FBR Approves Use of Pakistani Rupees in Gwadar Trade

The Federal Board of Revenue (FBR) has recently given the green light for the utilization of Pakistani rupees in business dealings involving the exchange of goods between the Gwadar Free Zone and the tariff area. This significant decision was formalized through the issuance of SRO.805 (I)/ 2024, which brought about amendments to the Customs Rules 2001. As per the updated regulations, transactions within the Gwadar Free Zone and the tariff area can now be conducted using Pakistani rupees.

Goods originating from the tariff area, excluding small items, are now permitted to enter the Gwadar Free Zone after fulfilling the necessary export formalities typically associated with foreign exports. The revised rules explicitly state that these transactions can be carried out in Pakistani rupees. Conversely, goods being taken out of the zone for importation into the tariff area must comply with the import procedures outlined in the relevant legislation and regulations. Once again, it is emphasized that transactions between the Gwadar Free Zone and the tariff area are allowed to be executed in Pakistani rupees.

The approval by the FBR to use Pakistani rupees for business transactions within the Gwadar Free Zone marks a significant step towards facilitating trade activities in the region. This move is expected to streamline processes and enhance the ease of doing business, ultimately benefiting businesses operating within the Gwadar Free Zone and the tariff area.