Regulators say Pakistan’s regulatory regime is being aligned with international standards
ISLAMABAD:
Pakistan has met another key condition set by the IMF by establishing a new legal framework for the country’s digital financial sector.
Parliament recently approved the Virtual Assets Act 2026, which formally established the Pakistan Virtual Assets Regulatory Authority (Pvara).
Pvara was originally established in July 2025 through a presidential decree, but legislation now gives it formal legal status. Under the law, measures will also be implemented to prevent money laundering and terrorist financing.
The authority will issue licenses to virtual asset providers operating in the country and will supervise and regulate their activities. According to the supervisory authority, the purpose of the law is to ensure investor protection and promote transparency within the digital financial system.
Officials say the new framework will help bring stability to the virtual asset market while encouraging the adoption of new technologies.
Regulators say Pakistan’s regulatory regime is being aligned with international standards.
Pvara has been formed to license entities providing virtual asset services in or from Pakistan; regulate virtual asset markets and service providers and monitor compliance with financial, security and legal standards
It has been granted broad regulatory powers to ensure financial integrity and transparency; prevent illegal activities, including money laundering and terrorist financing; and ensure compliance with international standards.
