Population
245M
Online population
111M
Currency
PKR
Population - 245M
At the start of 2024, 38.2% of Pakistan’s population lived in urban centres, while 61.8% lived in rural areas.
Internet penetration - 45.7%
There were 111M internet users in Pakistan at the start of 2024.
Irfan Iqbal Sheikh, the head of the Federation of Pakistan Chambers of Commerce and Industry, notes that the FinTech sector boasts around 269 startups, many of which have achieved remarkable success and sustainability. Regulatory support has notably improved in recent years, with heightened involvement from the State Bank of Pakistan (SBP) and the Securities and Exchange Commission of Pakistan(SECP).
The SBP, in its guidelines paper for the Digital Financial Services – Innovation Challenge Facility, projects that the market potential for digital finance services in Pakistan will surpass $36B by 2024. This growth is expected to contribute a 7% boost to the GDP and generate 4M new jobs.
Currently, FinTech applications cater to only 21% of the total population. FinTech companies in Pakistan are diligently utilising technological advancements such as artificial intelligence and machine learning to provide top-notch financial services and products. Pakistan has experienced exponential growth in financial technologies which bring ease in monetary circulation, bestow financial inclusion, provide convenient movement of money and negate the threat of money being stolen or looted. Considering the need and trend of the economy, the State Bank of Pakistan presented Raast— one of the Digital Financial Services— for easy access to transactions sans having any bank account.
Jazzcash magnets users given the QR payment system, and provides the first foreign currency exchange services via Payoneer— a financial services partner of Fiverr and Upwork for payment procedures.
Registered under State Bank of Pakistan framed frameworks for Electronic Money Institution (EMI)— approved in 2019— SadaPay. SadaPay brought Apple Pay for payments and convenient foreign currency transactions, especially for freelancers.
<aside> 🪁 **Pakistan FinTech Network** Currently Pakistan FinTech Network (PFN) has 70 members on board. The diversity in the membership opens more opportunities for creating synergies resulting in bringing efficiencies and achieving value through a Network Effect. To bring best practices to Pakistan's FinTech landscape through international collaboration with fintech associations around the world, aims to bring successful practices in Pakistan. PFN has formed a collaboration with MENA FinTech association & Dubai World Trade Centre (Fintech Surge 2023) where PFN aim is to create Pakistan Pavilion to promote Pakistan’s startups to show case their product and services in the Middle east region.
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Pakistan Banking Sector comprises Commercial Banks, Foreign Banks, Islamic Banks, Development Financial Institutions and Microfinance Banks. The Industry constitutes around 34 banks.
[There is](https://www.thenews.com.pk/print/1044680-81pc-pakistanis-do-not-have-bank-accounts-survey#:~:text=However%2C it is a worrying,receiving wages (27 percent).) a worrying indicator that there are just 19% of adult Pakistanis who have registered a bank account. The bank account is used for depositing money into own account (95%), followed by withdrawal of money from the bank account (38%) and receiving wages (27%). 81% of Pakistanis do not have bank accounts. The leading reason for not having a bank account is ‘Do not need one and have never thought of using one’ reported by 68% of those without a bank account.
Considering the need and trend, banking sectors also commenced the FinTech type services: JS bank launched Zindagi app, Allied Bank Limited, MyABL, Habib Bank Limited, Konnect, and Meezan Bank, Meezan Mobile Banking. Raast by State Bank of Pakistan, as mentioned above and various mobile banking apps by private banking sectors, emphasize and understand the need for financial inclusion in Pakistan.