Internet banking registers phenomenal growth

With a new era of information technology the bank customers are also gradually shifting towards the internet banking and with over 100 percent growth, internet banking transactions value reached Rs 85 billion during first quarter of current fiscal year.
Bankers said phenomenal growth was observed in the mobile and internet banking which was due to the higher consumer preferences and confidence on the usage of these systems for their financial transactions. Transactions under the internet banking are much secures than the fiscal transactions, which fear insecure followed by poor law and order situation, they added.
With the support and guideline of the SBP the leading as well as small banks have developed state of art system to ease and secure transactions under the internet banking, bankers said. So far the system has proved itself a strong and easy financial solution to the bank customers. Resultantly the transactions under the head of internet banking are witnessing a massive growth, they added. According to State Bank of Pakistan's statistics, internet banking has posted a significant growth of 117 percent in terms of value during the first quarter of current fiscal year mainly to the easy and protected system of internet banking.
Rupees 84.85 billion transactions were done during July-September of fiscal year 2011-12 compared with Rs 39.18 billion in the same period of fiscal year 2010-11, depicting a surge of Rs 45.67 billion. In terms of volume, internet banking registered a growth of 89 percent to 1.646 million during first quarter of current fiscal year against 0.871 million in the same period of last fiscal year.
Bankers said although there is tremendous improvement in the internet and mobile banking but it is also evident that a huge market remained unbanked or far away from banking services in the rural areas of Pakistan. Therefore, banks are now required to bring more focused approach along with both regulatory authorities in order to increase financial inclusion.
This will result in further increase in the internet banking besides making the economy documented, they added. They said development of internet and mobile banking has also given downward push to the growth of call centre banking, which fell by 21 percent in terms of volume and 3 percent in terms of value. The call center banking declined to Rs 1.79 billion in the first quarter of current fiscal year from Rs 1.85 billion. Pakistan enjoys best telecom regulatory environment in Asia Pacific, according to a survey conducted by an ICT policy and regulation think tank.