Government Establishes Pakistan Crypto Council to Regulate Digital Currency

The federal government has officially set up the Pakistan Crypto Council under the directives of Prime Minister Shehbaz Sharif. The council will develop a regulatory and operational framework for cryptocurrency in Pakistan, the National Assembly was informed on Friday.

During the question hour, Federal Minister for Parliamentary Affairs Tariq Fazal Chaudhry explained that the government does not aim to promote or discourage cryptocurrency. Instead, it plans to bring crypto-related activities under a structured legal system to ensure transparency and prevent misuse.

He said that cryptocurrency is a new phenomenon in Pakistan, and rather than allowing unregulated practices, the government wants to establish lawful mechanisms to manage it properly. The new framework, he added, will help reduce risks of illegal transactions and financial crimes.

Government Establishes Pakistan Crypto Council to Regulate Digital Currency

The minister clarified that there is currently no evidence of digital currencies being used for hawala or other illegal financial activities in the country. “Crypto transactions have not yet entered Pakistan’s formal financial system in a major way,” he stated. “However, the framework will act as a safeguard against any future misuse.”

According to Chaudhry, the government has appointed a special assistant to the prime minister to oversee the development of the cryptocurrency policy. The policy will align with international standards and new technological trends, ensuring Pakistan keeps pace with global developments.

He also reaffirmed Pakistan’s commitment to embracing emerging technologies like Artificial Intelligence (AI) for governance and economic growth. “The world is transforming digitally, and Pakistan must adapt,” he said. The government is providing uninterrupted electricity and infrastructure support to technology-driven sectors and IT installations, he added.

On financial reforms, Chaudhry assured that all measures will follow Islamic principles, similar to how Pakistan adopted interest-free Islamic banking as an alternative to conventional systems. He invited lawmakers to share their suggestions for shaping the new crypto regulations.

See Also: Pakistan Cannot Regulate Cryptocurrencies Under Current System- Shabbar Zaidi

In response to a question from MNA Ali Muhammad Khan of PTI regarding the economy, the minister said the government remains focused on macroeconomic stability and attracting investments.

He also mentioned that recent cabinet briefings showed foreign remittances reaching a two-year high, calling it a positive sign for the economy. “Despite challenges, capital inflows are increasing, and international investors continue to show confidence in Pakistan’s economic potential,” Chaudhry said.

The minister emphasised that the government is working to improve the ease of doing business and create a secure investment climate. They will soon share the economic data, including remittance and investment charts, with parliament for review.

“The goal,” he concluded, “is to strengthen investor confidence, support business growth, and build a foundation for sustainable economic progress.”