A large number of automated teller machines (ATMs) in Karachi and other parts of the country ran out of cash as people rushed to withdraw money for shopping and household expenses at the start of Ramadan this year.
The Central Ruet-i-Hilal Committee meeting confirmed that the Ramadan moon was not sighted in Pakistan on Friday and that the first Ramadan would fall on Sunday (today).
Long queues were seen outside the teller machines on Saturday evening as well as Sunday morning - a weekly off day.
The cash shortage left many customers frustrated, forcing them to visit multiple ATMs in search of cash.
Meanwhile, some more ATMs are expected to run out of cash, as public dealing will remain closed on Monday in banks for the purpose of Zakat deduction.
“Perhaps the influx of people reached ATMs at the beginning of Ramadan that caused the machines turning empty,” a banker, on the condition of anonymity, told Business Recorder.
“Today is Sunday and cash cannot be deposited today being a holiday,” the official added.
“Also, keep in mind that people sometimes withdraw cash to avoid Zakat deduction.”
A United Bank Limited (UBL) official told Business Recorder that they had already informed through social platforms that their customers would not be able to withdraw cash on Sunday from 12am to 10am.
A post on a social platform read “all digital channels, including the UBL Digital App, internet banking, debit and credit cards and ATM services will not be available on Sunday, 2nd March 2025, due to Zakat deduction activity.”
In Pakistan, there are 19,170 ATMs as on September 2024, according to the State Bank of Pakistan’s (SBP) latest quarterly report on Payment System Review 1QFY25.
A response from the SBP and other commercial banks on the development was awaited at the time of reporting.
Comments
Comments are closed for this article.