Pakistan’s transition toward a digital-first financial ecosystem continued at a strong pace during FY24-25, with the State Bank of Pakistan reporting record-breaking volumes in its latest Annual Payment Systems Report. Data released by the central bank highlights significant expansion in retail digital payments, stronger adoption of instant transfers, and rapid acceleration in mobile-based financial tools, underscoring ongoing momentum toward a cash-lite economy.
According to the report, Pakistan processed 9.1 billion retail transactions valued at PKR 612 trillion during the fiscal year. This represents a 38 percent increase in transaction volume and a 12 percent rise in value year-on-year. Digital channels accounted for the majority of this growth, reflecting sustained confidence in technology-enabled payments and continued maturity of the country’s financial technology landscape.
Digital payments now constitute 88 percent of retail transactions, up notably from 78 percent two years earlier. Mobile banking remained the dominant payment method, recording 6.2 billion transactions, representing 52 percent annual growth. Internet banking usage also expanded, with 297 million transactions processed, a 33 percent rise from the previous year. Meanwhile, electronic money wallets experienced the fastest growth, doubling in transactions and value, signaling strengthening adoption of EMI-powered digital tools, particularly among financially underserved users.
Online commerce displayed further maturity as 93 percent of e-commerce payments shifted to account-based and wallet-based channels. The data indicates steady movement away from card-led digital activity and declining reliance on cash-on-delivery, pointing to growing user trust in secure, fast, and traceable payment rails.
The central bank credited Raast, Pakistan’s instant payment system, as a foundational driver of the shift. Raast achieved over twofold growth in both volume and value during the period. The introduction of Person-to-Merchant (P2M) payments during the year expanded real-time, low-cost transaction access for businesses and consumers, encouraging documented commerce and financial inclusion across retail ecosystems.
The physical payments infrastructure strengthened as well. POS terminals increased to 195,849 across 159,284 merchant sites nationwide, supporting nearly one million card transactions per day compared to 0.7 million last year. The ATM network reached 20,341 machines, averaging 140 transactions daily—reflecting continued hybrid usage between digital and cash-withdrawal needs.
Large-value settlement performance advanced through the State Bank’s upgrade of its Real-Time Gross Settlement platform to PRISM+. The improved system recorded double-digit growth in settlement value, driven largely by government securities transfers and interbank settlements, enhancing speed, transparency, and resilience within wholesale payment operations.
The central bank emphasized ongoing efforts to support open, secure, and innovative payment rails. It reaffirmed regulatory focus on financial inclusion, cybersecurity, consumer trust, and infrastructure modernization while aligning Pakistan’s payment architecture with global financial technology benchmarks.
The latest data shows Pakistan fast-tracking toward a digitally integrated payment environment, supported by competitive financial services, expanding fintech adoption, and sustained regulatory backing designed to deepen formal financial participation.
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