The Khyber Pakhtunkhwa (KP) Assembly has passed the Street Vendors Protection Bill 2026, making registration and vending certificates mandatory for street vendors across the province.
Under the new law, any person aged 14 years or above can register as a street vendor. Registered vendors will be issued a digital vending certificate carrying a QR code.
The certificate can be suspended or cancelled if a vendor provides false information or violates the prescribed conditions. However, vendors will have the right to appeal against such decisions.
The bill is expected to provide legal protection to more than 140,000 street vendors in Khyber Pakhtunkhwa, particularly against unjust harassment and eviction.
Selling or transferring a vending certificate will be punishable with a fine of up to Rs. 3,000. Authorities will also be allowed to take action over illegal encroachments, violations of cleanliness rules, and the sale of prohibited items.
The legislation also includes penalties for harassment. Government officials found harassing vendors will face departmental action, while shopkeepers or citizens involved in such acts may face a fine of Rs. 20,000 or imprisonment for up to one month.
According to the bill, more than 140,000 street vendors in the province conduct business worth over Rs. 380 billion annually, while the sector contributes around Rs. 130 billion to the national economy each year.
Effective regulation of the sector could also generate an additional Rs. 2.5 billion to Rs. 5 billion in annual revenue.
The legislation will serve as the first comprehensive legal framework for street vendors at the local government level in Khyber Pakhtunkhwa.
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