Digital payments: Pakistan PM forms three high-powered panels
ISLAMABAD: Prime Minister Shehbaz Sharif on Monday launched a sweeping push towards a cashless economy, directing formation of three high-powered panels to fast-track digital payments across the country and tighten the government's grip on financial transparency.
The new committees – the Digital Payments Innovation and Adoption Committee, the Digital Public Infrastructure Committee, and the Government Payments Committee – have been tasked with crafting policy to accelerate digital transactions between citizens, businesses and the state, while also activating the long-dormant Pakistan Digital Authority and drafting a national digital master plan.
The prime minister, while chairing a high-level meeting, said that shifting from cash to digital was not optional but essential for a transparent economy.
PM forms body to promote cashless economy, digitization
'The developed nations are racing ahead with cashless systems. Pakistan can't afford to be left behind,' he added.
In a significant directive, Sharif ordered the expansion of the RAAST digital payment system from the federal level to all provinces.
'A digital transaction ecosystem is the backbone of a modern economy,' he said, stressing those digital payments must become more affordable and accessible than cash to win public trust.
The officials briefed the prime minister that over 40 million users are currently on RAAST, Pakistan's flagship digital payment rail, with all federal financial transactions already routed through the system. Steps are underway to bring provincial governments onboard.
The prime minister also signalled a pivot in government policy, ordering that all transactions between public and private sectors be moved to a cashless model – a potentially sweeping change for a largely informal economy.
The meeting was told that the Digital Public Infrastructure Committee will operate under the Ministry of IT, while the Cashless Pakistan Steering Committee has been formed under the Prime Minister's Secretariat.
In a bold pilot move, the meeting was informed that the Ministry of IT plans to make Islamabad Pakistan's first fully cashless city under the Smart Islamabad project – a digital litmus test for the rest of the country.
Sharif emphasised that channelling funds through formal banking systems could help finance development projects and attract investor confidence. The inclusion of fintech in the broader ecosystem was also highlighted as a strategic pillar.
The meeting was attended by key members of Sharif's cabinet, including ministers for economic affairs, IT, petroleum, and climate change, along with the governor of the State Bank of Pakistan (SBP) and heads of major regulatory bodies.
Copyright Business Recorder, 2025
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
6 hours ago
- Business Recorder
Digital payments: Pakistan PM forms three high-powered panels
ISLAMABAD: Prime Minister Shehbaz Sharif on Monday launched a sweeping push towards a cashless economy, directing formation of three high-powered panels to fast-track digital payments across the country and tighten the government's grip on financial transparency. The new committees – the Digital Payments Innovation and Adoption Committee, the Digital Public Infrastructure Committee, and the Government Payments Committee – have been tasked with crafting policy to accelerate digital transactions between citizens, businesses and the state, while also activating the long-dormant Pakistan Digital Authority and drafting a national digital master plan. The prime minister, while chairing a high-level meeting, said that shifting from cash to digital was not optional but essential for a transparent economy. PM forms body to promote cashless economy, digitization 'The developed nations are racing ahead with cashless systems. Pakistan can't afford to be left behind,' he added. In a significant directive, Sharif ordered the expansion of the RAAST digital payment system from the federal level to all provinces. 'A digital transaction ecosystem is the backbone of a modern economy,' he said, stressing those digital payments must become more affordable and accessible than cash to win public trust. The officials briefed the prime minister that over 40 million users are currently on RAAST, Pakistan's flagship digital payment rail, with all federal financial transactions already routed through the system. Steps are underway to bring provincial governments onboard. The prime minister also signalled a pivot in government policy, ordering that all transactions between public and private sectors be moved to a cashless model – a potentially sweeping change for a largely informal economy. The meeting was told that the Digital Public Infrastructure Committee will operate under the Ministry of IT, while the Cashless Pakistan Steering Committee has been formed under the Prime Minister's Secretariat. In a bold pilot move, the meeting was informed that the Ministry of IT plans to make Islamabad Pakistan's first fully cashless city under the Smart Islamabad project – a digital litmus test for the rest of the country. Sharif emphasised that channelling funds through formal banking systems could help finance development projects and attract investor confidence. The inclusion of fintech in the broader ecosystem was also highlighted as a strategic pillar. The meeting was attended by key members of Sharif's cabinet, including ministers for economic affairs, IT, petroleum, and climate change, along with the governor of the State Bank of Pakistan (SBP) and heads of major regulatory bodies. Copyright Business Recorder, 2025
Business Recorder
8 hours ago
- Business Recorder
NA erupts into chaos over Bilawal's speech
ISLAMABAD: The National Assembly erupted into chaos on Monday as political tempers flared into an all-out brawl, triggered by a blistering speech from Pakistan People's Party (PPP) Chairman Bilawal Bhutto-Zardari. The flamboyant PPP leader, a pivotal ally of the ruling Pakistan Muslim League-Nawaz (PML-N), unleashed a relentless verbal assault on jailed Pakistan Tehreek-e-Insaf (PTI) chief Imran Khan – igniting a political firestorm in the House. Bilawal lambasted Khan's 2019 handling of India-Pakistan tensions, dismissing his response as mere posturing amid a real threat. 'When India struck, what did Imran do? Rename Kashmir Highway to Srinagar Highway,' Bilawal taunted. 'Meanwhile, we downed six Indian fighter jets including three French Rafales. Imran's action was praying after Jumma and we were the ones who walked the talk.' PTI lawmakers exploded in outrage, chanting anti-Zardari and anti-Sharif slogans that drowned out attempts by Finance Minister Muhammad Aurangzeb to speak. Treasury members formed a human shield around Aurangzeb's seat, fending off the hostile opposition. The scene worsened as the Railways Minister Hanif Abbasi and opposition MPs came to blows, forcing Speaker Ayaz Sadiq's futile calls for order to be backed by security personnel. PTI accused the NA Speaker's security detail of bias, comparing them to 'Gullu Butt,' the infamous PML-N loyalist linked to political violence. Verbal attacks soon turned deeply personal. PTI's Nisar Jutt accused Bilawal of squandering public funds on lavish US trips purportedly to 'improve Pakistan's image' post Pakistan-India conflict. Karachi-based PPP lawmaker Agha Rafiullah took offence at Jutt's insulting retort and below the belt remark, nearly sparking a fistfight before colleagues intervened. With the assembly in turmoil, Deputy Speaker Ghulam Mustafa Shah suspended proceedings for nearly an hour, allowing cooler heads to regain control. At the onset, the Opposition Leader in National Assembly Omar Ayub also delivered a scathing critique, accusing PPP of shifting loyalties: 'They don't know if they want to sit with government or opposition.' He branded the budget 'dead on arrival,' blaming Asif Zardari for neglecting Sindh and bungling the Cholistan Canal project. On the economic front, Ayub warned of a dangerous spiral: 'Rising imports will weaken the rupee, balloon interest payments, and worsen the deficit.' He also took a geopolitical swipe, noting, 'First Israel attacked Iran, now the US. World oil reserves only last 14 days. On the day Israel struck, I said watch those reserves.' Finally, Ayub demanded the government reconsider its controversial nomination of US President Donald Trump for the Nobel Peace Prize, arguing that Trump's strikes on Iran's nuclear sites disqualify him from any peace accolade. 'This government must rethink nominating Trump for the Nobel,' he insisted. Copyright Business Recorder, 2025
Business Recorder
8 hours ago
- Business Recorder
FCCI seeks cut in policy rate to single digit
FAISALABAD: Rehan Naseem Bharara, President Faisalabad Chamber of Commerce & Industry (FCCI) has expressed concern over the maintenance of the policy rate in double digit and said that it may dampen economic and industrial growth in the country. He said that chambers and trade associations have been demanding for a long time to cut down the policy rate to the single digit to spur economic activities. He said that Prime Minister Shehbaz Sharif had openly confessed in public meetings that industrial activities could not be expedited with high markup rate. He said that we are thankful to the government that it has gradually brought down the policy rate from 23% to 11% but still it is too high to give a quick start to the industrial activities. He said that it was particularly detrimental to the SME sector which has severe financial constraints and they could not do profitable businesses with high markup rate. Copyright Business Recorder, 2025
