Pakistan economy shows signs of stability amid digital asset growth

Pakistan is experiencing a period of macroeconomic stabilization, though significant structural challenges remain. According to the World Bank, real GDP growth increased to 3.7% in FY26, supported by record primary fiscal surpluses and strong remittances that helped rebuild foreign exchange reserves. These improvements allowed the country to return to international debt markets through a $3 billion Eurobond issuance. While the World Bank suggests Pakistan could triple its income by 2050 through ambitious reforms, per capita growth remains stagnant at approximately 1.6%.

Parallel to these shifts, an IMF working paper estimates that stablecoin holdings in Pakistan reached approximately $5.8 billion by the end of 2025, representing about 1.42% of the nation's GDP. This figure is significantly higher than the stablecoin-to-GDP ratios in the United States and China. The paper suggests that stablecoin usage often rises during currency crises or when capital outflows are restricted, indicating that "dollarization may now also operate through stablecoins" as citizens seek digital alternatives to the local currency.