At UN, Pakistan stress effective regulation of digital assets

The Prime Minister's Special Assistant said that 1.4 billion people around the world are still outside the formal financial system, while expensive remittances and complex financial systems are causing difficulties for the common people. Digital finance can play an important role in increasing financial inclusion and providing low-cost remittances.

Bilal bin Saqib said that digital identity and verifiable financial records can be helpful for small businesses, while tokenization can create new investment opportunities in infrastructure and renewable energy projects. Blockchain can also improve transparency in government spending and supply chains.

He clarified that it is not correct to consider digital finance as an automatic solution to every problem, however, unnecessary delays in regulation can be detrimental to both consumers and the market. Bilal bin Saqib said that clear and effective regulation helps attract foreign investment.

There is a need to strengthen regulatory capacity related to digital finance in the Global South, as developing countries cannot afford to lag behind in the digital financial system. He stressed the need for globally common standards and strong institutional capacity for digital assets, saying that digital assets should be used for sustainable development, financial inclusion, and the public interest.

He also called on member states to cooperate for a common global governance of digital assets.