The State Bank of Pakistan (SBP) has recently granted licenses to four financial institutions, aiming to boost digital payments landscape in response to the country’s rising demand for electronic transactions. This decision aligns with Pakistan’s rapid shift towards digital finance, as seen through the growing adoption of E-wallets and digital payments.
These newly licensed organizations will participate in a pilot program set to last for six months. The SBP has also given its preliminary approval to establish additional entities including Electronic Money Institutions (EMIs), Payment System Operators (PSOs), and Payment System Providers (PSPs). This expansion highlights the bank’s commitment to supporting a broader, more inclusive financial ecosystem in Pakistan.
As of September 2024, SBP’s data reveals that E-wallet accounts have risen significantly to a total of 4.2 million. And 4.6 million cards issued under these accounts also. The sector has seen remarkable growth, boasting over 80 million recorded transactions worth approximately Rs. 232 billion. This substantial increase represents a 163% year-over-year rise in E-wallet accounts and a 167% surge in transactions. This underscores the widespread demand for efficient and accessible digital payment options across the country.
With these advancements, Pakistan is progressively building a robust digital finance framework. This is poised to foster more financial inclusion and drive economic growth through accessible and secure payment channels.
