Pakistan considers rupee-linked stablecoin and CBDC

Pakistan is considering issuing a stablecoin pegged to its national currency, the rupee, and introducing a central bank digital currency (CBDC), Cointelegraph reported. The move is being considered after Zafar Masud, President of the Pakistan Banks' Association (PBA), stated that the country could achieve up to $25 billion in economic growth by participating in the cryptocurrency market. Meanwhile, Faisal Mazhar, Deputy Director of the Payments Department at the State Bank of Pakistan, revealed that a CBDC prototype is already in development with support from the World Bank and the International Monetary Fund (IMF). He added that a pilot program is planned ahead of a full-scale launch.