The Government of Pakistan has officially proposed major amendments to the Naya Pakistan Certificates Rules 2020, significantly widening the pool of eligible investors to include foreign companies and non-resident entities. In a draft notification issued by the Finance Division, the government revealed a strategic shift aimed at transforming the Naya Pakistan Certificates into a global investment vehicle, allowing “juridical persons” and international legal entities to invest for the first time.
New Eligibility Rules for Naya Pakistan Certificates
The proposed changes under the Public Debt Act, 1944 introduce specialized account categories to facilitate these high-value investments. By redefining “non-resident person” to include both individuals and legal entities registered abroad, the government is opening the door for institutional capital to flow into the country’s sovereign instruments.
Key Changes in Investor Eligibility
- Institutional Access: Foreign companies and registered legal entities (juridical persons) are now eligible to invest.
- Business Account Integration: New definitions for Foreign Currency Business Value Account (FCBVA) and Non-Resident Rupee Business Value Account (NRBVA) have been established.
- Resident Participation: Resident Pakistanis with declared assets abroad can continue to invest through their Foreign Currency Value Accounts (FCVA).
- Joint Investment: Eligible individuals are now explicitly permitted to invest either individually or jointly with another person.
Repatriation and Security Framework
A critical update in the draft clarifies the distribution of funds in the event of an entity’s dissolution. If a foreign company holding Naya Pakistan Certificates is wound up, the principal and profit will be distributed according to the laws of the country where the entity was originally incorporated.
The State Bank of Pakistan (SBP) will oversee the operational procedures, ensuring that all funds are remitted from abroad in compliance with the Foreign Exchange Regulation Act, 1947. This move is expected to bolster foreign exchange reserves as the government targets record-breaking remittance and investment inflows for the 2026 fiscal year.
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