Finance Minister Champions AI and Crypto Expansion

Embracing Digital Transformation for Economic Growth

Federal Finance Minister Muhammad Aurangzeb has emphasized the urgent need for Pakistan to accelerate its integration of new digital technologies. During a recent summit in Islamabad, he highlighted the critical role that blockchain, artificial intelligence (AI), cryptocurrency, and Web 3.0 can play in strengthening the country's economic foundation. The minister stressed that Pakistan must not lag behind global advancements in technology and innovation.

Aurangzeb pointed out that digital tools have the potential to make Pakistan more efficient, cost-effective, and competitive. He noted that a significant portion of the population—particularly the youth—is already engaged in online businesses, contributing to the country's growing digital economy. This trend underscores the importance of fostering an environment that supports technological entrepreneurship and innovation.

The finance minister also underscored the significance of remittances as a vital source of income for Pakistan. He mentioned that many companies are working to streamline these financial flows, making them more efficient and accessible. By leveraging digital platforms, the government aims to enhance the overall impact of remittances on the national economy.

To ensure a structured approach to digital transformation, the government has established the Pakistan Crypto Council (PCC). This initiative is designed to provide guidance and support for the development of the cryptocurrency sector. Additionally, the first meeting of the Pakistan Virtual Assets Regulatory Authority (PVARA) is set to take place on Monday. The authority will focus on creating a comprehensive regulatory framework for virtual assets, ensuring that the industry operates within clear legal boundaries.

Aurangzeb highlighted the progress made by Pakistan in recent years, including its removal from the Financial Action Task Force (FATF) grey list. This achievement reflects the country’s commitment to improving its financial systems and aligning with international standards. He also noted that international partners are willing to collaborate and assist Pakistan in building a robust digital infrastructure, reducing the need to start from scratch.

The minister encouraged Pakistan to learn from successful global examples and adopt best practices that suit its unique context. He believes that by embracing these strategies, the country can position itself as a leader in the digital economy.

With over 70% of the population under the age of 30 and more than 40 million crypto users, Aurangzeb sees immense potential for growth in the digital space. He emphasized that the finance ministry is fully committed to supporting this transition, ensuring that the necessary policies and infrastructure are in place to facilitate widespread adoption.

As Pakistan moves forward, the focus remains on creating an ecosystem that fosters innovation, ensures regulatory clarity, and empowers the next generation of entrepreneurs. By harnessing the power of digital technologies, the country is well-positioned to achieve sustainable economic growth and global competitiveness.