Pakistan's anti money laundering committee approves adding crypto regulator PVARA to the law
The committee, chaired by the finance minister, also approved revised cash transaction reporting thresholds on 27 October, without disclosing the new figure.
Pakistan's crypto regulator is to be written into the country's anti money laundering law. The National Executive Committee on anti money laundering and countering the financing of terrorism, known as the NEC on AML and CFT, approved on 27 October the inclusion of the Pakistan Virtual Assets Regulatory Authority, PVARA, in Schedule IV of the Anti Money Laundering Act.
Finance Minister Muhammad Aurangzeb chaired the committee's 19th meeting. The State Bank of Pakistan governor, the SECP chairman, the finance secretary, the federal law minister, the director general of the AML and CFT Authority and senior officials of the Financial Monitoring Unit also attended.
Four legal changes
PVARA is the body set up to license and supervise virtual asset service providers in Pakistan. Placing it in Schedule IV brings the regulator itself inside the law's framework. The accounts of the meeting do not say what new duties follow for PVARA or for the exchanges and wallet firms it licenses.
The committee also approved revised thresholds for Currency Transaction Reports, which reporting entities file for cash transactions at or above a set value. No new figure was given. The Financial Monitoring Unit's 2021 guidelines currently set the threshold at Rs2 million.
It added Section 28 of the Pakistan Maritime Zones Act, 2023, to Schedule I of the Anti Money Laundering Act. The section defines piracy as violent seizing, detaining or plundering for private gain by the crew or passengers of a private ship or aircraft, as well as knowingly taking part in running a pirate vessel and helping or encouraging either act. Official sources told Business Recorder that the committee also designated the provincial anti corruption establishments as investigating or prosecuting agencies under the Anti Money Laundering Act, 2010.
Pressure on the Financial Monitoring Unit
The Financial Monitoring Unit receives suspicious and currency transaction reports from reporting entities. The committee reviewed its performance, its capacity and its work with artificial intelligence and machine learning, and checked compliance with decisions taken at the 18th NEC meeting.
Aurangzeb called for "a clear implementation roadmap with defined timelines" to strengthen the unit's analytical and operational capacity, and for regular follow up and stronger coordination among institutions. He described the committee as an effective forum for coordination, cooperation between agencies and consistent monitoring. The committee itself said the framework must stay responsive to evolving financial risks and emerging technologies.
The revised Currency Transaction Report threshold is the figure still to be disclosed.
