PM urges banks to boost cashless economy

Prime Minister Shehbaz Sharif has emphasized the critical role of banks and financial institutions in promoting a cashless economy, stating that the transition to digital payments is essential for achieving sustainable economic growth, improving transparency, and modernizing Pakistan’s financial system.

Speaking at a high-level meeting on the promotion of a cashless economy and digital payment systems, the prime minister said that Pakistan must accelerate its shift towards digital financial transactions to build a more efficient, transparent, and inclusive economy. He noted that reducing dependence on cash would strengthen financial governance, improve documentation of economic activity, and create a more business-friendly environment across the country.

The prime minister stressed that banks, financial institutions, and other stakeholders in the financial sector have a vital responsibility in encouraging the widespread adoption of digital payment methods. He urged them to expand access to secure, convenient, and reliable digital banking services so that individuals, businesses, and merchants can increasingly rely on electronic transactions instead of cash.

Shehbaz Sharif highlighted that the successful transition to a cashless economy would not only simplify financial transactions but also help reduce the informal economy, increase tax compliance, improve financial transparency, and enhance public confidence in the country’s financial system. He added that digital payments are becoming an essential component of modern economies around the world and that Pakistan must keep pace with global technological and financial developments.

During the meeting, the prime minister commended the government’s economic team for achieving significant progress in expanding digital payment infrastructure. He particularly praised the remarkable 300 percent increase in the number of merchants using QR code-based payment systems, describing it as an important milestone in promoting digital commerce and financial inclusion across Pakistan.

He said the rapid growth in QR code adoption demonstrates increasing public and business confidence in digital payment solutions and reflects the government’s commitment to building a technology-driven economy. The prime minister encouraged the relevant authorities to continue expanding digital payment facilities to small businesses, retailers, and service providers throughout the country.

Prime Minister Shehbaz Sharif also directed officials to ensure that remittances sent by overseas Pakistanis are made fully digital. He instructed the concerned authorities to develop mechanisms that would enable 100 percent of incoming foreign remittances to be processed through digital channels, making the transfer of funds faster, safer, more transparent, and more convenient for millions of Pakistanis living abroad and their families back home.

He emphasized that digitizing remittance flows would help strengthen the formal banking sector, improve foreign exchange management, reduce transaction costs, and further contribute to Pakistan’s economic stability. The prime minister also underlined the importance of adopting modern financial technologies to improve service delivery and expand financial inclusion for citizens across the country.

Reaffirming the government’s commitment to digital transformation, Shehbaz Sharif said Pakistan’s future economic growth depends on embracing innovation and technology. He called upon financial institutions, regulators, businesses, and all relevant stakeholders to work together in creating a secure, accessible, and efficient digital payment ecosystem that benefits consumers, businesses, and the national economy alike.

The meeting concluded with a renewed commitment to accelerating Pakistan’s digital transformation agenda, expanding cashless payment systems, and strengthening cooperation between the government and financial institutions to support sustainable economic development and greater financial transparency.