Pakistan is taking a major step toward a fully digital and cashless financial ecosystem with the Finance Division developing a draft legal package to amend the Payment Systems and Electronic Fund Transfers (PS&EFT) Act, 2007. The proposed amendments will require government entities and retail outlets to offer at least one digital payment mode, including QR codes, and grant enforcement powers to local governments.
Official documents indicate that the draft amendment has been sent by the Finance Secretary to the Prime Minister’s Office for in-principle approval, with plans to circulate it to the Cabinet and the Cabinet Committee for Disposal of Legislative Cases. The amendment aims to reinforce adoption of Raast QR code-based payments at retail and grassroots levels, accelerating Pakistan’s transition toward a cashless economy.
To complement the legal framework, the government has established the Government Payments and Receipts Transformation Unit (GPRTU) under the Ministry of Finance. The unit will act as a central coordinator for integrating government entities with the Raast instant payment system. Its responsibilities include developing the Raast Connect interface, guiding departments in onboarding, facilitating business process re-engineering, and securing technical expertise from NITB and provincial IT boards.
Under the broader Cashless Pakistan initiative, ambitious targets have been set to increase active digital merchants to 2 million, expand digital banking users to 120 million, and scale annual digital transactions to 15 billion by December 2026. The government also aims to fully digitize non-tax government-to-person payments and achieve over 80 percent digital credit for remittances into bank accounts.
As of November 2025, Pakistan recorded 3.3 billion digital transactions, with 89 percent of certain government payment streams already digitized. Financial inclusion has risen to 67 percent, and efforts are underway to close the gender gap in digital financial access, with a roadmap to reach 70 percent inclusion by next year.
Several federal entities have already begun transitioning to digital payments, including the Power Division, Petroleum Division, Pakistan Railways, NADRA, and Pakistan Post Office, with full Raast integration expected by 2026. Major disbursement organizations such as the Benazir Income Support Programme, Pakistan Military Accounts Department, and Central Directorate of National Savings have set timelines for complete digital adoption between March and June 2026.
Provincial departments in Punjab, Sindh, Khyber Pakhtunkhwa, Balochistan, and Gilgit-Baltistan are identified as high-impact leaders in the digitization drive. Key sectors such as education, healthcare, highways, housing, and revenue are being integrated with digital payment solutions for salaries, pensions, vendor payments, and fees. The Islamabad Capital Territory has already issued bylaws mandating digital payment acceptance at retail outlets, while other provinces are reviewing or drafting legislation to support this transition.
Tangible progress includes a fully end-to-end e-Stamp solution for ICT, integrated with SBP’s 1-Link system, eliminating the need for physical paper. In addition, digital connectivity is expanding, with internet access provided to 178 schools and 10 Basic Health Units in ICT and free public Wi-Fi rolled out at 28 major public locations including parks, hospitals, bazaars, and transport hubs.
These developments collectively signal Pakistan’s commitment to a digitally enabled, inclusive, and efficient financial ecosystem, laying the groundwork for widespread adoption of mobile and QR-based payments nationwide.
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