Pakistan is preparing to introduce a Raast QR Merchant Discount Rate (MDR) scheme to encourage wider adoption of digital payments and strengthen the country’s transition towards a cashless economy. The federal government has directed the State Bank of Pakistan (SBP) to prepare a working paper for the proposed scheme, as the number of active merchants accepting digital payments has increased fourfold to 2.03 million under the Prime Minister’s Cashless Pakistan initiative. The development reflects growing efforts to expand digital payment acceptance among businesses and consumers across the country.
The directive was issued by Minister of State for Finance Bilal Azhar Kayani during a high-level meeting on Cashless Pakistan held at the Finance Division. Participants reviewed progress against national digital payment targets and discussed improvements to the Raast QR Merchant Discount Rate framework. The meeting also highlighted the importance of monitoring transaction values, payment volumes and unique account users through a centralised dashboard to provide a clearer picture of digital payment adoption and overall system performance.
The government also announced further expansion of Raast payment facilities across public services. From November 16, 2026, all payments for Asaan Assignment Accounts across Pakistan will be processed through the Raast digital payment system. In addition, Raast QR codes have been incorporated into more than 45 million gas and electricity bills, enabling consumers to make utility payments through digital channels. All National Database and Registration Authority (NADRA) centres have also been equipped with Raast QR payment facilities to provide visitors with an additional option for completing transactions without relying on cash.
According to the meeting, the number of active merchants accepting digital payments has increased from approximately 500,000 to 2.03 million, while the overall volume of digital transactions has doubled within one year. The proposed MDR scheme is intended to support further expansion of QR-based payments by developing a framework that can encourage merchant participation. The SBP will prepare the required working paper for processing the scheme’s approval, although further details regarding its proposed structure and implementation have yet to be announced.
Bilal Azhar Kayani also announced plans to meet presidents and chief executive officers of banks in Karachi to discuss measures for expanding digital payment services. Representatives from the Finance Division, SBP, Ministry of Information Technology and Telecommunication, NADRA, Easypaisa, JazzCash, Bank Alfalah, JS Bank and Karandaaz Pakistan attended the meeting. Their participation reflects the government’s efforts to coordinate with financial institutions, payment service providers and technology stakeholders to strengthen the digital payments ecosystem. The proposed Raast QR MDR framework, alongside the expansion of payment facilities across utility bills and government services, forms part of the broader effort to increase digital transaction adoption and reduce dependence on cash-based payments in Pakistan.
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