Pakistan Eyes Digital Future with Crypto Council & IT Investment Boost

Usama AnjumLast Updated: Mar 17, 2025

Pakistan is taking bold steps toward digital transformation with a strong focus on blockchain regulation, IT sector expansion, and tax reforms. Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb has reaffirmed the government’s commitment to promoting a tech-driven economy while ensuring a structured regulatory framework for emerging financial technologies.

The announcement came during a meeting at the Finance Division with a delegation from Afiniti, a leading AI technology firm. The discussion centered around Afiniti’s expanding operations, talent acquisition, and taxation policies impacting IT businesses.

Afiniti’s Expanding Role in Pakistan’s IT Growth

Afiniti, a global leader in AI-driven customer engagement solutions, has significantly expanded its presence in Pakistan. CEO Jerome Vaughan Kapelus revealed that nearly 80% of Afiniti’s operational support team is based in Karachi, Lahore, and Islamabad. The company, which serves clients across North America, Europe, and other global markets, has seen rapid growth, with Pakistan playing a crucial role in its success.

Kapelus praised Pakistan’s skilled workforce, particularly engineers, technologists, and AI specialists. He emphasized that the country’s talent pool has been instrumental in Afiniti’s innovation and expansion, reinforcing Pakistan’s reputation as a key hub for AI and IT services.

Government’s Vision for IT & Blockchain Integration

Senator Aurangzeb welcomed Afiniti’s investment and stressed that IT and IT-enabled services are among Pakistan’s key growth sectors. Alongside agriculture, these industries benefit from a strategic advantage due to their reliance on local expertise and resources.

To further boost business confidence and ease of operations, the government is modernizing tax policies through end-to-end digitalization. The Finance Minister highlighted the importance of broadening the tax base, ensuring that previously non-compliant sectors contribute while reducing the burden on the salaried class and manufacturers.

The Finance Minister also shared updates on reforms aimed at simplifying tax compliance. He announced that the government has streamlined tax return forms for salaried individuals, significantly reducing the number of required fields. This new system will be implemented by September, ahead of the next tax filing season.

Afiniti executives raised concerns regarding taxation challenges faced by IT companies, particularly in international earnings and regulatory compliance. The Minister assured them that Pakistan is committed to creating a transparent and competitive tax structure that encourages foreign investment and business expansion.

Pakistan Crypto Council: A Step Towards Financial Innovation

Senator Aurangzeb also outlined the Pakistan Crypto Council’s objectives, emphasizing that blockchain technology and digital assets are integral to Pakistan’s financial future. The initiative aims to:

Regulate blockchain-based financial activities to provide clarity for businesses and investors.
Ensure compliance with global financial standards to attract fintech startups and blockchain-based enterprises.
Integrate digital assets into Pakistan’s economy in a structured and transparent manner.

The Finance Minister noted that Pakistan must keep pace with global digital finance trends, and the Crypto Council is a key step in achieving this goal. By establishing a clear regulatory framework, the initiative aims to boost investor confidence and drive financial innovation.

The meeting concluded with a shared commitment to strengthening collaboration between the public and private sectors. Afiniti executives expressed optimism about Pakistan’s evolving tech ecosystem, while the Finance Minister reaffirmed the government’s focus on innovation, investment, and regulatory reforms.

As Pakistan accelerates its journey toward digital finance and IT expansion, initiatives like the Pakistan Crypto Council and strategic tax reforms are expected to play a pivotal role in shaping the country’s economic future. By fostering a business-friendly environment for blockchain, AI, and IT companies, Pakistan is positioning itself as a key player in the global digital economy.