ISLAMABAD:
The State Bank of Pakistan (SBP) has announced that by June 2026, all federal and provincial government payments will be fully digitized.
At present, two banks in the country have already launched digital banking services and the number of digital merchants is expected to increase to two million within a year.
These details came to light during a meeting of the National Assembly Standing Committee on Finance, held on Thursday at the Parliament House under the chairmanship of MNA Syed Naveed Qamar. The committee also reviewed the Corporate Social Responsibility (CSR) Bill.
Briefing the committee, the SBP deputy governor said the central bank is taking measures to promote digital payments. He said by December 2026, all government payments, including those of state-owned enterprises (SOEs), will be fully digitized.
At present, two banks have begun offering digital banking services. Minister of State for Finance Bilal Azhar Kayani added that Mashreq Bank had launched digital banking in record time, employing 400 staff members deployed across 19 cities, while services would be available nationwide.
The SBP official further informed the committee that there are currently over 5,000 digital merchants in the country. A committee established by Prime Minister Shehbaz Sharif has set a target to increase this figure to two million within a year, aimed at promoting digital transactions across Pakistan.
Digital payments for consumers are free of charge, while interbank fund transfers incur a fee only for transactions above Rs25,000; however, payments through Raast remain free.
He noted that Rs3.5 billion worth of merchant payment schemes are being financed directly by the government, and that accounts can now be opened digitally 24/7.
The session also examined the CSR Bill. Chairman Naveed Qamar noted that the committee is seeking a middle ground on the matter. The Securities and Exchange Commission of Pakistan (SECP) chairman briefed the committee that out of 447 companies, 315 engaged in CSR activities in 2024.
Around 116 companies spent Rs22 billion on the CSR, 199 companies failed to provide details of their CSR expenses, and 100 companies did not spend anything on the CSR.
He clarified that the CSR is not mandatory. However, once the bill is passed, companies could be required to disclose CSR expenditures, with penalties of up to Rs1 billion for non-disclosure.
PPP lawmaker Hina Rabbani Khar raised concerns that oil refineries in Muzaffargarh are polluting the area, while CSR funds are being spent in the capital instead.
