By Farooq Awan

Pakistan’s instant payment system Raast expanded rapidly in 2025, reaching around 48 million users and processing nearly Rs50 trillion in transactions, according to the Financial Stability Review 2025 released by the State Bank of Pakistan (SBP).

The report indicates that the sharp increase in usage reflects growing adoption of digital payment solutions across the country, driven by improved financial infrastructure, policy support, and increasing consumer preference for convenient and low-cost payment methods. Raast has emerged as a key component of Pakistan’s digital financial ecosystem, facilitating person-to-person and business transactions in real time.

The SBP noted that the number of transactions processed through Raast also grew significantly, approaching two billion during the year. This expansion highlights the system’s scalability and its ability to handle large volumes efficiently, supporting both retail and commercial payment needs.

The growth in Raast usage is part of a broader trend toward digitalization in the financial sector. Digital transactions continued to dominate in terms of volume, reflecting increasing reliance on electronic payment channels. At the same time, traditional over-the-counter transactions remained significant in value terms, indicating a gradual but ongoing shift toward digital platforms.

The report highlights that the expansion of Raast was supported by policy measures aimed at promoting digital payments, including the rollout of QR code-based payment solutions and integration with various financial institutions. These initiatives have made it easier for individuals and businesses to access digital payment services, contributing to wider adoption.

Increased usage of Raast has also supported financial inclusion by providing accessible and cost-effective payment options to a broader segment of the population. By enabling real-time transactions without the need for physical banking infrastructure, the system has helped bring more users into the formal financial system.

The SBP emphasized that digital payment systems such as Raast enhance efficiency and transparency in financial transactions while reducing reliance on cash. This shift contributes to improved documentation of economic activity and supports broader financial sector development.

At the same time, the report notes that rapid digitalization also introduces new challenges, particularly in terms of cybersecurity and data protection. The central bank has taken steps to strengthen regulatory frameworks and enhance resilience against potential risks associated with increased use of digital financial services.

The continued expansion of Raast is expected to play a central role in Pakistan’s transition toward a more digital and inclusive financial system. Sustaining this growth will depend on further investment in infrastructure, regulatory support, and continued efforts to build user trust in digital platforms.

Credit: INP-WealthPk