Key Takeaways
- The number of QR-enabled merchants in Pakistan increased by 245% to 3.8 million in FY26.
- These merchants processed 297 million transactions worth Rs. 1.6 trillion during the fiscal year.
- The government’s subsidy program under the Cashless Pakistan Initiative supported the growth.
The number of QR-enabled merchants in Pakistan has surged by 245%, reaching 3.8 million in fiscal year 2025-26, according to State Bank of Pakistan (SBP) data. This significant increase from 1.1 million merchants a year earlier marks a substantial shift towards digital payments in the country.
During the same fiscal year, these merchants processed 297 million transactions, amounting to a total value of Rs. 1.6 trillion. This translates to approximately 0.8 million QR transactions per day, with an average daily value of around Rs. 5.5 billion.
The sharp rise in QR payment adoption is attributed to the government’s subsidy program under the Prime Minister’s Cashless Pakistan Initiative. The program allocated Rs. 3.5 billion and offered a subsidy of 0.5% of the value of each eligible transaction, up to a maximum of Rs. 100 per transaction.
The subsidy was shared equally between the merchant’s financial institution and the customer’s financial institution, covering the acquiring and issuing institutions. Financial institutions were permitted to charge up to 0.25% of the transaction value for merchant onboarding and servicing.
The expansion of QR payment merchants is expected to encourage more traders and consumers to transition from cash to digital payments at points of sale. This shift is seen as a crucial step towards reducing the reliance on cash and promoting financial inclusion.
The government’s initiative aims to foster a cashless economy, which is expected to improve financial stability and reduce the risks associated with cash transactions. By supporting both merchants and customers, the program has significantly boosted the adoption of QR payments in Pakistan.
The increase in QR payment merchants and transactions is a testament to the effectiveness of the government’s subsidy program. The program not only incentivized merchants to adopt QR payments but also provided a financial boost to both parties involved in the transaction.
The surge in QR payment adoption is expected to have a positive impact on the overall economy, promoting transparency and reducing the risk of fraud associated with cash transactions. As more merchants and consumers embrace digital payments, the potential for further growth in the digital payment ecosystem in Pakistan is significant.
