Pakistan Prepares for Digital Currency Pilot and Virtual Asset Regulations

According to PANews, Pakistan's central bank is preparing to launch a digital currency pilot and finalize regulations for virtual assets. On July 9, during the Reuters NEXT Asia Summit, Central Bank Governor Jameel Ahmad stated that the country is advancing the modernization of its financial system and enhancing its central bank digital currency capabilities, with hopes to initiate the pilot soon. Ahmad discussed the challenges of South Asian monetary policy with the Central Bank Governor of Sri Lanka, noting that new legislation will establish a foundation for licensing and regulating the virtual asset industry. The central bank has already engaged with some technology partners. He emphasized that this emerging field presents both risks and opportunities, requiring careful risk assessment and management to seize potential benefits. On the same day, Pakistan's Minister of State for Blockchain and Cryptocurrency Affairs announced that the government has approved the Virtual Assets Act 2025, which will establish an independent body to regulate the cryptocurrency industry.