Pakistan’s retail payment volume surged to a record 2.8 billion transactions in the first quarter of the fiscal year 2025-26, a 10 percent quarterly increase, overwhelmingly propelled by the escalating adoption of mobile app-based banking.
According to a new report from the State Bank of Pakistan (SBP), the SBP’s Quarterly Report on Payment Systems revealed that the value corresponding to these retail payments climbed to PKR 166 trillion, marking a 6 percent rise over the preceding quarter.
Digital platforms were central to this expansion, accounting for 2.5 billion transactions, or 90 percent of the total retail payment volume. The value of transactions processed through these electronic channels reached PKR 55 trillion, signifying their deepening integration into the national economy.
Mobile applications offered by banks, branchless banking providers, and Electronic Money Institutions (EMIs) dominated the digital finance landscape. This single channel processed 2.0 billion payments, representing 81 percent of all digital transactions, with a cumulative value of PKR 33.7 trillion. These applications facilitate a wide array of services, including person-to-person transfers, utility bill settlements, and merchant payments.
The Raast Instant Payment System also demonstrated robust growth. Person-to-Person (P2P) transfers on the platform rose by 31 percent to 535 million transactions, valued at PKR 11.3 trillion. Meanwhile, Raast’s Person-to-Merchant (P2M) activity doubled to 4.3 million transactions, amounting to PKR 17.0 billion. In total, the system handled 544 million payments worth PKR 12.8 trillion during the quarter.
Growth was also observed in traditional digital payment methods. The number of payment cards in circulation reached 61.3 million, with debit cards comprising 90 percent of the total. Point-of-Sale (PoS) terminals and e-commerce platforms collectively registered 1.5 million card-based transactions daily.
Physical infrastructure continued to play a vital role in the payments ecosystem. A network of 20,527 ATMs across the country facilitated 267 million transactions valued at PKR 4.5 trillion. In addition, 19,852 bank branches processed 137 million transactions worth PKR 110 trillion, while 756,480 branchless banking agents managed 129 million transactions amounting to PKR 0.9 trillion.
The SBP report concluded that these combined developments signify consistent progress towards creating a more inclusive, efficient, and digitally advanced payments environment in Pakistan.