President Zardari gives assent to Virtual Assets Act, 2025
The law establishes the Pakistan Virtual Asset Regulatory Authority (PVARA), an autonomous federal body empowered to license, regulate, and supervise entities dealing in virtual assets, read a statement.
On Monday, the Federal Cabinet formally approved the summary for the creation of PVARA, a landmark step towards establishing a comprehensive legal and institutional framework for overseeing the country's rapidly growing digital assets ecosystem.
The authority has been granted comprehensive powers to ensure transparency, compliance, financial integrity, and the prevention of illicit activities, in alignment with international standards including those of the Financial Action Task Force (FATF).
As per the statement, the board of the authority will include key government stakeholders, such as the Governor of the State Bank of Pakistan (SBP), secretaries of finance, law and justice, and information technology and telecommunications, as well as the chairpersons of the Securities and Exchange Commission of Pakistan (SECP), the Federal Board of Revenue (FBR), and the Digital Pakistan Authority.
Moreover, two independent directors with expertise in virtual assets, law, finance, or technology will be appointed by the federal government. The chairperson, appointed on the basis of demonstrated experience in finance, law, technology, or regulatory affairs, will oversee the authority's functions.
Under the Act, any person or company intending to offer virtual asset services in or from Pakistan must be licensed by the authority. 'A structured licensing regime will be introduced, with specific requirements for incorporation, operational capacity, compliance frameworks, and reporting obligations,' it said.
The legislation also incorporates a framework for 'responsible innovation by establishing a regulatory sandbox, allowing emerging technologies and business models to be tested under supervisory oversight'.
In addition, the authority may issue no-action relief letters under defined conditions to facilitate experimentation while preserving regulatory accountability.
Moreover, to ensure compatibility with Islamic finance principles, the law mandates the formation of a Shariah Advisory Committee, which will advise the authority on matters related to the Shariah compliance of virtual asset products and services. Licensed entities offering Islamic financial products will be bound by the rulings issued by the committee.
The Act also provides for the establishment of a virtual assets appellate tribunal to hear appeals against regulatory decisions.
The tribunal will function with judicial independence and a specialised bench comprising experts in law, finance, and technology.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
6 hours ago
- Business Recorder
Gulf equities end mixed on corporate earnings; Egypt on new record high
Gulf stock markets were mixed on Wednesday as investors assessed a raft of corporate earnings and awaited clarity on the U.S. Federal Reserve's leadership. Trump said he would name a nominee to replace outgoing Fed Governor Adriana Kugler by the end of the week, and has narrowed the shortlist for Fed Chair Jerome Powell's successor to four candidates. Expectations of a U.S. interest rate cut strengthened after Friday's weaker-than-expected jobs data, with traders now pricing in a 94% chance of a September cut, up from 63% at the end of July, according to CME FedWatch. Interest rate moves by the Fed have a significant impact on the Gulf region's monetary policy as most of its currencies are pegged to the U.S. dollar. The Qatari benchmark index gained 0.4% to 11,326, its highest level in more than 2-1/2 years, with most stocks in positive territory. Industries Qatar rose 1.1% and AlRayan Bank advanced 2.3%. Saudi Arabia's benchmark stock index edged up 0.2%, lifted by a 2.1% rise in Saudi Basic Industries and a 5.4% jump in Arabian Centres after the mall operator reported a 34.2% increase in second-quarter net profit. Riyadh Cement slipped 2.8% after posting a 10.8% decline in quarterly net profit. Dubai's benchmark stock index slipped 0.2% as most constituents declined. Dubai Islamic Bank, the UAE's largest Islamic lender, dropped 2.1% and Parkin Company lost 1.1%. Gulf shares rise on Fed easing hopes; Egypt hits record high 'Markets in the UAE were under pressure as they remained exposed to price corrections after weeks of gains,' said Joseph Dahrieh, managing Principal at Tickmill. The Abu Dhabi benchmark index was little changed as the gains in real estate, technology and energy stocks offset losses in industry, health care and telecom. Aldar Properties climbed 3% and ADNOC Gas, advanced 1.5% after gas processing and sales company reported a 16% rise in second-quarter net profit and declared an interim dividend of $1.792 billion, a 5% increase from a year earlier. Outside the Gulf, Egypt's blue-chip index advanced for a fifth day and rose 0.6% to hit a fresh record high at 35,480. Telecom Egypt soared 4.8% and Fawry for Banking Technology gained 1.9%. Meanwhile, Egypt's net foreign reserves rose to $49.036 billion in July from $48.7 billion in June, the central bank said on Tuesday. --------------------------------------- SAUDI ARABIA up 0.2% to 10,947 KUWAIT lost 0.3% to 9,216 QATAR rose 0.4% to 11,326 EGYPT up 0.6% to 35,480 BAHRAIN fell 0.1% to 1,946 OMAN up 0.2% to 4,809 ABU DHABI ended flat at 10,330 DUBAI lost 0.2% to 6,156 ---------------------------------------
Express Tribune
9 hours ago
- Express Tribune
DG ISPR dismisses rumours of Army Chief becoming President
Listen to article The Pakistan Army has strongly rejected speculation on Field Marshal Chief of Army Staff (COAS) Syed Asim Munir vying to become president of Pakistan. Speaking to The Economist, Inter Services Public Relations (ISPR) DG Lieutenant General Ahmed Sharif Chaudhry rubished such rumours as "completely baseless". فیلڈ مارشل سید عاصم منیر کے صدر بننے کی افواہوں اور بھارتی جارحیت پر پاک فوج کا دو ٹوک ردعمل معرکہ حق کے بعد فیلڈ مارشل سید عاصم منیر کے صدر بننے کی باز گشت کے حوالے سے ڈی جی آئی ایس پی آر کا دو ٹوک موقف ڈی جی آئی ایس پی آر لیفٹینٹ جنرل احمد شریف چوہدری کا دی اکانومسٹ کو… — PTV News (@PTVNewsOfficial) August 6, 2025 His statement comes a month after the interior minister issued a similar rebuttal clarifying that there was no truth to speculation about the president being asked to resign or the field marshall aspiring to assume presidency. The Economist noted that FM Munir's popularity has surged since the May conflict with India. It further noted that the ruling coalition's recently acquired two-thirds majority in parliament further "ignited rumours that the army chief could become president too". Last month, Interior Minister Mohsin Naqvi had also rebuffed speculations on social media suggesting the ouster of President Asif Ali Zardari, calling them baseless. Commenting on Indian Prime Minister Narendra Modi's reported resolve to respond to terrorist attacks with military action, DG ISPR responded, 'this time, we will start from the East of India'. 'It will begin with deep strikes inside India,' he added. 'India must understand that they can be struck anywhere.' This time, we will start from the East of India DG ISPR Read: Interior minister rebuffs rumours of President Zardari's ouster as 'malicious campaign' He firmly denied any discussions or intentions concerning the president's resignation or a change in leadership. We are fully aware of who is behind the malicious campaign targeting President Asif Ali Zardari, Prime Minister Shahbaz Sharif, and the Chief of Army Staff. I have categorically stated that there has been no discussion,nor does any such idea exist,about the President being asked… — Mohsin Naqvi (@MohsinnaqviC42) July 10, 2025 "The sole focus of the COAS is the strength and stability of Pakistan, nothing else," reiterated the interior minister. Earlier this year, President Asif Ali Zardari and Prime Minister Shehbaz Sharif in May formally conferred the rank of Field Marshal on COAS General Syed Asim Munir. The federal cabinet approved the promotion during a high-level meeting chaired by the Prime Minister, where ministers hailed the operational success of Operation Bunyanum Mursoos. The operation was described as a historic military victory that repelled Indian aggression and ensured the country's sovereignty. Field Marshal Munir also praised the political leadership for their 'strategic foresight' during Operation Marka-i-Haq. FM Munir is the nation's second army officer to be promoted to field marshal since 1947, since independence. Former army chief and military dictator Gen Ayub Khan was conferred the rank in 1959. Shortly afterwards, in Washington, US President Donald Trump said he was 'honoured' to meet FM Munir during a rare White House meeting, crediting him with playing a key role in halting the conflict between Pakistan and India.
Express Tribune
18 hours ago
- Express Tribune
PHMA urges PM to reverse SRO 1359
Listen to article The Pakistan Hosiery Manufacturers and Exporters Association (PHMA) has strongly opposed the recently issued SRO 1359(I)/2025, warning it could cripple the country's largest foreign exchange-earning sector — value-added textiles. According to a statement released on Tuesday, PHMA North Zone Chairman Abdul Hameed wrote a letter addressed to Prime Minister Shehbaz Sharif, demanding an immediate withdrawal of the notification. Issued on July 29, the SRO imposes restrictions on importing cotton and blended yarns, especially in counts between 10 and 40, and reduces the material utilisation period under the Export Facilitation Scheme (EFS) from 24 to 9 months. Exporters say the changes will block billions in sales tax refunds.
