The State Bank of Pakistan (SBP) has released its Quarterly Payment Systems Review for Q2 FY25. The report summarizes the latest trends in digital payments and highlights key developments in the country’s payment landscape.
Pakistan’s digital payment ecosystem continued to expand in Q2 FY25. Retail transactions grew by 11% in volume, reaching 2,143 million. The total value of these transactions increased by 12%, reaching PKR 154 trillion. The rise in digital payments was driven by mobile banking apps, internet banking, and over-the-counter (OTC) transactions at bank branches.
Mobile Banking Leads Digital Adoption
Digital payment channels processed 88% of all retail transactions by volume. Mobile app-based banking played a crucial role in this surge. Platforms such as mobile banking apps, branchless banking (BB) wallets, and e-Money wallets collectively handled 1,450 million transactions worth PKR 24 trillion. This represents a 12% increase in volume and a 28% rise in value.
The number of digital banking users also increased. Mobile banking app users grew by 7% to reach 21 million. e-Money and BB wallet users rose to 4.7 million (↑13%) and 64.3 million (↑7%), respectively. Internet banking users reached 13.3 million, reflecting a 7% increase.
Merchant Payments Surge
Digital merchant transactions saw notable growth. E-commerce transactions rose by 30% in volume, totaling 152 million transactions worth PKR 193 billion (↑32%). Cards accounted for 8% (12.8 million) of e-commerce transactions by volume, while digital wallets and accounts made up 92% (139.5 million). By value, cards contributed 33%, while digital wallets and accounts accounted for 67%.
In-store digital transactions also increased. POS-enabled merchants, totaling 115,177, processed 89 million transactions (↑7%) through 151,646 terminals. These transactions amounted to PKR 510 billion, reflecting a 19% growth. Additionally, retail and kiryana store merchants accepting payments via QR codes or BB wallets handled 22.1 million transactions, amounting to PKR 58 billion. This marks a 4% increase in volume and a 9% rise in value.
Raast and RTGS Drive Digitalization
SBP-operated payment systems, Raast and the Real-Time Gross Settlement (RTGS) system, played a key role in enhancing digital transactions. Raast processed 296 million transactions worth PKR 6.4 trillion in Q2 FY25. Since its launch, it has handled 1,144 million transactions, amounting to PKR 26 trillion.
The RTGS system facilitated large-value transactions worth PKR 330 trillion, recording a 19% increase in transaction value.
SBP’s Commitment to Financial Inclusion
SBP continues to drive Pakistan’s shift toward a digital economy. With support from banks, fintech companies, and payment service providers, the central bank aims to enhance financial inclusion and improve payment efficiency. As digital payments grow, SBP remains committed to fostering a secure and accessible financial system for individuals and businesses alike.
