The State Bank of Pakistan (SBP) has released its Quarterly Report on Payment Systems for the first quarter of 2026 (January-March), revealing that 3.7 billion retail payments worth Rs 168.8 trillion were processed through formal banking and payment channels. Notably, 92 percent of these transactions were conducted through digital payment channels, including mobile banking apps, internet banking portals, USSD, ATMs, POS, e-Commerce, and call center IVR banking. The report excludes transactions outside the banking system.
Digital Payment Growth
The number of retail transactions increased by 9 percent compared to the previous quarter. Digital payment channels alone handled 3.4 billion transactions amounting to Rs 68 trillion, reflecting rising adoption among banking users. Mobile app-based payments dominated, with 2.9 billion transactions conducted through apps offered by branchless banking (BB) players, banks, and Electronic Money Institutions (EMIs). These accounted for 78 percent of all digital payments, valued at Rs 42 trillion, supporting person-to-person transfers, bill payments, and merchant payments across online and physical retail outlets.
Internet Banking and Raast Performance
Internet banking recorded steady growth, with transaction volume and value increasing by 5 percent and 19 percent, respectively. The Raast Instant Payment System maintained strong momentum, processing 742.1 million transactions worth Rs 23.3 trillion. Person-to-Person (P2P) transactions via Raast rose to 664 million, a 10 percent increase, with a value of Rs 18.9 trillion. Raast P2M transactions surged to 55.9 million, up from 36.3 million in the previous quarter.
Over-the-Counter Services
Additionally, 20,232 bank branches and 819,397 banking agents provided Over-the-Counter (OTC) services such as cash deposits, withdrawals, fund transfers, and bill payments. Bank branches processed 128 million transactions valued at Rs 99.5 trillion, while banking agents facilitated 155 million transactions amounting to Rs 1.1 trillion.
Implications for Pakistan's Payments Landscape
According to the SBP report, these trends underscore Pakistan’s ongoing transition toward a more inclusive, efficient, and digitally enabled payments landscape. The strong growth in digital channels and the Raast system highlights the increasing reliance on instant, digital payment solutions among consumers and businesses.
