Pakistan’s Digital Payments Surge as SBP Releases FY25 Payment Systems Review

The State Bank of Pakistan (SBP) has released its Annual Payment Systems Review for FY2024-25, highlighting the rapid expansion of the country’s digital payments landscape, fueled by regulatory reforms, infrastructure upgrades, and growing consumer confidence in digital banking channels.

According to the report, retail payment transactions surged to 9.1 billion, valued at PKR 612 trillion, marking a 38% increase in volume and 12% in value year-on-year. Digital payments continued to dominate, accounting for 88% of all retail transactions, up from 78% in FY23.

Mobile banking emerged as the strongest growth driver with 6.2 billion transactions, rising 52%, while internet banking processed 297 million transactions, up 33%. E-money wallets also doubled in both volume and value, signaling expanding trust in electronic money institutions and greater financial inclusion.

The SBP report credited this progress to the strengthening of digital infrastructure, particularly the success of Raast, Pakistan’s instant payment platform, which recorded a twofold rise in both volume and value. Raast’s Person-to-Merchant (P2M) service was termed a game changer for advancing digital inclusivity and reducing reliance on cash-based transactions.

“The remarkable rise in digital transactions demonstrates Pakistan’s transition towards a secure and transparent digital economy,” an SBP spokesperson stated.

The point-of-sale network also expanded to nearly 196,000 terminals across over 159,000 merchants, facilitating about one million daily card payments. Meanwhile, the ATM network grew 7% to 20,341 machines, each averaging 140 transactions per day.

The report further noted the upgrade of the RTGS system to PRISM+, enhancing efficiency, transparency, and security in both retail and large-value transactions.

Reaffirming its digital commitment, SBP stated it will continue to foster secure, efficient, and inclusive payment systems, ensuring Pakistan’s financial ecosystem evolves in line with global innovations.