ISLAMABAD: Prime Minister Shehbaz Sharif on Friday directed authorities to fully operationalize Pakistan’s regulatory framework for virtual assets and strengthen oversight of digital finance, as the government looks to boost investor confidence and drive growth in the country’s digital economy.
The move is part of Pakistan’s broader push to formalize oversight of cryptocurrencies and other digital assets, bringing a largely unregulated market under a framework aligned with global standards to improve transparency, compliance and investor protection.
The effort is being implemented through the newly established Pakistan Virtual Assets Regulatory Authority (PVARA), which is mandated to oversee licensing, compliance and innovation tools like regulatory sandboxes.
“An effective and internationally aligned regulatory system in the virtual assets sector should be made fully operational as soon as possible to promote the digital economy and enhance investor confidence,” Sharif said during a meeting with PVARA Chairman Bilal Bin Saqib, according to a statement from the Prime Minister’s Office.
Pakistan is increasingly positioning digital finance, artificial intelligence and information technology as key drivers of economic growth, seeking to formalize a large but previously unregulated crypto market while attracting investment and fostering innovation.
Sharif also called for measures to equip young people with skills in emerging technologies.
“Special initiatives should be undertaken to provide training to youth in modern technologies, particularly artificial intelligence and digital finance, so that the country’s workforce can be aligned with future requirements,” he said.
During the meeting, Saqib briefed the prime minister on the authority’s transition into a fully operational regulator and the launch of a regulatory sandbox, a controlled environment for testing new financial technologies.
The briefing said innovation was being introduced in areas such as AI-driven payments and regulated virtual asset services, with work underway to prepare institutions, workforce and regulatory frameworks for what officials described as the next wave of economic transformation.
