The State Bank of Pakistan (SBP) has officially concluded the first cohort of its Regulatory Sandbox. The central bank originally launched this initiative in August 2025. It aligns perfectly with the broader SBP Vision 2028. Ultimately, the program aims to foster innovation in digital financial services. It achieves this by testing new technological solutions in a controlled environment under strict regulatory oversight.
Focusing on Core Financial Themes
The first cohort targeted three specific financial themes. First, it explored technology-enabled solutions for inward remittances. Second, it prioritized open banking. Finally, it looked into the remote onboarding of merchants.
Consequently, the SBP shortlisted six participants after an extensive scrutiny process. The bank invited these participants to test their digital solutions in the sandbox from January to June 2026. Furthermore, SBP teams provided consistent support and regulatory guidance to the companies throughout the testing phase.
SBP Regulatory Sandbox Cohort: Meet the Successful Innovators
Upon completing the six-month testing period, four participants successfully demonstrated their solutions. Interestingly, three out of the four companies focused entirely on the open banking theme.
Here is the official list of the successful participants:
| S. No. | Participant | Theme |
| 1 | Taptap Send UK Limited & United Bank Limited | Technology-Enabled Solutions for Inward Remittances |
| 2 | Digi Khata (SMC-Private) Limited | Open Banking |
| 3 | Swich Retail Private Limited | Open Banking |
| 4 | Neem Exponential Financial Services (Pvt) Ltd | Open Banking |
The Path to Commercial Launch
However, successful sandbox testing does not guarantee an immediate commercial rollout. The SBP explicitly noted that completing the cohort does not equal final regulatory approval. Therefore, successful participants must still obtain proper authorization from the central bank. They must secure this approval before officially launching their tested products or services to the public.
Looking ahead, the SBP plans to use these real-world findings. The learnings and regulatory recommendations from Cohort-1 will heavily influence future policies. SBP will use this data to develop relevant regulatory frameworks for the broader banking industry.
Going forward, the central bank anticipates that the Regulatory Sandbox will continue to support industry players. It will actively empower Fintechs and banks to introduce practical, user-centric solutions. As a result, this initiative will successfully expand financial service outreach, improve market efficiency, and enhance the overall user experience.
