Pakistan is making fast progress toward a cashless economy. The government has set ambitious goals to increase digital financial services. By the end of fiscal year 2025–26, the aim is to reach two million active digital merchants. The number of mobile and internet banking users is expected to grow from 95 million to 120 million. At the same time, annual digital transactions are targeted to hit 15 billion, double the current volume.
To support this move, Prime Minister Shehbaz Sharif has formed special committees. These teams have instructed the State Bank of Pakistan to expand mobile banking across all income levels. One major goal is to ensure 100% of remittances go through banks or mobile wallets, compared to 80% today. This step will boost transparency and reduce cash use. Officials say these changes are key to improving financial inclusion nationwide.
The country already has a strong base for digital finance. According to IT Minister Shaza Fatima, Pakistan has over 143 million broadband users. Mobile wallets now outnumber traditional bank accounts. Branchless banking platforms like JazzCash and Easypaisa lead the market. JazzCash serves over 21 million monthly active users, while Easypaisa serves around 18 million. These services make it easier for millions to send, save, and spend money.
Both wallets offer full financial services. Users can access loans, savings, insurance, bill payments, and more from their mobile phones. Transactions are simple and fast, with agents helping people deposit or withdraw cash. JazzCash is more popular in rural areas, while Easypaisa dominates in cities. Despite tough competition, both continue to grow. Smaller services like Ufone’s Upaisa still lag behind, and Zong has not yet entered the market.
Digital payments have grown quickly. In Q3 of FY25, digital channels made up 89% of all retail payments by volume. These platforms processed 2.4 billion transactions worth Rs 164 trillion. Raast, Pakistan’s instant payment system, handled 371 million transactions worth Rs 8.5 trillion in the same period. With strong government support, the cashless economy in Pakistan is likely to expand even faster in the coming months.