PM highlights criticality of cashless economy

ISLAMABAD: With digital transactions surging and millions more users joining online payment platforms, Prime Minister Shehbaz Sharif on Tuesday ordered authorities to speed up the country’s march towards a cashless economy, calling digital transformation a cornerstone of sustainable growth and economic transparency.

Chairing a high-level meeting on the promotion of a cashless economy and digital payments, the prime minister appreciated the performance of the economic team for making significant progress over the past year in moving the country’s economy towards digital payment systems.

He particularly lauded the 300 percent increase in the number of active merchants using QR codes for digital payments during the last year and directed the economic team to further strengthen awareness campaigns to encourage more businesses to adopt QR-based payment solutions.

“Transitioning the national economy to a cashless system will contribute to sustainable economic development and promote transparency,” he added.

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During the briefing, officials informed the meeting that the number of merchants receiving digital payments had increased by 300 percent between June 2025 and June 2026, reaching 2,003,000.

The meeting was informed that the number of mobile banking application users had also witnessed a major rise, increasing from 95 million to 137 million within one year.

The PM termed the growth an important achievement and urged banks and financial institutions to play a more proactive role in expanding digital financial services.

He also directed that remittances received from overseas Pakistanis should be converted into a 100 percent digital system, aiming to improve efficiency, transparency and documentation of foreign inflows.

According to the briefing, the country recorded 11.9 billion digital transactions between July 2025 and June 2026, reflecting a rapid adoption of electronic payment channels across the country.

Officials added that 92 percent of remittances received during the previous year were processed digitally.

The meeting was informed that the digitisation of payments under the Benazir Income Support Programme (BISP) had been completed for around 10 million beneficiaries through digital wallets.

The PM appreciated the initiative, calling it a transparent, faster and more convenient mechanism for deserving citizens.

Officials further briefed the meeting that 99 percent of payments at the National Database and Registration Authority (NADRA) had been digitised, reducing cash-based payments from 71 percent to just 1 percent.

The progress review also highlighted measures taken to promote the RAAST instant payment system and other digital payment platforms.

The Pakistan Banking Association (PBA) has set targets for member banks to expand digital payment adoption, including increased use of the RAAST system.

The meeting was informed that a third-party validation process regarding the country’s transition towards a cashless economy was currently underway, with the final report and recommendations expected to be presented in November 2026.

The PM directed all relevant institutions to continue coordinated efforts for expanding digital financial inclusion and ensuring that citizens, businesses and government programmes benefit from secure and efficient payment systems.

The meeting was attended by Finance Minister Muhammad Aurangzeb, Information Minister Attaullah Tarar, Minister for Information Technology Shaza Fatima, Minister for Petroleum Ali Pervaiz Malik, Minister for Economic Affairs Ahad Cheema, Minister of State for Finance Bilal Azhar Kayani, State Bank of Pakistan (SBP) Governor Jameel Ahmad, the Chairman of NADRA, and senior officials from relevant institutions.

Copyright Business Recorder, 2026