Pakistan moves towards regulated virtual assets framework

Pakistan moves towards regulated virtual assets framework

NEW YORK: Finance Minister Muhammad Aurangzeb said Pakistan is moving towards a regulated framework for virtual assets as the government explores blockchain and tokenisation to support remittances, small businesses, public debt management and financial inclusion.

Aurangzeb made the remarks during a series of high-level engagements in New York on the first day of his visit for the 81st session of the United Nations General Assembly, according to a government statement issued Tuesday.

Speaking at the “United Nations Digital Cooperation Day 2026 – Blockchain and the Tokenised Future” session, the finance minister said Pakistan wants tokenisation to address practical economic needs. He identified lower-cost remittances, financing for small and medium-sized enterprises, sovereign debt and wider access to financial services as key areas where digital technologies could play a role.

Aurangzeb stressed the need to balance private-sector innovation with effective government safeguards, inclusive digital infrastructure and international cooperation. He also called for developing economies to have a meaningful role in setting global standards for emerging digital technologies.

During his engagements, the minister also discussed Pakistan’s vulnerability to climate-related disasters and the need to turn climate commitments into practical investment and development projects.

At the World Economic Forum’s “Financing Planet and Prosperity” meeting, Aurangzeb highlighted the severe impact of climate disasters, particularly floods, on Pakistan’s infrastructure and communities.

He said the government is working to improve disaster-response mechanisms, early-warning systems and costed climate investment plans. He also stressed that international support must complement domestic resources and stronger fiscal buffers.

Aurangzeb said Pakistan has mobilised financing through the World Bank, Asian Development Bank and international capital markets for relief, reconstruction and climate adaptation.

He urged international climate-financing institutions, including the Green Climate Fund and the Loss and Damage Fund, to simplify their procedures and speed up access to funding for vulnerable countries.