Mobile banking. Design: Ibrahim Yahya
KARACHI:
A few years ago, there was a debate over whether Pakistanis would adopt digital banking and, if so, how quickly — a common phenomenon in any society, as fear of the unknown often prevails before the acceptance of new ideas. However, following the Covid-19 lockdowns and support from international donor organisations such as the Bill and Melinda Gates Foundation, Pakistan has witnessed a tremendous rise in the use of advanced banking modes, with over 120 million customers now using mobile apps for personal and commercial transactions on a daily basis.
According to recent data released by the State Bank of Pakistan (SBP), more than 25.8 million customers of commercial banks were using mobile banking by the end of the first quarter of the financial year 2025-26. Customers of branchless banking using mobile apps surged to 87.9 million by the end of September 2025. In addition, customers of fintech operators were also on the rise, standing at 6.27 million by the end of the same period.
There are 34 commercial banks, 14 branchless banking operators and six fintech operators of Electronic Money Institutions operating in Pakistan, according to the Quarterly Payment System newsletter published by the banking regulator. These customers are utilising mobile banking for the transfer of funds, payment of utility bills, booking of tickets, online shopping, digital loans and credit, mobile top-ups and other services. Among them, a significant majority are using multiple mobile apps of different banking companies at the same time.
The growing utility of mobile banking apps among the masses in Pakistan reflects the increasing adoption of technological trends over the past few years, made possible by the rising use of smartphones and internet services, said Abdullah Tariq, a software engineer and mobile app architect.
He added that financial institutions, including banks and branchless banking operators, have invested heavily in the development of their mobile apps, particularly in customer interface and backend systems, resulting in improved customer experience, reliability and utility. The mobile apps empower users to transfer funds easily with a single click within a few seconds, significantly transforming the country’s banking landscape by enhancing transactions while saving time and cost for both customers and banking companies, Abdullah Tariq said.
With the emergence of digital banks and fintech operators, and their innovative services for earned wage access, digital insurance and digital investment, transaction values through mobile banking are expected to grow at an accelerated pace, he added. According to the SBP, a total of 2 billion transactions worth Rs337 trillion were made through mobile banking apps offered by banks, branchless banking players and Electronic Money Institutions. This accounted for 81% of all payments through digital channels, as total transactions stood at 2.5 billion during the period from July to September 2025.
These transactions include account- or wallet-initiated payments made by customers to merchants at both online and physical stores.
Ibrahim Amin, a banking and financial consultant, said mobile phone adoption by Pakistanis was greatly facilitated by the banking regulator in recent years through the launch of the RAAST payment system and QR payment options, enabling customers of banks and branchless banking operators to make instant financial transactions without any cost. He added that the role of branchless banking operators had enabled merchants, including shopkeepers and service providers, and their customers to use digital payments instead of cash.
He said customers of commercial banks generally made high-value transactions, whereas customers of branchless banking and fintech operators carried out low-value transactions. Ibrahim Amin, who is chairman of TriStar International Consultant, said he foresaw increasing use of mobile banking services in the future, as bank customers continue to adopt convenient and fast modes of banking and the country’s young generation remains tech-savvy, preferring mobile apps.
He noted that banks offering the best mobile banking experiences would attract more customers, underscoring the need for continuous upgrades of backend systems, including safety features. At the same time, customers must be educated to avoid scams in the future.
According to a report by the Asian Development Bank (ADB), only 21% of adults in Pakistan have access to a bank or mobile money account, amounting to approximately 91 million individual accounts as of 2025. In addition, companies, associations and non-governmental organisations also maintain accounts with banks.
