Key Notes
- Pakistan will launch a central bank digital currency (CBDC) pilot program soon.
- New "Virtual Assets Act, 2025" introduces clear licensing and regulation.
- The country aims to join others like India and Nigeria in CBDC trials.
Pakistan is preparing to launch a pilot program for a potential digital currency as part of its wider digital finance reform efforts. This initiative comes amid the finalization of legislation governing the use of crypto assets in the country.
Central Bank Governor Jameel Ahmad revealed on July 9 at the Reuters NEXT Asia summit in Singapore that Pakistan is working on its ability to develop a central bank digital currency, with plans to launch a pilot program in the near future.
Governor Ahmad stated that the new legislation will help “lay down the foundations for the licensing and regulation” of the virtual assets sector.
Speaking on a panel alongside Sri Lanka’s central bank governor, P. Nandalal Weerasinghe, he also confirmed that Pakistan’s central bank is working with several technology partners.
Bilal bin Saqib, Pakistan’s state minister for blockchain and crypto, announced that the government has passed the “Virtual Assets Act, 2025,” which establishes an independent authority responsible for licensing and regulating the cryptocurrency industry.
With this move, Pakistan joins other nations like Nigeria and India in exploring central bank digital currencies and assessing their effectiveness through pilot programs.
Pakistan’s Stance on Cryptocurrency
In 2022, Pakistan enacted the Electronic Money Institution law, considered a crucial step before launching a CBDC in 2025.
The legislation aims to license and regulate Electronic Money Institutions (EMIs), ensuring that these non-bank entities obtain the necessary authorization before issuing e-Money for digital payment services.
Pakistan has recently taken steps toward cryptocurrency adoption. Bilal bin Saqib met with Michael Saylor, Executive Chairman of MicroStrategy, to explore the possibility of creating national Bitcoin reserves , with Saylor offering advisory support.
Prior to that, Saqib was in different meetings with Brandon Lutnick, the Chairman and CEO of Cantor Fitzgerald, a global financial services firm and New York City Mayor Eric Adams to discuss Bitcoin’s role in the country.
