Pakistan emerges as ‘rising star’ in fintech, says Forbes

Long overshadowed by India’s dominance in regional fintech, Pakistan is finally stepping into its own, buoyed by renewed investor confidence and a regulatory framework that is finally catching up to market demand, reported Forbes.

As per the international media outlet, Pakistan’s fintech sector, after years of underperformance, is entering a strong revival phase, after its venture funding “surged from just $10.4 million in 2019 to $150 million by 2022, seemingly positioning the South Asian country to become one of the top emerging digital finance markets”.

The report noted that Pakistan’s startup funding plunged to just $12.5 million in 2023 amid deteriorating global macroeconomic conditions.

“Yet funding has recovered in the past two years, roughly doubling to $26.3 million in 2024 and $52.5 million through the first half of 2025. As of late November, Pakistan’s 450 fintech companies have in total raised $391 million in VC money,” read the report.

Forbes highlighted that the biggest deal in Pakistan’s fintech sector this year has been the $52 million pre-Series A round supply-chain fintech Haball, backed predominantly by Meezan Bank, the country’s largest Islamic bank, which provided $47 million of Haball funding.

“The deal is significant not just for its size but also because it represents one of the most notable tie-ups to date between an incumbent Pakistani lender and a digital upstart,” read the report.

Pakistan’s fintech momentum is further reinforced by stronger regulatory support, Forbes said.

Fintech revolution: Pakistani startups push beyond borders to capture global clients

“For instance, the state-backed Pakistan Startup Fund offers equity-free grants to encourage venture capital inflows. Pakistan has also established a licensing and regulatory framework for digital banks, with five entities (including Easypaisa and Mashreq Bank) launching pilot operations by early 2025.

“Collectively, these efforts aim to boost adult financial inclusion from the 64% rate in 2023 to 75% by 2028.”

Forbes noted that Pakistan has emerged as the third top adopter, after India and United States, on Chainalysis’s Top Crypto Adoption 2025 index, making the country “undoubtedly a rising star in digital assets—even if this is a honeymoon phase for the South Asian nation” in the fintech segment.

The report shared that Pakistan, unlike its regional peers, including Bangladesh and Nepal, has adopted a more open stance towards digital currencies.

“While both Bangladesh and Nepal have declared cryptocurrencies illegal, Pakistan is less opposed to digital assets. Rather than ban crypto, Pakistan has historically taken a hands-off approach. However, that is changing as Pakistan begins work on its virtual asset framework,” it said.

Moreover, Pakistan also secured a seat in global rule-making on cryptocurrencies and blockchain governance after Bilal Bin Saqib, chairman of the Pakistan Virtual Asset Regulatory Authority (PVARA), joined the World Economic Forum’s Steering Committee on Digital Asset Regulations, it added.