Pakistan is preparing significant changes to its foreign exchange regulations after a federal cabinet committee approved the Foreign Exchange Regulation (Amendment) Bill 2026. The proposed legislation aims to revise the existing legal framework governing penalties and financial fines for violations.
The Cabinet Committee for Disposal of Legislative Cases approved the bill during a meeting held on Friday. Federal Minister for Law and Justice Senator Azam Nazeer Tarar chaired the meeting, attended by senior officials from relevant ministries and departments.
The approved proposals will now move to the relevant forums for further consideration and necessary proceedings. However, authorities have not yet announced specific penalty amounts or detailed provisions under the proposed amendments.
Government Reviews Penalties For Foreign Exchange Violations
The proposed amendments focus on revising the legal framework used to address violations of foreign exchange regulations. Consequently, the changes could affect how authorities impose financial penalties and fines for breaches of the law.
Pakistan’s foreign exchange regulations govern several financial activities, including currency transactions, international remittances and dealings through authorised financial institutions. Therefore, changes to the penalty framework could have implications for individuals, businesses and financial sector participants.
However, the government has not released the complete text of the amendment bill. Further details about the proposed penalties, affected offences and enforcement procedures will become clearer once authorities publish the legislation.
Cabinet Committee Approves Additional Legal Reforms
Besides foreign exchange legislation, the committee approved several other legal and administrative proposals. These included changes to Armed Forces retirement leave arrangements, allowing payments in place of retirement leave personnel do not use.
The committee also approved amendments to laws administered by the Securities and Exchange Commission of Pakistan. Under the proposal, references to the federal government will be replaced with the names of the relevant competent authorities.
Additionally, officials approved a legal package transferring plant protection responsibilities to the National Agriculture Trade and Food Safety Authority (NAFSA). The package includes amendments to relevant rules and arrangements for transferring associated legal documents.
Meanwhile, the committee deferred the proposed Press Council of Pakistan Act 2026 for further consultation. The approved legislative drafts will now proceed through the required government channels.
For the latest updates, visit and follow The Truth International website (www.thetruthinternational.com) and subscribe to the YouTube Channel.
