ISLAMABAD – Pakistan is exploring possibility of issuing blockchain-based government bonds as part of efforts to enhance and streamline its capital markets.
The proposal, discussed in a high-level meeting between Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb met today with Bilal Bin Saqib, Minister of State and Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA) with focus on using tokenization to improve efficiency, broaden investor access, and integrate digital infrastructure into sovereign debt instruments while remaining compatible with existing global financial systems.
Officials reviewed early-stage concepts for issuing government bonds through regulated digital platforms, while ensuring compatibility with existing international financial systems.
Discussions included international practices in sovereign debt digitization and the concept of “digitally native” bonds. Under the model being examined, sovereign securities could be issued on a regulated blockchain at the point of issuance, enabling faster settlement processes. These instruments would still operate within established global clearing and settlement systems, ensuring continuity for institutional investors and existing frameworks such as Pakistan’s Eurobond program.
A key area of interest was the potential tokenization of Naya Pakistan Certificates, aimed at broadening access for retail investors, particularly overseas Pakistanis. The move is expected to improve digital investment channels and make participation in government-backed savings instruments more accessible and efficient.
FinMin Aurangzeb called the discussions exploratory step, stressing Pakistan’s interest in evaluating emerging financial technologies that could support capital market development, enhance investor participation, and strengthen financial accessibility.
Bilal Bin Saqib also highlighted the broader global shift toward programmable financial systems and real-time settlement infrastructure, noting that such innovations could help integrate Pakistan into evolving international digital finance networks.
Both sides agreed to continue coordination on technical frameworks, regulatory considerations, and feasibility assessments. This includes studying international benchmarks and evaluating potential pilot projects for sovereign asset tokenization. Institutions including the Ministry of Finance, PVARA, and the State Bank of Pakistan are expected to remain engaged as the concept is further developed.
Officials also referenced the success of the Roshan Digital Account, which has attracted approximately $13 billion in inflows since its launch in 2020.
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