SBP releases second Quarterly Payment Systems review for FY25

March 28, 2025 (MLN): The State Bank of Pakistan (SBP) has released its Quarterly Payment Systems Review for Q2 FY25, providing a summary of payment systems and presenting notable changes in the country’s digital payments.

Pakistan's digital payment landscape strengthens as transactions continue to increase in Q2-FY25 as well.

Retail transactions witnessed an 11% increase in volume, reaching 2,143 million, while the value of transactions increased by 12% to Rs154 trillion.

The growth in value was primarily driven by mobile banking app payments, internet banking payments, and over-the-counter (OTC) transactions at bank branches.

Digital payment channels processed 88% of all retail transactions by volume, with mobile app-based banking playing a crucial role, according to the press release issued today.

These platforms, which include mobile banking apps, branchless banking (BB) wallets, and e-Money wallets, collectively processed 1,450m transactions worth Rs24tr, marking a 12% increase in volume and a 28% increase in value.

The number of users leveraging digital banking services also saw a steady rise. Mobile banking app users grew to 21m (↑7%), e-Money and BB wallet users increased to 4.7m (↑13%) and 64.3m (↑7%), respectively, while internet banking users reached 13.3m (↑7%).

Merchant payments through digital means also expanded this quarter. Digital e-commerce transactions increased by 30% in volume to 152m, amounting Rs193bn (↑32%).

By volume, 8% (12.8m) of the e-commerce transactions were made through cards, 92% (139.5m) through digital wallets/accounts, while by value, this share was 33% and 67%, respectively.

The 115,177 Point-of-Sale (POS) enabled merchants with 151,646 POS terminals facilitated 89m (↑7%) in-store purchases, totaling to Rs510bn (↑19%).

Retail/Kiryana store merchants accepting payments through QR or BB wallets reached 22.1m in volume and Rs58bn in value, a growth of 4% and 9%, respectively.

SBP-operated payment systems, Raast (Instant Payment System) and RTGS (Real-time Gross Settlement System) played its key role in increasing the digitalization of payments in the country.

Raast Instant Payment System processed 296m transactions worth Rs6.4tr during Q2-FY25, bringing cumulative transactions since inception to 1,144m, valued at Rs26tr.

The large-value transactions via the RTGS system settled transactions worth Rs330tr, registering a 19% increase in value.

Pakistan’s transition towards a digital economy is being driven by SBP’s strategic initiatives and the collaborative efforts of banks, fintechs, and payment service providers.

As digital payments continue to grow, SBP remains committed to fostering financial inclusion and enhancing payment efficiency for individuals and businesses alike.

Copyright Mettis Link News