Online trading

Pakistan bans trading websites, mobile apps including OctaFX

KARACHI – The State Bank of Pakistan (SBP) has issued an advisory against illegal offshore currency trading websites, apps and mobile platforms.

The central bank issued the advisory after noticing that an increasing number of offshore currency trading websites, mobile apps and platforms such as OctaFX, Easy Forex, etc. offer their products and services to Pakistanis, using social media platforms.

“These digital platforms attract people through social media ads to buy/invest in their products or services. Examples of such products include, but are not limited to, foreign exchange trading, margin trading, contracts for difference, etc. “said SBP in its press release.

He clarified that the purchase of products and services offered by these platforms by anyone residing in Pakistan is prohibited and against the laws of the country.

“Any person in Pakistan purchasing products or services from these offshore platforms and remitting currency to them directly or indirectly through any payment channel shall be subject to prosecution for violation of the provisions of the foreign exchange regulations (FERA),” he warned.

“Since these platforms are not regulated by either the SBP or the Securities & Exchange Commission of Pakistan; therefore, the public is urged to exercise caution and refrain from buying/investing in the products and services of these offshore platforms to avoid any potential loss and legal proceedings under the FERA,” the central bank concluded.