Pakistan Targets Rupee Stablecoin and CBDC to Unlock $25B

Published: 2025-11-09 05:25:15 |

Pakistan is set to launch a rupee stablecoin and pilot a central bank digital currency (CBDC) to capture an estimated $20–25 billion in crypto market growth. At the SDPI Conference, Zafar Masud, president of the Pakistan Banks Association, warned that delaying crypto regulation could cost the country billions amid a young digital population and a global stablecoin surge. The State Bank of Pakistan, with IMF and World Bank support, has built a CBDC prototype and plans a pilot phase to cut remittance costs and boost financial inclusion for over 100 million unbanked adults. Fintech startup ZAR is preparing dollar-backed stablecoins, and Pakistan has risen to third place in Chainalysis’ 2025 Global Crypto Adoption Index. The upcoming Virtual Assets Ordinance 2025 will empower the Pakistan Virtual Asset Regulatory Authority (PVARA) to license and oversee virtual asset service providers per FATF standards. Traders should monitor the rupee stablecoin rollout, CBDC pilot, and regulatory clarity, as these developments may enhance market liquidity, accelerate cross-border payments, and strengthen Pakistan’s fintech leadership.

Bullish

By moving forward with a rupee stablecoin and a CBDC pilot, Pakistan signals strong regulatory support for digital assets. In the short term, clear regulatory frameworks and pilot launches can boost trader confidence, leading to higher stablecoin trading volumes and liquidity on local exchanges. The establishment of PVARA reduces compliance uncertainty for virtual asset service providers, likely attracting institutional participation. In the long term, a government-backed rupee stablecoin and CBDC could lower remittance costs, expand on-chain activity, and integrate Pakistan’s growing digital population into the crypto economy, driving sustained demand for stablecoins. Historical precedents, such as the USDC and e-CNY pilots, have shown that central bank involvement in digital currencies can spur broader market adoption, positioning Pakistan as a regional fintech hub. These factors collectively point toward a bullish outlook for stablecoins and related digital assets in Pakistan.