Pakistan accelerates shift toward a digital banking future

November 13, 2025 (MLN): The Future of Banking Summit 2025 in Karachi set the stage for a renewed national focus on digital transformation in the financial sector, with stakeholders emphasizing collaboration among regulators, banks, fintechs, and policymakers to accelerate Pakistan’s journey toward a fully digital economy, according to details shared by the State Bank of Pakistan (SBP).

Speaking at the summit, SBP Governor Mr. Jameel Ahmad commended Systems Limited for organizing a platform that fosters dialogue between the banking and technology sectors.

He noted that the global financial landscape is undergoing an extraordinary transformation, driven by artificial intelligence, big data analytics, 5G connectivity, and digital payments factors reshaping customer experiences and redefining how financial services are delivered.

“The digital future is no longer a distant vision it is our present reality,” the Governor remarked. “To remain relevant, financial institutions must evolve rapidly, adopt global standards, and embrace innovation that enhances inclusion, efficiency, and customer trust.”

He emphasized that SBP has been leading multiple initiatives to modernize the country’s digital financial infrastructure and create an enabling environment for innovation.

These include the upgradation of retail and large-value payment systems and the introduction of regulatory frameworks for digital banks, electronic money institutions, and payment service providers.

Governor Ahmad highlighted Raast, Pakistan’s instant payment system, as the cornerstone of the nation’s digital public infrastructure. Raast enables secure, real-time, and low-cost transactions for individuals, businesses, and government entities.

He urged financial institutions to expand the adoption of Raast and bring more customers into the digital payments ecosystem.

Emphasizing the importance of resilience and cybersecurity, he said the SBP continues to implement robust measures to safeguard the financial system from operational vulnerabilities and cyber threats, ensuring that innovation is built on a foundation of trust and stability.

He further elaborated on initiatives like Open Finance (Open Banking) and e-KYC, designed to give customers control over their data, simplify onboarding processes, and encourage third-party innovation.

SBP is also working toward cross-border payment integration using international standards such as ISO 20022 to enable faster and safer remittances and trade transactions.

The Governor shared that SBP is in the advanced stages of establishing an Innovation Hub and has introduced the first cohort of its Regulatory Sandbox, allowing fintechs to test new solutions in inward remittances, open banking, and merchant onboarding.

With these initiatives, Pakistan’s central bank aims to drive financial inclusion, enhance digital accessibility, and strengthen public confidence in digital finance paving the way for a secure and inclusive digital economy.

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