SBP Tightens Action Against Hawala System, Moves Toward Virtual Asset Regulation

State Bank of Pakistan Governor Jamil Ahmed has said that strict action is being taken against hundi and hawala in the country, which has stabilised foreign exchange reserves.

During a meeting with traders in Karachi, he said that there is a strict regulatory framework in place to monitor suspicious transactions in the banking system, and reports of any unusual activity are sent to law enforcement agencies.

He also revealed that work is underway on a regulatory framework for digital and virtual assets to modernise the financial system of the future.

Business leaders expressed concerns over valuation issues, customs policy and trade barriers and demanded that the valuation role of commercial banks be limited.

According to experts, these measures will increase transparency in the financial system, however, it will be necessary to balance the impact of the reforms for the business community.