Central Depository Company slashes tariff by 10 percent

KARACHI (August 05 2003) : Living up to its image, the CDC has yet again slashed its tariff with effect from July 26, 2003 by reducing its annual fee (levied on issuers of securities), transaction fee (levied on participants/account-holders and investor account-holders), and custody fee (levied on participants/account-holders and investor account-holders) by 10 percent.

It is worth noticing that CDC has been consistently reducing its tariff to facilitate its clients, since starting operations on September 3, 1997.

This tariff relief, which is the 14th consecutive tariff reduction, comes after CDC's decision to pass on the benefits of its impressive financial performance to its clients.

There has been a 380 percent increase in TFC units as well as 122 percent increase in market capitalisation of shares in CDS last year.

The phenomenal increase in TFC units is primarily due to induction of 28 additional TFCs and 10th Issue of Wapda Bond into the system during the year. This is a very encouraging factor as it not only demonstrates the confidence of the investors on the Central Depository System, but also testifies to the quality and efficiency of CDC services.

The renewed investors' confidence in the capital market due to geo-political situation, economic reforms of the government along with market reforms introduced by the regulators has started paying dividends in a big way.

The CDC is proud to assist the market in realising its true potential by providing the necessary infrastructure.

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