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ISLAMABAD: The State Bank of Pakistan has launched its first-ever Research Agenda for 2026-2029, outlining a comprehensive roadmap aimed at strengthening evidence-based policymaking and addressing the country&rsquo;s most pressing economic challenges, said a statement from the country&#39;s central bank on Thursday. According to the statement, the initiative seeks to deepen research on inflation, financial stability, and long-term economic development as Pakistan navigates an increasingly complex global and domestic economic environment. The SBP statement added that rapid technological change, climate-related disruptions, geopolitical uncertainties, and persistent structural weaknesses have made economic policymaking more challenging than ever.&nbsp;<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-1" scrolling="no" frameborder="0" allowfullscreen="true" style="position: static; visibility: visible; width: 550px; height: 649px; display: block; flex-grow: 1;" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-1&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=2064968546929795250&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=e22c25f3fe8e9f979775494362a6886772c197fe&theme=light&widgetsVersion=6a3ad42b224df%3A1778106238597&width=550px"></iframe></div></div> &quot;The new agenda is designed to provide policymakers with stronger analytical tools to respond to these evolving realities.&quot; The statement further said that the three-year framework is built around three major themes: Inflation Dynamics and Monetary Policy; Financial Sector Deepening; Soundness and Efficiency; and Structural Transformation and Economic Development. &quot;Under the first theme, the State Bank plans to examine inflation behavior, monetary policy transmission, inflation expectations, and the potential adoption of a flexible inflation-targeting framework. The agenda also highlights emerging issues such as digital finance, virtual assets, central bank digital currencies, artificial intelligence, and the transition towards a more Shariah-compliant banking system,&quot; it elaborates.<img src="https://paktv-assets-7d41fab8.s3.eu-west-2.amazonaws.com/8dc2d89d-fad9-4d1e-8121-83265d7d41f8.png" style="width: 781px;" class="fr-fic fr-dib"> The statement further explains that the second theme focuses on strengthening Pakistan&rsquo;s financial sector by exploring ways to improve financial inclusion, expand credit access, enhance banking efficiency, and evaluate the impact of liquidity management and regulatory policies on economic growth. &quot;The third theme addresses broader structural challenges facing the economy, including informality, export competitiveness, foreign investment, remittances, climate risks, technological change, and governance reforms needed to support sustainable growth,&quot; the statement added. Importantly, the SBP has invited academics, policymakers, researchers, and industry experts to collaborate on the agenda. The central bank also plans to support selected priority research projects, encouraging a wider national effort to generate actionable policy recommendations. Officials say the initiative aligns with SBP Vision 2028 and will help strengthen the foundations for price stability, financial resilience, and inclusive economic development in Pakistan.

Economy

State Bank of Pakistan launches its first Research Agenda 2026–2029; Focuses on inflation, financial sector reforms, and economic transformation; Invites academics and researchers to support evidence-based policymaking.

Pakistan's central bank launches 3-year research roadmap for smarter economic policymaking

ISLAMABAD: Pakistan recorded its highest-ever monthly workers&rsquo; remittances inflow, receiving a record US$ 4.25 billion in May 2026, according to the latest data released by the State Bank of Pakistan (SBP) on Wednesday. The landmark figure represents an increase of more than 20% compared to April 2026 and over 15% higher than the amount received during the same month last year, highlighting the continued confidence of overseas Pakistanis in the country&rsquo;s economy. The latest inflows have pushed cumulative workers&rsquo; remittances during July-May of fiscal year 2025-26 to US$ 38.1 billion, reflecting a 9% year-on-year increase. With one month remaining in the fiscal year, Pakistan is now on course to surpass the US$ 41 billion mark in annual remittances for the first time in its history, according to financial experts.<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-0" scrolling="no" frameborder="0" allowfullscreen="true" style="position: static; visibility: visible; width: 550px; height: 898px; display: block; flex-grow: 1;" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=2064575139464044980&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=4fa70f2c1c55d42c742db5f5da3a3e5307dd6fd3&theme=light&widgetsVersion=6a3ad42b224df%3A1778106238597&width=550px">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</iframe></div></div> Khurram Schehzad, advisor to Pakistan&rsquo;s finance minister, in a post on X said that the unprecedented inflow is a major boost for Pakistan&rsquo;s external sector at a time when the country is focused on strengthening macroeconomic stability and rebuilding foreign exchange reserves. Workers&rsquo; remittances remain one of Pakistan&rsquo;s most reliable sources of foreign exchange, providing critical support to the balance of payments and helping ease pressure on the national currency.&nbsp; The sustained growth in inflows has also enhanced the country&rsquo;s ability to manage external financing requirements and improve investor confidence. Schehzad&nbsp;also described the record inflows as a powerful vote of confidence by overseas Pakistanis, whose contributions continue to play a vital role in supporting economic resilience.&nbsp; Millions of Pakistani expatriates working across the globe, particularly in Gulf countries, regularly send money home to support their families and communities.<img src="https://paktv-assets-7d41fab8.s3.eu-west-2.amazonaws.com/ed33fd04-e2bd-4253-b2a4-d4e90f0b5857.png" style="width: 655px;" class="fr-fic fr-dib">Pakistan is among the world&rsquo;s largest recipients of workers&rsquo; remittances, receiving tens of billions of dollars annually from its diaspora. For countless households, these funds serve as an economic lifeline, helping cover essential expenses such as food, housing, education, healthcare, and other daily needs. According to SBP data, Saudi Arabia and the United Arab Emirates remained the largest contributors to Pakistan&rsquo;s remittance inflows, accounting for more than half of the country&rsquo;s record $38.3 billion received during fiscal year 2024-25.&nbsp; Other major sources include the United Kingdom, the United States, and other Gulf Cooperation Council countries. State Bank of Pakistan said that remittances during May 2026 were mainly sourced from Saudi Arabia ($1,025 million), the United Arab Emirates ($1006.6 million), the United Kingdom ($645.5 million), and the USA ($349.8 million). Analysts believe the continued growth in remittances reflects stronger formal banking channels, improved digital transfer mechanisms, and sustained employment opportunities for Pakistani workers abroad. Khurram Schehzad&nbsp;further said that the May performance further reinforces the importance of overseas Pakistanis in the national economy and underscores the increasingly strategic role remittances play in maintaining financial stability and supporting long-term economic growth.

Pakistan receives a record $4.25B in remittances in May 2026, pushing FY26 inflows to $38.1B and strengthening foreign reserves, currency stability, and household incomes nationwide.

Pakistan records historic $4.25B remittances in May

ISLAMABAD: The State Bank of Pakistan (SBP) repaid a deposit of US $1 billion to Abu Dhabi Fund for Development (ADFD), UAE, on Thursday (23 April 2026), said a post shared on social media by the central bank of Pakistan on Friday. &ldquo;Deposits of $2.45 billion were repaid last week,&rdquo; the post added.<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-0" scrolling="no" frameborder="0" allowfullscreen="true" style="position: static; visibility: visible; width: 550px; height: 321px; display: block; flex-grow: 1;" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=2047527895392731603&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=66b7990de9f679b6bccb26449233098d216fd2bf&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px"></iframe></div></div>It concluded that the payment on Thursday &ldquo;completes the repayment of total deposits of $3.45 billion to UAE.&rdquo; Earlier at the start of the current month, in an official statement, Pakistan&#39;s Ministry of Foreign Affairs had said the deposits were placed &ldquo;under bilateral commercial agreements,&rdquo; reflecting the UAE&rsquo;s continued support for Pakistan&rsquo;s economic stability. &ldquo;Accordingly, pursuant to mutually agreed terms, the Government of Pakistan, through the SBP, is now returning the matured deposits to the UAE,&rdquo; the spokesperson said, adding, &ldquo;This is a routine financial transaction, and any attempt to portray it otherwise is erroneous and misleading.&rdquo;

The State Bank of Pakistan (SBP) repays a deposit of US $1 billion to Abu Dhabi Fund for Development (ADFD), UAE, on Thursday (23 April 2026), said a post shared on social media by the central bank of Pakistan on Friday.

Pakistan completes repayment of $3.45B deposits to UAE: State bank 

Faraz Saeed

LAHORE: Pakistan has ended an eight-year ban that kept cryptocurrency firms out of the banking system, allowing lenders to work with the sector under a tightly controlled framework. The State Bank of Pakistan (SBP) said in a circular dated April 14 that banks can open accounts for virtual asset companies licensed by the Pakistan Virtual Assets Regulatory Authority (PVARA), a body set up under the Virtual Assets Act passed in March.&nbsp; The move marks the country&rsquo;s first formal step toward bringing crypto activity into the regulated financial system since restrictions imposed in 2018. Access is limited to firms approved by the regulator. Companies holding only a no-objection certificate can open restricted accounts, while full transaction services are allowed only after a license is granted.&nbsp; Banks must verify each firm&rsquo;s regulatory status before onboarding.The central bank kept strict limits on lenders&rsquo; role.&nbsp;Banks are not allowed to trade, invest in, or hold cryptocurrencies, either for themselves or on behalf of customers.&nbsp; Their function is limited to providing accounts and payment services.&nbsp;The rules also require crypto firms to keep customer funds separate from their own.&nbsp; Due diligenceThese balances must be held in non-interest accounts in Pakistani rupees and can only be used to settle approved transactions.&nbsp;Cash deposits and withdrawals are not permitted, and the funds cannot be used as collateral. Banks must carry out full due diligence on each client and monitor transactions on an ongoing basis.&nbsp;Suspicious activity must be reported under existing anti-money laundering laws, extending current financial controls to the crypto sector. The policy shift follows rapid growth in crypto use despite the earlier ban. Pakistan ranked among the top countries in Chainalysis&rsquo; 2025 Global Crypto Adoption Index, reflecting demand for remittances, access to dollar-linked assets and wider use of mobile financial services.&nbsp; Industry estimates cited by officials put the number of users at more than 40 million, with annual trading volumes approaching $300 billion, much of it outside formal oversight&nbsp;Landmark momentSpeaking to Pakistan TV Digital, the PVARA chairman said &ldquo;This is a landmark moment. For eight years, a blanket prohibition cut Pakistan off from a financial innovation that the rest of the world was building infrastructure around. What SBP has done today is not just lift a ban. It is a formal acknowledgment that virtual assets are a legitimate part of Pakistan&#39;s financial system. That acknowledgment carries institutional weight.&rdquo;&nbsp;The timing matters too, he noted adding that &ldquo;The Virtual Assets Act 2026 created the legal foundation; PVARA is the regulatory authority; and now the SBP has opened the banking system to PVARA licensed operators. These three pieces together mean Pakistan has moved from prohibition to a complete, functioning framework in a single legislative cycle. That is not a small thing.&rdquo;&nbsp;&ldquo;The most immediate impact is legitimacy. Exchanges operating in Pakistan have functioned in a grey zone, compliant with nothing because there was nothing to comply with. That changes now. A licensed VASP with a bank account is a regulated entity, subject to AML checks, transaction monitoring, and SBP oversight. That protects consumers and brings activity into the formal economy,&rdquo; he said, while highlighting the positive impact of the move.&nbsp;The second impact is remittances, Bilal added, noting that &ldquo;Pakistan receives over $38 billion annually from its diaspora. A meaningful share moves through informal channels because the formal ones are slow and expensive. Licensed exchanges with banking access can now offer a legal, fast, low-cost alternative. That is real money entering the documented economy.&rdquo;&nbsp;The third he mentioned is the investor confidence.&nbsp;&ldquo;Any serious crypto business evaluating Pakistan will look at banking access as a baseline requirement. We now meet that bar,&rdquo; he said.&nbsp;Authorities have moved in stages toward regulation.&nbsp;The government launched PVARA as an interim body in July 2025 before giving it statutory status through legislation this year.&nbsp;&nbsp;Use of digital assetsThe regulator has already issued no-objection certificates to some exchanges as part of a phased licensing process.&nbsp;The banking decision comes alongside broader plans to expand the use of digital assets.&nbsp; The government has already moved to bring in global crypto players, signing a memorandum of understanding with Binance in December to ⁠explore tokenising up to $2 billion in assets and granting initial clearances to Binance and HTX to begin licensing. Pilot programs using dollar-backed stablecoins for remittances are under way, and work on a central bank digital currency is in progress.&nbsp; Officials have also outlined plans to direct surplus electricity to bitcoin mining and artificial intelligence data centers. Crypto businesses in PakistanCrypto businesses in Pakistan too see this as a lifeline.&nbsp;Access to banking means they can operate more like normal companies.&nbsp; They can pay rent, hire staff with direct deposit, accept payments from customers without complicated workarounds.&nbsp;Investment could pick up.&nbsp; International crypto firms that avoided Pakistan because of the banking ban might reconsider. Local startups that struggled to raise money might find it easier to attract capital now that they can manage funds through legitimate bank accounts. But the impact won&rsquo;t be instant. Banks need time to build out their processes. VASPs need time to get their licenses in order.&nbsp; The whole ecosystem has to shake off years of operating in the shadows. Consumer trust is another factor. Pakistanis who wanted to buy crypto but felt nervous about unregulated exchanges might feel safer now.&nbsp; Banking integration adds a layer of legitimacy that was missing before. That could bring new users into the market. Infrastructure development will probably accelerate. With banking access, crypto companies can invest in better platforms, customer service, security systems.&nbsp; The ban forced them to run lean and scrappy. Now they can build something more robust. The latest move signals a shift from restriction to oversight, as authorities seek to bring a large, informal crypto market into the formal financial system without exposing banks directly to digital asset risks.

The State Bank of Pakistan (SBP) said in a circular dated April 14 that banks can open accounts for virtual asset companies licensed by the Pakistan Virtual Assets Regulatory Authority (PVARA), a body set up under the Virtual Assets Act passed in March. 

Articles tagged with "State Bank of Pakistan"

Pakistan's central bank launches 3-year research roadmap for smarter economic policymaking

Pakistan records historic $4.25B remittances in May

Pakistan completes repayment of $3.45B deposits to UAE: State bank

Pakistan ends crypto banking ban, opens door to regulated digital asset market

Pakistan's central bank launches 3-year research roadmap for smarter economic policymaking