Pakistan digital payments reach 92% share of retail transactions

Pakistan is experiencing a significant shift toward digital finance, with the State Bank of Pakistan reporting that electronic channels accounted for 92% of all retail settlement transactions in fiscal year 2025–26. Total retail volume through formal banking channels reached 14.3 billion transactions, valued at PKR 673 trillion, marking a 58% increase in volume compared to the previous year.

Digital channels, including mobile apps, internet banking, and e-money wallets, processed 13.2 billion of these transactions. Mobile-based solutions were the primary driver, recording 11.1 billion transactions, a 79% year-on-year growth. This expansion is supported by an increasing POS network, which now covers over 337,000 terminals.

Despite this growth, the sector is facing operational challenges. Transactions linked to Easypaisa and several payment intermediaries—including SWICH, Simpaisa, ajarPay, RapidPay, Zero Technologies, and Finza Tech—have reportedly faced processing and settlement delays. These disruptions occur amid heightened regulatory scrutiny by law enforcement regarding the use of digital wallets for unauthorized or illicit financial activities.