Crypto Business Is Banned in Pakistan, Has No Legal Status Yet, Finance Ministry Confirms

Islamabad:The Ministry of Finance and the State Bank of Pakistan (SBP) informed the National Assembly Standing Committee on Finance that **cryptocurrency business is currently banned** in the country and holds **no legal status**.

During the committee session chaired by **MNA Nafisa Shah**, officials revealed that although a **Crypto Council** has been established under the **Prime Minister’s executive order**, a **clear regulatory and legal framework** for cryptocurrency is still under development.

**Finance Secretary Imdadullah Bosal** stated that the Crypto Council, headed by the Finance Minister and including **Bilal Bin Saqib as CEO**, is tasked with studying and advising on crypto-related matters. Despite the involvement of SBP and SECP in the council, Bosal noted he was **not included** as a member.

**Sohail Javaad**, Executive Director of the SBP, said the central bank has submitted its **recommendations to the Crypto Council**, emphasizing the urgent need for a **regulatory framework**. He added that **only one country** has granted legal status to cryptocurrency and is now **reconsidering** its decision.

Several lawmakers voiced concern over the **lack of regulation**, despite ongoing crypto investment and frequent **fraud cases**. Committee member **Sharmila Faruqi** highlighted risks such as **money laundering and tax evasion**, urging the government to launch a **public awareness campaign**. **Mirza Ikhtiar Baig** and **Shehryar Khan** also raised concerns about the risks and rumors of **government involvement in crypto investments**.

The committee has **summoned the Finance Minister and Crypto Council members**, including Bilal Bin Saqib, for a **detailed briefing in the next meeting**. Additionally, the **Power Secretary** has been called to address reports of **2,000 MW electricity allocation for crypto mining**.

In other matters, **FBR Chairman Rashid Mahmood Langrial** informed the committee that **tax rebate for teachers** has been restored and will be included in the upcoming **Finance Bill**. Objections were also raised on **Income Tax Clause 99D**, under which **Rs 29 billion windfall tax** was collected from banks. The FBR clarified it only applied to banking companies that gained from **rupee appreciation**.

Committee member Mirza Ikhtiar Baig also reported that **FBR froze a restaurant’s bank account in Karachi and withdrew Rs 100 million**, prompting the committee to request a **detailed report**.

Lastly, it was revealed that **billions worth of petrol is being smuggled from Iran**, causing significant loss in **petroleum levy revenues**. The FBR stated that **400 customs officers** are deployed in Balochistan, and efforts are being made to improve monitoring. **Umar Ayub Khan** urged the FBR to **strengthen its systems** to curb smuggling effectively.