Raast P2P launching

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To address the challenges of the payment ecosystem, SBP has developed Pakistan’s first Instant payment system, called Raast, to offer instant, reliable, and zero-cost digital payment services to the people of Pakistan with the objective of promoting the adoption of digital financial services in the country. With the launch of Raast, Pakistan has joined a select club of countries that have either launched or are in the process of launching Instant payment systems. The Raast system is fully owned and operated by the State Bank of Pakistan. After the launch of the first phase of Raast, Bulk Payments in January 2021, SBP is now introducing Raast Person-to-Person (P2P). Under Raast P2P fund transfers and settlement services, bank customers would be able to send and receive funds in their accounts using their bank’s mobile application, internet banking, or over-the-counter services. To facilitate their customers, banks will also allow them to create a Raast ID by linking their preferred International Bank Account Number (IBAN) with their registered mobile phone number. The customers can then share Raast ID with others to receive funds in their accounts. Bank customers can use Raast service for sending or receiving funds using their IBANs even if they do not have a Raast ID. Pakistan has had low electronic transactions for a number of reasons including low banking penetration, lack of trust and awareness of digital payment methods, limited interoperability, difficult accessibility, and high cost of transactions. The Real-Time Gross Settlement System (RTGS) of Pakistan provides instant payment settlements for large value and corporate transactions only. Pakistan’s Instant Payment System will facilitate retail payment settlements with great efficiency. There is no doubt this system to ensure improve the efficacy of the Roshan Digital system.

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