Business Desk 
Aug 14, 2025
As Pakistan gears up to launch its own digital currency, named central bank digital currency (CBDC), the State Bank of Pakistan (SBP) has chosen a Japanese blockchain firm for the purpose.
The decision has been taken after the Virtual Assets Act 2025 received the federal government's nod last month.
Soramitsu, a blockchain technology developer, is collaborating with the SBP on a pilot programme to introduce a CBDC in Pakistan, Japanese news outlet Nikkei Asia reported on Tuesday.
This announcement follows SBP Governor Jameel Ahmed's statement that the central bank is preparing to launch a pilot project while finalising legislation to regulate digital assets.
The Virtual Assets Act, approved on 9 July, mandates the establishment of an independent federal body called the Pakistan Virtual Asset Regulatory Authority (PVARA), responsible for licensing and supervising entities dealing in virtual assets.
Under the new act, all service providers in this sector will be obliged to obtain licences, meet incorporation and compliance standards, and adhere to strict reporting obligations.
The Act introduces a regulatory sandbox to facilitate responsible innovation, allowing new technologies and business models to be tested under regulatory oversight. PVARA is also empowered to issue “no-action” relief letters under specific conditions.
To ensure compliance with Islamic finance principles, a shariah advisory committee will guide the authority on the permissibility of virtual asset products.
Additionally, the Act provides for the creation of a virtual assets appellate tribunal to hear appeals against PVARA decisions, ensuring independence and expertise in law, finance, and technology.
Pakistan’s digital currency initiative was kicked off in 2021 when the SBP included CBDC in its roadmap to digitise banking .
