Pakistan Moves Toward Climate Resilience and Regulated Virtual Assets Framework

Pakistan is taking steps to strengthen its response to climate-related disasters while moving toward a regulated framework for virtual assets, Finance Minister Senator Muhammad Aurangzeb said.

The finance minister made the remarks during several high-level meetings held on the sidelines of the 81st session of the United Nations General Assembly in New York. The discussions covered Pakistan’s climate vulnerability, disaster response, digital transformation, tokenisation and investment in climate action.

Speaking at the World Economic Forum’s “Financing Planet and Prosperity” session, Aurangzeb highlighted the risks Pakistan faces from climate change and natural disasters, particularly floods. He said these events continue to pose serious risks to infrastructure and communities across the country.

Pakistan Moves Toward Climate Resilience and Regulated Virtual Assets Framework

The minister outlined government efforts to strengthen disaster response systems, early warning mechanisms and cost-based climate investment plans. He stressed the need to combine international financial assistance with domestic resources and available fiscal capacity to address climate-related challenges.

Aurangzeb also highlighted the role of international financial institutions and capital markets in mobilising funds for disaster relief, reconstruction and climate adaptation. He mentioned the World Bank, Asian Development Bank and international capital markets as potential sources of financing.

He also called for simpler and faster mechanisms to help developing countries access funding from global climate finance facilities.

Pakistan Highlights Progress on Virtual Assets

During the United Nations Digital Cooperation Day 2026 session, Aurangzeb highlighted Pakistan’s progress toward establishing a regulated framework for virtual assets.

He said tokenisation should focus on practical economic needs rather than being treated only as a technological development. According to him, potential areas include lower-cost remittances, financing for small and medium-sized businesses, sovereign debt and broader access to financial services.

The finance minister said digital innovation by the private sector must be supported by strong safeguards from the state, inclusive digital infrastructure and international cooperation.

He also called for developing economies to have a meaningful role in shaping international standards for emerging digital technologies and financial systems.

Pakistan Supports COP31 Climate Action Agenda

Aurangzeb also attended the launch of the COP31 Action Agenda and expressed Pakistan’s support for the initiative.

He said Pakistan’s climate priorities include clean energy and reliable electricity supplies, expansion of renewable energy, energy-efficient buildings and climate-resilient cities.

Other priorities include climate education and awareness, food security and climate-resilient agriculture.

The minister welcomed the proposed Climate Implementation Bridge, describing it as an important mechanism for converting climate commitments into projects that can attract investment and meet financing requirements.

Aurangzeb said the main challenge now is not climate planning but effective implementation. He stressed the importance of setting clear targets, performance indicators and measurable outcomes to ensure that climate commitments translate into practical results.