Mastercard and the Bank of Khyber (BoK) have entered into a strategic alliance aimed at expanding the bank’s digital payments portfolio and providing customers with greater access to secure and convenient payment solutions. The collaboration is expected to support the digitisation of personal, commercial and government transactions as Khyber Pakhtunkhwa continues its transition toward a more inclusive and cashless economy.
The partnership comes as digital payment adoption expands across the province, with government and financial services increasingly moving toward electronic channels. Muzzammil Aslam, Minister for Finance, Government of Khyber Pakhtunkhwa, said the province has increased its digitised services from three two years ago to 170. These services cover person-to-government, person-to-merchant and government-to-person transactions, including pension and salary disbursements through Raast.
Aslam said Khyber Pakhtunkhwa, with a population of around 45 million, continues to have significant potential in areas such as remittances, e-commerce and merchant digitisation. He added that Mastercard’s partnership with Bank of Khyber would support the bank’s growth as digital financial services expand across the province. The collaboration is positioned within the broader development of payment infrastructure and digital channels serving individuals, businesses and government institutions.
Islam Zeb, Additional Chief Secretary of the Government of Khyber Pakhtunkhwa and Chairman of Bank of Khyber, said developing a cashless economy remains an important part of the bank’s strategic agenda. He said Bank of Khyber aims to compete as a national bank by providing a broad range of products and services designed around customers’ changing financial requirements.
The agreement will also focus on strengthening digital payments across several customer segments. Arslan Khan, Country Manager for Pakistan and Afghanistan at Mastercard, said the company plans to deepen its collaboration with Bank of Khyber and support the digitisation of the payments ecosystem across Khyber Pakhtunkhwa. The areas highlighted include debit and credit cards as well as affluent and small and medium-sized enterprise segments.
According to Mastercard, the partnership is also intended to contribute to greater financial inclusion and the continued development of Pakistan’s payments landscape. By expanding digital payment options, the collaboration can support consumers and businesses seeking alternatives to cash-based transactions while giving financial institutions additional channels through which to serve customers.
Hassan Raza, Managing Director and Chief Executive Officer of Bank of Khyber, described the agreement as an important milestone in the bank’s digital transformation journey. He said the bank plans to expand its card portfolio across consumer and commercial segments, with the objective of providing customers with greater convenience, security and access to modern payment solutions.
The partnership between Mastercard and Bank of Khyber comes as digital transactions become increasingly integrated into financial and government services in Khyber Pakhtunkhwa. With the province expanding digitised services and payment channels such as Raast supporting government disbursements, the collaboration is expected to contribute to the wider adoption of electronic payments while supporting the development of the province’s digital economy.
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