counter through Islamic windows, and two other brokerage houses have been licensed to operate exclusively as Shariah-compliant brokers.

That mix gives investors choice: a familiar firm using its Islamic window, or a broker that works only in the Shariah-compliant space.

The launch was marked by a gong ceremony attended by representatives of the SECP, the State Bank of Pakistan, the Central Depository Company, the National Clearing Company of Pakistan Limited and the Pakistan Stock Brokers Association, along with Shariah scholars and participating brokerage houses.

Why the PSX Shariah trading counter matters for Pakistan's market

PSX Managing Director and Chief Executive Officer Farrukh H. Sabzwari said the new system would improve access to Islamic investment opportunities and strengthen investor confidence. His point is simple: when compliance is built into the platform, investors worry less about whether each trade is acceptable.

Investor accounts at the exchange have crossed 650,000, according to the PSX chief, who said Millennials and Gen Z are contributing significantly to new participation.

SECP Commissioner Imtiaz Haider said the initiative could attract more investors and create opportunities for brokerage firms. He also said the SECP plans to expand digital retail Sukuk and introduce Shariah-compliant tools for liquidity and risk management.

Those future steps matter because investors also need liquid, compliant products to trade and tools to manage risk. No dates or details for those tools were announced at the launch.

For Pakistan, where Islamic finance already plays a large role in banking, the counter fills a visible gap. It gives faith-conscious investors a formal, regulated route into equities and Sukuk.

This article is not investment advice. Anyone thinking of trading should study the eligible list, understand the risks, and seek independent advice first.

Frequently Asked Questions

What is the PSX Shariah trading counter?

PSX Shariah trading counter is a dedicated platform at the Pakistan Stock Exchange for investors who want to trade only Shariah-compliant shares and Sukuk. It was launched on 29 October 2026 after the SECP approved the Shariah Trading Counter Regulations.

Which instruments can be traded on the counter?

Only Shariah-compliant shares, government Ijarah Sukuk and corporate Sukuk can be traded. Interest-based financing products, short selling and derivatives trading are not allowed, and the Margin Trading System is blocked.

How many brokers have joined the counter?

A total of 39 brokerage firms have joined through Islamic windows. Two other brokerage houses are licensed to operate exclusively as Shariah-compliant brokers.

How can an investor open an account?

Investors can open regular trading accounts or Sahulat Accounts using a Shariah-compliant customer relationship and risk disclosure document. They can then check eligible shares and Sukuk on the PSX Shariah portal on the Data Portal.

Can investors clean up an existing portfolio?

Yes. Investors can sell non-compliant holdings through the counter to bring their portfolios in line with Islamic principles. This portfolio purification is one of the stated uses of the new platform.