Pakistan is set to take a major step toward digital finance, as the State Bank of Pakistan (SBP) partners with Japanese blockchain technology company Soramitsu to launch a pilot program for a central bank digital currency (CBDC) later this year. The initiative was first reported by Nikkei Asia.

The pilot will run on Soramitsu’s CBDC platform and is being funded by Japan’s Ministry of Economy, Trade and Industry under its Global South Future-Oriented Co-Creation Project. The aim is to explore how a digital version of the Pakistani rupee could improve payment systems, financial inclusion, and overall economic efficiency.