Pakistan has decided to further strengthen its system against money laundering and terror financing by tightening oversight of key business sectors, including precious metals and real estate.
The move comes as regulators ramp up monitoring to counter commercial and trade-based money laundering risks highlighted by global watchdogs.
The government has taken a decision to reinforce Pakistan’s anti-money laundering and counter-terror financing framework. The focus is on improving detection, monitoring, and enforcement across both financial and non-financial sectors.
Officials say the steps are part of a broader effort to safeguard the financial system and prevent its misuse for illegal activities.
Precious metals, gold trade
Monitoring of the business of precious metals, including gold, will be further tightened, according to official documents. Authorities will closely track transactions in the sector due to its vulnerability to illicit financial flows.
Dealers and individuals associated with the gold and precious metals trade will now face enhanced oversight to ensure compliance with anti-money laundering regulations.
Real estate sector
Real estate agents and dealers have also been brought into sharper focus. Regulators plan to monitor those associated with property transactions, a sector long considered high-risk for laundering illicit funds.
The move aims to increase transparency in real estate dealings and prevent the use of property markets for hiding illegal wealth.
The State Bank of Pakistan has implemented a new monitoring system designed specifically to prevent commercial money laundering. The initiative is meant to strengthen oversight of business-related financial activities.
The Finance Ministry confirmed that the system will support regulators in identifying suspicious transactions more effectively.
Non-financial businesses to face effective regulation
All non-financial businesses and professions will be effectively monitored as part of the expanded anti-money laundering framework. This includes sectors beyond traditional banking channels.
The goal is to close regulatory gaps that could be exploited for money laundering or terror financing.
Pakistan continues to face risks related to trade-based money laundering, according to the International Monetary Fund. Officials acknowledge that misuse of trade channels remains a challenge for the economy.
As a result, authorities are strengthening inter-agency coordination to address these risks more comprehensively.
Economic impact of illicit flows
The Federal Board of Revenue, State Bank of Pakistan, and the Financial Monitoring Unit are jointly reviewing the economic impact of commercial money laundering. Their assessment aims to quantify losses and policy gaps.
Findings from this review are expected to inform future enforcement and regulatory reforms.
The Ministry of Finance announced that the National Risk Assessment Report will be shared with relevant institutions by March 2026. The report will evaluate sector-wise vulnerabilities to money laundering and terror financing.
It will serve as a roadmap for targeted policy actions across the financial system.
Beneficial ownership registry moves online
The Securities and Exchange Commission of Pakistan established a central beneficial ownership registry in July 2025. This registry is designed to identify the true owners behind companies and legal entities.
According to officials, the registry will be made available online for financial institutions and law enforcement agencies by January 2026.
Pakistan exited the Financial Action Task Force’s grey list in October 2022, a milestone acknowledged by Finance Ministry officials. Authorities say the country continues to implement FATF conditions and recommendations.
Officials emphasize that sustained compliance remains critical to maintaining financial credibility and investor confidence.
