Citizens who have not yet completed biometric verification for their digital bank accounts and wallets may face service disruptions from October 25 as new regulations introduced by the State Bank of Pakistan (SBP) in July take effect. The regulations, introduced through BPRD Circular No.1 of 2025, had mandated streamlining of account opening and customer onboarding processes by all institutions under the SBP’s regulatory ambit, including Banks, DFIs, MFBs, Digital Banks, and EMIs. As per the circular, issued on July 25, all SBP-regulated entities (REs) need to “streamline the account opening/customer onboarding process and improve the customer experience”. One of the new requirements introduced was that biometric verification of the account or wallet operator should be made the primary verification method for all accounts and digital wallets. The prevailing system had allowed operators to take up to 60 days to complete biometric verification before a debit block was imposed on their account. With the new regulations going into effect starting October 25, industry sources expressed fears that potentially tens of millions of account-holders who have not completed biometric verification could lose the ability to operate them. They also expressed concerns that the regulations may prevent individuals operating foreign currency accounts from sending or receiving remittances.
Digital banking users may face disruption due to SBP rules
Published on: October 25, 2025 12:43 AM