Qudsia Bano

Pakistan’s instant payment system, Raast, recorded strong growth during the first quarter of FY26, processing 544 million transactions worth Rs12.8 trillion, according to the State Bank of Pakistan’s Payment Systems Review. The figures highlight the rapid expansion of the country’s real-time digital payment infrastructure and its growing role in everyday financial activity.

The central bank reported that Raast continued to gain widespread adoption among individuals and businesses, driven by its ability to facilitate instant, low-cost and secure transactions. During the quarter, person-to-person (P2P) payments remained the dominant component of Raast activity, accounting for 535 million transactions with a cumulative value of Rs11.3 trillion. This reflects increasing public reliance on digital channels for routine money transfers.

The review noted that Raast’s growth has been supported by rising consumer confidence in digital payment systems, along with increasing awareness of its convenience and accessibility. Users have increasingly shifted from traditional cash-based transfers to instant digital payments, particularly for everyday transactions such as household transfers, bill payments and small business dealings.

In addition to P2P transfers, Raast’s person-to-merchant (P2M) segment also recorded steady progress during the quarter. The number of merchants enabled to accept Raast payments exceeded 1.1 million, indicating expanding adoption across retail, services and small business sectors. Transactions conducted through merchants continued to rise as more businesses integrated QR-based and account-linked payment options into their operations.

According to the State Bank, the total value of P2M transactions during the quarter reached Rs17 billion, reflecting growing consumer comfort with making digital payments at physical and online points of sale. The expansion of merchant acceptance has helped reduce reliance on cash while improving transaction efficiency and transparency.

The central bank noted that the rapid uptake of Raast has been supported by ongoing efforts to strengthen the country’s digital payment infrastructure. These include enhanced interoperability among banks, improved system reliability, and continuous upgrades aimed at ensuring secure and seamless transaction processing.

The review further highlighted that Raast plays a central role in advancing Pakistan’s broader financial inclusion agenda. By offering a low-cost, interoperable and instant payment mechanism, the system has enabled greater participation in the formal financial sector, particularly among individuals and small businesses previously underserved by traditional banking channels.

According to the SBP, the sustained growth in Raast transactions during Q1 FY26 underscores the system’s importance as a foundational component of Pakistan’s evolving digital payments ecosystem. With continued expansion in user adoption and merchant onboarding, Raast is expected to remain a key driver of digital financial transformation in the country.

Credit: INP-WealthPk