# Is forex trading legal in Pakistan? PMEX vs offshore apps

URL: https://which.pk/money/guides/is-forex-trading-legal-in-pakistan/
Author: Ahtisham Imtiaz
Updated: 8 Oct 2026

## Summary

Forex trading is legal in Pakistan only through a broker licensed by SECP to trade on PMEX, Pakistan's regulated futures exchange. Offshore forex, margin and CFD apps are a different story: SBP told banks on 18 May 2022 that buying their products breaks section 4(1) of the Foreign Exchange Regulation Act, 1947, and that paying them from Pakistan is not allowed. SECP warned in April and May 2025 that unlicensed platforms offer no legal recourse. Check any broker on PMEX's broker list first.

## Key facts

- Legal route: PMEX via SECP-licensed broker
- Offshore apps: Payments abroad not allowed
- Law: FERA 1947, s.4(1), 5(1)
- SBP circular: 18 May 2022

Forex trading is **legal in Pakistan only through a broker licensed by SECP** (Securities and Exchange Commission of Pakistan) to trade on **PMEX**, the country's regulated futures exchange. Offshore forex apps are not a legal route: on **18 May 2022** the State Bank told banks that sending money abroad to offshore forex, margin or CFD platforms is not allowed under the Foreign Exchange Regulation Act, 1947 (FERA).

**Paying an offshore forex app from Pakistan:** Not allowed (SBP EPD Circular Letter No. 08 of 2022, under FERA sections 4(1) and 5(1))

## Is online forex trading legal in Pakistan?

It depends on where your money goes.

- **PMEX route: legal.** SECP said on 22 May 2025 that trading in securities and commodities "can only be carried out through SECP-licensed securities and futures market brokers".
- **Offshore apps: not legal for residents.** SBP's circular of 18 May 2022 says buying products from offshore forex, margin and CFD platforms by residents of Pakistan "is a violation of section 4(1) of the FERA". It named OctaFX and Easy Forex as examples.

The State Bank also said no permission has been given under section 5(1) of FERA to send money to such platforms "through any payment channel". Banks must warn customers, block these payments and can face penalties if they let them through.

## Which forex trading platform is legal in Pakistan?

The legal route is PMEX. Here is how it compares with an offshore app, as of October 2026:

| | PMEX through a licensed broker | Offshore online broker or app |
|---|---|---|
| Regulator | SECP | No Pakistani regulator (SECP, April 2025) |
| Sending money | To a licensed broker in Pakistan | Remitting abroad is not allowed (SBP, May 2022) |
| Legal status for you | Permitted | Buying their products breaks FERA s.4(1) |
| If something goes wrong | Broker and exchange are SECP-regulated | SECP: "no legal protection or recourse" |
| What banks must do | Not covered by SBP's 2022 circular | Block payments to these platforms |

The table covers legality, not profit. PMEX futures are traded on margin, so a small price move can wipe out the money you put down.

## What is PMEX?

PMEX is Pakistan Mercantile Exchange, the country's futures exchange. Its corporate page says SECP licenses it as a futures exchange under the Futures Market Act, 2016, and that it has been fully operational since 2007. It lists futures on metals, energy, farm products and financial instruments. You don't trade on PMEX directly: you trade through a broker registered with PMEX and supervised by SECP.

PMEX also lists **currency-pair futures** such as EUR/USD, GBP/USD and USD/JPY, in lots of 10,000 units, according to a PMEX member broker's trading guide. PMEX's website blocked our access on 8 October 2026, so we couldn't check its current contract list. Check it there before you trade.

## How do I check if a forex broker is PMEX-registered?

SECP says the lists of authorised brokers are on the websites of the **Pakistan Stock Exchange** and **Pakistan Mercantile Exchange**. Before you open an account:

1. Find the broker's exact company name on PMEX's broker list at [pmex.com.pk](https://pmex.com.pk/).
2. Make sure the website or app you are using belongs to that same company, not a look-alike.
3. Never deposit to an individual's personal account.

which.pk doesn't recommend any broker. A name on the list means it is licensed, not that it is cheap or good.

**What SECP has said about online trading scams:** **9 April 2025:** SECP said the offshore platform Quotex (Qxbroker) is not authorised in Pakistan, referred it to FIA, PTA and Google for blocking, and told people not to open accounts or deposit money with it or "similar unregistered platforms".

**22 May 2025:** SECP warned against unlicensed trading websites and apps promising unrealistic returns. It named complaints about platforms including IGIL Securities Country, BMAC Global Pro, WTIC World Top Investor Competition and Aviva Securities, and said it reports such platforms and their bank accounts to FIA, PTA and SBP.

SECP's advice in both: don't deposit money with unlicensed platforms, and be wary of offers on social media, WhatsApp groups or from influencers.

## Is PMEX trading halal?

We couldn't find a Shariah ruling on PMEX futures, from PMEX or SECP, that we could open and check. If this matters to you, take PMEX's contract terms (margin, settlement and expiry) to a qualified Shariah scholar.

For other ways to put money to work, see [investment options in Pakistan](/money/guides/investment-options-pakistan/) and [how to invest in PSX](/money/guides/how-to-invest-in-psx/). If you are being offered crypto instead of forex, read [is crypto legal in Pakistan](/money/guides/is-crypto-legal-in-pakistan/).

More guides: [Investing](/money/investing/), [how to buy crypto in Pakistan](/money/guides/how-to-buy-crypto-in-pakistan/), [mutual funds in Pakistan](/money/guides/mutual-funds-pakistan/).

## Questions people ask

### Is online forex trading legal in Pakistan?

Only through an SECP-licensed futures broker trading on PMEX. SBP said on 18 May 2022 that sending money abroad to offshore forex, margin or CFD platforms is not allowed under the Foreign Exchange Regulation Act, 1947.

### Which forex trading platform is legal in Pakistan?

PMEX, the futures exchange regulated by SECP, accessed through one of its licensed brokers. SECP says authorised broker lists are on the PSX and PMEX websites. We don't recommend any broker.

### What is PMEX?

Pakistan Mercantile Exchange, the futures exchange regulated by SECP. SECP licenses it under the Futures Market Act, 2016, and PMEX says it has been fully operational since 2007. It lists futures on metals, energy, farm products and financial instruments.

### Is Exness or OctaFX legal in Pakistan?

SBP's May 2022 circular named OctaFX and Easy Forex as examples of offshore platforms Pakistani residents may not pay. The same rule covers any offshore forex, margin or CFD platform, as SBP has given no permission to remit money to them.

### Is PMEX trading halal?

We couldn't find a Shariah ruling on PMEX futures from PMEX or SECP that we could open. This is a question for a qualified Shariah scholar, using PMEX's own contract terms.

## Sources

- [EPD Circular Letter No. 08 of 2022 (18 May 2022): illegal offshore forex, margin and CFD trading platforms](https://archive.sbp.org.pk/epd/2022/FECL8.htm), State Bank of Pakistan (accessed 8 Oct 2026)
- [Corporate Information](https://pmex.com.pk/pmex-home/corporate/), Pakistan Mercantile Exchange (accessed 8 Oct 2026)
- [SECP warns public against fraudulent online trading platforms and investment schemes](https://www.secp.gov.pk/media-center/press-releases/secp-warns-public-against-fraudulent-online-trading-platforms-and-investment-schemes/), SECP (accessed 8 Oct 2026)
- [SECP warns public against fraudulent online trading platforms, investment schemes (APP report)](https://english.aaj.tv/news/amp/330416794), Aaj English (accessed 8 Oct 2026)
- [SECP warns public about unauthorized online trading platforms](https://mettisglobal.news/secp-warns-public-about-unauthorized-online-trading-platforms), Mettis Global (accessed 8 Oct 2026)