How To Start Money Exchange Business In Pakistan

how to start money exchange business in pakistan


The world of money exchange can present a great business opportunity, especially in a country like Pakistan, where remittances from foreign workers are an important part of the economy. If you're intrigued and are considering starting your exchange business in Pakistan, you come to the right place. This article provides an insight into the gears of the money exchange sector and discusses crucial steps to launching your venture.

Getting Started: Knowledge and Understanding

Before you jump into this throbbing world of currency exchange, ensure that you understand both the local and international currency markets, economic indicators, and forex trends. Smooth business operations require a clear understanding of the rules established by the State Bank of Pakistan, the body governing transactions and exchanges. Thoroughly acquaint yourself with the Foreign Exchange Manual provided by the bank, which stipulates the guidelines and regulations within the country's exchange market.

Fundamental Business Plan

A comprehensive business plan is crucial to safeguard your investment and guide your business operations. It should contain details about your business objectives, how you plan to achieve them, operational and marketing strategies, financial projections, potential risk factors, and mitigation measures. Additionally, understand and account for the startup costs, ongoing expenses, target market, pricing model, and your plans for business scalability.

Secure Adequate Finance

A money exchange business requires significant financial resources to start. You must have a vast reserve of the local and international currencies that your business will deal with most frequently. This requires potentially hundreds of thousands of rupees, so you might need to seek investment or a loan.

Location and Office Setup

The money exchange business is predominantly location-driven. Prime locations like city centres, nearby airports, tourist centers, glocal corporate offices, etc., can generate robust customer footfall. Once the location is settled, organize and equip your office for seamless operations – counters for transactions, secure safes, the requisite technology for real-time updates on forex rates, and more.

Obtain Necessary Legal Paperwork

A critical step in setting up your business is obtaining the proper license. In Pakistan, the exchange business license can be obtained from the State Bank of Pakistan (SBP). The SBP provides two types of licenses: Exchange Company-A and Exchange Company-B. The type of license you need depends on the scope and scale of your exchanges.

Recruit Competent Staff

Hiring a team of competent and trustworthy individuals is a significant contributor to your business success. Staff should be well versed in standard pitching standards, customer relationship management, and handling international and domestic currency. It might be beneficial to leverage the assistance of legal counsels or financial consultants, especially during the setup period.

Marketing and Communication Campaign

Develop a robust marketing strategy to effectively communicate with your target market. This should include a strong presence both online and offline, through a functional website, digital marketing, and traditional advertisements.

Incorporate Best Practices

Providing the best customer experience should be your priority. Ensure that you offer the best possible exchange rates, minimize transaction times, maintain transparency, and professionally handle all transactions.


Establishing a money exchange business in Pakistan entails understanding the forex market, formulating a comprehensive business plan, obtaining the necessary licenses and paperwork, hiring the right talent, and developing a customer-focused approach. While the journey may pose challenges, the opportunity could provide significant rewards. The key is to be dedicated, informed, and agile. This can be an intensely interesting and rewarding arena, especially in our increasingly global, interconnected world where 'money makes the world go round.' Being part of this vital financial service can be both compelling and profitable if done correctly, following the rules, and providing quality service.