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Banks and financial institutions have been instructed by the State Bank of Pakistan (SBP) to implement the RAAST payment system in e-commerce and online purchasing stores by March 2025. RAAST P2M digital payment services will be facilitated by banks for these enterprises that are already associated with the banking network as customers.
“It has been decided that all REs shall ensure that their existing account-holders who are providing in-store and/or online shopping services to their customers are enabled with RAAST P2M digital payment acceptance services as per the aforementioned Circular by March 31st, 2025,” the circular stated.
The banking regulator also instructed financial institutions and banks to guarantee that all merchants and businesses that are new to the banking system are equipped with the RAAST P2M service as part of their onboarding process. The circular indicated that REs have the option of directly integrating with RAAST P2M or partnering with an existing SBP-regulated EMI/PSO/PSP to provide these services.
The RAAST P2M service is anticipated to expedite the digitization of business and merchant transactions in Pakistan. Consequently, it has been determined that all REs must activate the following capabilities to facilitate the execution of P2M transactions through their delivery channels, including mobile apps, internet banking portals, and USSD channels.
An interoperable RAAST P2M service was introduced by SBP as part of the RAAST implementation initiative to aid in the adoption of digital payments by businesses and merchants. Businesses will be able to collect payments through the P2M service by utilizing Quick Response (QR) Codes, RAAST Alias, IBAN, and Request to Pay (RTP).
