Pakistan Considers Introducing Digital Currency, Finance Minister Reveals

pakistan considers introducing digital currency, finance minister reveals

Pakistan’s Finance Minister, Muhammad Aurangzeb, revealed at the World Economic Forum (WEF) special meeting in Riyadh that the government is thinking about bringing digital currency into the country.

Aurangzeb talked about Pakistan’s interest in adopting digital currency, saying, “We make Rs9.4 trillion in yearly revenues, but still, half of our economy is not documented.”

He also mentioned that an agreement was made with McKinsey to help digitize the economy completely. “They will assist us in digitizing our economy from start to finish,” stated the finance minister.

Aurangzeb stressed the urgent need to create a framework for a green tax economy. He added that even global organizations like the World Bank are looking into new ways of financing.

The minister highlighted the importance of combining local efforts with international financing to fulfill the country’s financial needs.

Earlier in July 2023, State Bank of Pakistan (SBP) Governor Jameel Ahmad announced that the central bank was developing a plan to introduce Pakistan’s first digital currency, named the Central Bank Digital Currency (CBDC).

He shared this information during a briefing to the Senate’s Standing Committee on Finance and Revenue, chaired by Senator Saleem Mandviwalla at the Parliament House.

The committee was informed that many central banks are experimenting with digital currency on a trial basis, and SBP is trying to gain insights from their experiences.