The State Bank of Pakistan (SBP) has issued guidelines that would allow for Person-to-Person (P2P) fund transactions in Pakistan using Raast, the central bank’s Instant Payment System.
The SBP believes that the launch of the Raast P2P service will not only provide customers with a convenient and hassle-free digital fund transfer service, but will also provide an efficient and enabling payments infrastructure that will pave the way for the country’s economic digitization and promotion of digital financial services.
Raast Person-to-Person (P2P)
Bank customers will be able to send and receive monies in their accounts via their bank’s mobile app, internet banking, or over-the-counter services under the Raast Person-to-Person (P2P) financial transfers and settlement services.
Customers can use the bank’s mobile application, internet banking, or visiting their local branch to set their registered mobile phone number as their Raast ID and link it to their selected International Bank Account Number (IBAN).
Once a consumer has set her or his cell phone number as the Raast ID, anyone can pay money to her or him without needing to know the account number or any other information.
Even if they don’t have a Raast ID or prefer to use their IBAN, bank customers can still utilize the Raast service to send and receive funds using their IBANs.
The SBP has urged all banks to make the Raast Person-to-Person fund transfer service available to customers through at least three channels, including mobile apps, internet banking, and branch counters.
After completing the necessary technology modifications and other preparations, more banks will begin offering Raast P2P services.
Raast is being developed in partnership with Karandaaz in Pakistan and will be implemented in stages. The prime minister introduced the first phase of Raast, bulk payments, in January 2021.
Pakistan has joined a small group of countries that have either established or are in the process of developing Instant Payment Systems with the introduction of Raast. The State Bank of Pakistan owns and operates Raast entirely.
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