Pakistan has temporarily eased banking rules for exports to Iran and Central Asia. The move removes financial barriers like bank guarantees and letters of credit. Exporters expect faster deliveries and lower costs under this policy.
The Ministry of Commerce issued the exemption under the Import and Export Control Act 1950. It waives a 2022 rule requiring compliance with State Bank of Pakistan foreign exchange regulations. The measure applies for three months, from March 24 to June 21, 2026.
Read more: Pakistan-Iran trade continues despite regional tensions: envoy
Under the exemption, rice can be exported to Central Asia and Azerbaijan via Iran. Exports to Iran include rice, seafood, potatoes, meat, onions, maize, citrus, banana, tomato, frozen chicken, pharmaceuticals, and tents. Exporters must submit an undertaking confirming payment of export proceeds on time.
Commerce Minister Jam Kamal Khan said the policy will significantly reduce costs and transit times for exporters. He highlighted pharmaceutical exports as a government priority and emphasized stronger regional trade links. Pakistan aims to enhance connectivity, increase trade volume, and support economic stability.
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Pakistan’s Ambassador to Iran, Mudassir Tipu, confirmed that bilateral and transit trade remain operational despite regional tensions. Green channels at border crossings are facilitating smooth movement, while Pakistan continues full cooperation to Tehran to maintain trade flows.