Digital Payments Account for 92% of Retail Transactions in Pakistan

KARACHI: Digital payments accounted for more than 92% of Pakistan’s retail payment transactions in FY2025-26, as the country continued its shift towards digital financial services, according to the State Bank of Pakistan (SBP).

The SBP’s Annual Payment Systems Review reported that retail transactions increased 58% to 14.3 billion, with a combined value of Rs672.7 trillion. Digital channels processed 13.2 billion transactions worth Rs257.1 trillion during the fiscal year.

Mobile-based payments led the growth, recording 11.1 billion transactions, up 79% year-on-year. Meanwhile, QR-enabled merchants expanded to 3.84 million, and point-of-sale (POS) terminals increased to 337,791.

The number of branchless banking app users reached 99.1 million, while mobile banking app users rose to 30.4 million.

Despite the rapid growth of digital payments, over-the-counter transactions continued to account for around 62% of total retail payment value, highlighting further potential for digital adoption.