The government has increased the daily cash transaction reporting threshold for banks in Pakistan from Rs2 million to Rs3 million.
Banks to report cash transactions exceeding Rs3 million to the Financial Monitoring Unit (FMU).
Previously, the reporting threshold was Rs2 million.
The decision changes the amount at which banks must submit cash transaction reports to the financial authorities.
However, the new threshold does not mean customers are prohibited from depositing or withdrawing more than Rs3 million.
New cash transaction reporting rules
The Financial Monitoring Unit receives financial information to help identify suspicious transactions and possible money laundering.
Under the revised threshold, banks will be required to report cash transactions above Rs3 million.
The change increases the previous reporting level by Rs1 million.
The government has also agreed to strengthen the role of provincial anti-corruption departments in efforts to prevent money laundering.
According to the report, these departments may receive additional powers to deal with financial crimes.
However, the decision will depend on the completion of standard operating procedures (SOPs).
These procedures are expected to define how provincial agencies will exercise their responsibilities.
Another important development concerns virtual assets.
The National Executive Committee (NEC) has decided to include virtual assets within Pakistan’s anti-money laundering framework.
Virtual assets can include cryptocurrencies and other digital assets that can be transferred or traded electronically.
Bringing these assets into the framework could help authorities monitor financial risks linked to digital transactions.
Pakistan’s anti-money laundering system is designed to identify suspicious financial activity and reduce the risk of illegal money transfers.
Banks and other financial institutions already follow reporting and customer verification requirements.
