Prime Minister Shehbaz Sharif on Friday directed authorities to make the regulatory framework for the virtual assets sector fully operational as soon as possible, signaling a strong push to modernize Pakistan’s financial landscape. The initiative aims to boost the country’s digital economy while enhancing investor confidence through alignment with global standards.
The directive came during a meeting in Lahore with Bilal Bin Saqib, who currently serves as the State Minister and Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA). According to a statement issued by the Prime Minister’s Office, the discussion focused on accelerating reforms and ensuring that Pakistan keeps pace with rapid global developments in digital finance.
During the meeting, the prime minister emphasized the importance of equipping the country’s youth with skills in modern technologies, particularly artificial intelligence (AI) and digital finance. He stressed that targeted training programs are essential to prepare the workforce for future economic demands and to ensure Pakistan remains competitive in an increasingly technology-driven world.
Bilal Bin Saqib briefed the prime minister on key developments related to the transformation of PVARA into a fully functional regulatory body. He also highlighted the launch of a regulatory sandbox, a controlled environment that allows innovators and startups to test new financial products and services under supervision. This step is expected to encourage innovation while maintaining compliance with regulatory requirements.
The briefing further revealed that advancements are being introduced in areas such as AI-powered payments and regulated virtual asset services. These developments are part of a broader effort to integrate cutting-edge technologies into Pakistan’s financial ecosystem. Authorities are also working on preparing national institutions and building a skilled workforce to support the next phase of economic transformation.
The meeting took place shortly after the State Bank of Pakistan (SBP) announced a significant policy shift, allowing financial institutions to open accounts for licensed virtual asset service providers. This move is seen as a crucial step toward formalizing and legitimizing the digital asset sector in Pakistan.
In its official circular, the SBP confirmed that the Virtual Assets Act, 2026 has been enacted. Under this legislation, PVARA has been established as the statutory authority responsible for the licensing, regulation, supervision, and oversight of all virtual asset-related activities in the country. The act lays the foundation for a structured and transparent framework aimed at fostering growth while mitigating risks associated with digital assets.
These developments highlight Pakistan’s commitment to embracing financial innovation and positioning itself as a forward-looking economy. By strengthening regulations, promoting technological education, and encouraging responsible innovation, the government aims to create a robust environment for digital assets that benefits businesses, investors, and the broader economy.
