SRO 807(I)-2022 – Amendments to NBFC & NE Regulations, 2008 – P2P Lending

GOVERNMENT OF PAKISTAN
SECURITIES AND EXCHANGE COMMISSION OF PAKISTAN -.-.-.- Islamabad, the 14th June, 2022 NOTIFICATION S.R.O. 807(I)/2022.- In exercise of the powers conferred by sub-section (2) of section 282B of the Companies Ordinance, 1984 (XLVII of 1984), the Securities and Exchange Commission of Pakistan hereby makes the following amendments in the Non-Banking Finance Companies and Notified Entities Regulations, 2008, the same having been previously published in the official Gazette vide S.R.O 435 (I)/2022 dated March 15, 2022 and S.R.O 436 (I)/2022 dated March 25, 2022 namely: - AMENDMENTS In the aforesaid Regulations,

1. In regulation 2, -
   (a) after sub clause (xi), the following new clause shall be added, namely:
   (xiaa) “Data processing” shall mean any operation or set of operations which is performed upon the User’s data, whether or not by automatic means, such as collection, recording, organization, storage, adaptation or alteration, retrieval, consultation, use, disclosure by transmission, dissemination or otherwise making available, aligning or combining, blocking, erasing or destroying of data; (b) after sub clause (xxv), the following new clause shall be added, namely:
   (xxva) “Lender” in relation to P2P Lending means a person or entity extending a loan to a borrower through the Platform for the Price and on the terms and conditions determined by the P2P Service Provider and where context permits, a lender shall also include the P2P Service Provider; (c) after sub clause (xxxiva), the following new clauses shall be added, namely:
   (i) (xxxivb) “P2P Service Provider” shall means and include a Lending NBFC providing P2P Services; (ii) (xxxivc) “P2P Services” shall mean the services provided by a Lending NBFC permitted under these Regulations for facilitating P2P Lending transactions through the P2P Lending Platform and shall include the provision of the Platform and activities provided in these Regulations for P2P Lending; (iii) (xxxivd) “Participant” in relation to P2P Lending means a person who has entered into an arrangement/agreement with a P2P Lending Platform to lend or borrow through a P2P Lending Platform; (iv) (xxxive) “Peer to Peer Lending” or “P2P Lending” shall mean the extension of loans by the lender to the borrower through the P2P Lending Platform; (v) (xxxive) “Peer to Peer Lending Platform” or “P2P Lending Platform" shall mean an intermediary providing P2P services through online medium or otherwise to the participants who have entered into an arrangement with that platform to lend or to borrow money;