FACTBOX: Pakistan’s plan to expel over 1 million Afghans living in the country illegally

Afghan refugees arrive in trucks and cars to cross the Pakistan-Afghanistan border in Chaman on October 31, 2023. (AFP)
Short Url
Updated 31 October 2023
Follow

FACTBOX: Pakistan’s plan to expel over 1 million Afghans living in the country illegally

  • Pakistan announced Nov. 1 deadline on Oct. 3, giving over a million people about four weeks to move
  • More than 60,000 Afghans returned to Afghanistan from Pakistan between Sept. 23 and Oct. 22

KARACHI: Pakistan set a Nov. 1 deadline for all foreigners without legal documents, including more than a million Afghans, to leave the country or face forcible expulsion.
Here are key facts about Islamabad’s plan to deport hundreds of thousands back to its western neighbor Afghanistan:
- Pakistan announced the Wednesday deadline on Oct. 3, giving more than a million people about four weeks to move.
- The sudden expulsion threat came after suicide bombings this year that the government said involved Afghans, though without providing evidence. Islamabad has also blamed them for smuggling and other militant attacks as well as petty crimes.
- Islamabad says Afghan nationals were found to be involved in attacks against government and the army, including 14 of this year’s 24 suicide bombings.
- Pakistan is home to more than 4 million Afghan migrants and refugees, about 1.7 million of them undocumented, according to Islamabad, although many have lived in Pakistan for their entire lives.
- About 600,000 Afghans have crossed into Pakistan since the Taliban took over in 2021, joining a large number present since the Soviet invasion of Afghanistan in 1979 and the ensuing civil wars.
- More than 60,000 Afghans returned to Afghanistan from Pakistan between Sept. 23 and Oct. 22, ahead of the deadline, with thousands more expected to have been on the move last week.
- Islamabad says deportation will be orderly, carried out in phases and start with those who have criminal records. Authorities have vowed raids in areas suspected of housing “undocumented foreigners” after Wednesday.
- Authorities have set up “holding centers” to process deportees before they return to Afghanistan. Reuters could not determine how long they might be detained in the centers.
 


Pakistan passes Virtual Assets Act 2026, empowers regulator to combat money laundering

Updated 5 sec ago
Follow

Pakistan passes Virtual Assets Act 2026, empowers regulator to combat money laundering

  • Legislation introduces licensing for virtual asset service providers, market surveillance mechanisms
  • Pakistan is one of the world’s top cryptocurrency markets, with millions actively using virtual assets

KARACHI: Pakistan’s parliament on Friday passed the Virtual Assets Act 2026, granting the Pakistan Virtual Assets Regulatory Authority (PVARA) powers to combat money laundering, militant financing and other illicit activities, the regulator said.

The legislation introduces regulatory provisions including mandatory licensing for virtual asset service providers, market surveillance mechanisms, anti-money laundering and counter-terrorism financing compliance, and coordination with Pakistani financial regulators including the State Bank of Pakistan and the Securities and Exchange Commission of Pakistan.

Pakistan has in recent months stepped up efforts to draft rules for regulating the fast-expanding market for digital coins and tokens, requiring virtual asset service providers to secure government approval. Islamabad’s move to embrace digital currency marks a significant policy shift as it had banned cryptocurrency in 2018, citing financial risks.

“A year ago, Pakistan’s digital asset landscape was defined by uncertainty and grey areas. Today, we have the country’s first Act of Parliament establishing a regulatory body for virtual assets, building on the Presidential Ordinance introduced in 2025,” PVARA Chairman Bilal bin Saqib said in a post on X.

“With NOCs [no objection certificates] already issued and banking rails being developed in coordination with the State Bank of Pakistan, we are now moving toward a comprehensive licensing framework aligned with global AML [anti-money laundering] and financial integrity standards.”

Meanwhile, PVARA said the framework aims to boost transparency, protect investors, and ensure a stable, trustworthy virtual asset market while supporting responsible fintech innovation.

“The legislation also equips the Authority with powers to address money laundering, terrorist financing, and other illicit activities associated with virtual assets, bringing Pakistan’s regulatory approach in line with international standards,” it added.

Pakistan ranks among the world’s largest cryptocurrency markets by adoption, with millions of citizens actively engaged in virtual assets.

In February, Dr. Afnanullah Khan, a Pakistani senator from the ruling party, had said major crypto coins such as Bitcoin, Ethereum and XRP will soon be traded in Pakistan through crypto exchanges.

Pakistan earlier launched a “regulatory sandbox” for firms to trial crypto services under PVARA’s supervision before full approval.

In January, Pakistan signed a memorandum of understanding with a World Liberty Financial-linked firm, tied to US President Donald Trump’s family, to explore a dollar-backed stablecoin for cross-border payments.