Saudi Arabian fintech barq gets In-Principle Approval to set up EMI in Pakistan

barq Pakistan announced Thursday it has obtained In-Principle Approval (IPA) from the State Bank of Pakistan to establish an Electronic Money Institution (EMI) Wallet. It said this will “pave the way for its entry into one of the most promising digital financial markets in the region”.

The approval, which was recieved on October 10, “marks a pivotal milestone in barq’s regional expansion strategy, reinforcing its commitment to building a secure, inclusive, and innovative digital financial ecosystem,” it said in a statement.

“Through this IPA, barq aims to empower individuals and businesses in Pakistan with seamless, technology-driven payment solutions that accelerate the country’s transition toward a cashless economy.”

IPA is an interim approval issued by the SBP after a company successfully completes the initial stages of evaluation (business model, ownership, governance, security, risk, and compliance checks).

Once the company meets all SBP conditions and successfully passes the pilot phase, it can apply for Commercial Approval / Full EMI License.

Once this happens, barq Pakistan plans to introduce a full suite of digital financial services after getting necessary regulatory approvals — including e-wallets, mobile payments and everyday transaction tools — fully aligned with the regulatory and security frameworks set by the SBP and global standards.

The company continues to work closely with regulatory authorities to complete all necessary technical and compliance requirements for full commercial licensing, ahead of the planned launch phase, it said.

barq’s entry into Pakistan comes at a time when the country is witnessing rapid growth in the adoption of digital financial services, underscoring a nationwide push toward financial inclusion and innovation — values that remain at the core of barq’s mission across all its markets, it added.

Dr. Zain Farooq, the managing director of barq Pakistan and an oncologist, explained to Business Recorder that barq entered Pakistan by acquiring the Saudi, Pakistani and UAE subsidiaries of MyTM, a fintech he co-founded.

According to him, barq is the fastest growing wallet in KSA, surpassing STC Pay.

In July it was reported that barq’s KSA users had surpassed 7 million, representing 150 nationalities from around the globe.