The State Bank of Pakistan (SBP) has published its Annual Payment Systems Review for FY24, detailing significant progress within the national payment ecosystem. The report emphasizes substantial advances in digital payments, driven by increased access to digital payment platforms and higher adoption rates among Pakistani consumers. This transformation marks a shift in Pakistan’s payment landscape toward a more digitally oriented ecosystem, reflecting rising customer reliance on secure and accessible payment methods.
Retail payments in Pakistan experienced considerable growth during FY24, with the volume of transactions jumping from 4.7 billion in FY23 to 6.4 billion in FY24. The transaction value also surged from PKR 403 trillion to PKR 547 trillion, achieving a remarkable 35% growth in both transaction volume and value. Additionally, the share of digital payments by volume climbed from 76% in the previous fiscal year to 84% in FY24, underscoring the expansion of digital payment channels in the country. This shift is attributed to an increasing number of users engaging with digital options, such as mobile banking apps, internet banking platforms, and mobile wallets, which offer convenience and a variety of financial services.
The report details notable increases across various digital banking channels. The user base for mobile banking apps grew by 16%, while internet banking saw a 25% rise in users. Additionally, Branchless Banking (BB) mobile app wallets and e-wallet users increased by 2% and 85%, respectively. These statistics reflect the widespread acceptance of digital channels as customers increasingly transition to digital financial solutions over traditional methods.
Digital payments via mobile banking apps and internet banking portals recorded substantial growth, with a 62% increase in transaction volume, totaling 1,346 million transactions. The value of these digital payments rose by an impressive 74%, amounting to PKR 70 trillion. Mobile app-based wallet usage also showed significant expansion, with 2,697 million payments processed via BB mobile app wallets and 85 million payments made through e-wallets provided by Electronic Money Institutions (EMIs).
The SBP report highlights a consistent expansion in the Point of Sale (POS) network, which grew by 8.9%, bringing the total number of POS machines in Pakistan to 125,593. This expansion facilitated card-based payments at an increasing number of retail outlets and stores across the country, further promoting digital transactions and reducing reliance on cash payments.
E-commerce payments also saw a considerable shift toward digital transactions. Currently, 87% of all e-commerce payments are initiated via bank accounts or digital wallets. Over FY24, a total of 309 million e-commerce transactions were conducted, with a cumulative transaction value reaching PKR 406 billion. This shift underscores Pakistan’s steady alignment with global digital payment trends, reflecting consumer preference for secure and convenient online payment methods.
Overall, the SBP’s Annual Payment Systems Review for FY24 positions Pakistan’s payment infrastructure as robust and resilient. The continuous growth in digital payment adoption places the country at the forefront of digital financial services within the region. Looking ahead, SBP remains dedicated to promoting innovation and strengthening the digital financial landscape in Pakistan, which is expected to drive broader financial inclusion and economic growth.
The report illustrates Pakistan’s rapid digital evolution and the successful implementation of strategies designed to enhance accessibility and resilience in financial services, setting a strong foundation for continued advancements in the nation’s financial ecosystem.