KARACHI: In a bold call for innovation in Pakistan’s financial sector, Finance Minister Muhammad Aurangzeb has urged the country’s authorities, including the State Bank of Pakistan (SBP), to adopt an “open-minded” stance towards the introduction of cryptocurrency. The statement comes at a time when digital banking in Pakistan is undergoing significant transformation, and the potential of digital assets and blockchain technology is becoming increasingly apparent.
During his address at the ‘Pakistan Banking Summit 2025’ in Karachi, Aurangzeb acknowledged the widespread informal use of cryptocurrency within the country, despite its unregulated status. He noted that although the numbers related to crypto transactions in Pakistan might be conservative, they are still significant enough to warrant serious consideration. “The reality is that crypto is already in vogue here in the informal market, and even if the numbers are only a quarter of what’s actually being transacted, we need to think ahead and stay ahead of the curve when it comes to regulating and managing AI and digital assets in Pakistan,” he said. Aurangzeb’s remarks underscore the growing role of cryptocurrencies in the Pakistani economy, signaling that its influence cannot be ignored any longer.
The finance minister further highlighted global trends during discussions at the AlUla Conference in Saudi Arabia, where emerging markets were increasingly exploring the potential of AI and digital assets to drive financial inclusion and digital banking transformation. Aurangzeb noted that many of these nations are embracing digital advancements to foster financial growth and expand access to banking services, making it crucial for Pakistan to reconsider its regulatory stance. “I know we have our views at this point in time, but the regulatory regime on cryptocurrency remains under the jurisdiction of the central bank,” he stated.
Emphasizing the need for an open-minded approach to cryptocurrency, Aurangzeb shared his views on the broader role of technology in financial services. He described digital banking as a means to an end, a tool for achieving financial inclusion and improving efficiency in the financial sector. “Digital is not the end; it is a means to the end. It is better, cheaper, and faster,” he said. This reflects the government’s long-term vision of modernizing Pakistan’s financial ecosystem and promoting accessibility to financial services for the broader population.
The finance minister also touched on the government’s commitment to creating a cashless society, an initiative that would complement the rise of digital banking. “We are actively working on the ‘war on cash,’ and our goal is to drive Pakistan toward a cashless economy,” Aurangzeb remarked. This effort is being supported through the widespread deployment of point-of-sale (POS) machines and QR code-based payment systems, which are expected to revolutionize the way people conduct transactions in the country.
In his policy statement, Aurangzeb emphasized the government’s dedication to economic reforms, including deregulation and the privatization of assets. He also stressed the importance of domestic investment in fueling economic growth, particularly through the mobilization of local investors. “Banks have a crucial role to play in attracting foreign direct investment (FDI) and channeling local investment into various sectors of the economy,” he added.
Responding to questions from the media, the finance minister reiterated that Pakistan is committed to continuing its structural reforms, especially in key areas such as the Federal Board of Revenue (FBR), energy, taxation, and agriculture. These reforms are designed to break the “boom and bust” cycle of the economy and create a foundation for sustainable growth in the long term.
In conclusion, Finance Minister Muhammad Aurangzeb’s remarks signal a forward-thinking, pragmatic approach to cryptocurrency and digital innovation in Pakistan. By advocating for an open-minded view on digital assets, Aurangzeb has positioned Pakistan as a nation ready to embrace emerging technologies and strengthen its financial infrastructure, paving the way for future economic development.