The transition to a cashless society in Pakistan could significantly enhance the economy by reducing the informal sector, improving tax compliance, and promoting financial inclusion, according to Ali Irfan, Chief Experience Officer at JazzCash. 

 

Speaking at the GSMA’s Digital Nations Summit in Islamabad, Irfan joined a panel including Shoukat Bizinjo of the State Bank of Pakistan, Maleeha Bangash of IFC, and Clive Chai from Meta, to discuss the need for policy support for digital payments.

 

Shoukat Bizinjo noted that Pakistan’s digital banking journey began in 2008 with the State Bank’s Branchless Banking regulations, leading to the current 37 million RAAST accounts. Irfan emphasized the importance of collaboration in growing the digital economy and suggested integrating smartphones, SIM cards, and digital wallets with national identity cards to ensure universal access.

 

To drive digital payment adoption, Irfan proposed tax reductions for consumers and merchants and encouraged the public sector to mandate digital transactions. He also advocated for digitizing remittances to allow mobile wallets to receive international funds. 

 

The discussion highlighted the challenges of navigating a partially digital economy, stressing the need for proper infrastructure and collaboration. With over 651,672 branchless banking agents, including 40% managed by JazzCash, these agents play a crucial role in connecting underserved communities to digital financial services.