ISLAMABAD: Prime Minister Imran Khan on Tuesday launched Pakistan’s first instant person to person payment system ‘Raast’ developed by State Bank of Pakistan.
Speaking on the occasion, the prime minister said the country’s population can be turned into a real asset by involving them in the formal economy through digitization. He said Raast will facilitate the common man to do their transactions through cell phones and will also help improve saving rates.
He added that if the country did not take advantage of technological advancements and the majority of the population remained outside the formal economy, then it would become a burden.
PM Imran Khan said technology is the way through which we can enhance saving rates as well as tax-to-GDP ratio to take the country forward. “A country progresses when the saving rate increases, we have amongst the lowest,” he said, adding that people would have to become part of the formal economy if the country was to progress.
He said the government is also using technology in FBR in order to trace those who are not paying taxes regardless of their lavish lifestyle. “We are about to reach you because we are getting data very quickly,” he warned tax defaulters. He reaffirmed the commitment to lift the people out of poverty, saying if they succeeded then it will be the present government’s big achievement.
The prime minister also directed the Governor State Bank of Pakistan to establish a special cell to further facilitate the overseas Pakistanis. He said overseas Pakistanis are our biggest asset and the government needs to further facilitate them.
Raast is part of Prime Minister Imran’s Digital Pakistan vision to include the poor segments of society in the formal economy. It has been developed by the SBP in collaboration with Bill and Melinda Gates Foundation and Karandaaz, Pakistan.
Finance Minister Shaukat Tarin armed Raast instant payment system as a revolution in digital banking which will promote e-commerce and IT-related exports. Tarin said the prime minister will soon announce some new initiatives to help the lower middle and salaried class affected by the price hike and Raast can also be used in the implementation of those initiatives.
Highlighting the key features of Raast, Governor State Bank of Pakistan Reza Baqir said this technological advanced system, which is only available in few countries, will be completely free and the banks will not charge any fee on it. He asked the people to fully use the system for their payments.
The Governor pointed out that e-banking transactions worth five hundred billion dollars were carried out last year. He said a growth of thirty percent is being witnessed in e-banking transactions and these will further increase through Raast.
Mr Baqir said that five licenses will be issued for the establishment of digital banks which will cater to the common man. He said the central bank is also enabling to remotely open bank accounts to bring more people into the banking system.