Photo Credit: wenewsenglish.com
ISLAMABAD: Pakistan is exploring closer cooperation with Mastercard to modernise its financial infrastructure, improve cross-border payments and support the development of blockchain-based financial services.
The discussions took place during a meeting between Minister of State Bilal Bin Saqib, who also serves as Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA), and Mark Elliott, Mastercard’s Division President for East Arabia.
The meeting focused on opportunities to integrate emerging financial technologies with established banking and payment systems, particularly in areas such as international money transfers, digital assets and financial inclusion.
Improving Cross-Border Payments and Remittances
With Pakistan receiving more than $40 billion in annual remittances, improving the speed, security and efficiency of international transfers remains a key priority.
Officials discussed how blockchain-powered payment infrastructure could help streamline transactions and improve financial services for overseas Pakistanis, freelancers and small businesses.
The talks also explored potential collaboration between traditional financial institutions and digital-asset technology providers to strengthen Pakistan’s financial ecosystem.
More efficient cross-border payment systems could reduce transaction delays, improve access to financial services and support economic activity across the country.
Exploring Asset Tokenisation and Blockchain Innovation
Another major topic was the tokenisation of financial assets, a process that converts ownership rights or financial instruments into digital tokens recorded on blockchain networks.
The technology could offer new methods for issuing, transferring and managing assets while improving transparency and operational efficiency.
However, participants emphasised that the adoption of such technologies would require appropriate regulatory oversight and safeguards to protect investors and maintain confidence in financial markets.
The meeting also addressed cybersecurity, financial integrity and the importance of establishing regulations that support innovation without compromising consumer protection or financial stability.
Pakistan Seeks Greater Role in Digital Finance
Highlighting Pakistan’s ambitions, Bilal Bin Saqib said the country had an opportunity to play an active role in the transformation of global financial infrastructure.
“Pakistan has an opportunity not merely to participate in this transformation, but to help shape how emerging economies benefit from it,” he said.
He stressed that technological progress should deliver measurable economic benefits for individuals, businesses and the broader economy.
Bilal also highlighted the growing importance of cooperation between financial institutions, technology companies and regulators in developing secure and accessible financial systems.
Strengthening Regulatory Frameworks for Virtual Assets
The engagement forms part of PVARA’s broader efforts to establish a transparent, secure and internationally connected regulatory environment for virtual assets.
The authority is working to strengthen institutional capabilities, encourage responsible financial innovation and coordinate with relevant government agencies as digital finance continues to evolve.
Pakistan’s discussions with international payment providers also reflect its interest in attracting investment and expanding access to emerging financial technologies.
While the meeting centred on potential areas of cooperation rather than a formal partnership announcement, it highlighted the country’s efforts to modernise its financial services sector.
Closer engagement with global payment companies such as Mastercard could support the development of more efficient remittance channels, strengthen digital financial infrastructure and create new opportunities for Pakistani businesses participating in international markets.
