Pakistan’s new electric vehicle policy targets 30% green cars by 2030

An attendee takes photos of the Chinese electric vehicle BYD models on display during an event to announce the plans to open a car production plant in Pakistan, in Lahore on August 17, 2024. (REUTERS/File)
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Updated 22 June 2025
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Pakistan’s new electric vehicle policy targets 30% green cars by 2030

  • The policy aims to cut Pakistan’s reliance on imported fuel, shielding the economy from global oil price fluctuations
  • Electric vehicles are also expected to offer long-term savings for consumers through reduced fuel and maintenance costs

ISLAMABAD: Pakistan has unveiled an ambitious New Electric Vehicle Policy (NEVP) 2025–2030 that targets 30% of all new vehicle sales to be electric by 2030, Pakistani state media reported on Sunday.

The policy, which covers cars, buses, motorcycles and rickshaws, aims to accelerate the country’s shift toward sustainable transport, reduce fossil fuel dependence, and curb climate-warming emissions, the state-run APP news agency reported.

Pakistan imports most of its energy needs and the country’s urban areas exhibit some of the world’s highest levels of air pollution, primarily due to sub-2.5 μm particulate emissions. This issue significantly impairs both the country’s economy and the quality of life of its residents.

“Transitioning to electric vehicles (EVs) is critical for a healthier, greener and economically stable future,” Muhammad Saleem Shaikh, a spokesperson for the Climate Change Ministry, told APP, contending that transport sector was a major contributor to air pollution and greenhouse gas emissions in Pakistan.

With the NEVP now in effect, Pakistan, which has seen erratic changes in its weather patterns which experts blame on climate change, joins a growing list of nations pushing for zero-emission mobility to combat climate change and urban pollution.

Mohammad Asif Sahibzada, director-general of the Climate Change Ministry, highlighted that EVs produce zero tailpipe emissions, which will significantly reduce urban smog and help Pakistan meet its international commitments.

“This shift will also lower respiratory and cardiovascular diseases, particularly benefiting children and the elderly,” he added.

The policy aims to cut Pakistan’s reliance on imported fossil fuels, shielding the economy from global oil price fluctuations. EVs are also expected to offer long-term savings for consumers through reduced fuel and maintenance costs.

The government plans to incentivize EV adoption through tax breaks, subsidies, and infrastructure development, including nationwide charging stations.

“Electric vehicles are not just about transport; they are central to Pakistan’s climate action strategy,” Muhammad Azeem Khoso, the ministry’s director for urban affairs, was quoted as saying by the APP.

“This policy marks a decisive step toward a cleaner, more resilient future.”


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

Updated 06 March 2026
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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.