Pakistan is taking a big leap toward a fully digital economy — and at the center of this transformation stands Raast, the instant payment system launched by the State Bank of Pakistan (SBP). What started as a modern way to send and receive money quickly has grown into a powerful tool that’s reshaping how citizens, businesses, and government institutions move funds.

Raast is more than a technology. It’s a national shift in mindset, bringing people closer to a cashless, transparent, and connected financial future.

What Is Raast and Why It Matters

Raast — which means “direct way” in Urdu — is Pakistan’s first instant payment system. It allows people to transfer money instantly, 24/7, using their bank accounts or mobile wallets.

Instead of using long account numbers, users can send money using a simple Raast ID, such as their mobile number or CNIC. There are no hidden charges, no waiting time, and no need for cheques or intermediaries.

This system was introduced by the SBP with support from Karandaaz and the Bill & Melinda Gates Foundation to promote financial inclusion. Its goal is to give every Pakistani — from urban professionals to rural shopkeepers — an easy and affordable way to access digital banking.

How Raast Is Changing Everyday Life

1. Instant Transfers for Everyone

Before Raast, sending money between banks could take hours or even days. Now, transfers happen in seconds. People can pay friends, family, or service providers instantly — even on weekends or holidays.

2. Secure and Transparent Payments

Raast uses high-level encryption and is backed by the SBP, making it safe and government-regulated. Unlike informal money channels, every transaction is traceable, which helps fight fraud and corruption.

3. Supporting Small Businesses

Small businesses and freelancers often face high transaction costs. With Raast, they can now receive payments directly from customers or clients without needing expensive point-of-sale systems or third-party apps.

4. Boosting Financial Inclusion

Millions of Pakistanis remain unbanked, especially in rural areas. Raast is bridging that gap by allowing easier digital access through banks and mobile wallets. As more people open digital accounts, the financial system becomes more inclusive and connected.

Government’s Vision: Digital Pakistan by 2026

The State Bank of Pakistan has announced an ambitious plan — by the end of fiscal year 2025–26, all government payments will be routed through Raast.
This includes salaries, pensions, social welfare funds, and vendor payments.

Imagine a teacher in Gilgit, a pensioner in Bahawalpur, or a welfare recipient in Karachi — all receiving their payments instantly through Raast without paperwork or middlemen.
This step will not only save time and money but also reduce corruption and ensure transparency in how public funds are distributed.

Merchant Subsidy: Encouraging Digital Adoption

Alongside government payments, a separate initiative is supporting small business owners. The government has launched a Rs 3.5 billion subsidy program to help merchants transition to Raast digital payments.

Under this scheme:

• Merchants accepting Raast QR payments will get reimbursed for transaction costs.
  
  

• The subsidy covers up to 0.5% of each QR transaction or a capped limit.
  
  

• This program runs from September 2025 to June 2026.
  
  

This means shopkeepers, grocers, and small service providers can go digital without worrying about losing profit to fees. It’s a smart way to pull more of Pakistan’s informal economy into the formal, digital financial system.

Raast’s Impact Across Key Sectors

1. Education

Schools and universities are now testing digital fee collection through Raast, removing the need for manual challans or long queues at banks.

2. Health

Hospitals and clinics are adopting Raast for patient billing and insurance settlements, improving record accuracy and speed.

3. Agriculture

Farmers can now receive subsidies or crop payments directly into their bank accounts, ensuring funds reach them safely without middlemen.

4. Welfare Programs

Government welfare schemes like Ehsaas can use Raast for instant disbursement, ensuring that every rupee reaches the rightful recipient directly.

Latest Developments: How Raast Is Evolving

Raast is not standing still — it’s evolving fast. Here are the most recent updates that show how it’s transforming Pakistan’s financial landscape.

1. Government Payments Going Fully Digital by 2026

By FY 2025–26, all government payments — salaries, pensions, vendor bills, and welfare programs — will be processed through Raast.
Pilot testing has already started in key ministries, and the rollout will expand nationwide by 2026.

2. Rs 3.5 Billion Merchant Subsidy Program

The government has set aside Rs 3.5 billion to support merchants adopting Raast payments.
This will:

• Reimburse up to 0.5% per transaction, reducing fees for small businesses.
  
  

• Encourage thousands of shopkeepers and freelancers to join the digital economy.
  
  

• Run for nearly a year to ensure strong adoption across the retail sector.
  
  

3. Record-Breaking Transaction Growth

Raast now serves 47 million users.
The system processes in nine days what previously took a full year in transaction volume — a clear sign of how fast Pakistanis are embracing digital finance.

4. Fair Pricing to Support Long-Term Growth

To keep Raast affordable for small merchants, experts are working on a responsible pricing model. This ensures small shopkeepers pay lower fees, while larger companies help share system costs.
This approach encourages inclusivity while keeping digital payments sustainable for banks and fintechs.

5. Integration with Other National Systems

Raast is now being connected with:

• FBR for real-time tax refunds
  
  

• NADRA for identity verification
  
  

• Provincial finance departments for digital disbursements
  
  

The government is also forming a National Merchant Payments Working Group to coordinate policies and expand Raast’s reach across all sectors.

The Road Ahead: Building a Cashless Pakistan

With the SBP’s leadership, government support, and growing public trust, Raast is becoming the foundation of Pakistan’s digital economy.

By 2026, citizens will be able to:

• Receive government payments instantly
  
  

• Pay merchants digitally anywhere in the country
  
  

• Enjoy safe, fast, and transparent financial services
  
  

This digital journey is not just about technology — it’s about empowering people, creating financial equality, and laying the groundwork for a modern, cashless Pakistan.