KARACHI – The State Bank of Pakistan (SBP) has imposed a ban on Illegal offshore Foreign Exchange Trading Websites, Mobile Applications and Platforms such as OctaFX and Easy Forex.

The central bank said it has noticed that “an increasing number of offshore foreign exchange trading websites, mobile applications and platforms such as OctaFX, Easy Forex, etc. are offering their products and services to residents of Pakistan”.

“These digital platforms lure people through social media advertisements to buy/invest in their products or services. Examples of such products include but not limited to foreign exchange trading, margin trading, contract for differences, etc,” it added.

SBP clarified that buying products and services being offered by aforementioned platforms by any person resident in Pakistan is prohibited and against the laws of the land.

“Any person in Pakistan buying products or services of such offshore platforms and remitting foreign exchange directly or indirectly to them through any payment channel is making himself/herself liable to be proceeded against for violation of provisions of the Foreign Exchange Regulation Act, 1947 (FERA).”

The central bank said that such platforms are regulated neither by the SBP nor by the Securities & Exchange Commission of Pakistan (SECP), and urged people to refrain from buying/investing in products and services of such offshore platforms to avoid any potential loss and legal proceedings under FERA.