Pakistan has introduced a temporary exemption from financial requirements for exports to Iran, the Central Asian Republics, and Azerbaijan via Iran's land route, aimed at facilitating trade flows.
The measure, issued under the Import and Export Control Act 1950, removes the requirement for financial instruments such as bank guarantees and letters of credit. It also relaxes compliance with foreign exchange regulations administered by the State Bank of Pakistan.
The exemption will be in place for three months, from March 24 to June 21. Exporters are required to provide an undertaking confirming that export proceeds will be repatriated within the specified timeframe.
Under the policy, a range of products can be exported through the Iranian land route, including fruits, vegetables, and other commodities.
According to the Ministry of Commerce, the measure is intended to reduce transaction costs and transit times for exporters while supporting trade volumes. Jam Kamal Khan stated that the policy will assist exporters and contribute to economic activity through increased regional trade.
Officials indicated that the exemption forms part of ongoing efforts to strengthen regional connectivity and maintain trade flows under current geopolitical conditions.
Source: Digital Pakistan
