Islamabad, Feb 23: The State Bank of Pakistan (SBP) has introduced Raast Participation Criteria, setting minimum requirements for entities seeking to join Raast, the country’s instant digital payment system. This initiative aims to broaden access to digital payments, foster innovation in the financial sector, and promote competition among banking and non-banking institutions.
Launched in 2021, Raast is designed to facilitate instant, safe, and efficient fund transfers across Pakistan, with the tagline “Instant Payments – Pal Bhar Mein. Mulk Bhar Mein”. The system currently supports bulk payments, person-to-person (P2P) transfers, person-to-merchant (P2M) transactions, and payment initiation services. Since its inception, 44 entities, including SBP-regulated institutions and government bodies, have been onboarded as participants.
To further expand the reach of digital payments, SBP’s newly issued criteria enable a diverse range of entities to apply for Raast participation, including:
- Banks and microfinance banks (MFBs)
- Non-bank financial institutions (NBFIs) regulated by SBP or SECP
- Government bodies, public sector enterprises (PSEs), and private businesses, including SMEs
- Fintechs, payment aggregators, business platforms, incubators, and educational institutions
Entities under the SBP licensing process with in-principle approval are also eligible to join.
Raast will categorize participants under four access levels:
- Direct Settlement Participants (DSPs) – Entities with direct access to settlement services
- Direct Non-Settlement Participants (DNSPs) – Entities with direct access to Raast infrastructure but requiring a DSP for settlements
- Payment Initiation Service Providers (PISPs) – Entities facilitating transactions without holding customer funds
- Indirect Participants (IPs) – Entities accessing Raast via DSPs or DNSPs
The onboarding process involves submitting an application to SBP, signing a Non-Disclosure Agreement (NDA), reviewing integration specifications, and completing technical setup before receiving conditional approval for a pilot phase. Upon successful testing, SBP will grant commercial approval for live operations.
By expanding Raast participation, SBP aims to increase the number of digital payment providers, encourage financial inclusion, and accelerate Pakistan’s transition toward a cashless economy.
