The State Bank of Pakistan (SBP) has reaffirmed that all digital fund transfers across the country are now settled instantly, with beneficiaries receiving money in real time. The clarification came after reports circulated on social media suggesting the existence of delays due to a mandatory two-hour cooling period.
According to the central bank, all digital fund transfers — whether through mobile apps, online banking platforms, or interbank transactions — are processed and credited to recipients immediately. The SBP emphasized that the only exception applies to branchless banking wallets, where while funds are received instantly, their usage for cash withdrawals, online purchases, or mobile top-ups is subject to a two-hour cooling period.
This regulatory measure was introduced in April 2023 and applies specifically to branchless banking accounts. The SBP explained that customer due diligence requirements for such accounts are relatively simpler compared to conventional bank accounts. As a result, these wallets are considered more susceptible to fraudulent activities. By applying a two-hour buffer, the SBP has created a window for consumers to detect and report any unauthorized or suspicious transactions before funds can be withdrawn or spent.
The central bank further noted that the system has worked effectively since its implementation two and a half years ago, acting as a strong safeguard against fraud. According to SBP, the cooling period has not disrupted customer experience for legitimate users but has instead proven to be a robust security layer that strengthens trust in digital financial services.
Industry observers highlight that Pakistan’s move toward instant settlements reflects a broader global trend where central banks are pushing for faster, more secure digital payment infrastructures. In many markets, real-time payments have become the norm, reducing friction for consumers and enabling businesses to manage their liquidity more efficiently. For Pakistan, this development also supports the government’s digitalization drive, where promoting electronic payments is central to reducing cash dependency in the economy.
At the same time, SBP has maintained a cautious stance to balance innovation with security. The two-hour cooling period demonstrates this approach, ensuring that while consumers benefit from the speed of real-time transfers, risks associated with financial fraud in branchless systems are minimized.
Branchless banking in Pakistan has grown rapidly over the past decade, becoming a cornerstone of financial inclusion efforts. Millions of unbanked and underbanked individuals rely on mobile wallets to access financial services, make transactions, and manage daily expenses. With such wide-scale adoption, maintaining security has become just as critical as ensuring convenience.
In addition to clarifying the rules for digital fund transfers, SBP has continued to manage liquidity in the financial system through other instruments. Recently, the central bank injected over Rs3.21 trillion into the market via reverse repo operations (RRP) and open market operations (OMO). These measures are part of its broader efforts to ensure liquidity stability while also advancing financial innovation.
The SBP’s reiteration of real-time settlements is likely to strengthen public confidence in digital channels and encourage greater adoption of cashless transactions. As Pakistan’s fintech ecosystem expands, clarity on such issues plays a pivotal role in building user trust and ensuring the sustainable growth of digital finance.
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