Business

SBP set to launch QR code payment mechanism for sacrificial animals purchase

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Digital Desk

2 years ago

KARACHI: The State Bank of Pakistan (SBP) has announced a QR code-based payment mechanism through Raast, the instant payment system, to facilitate the purchase of sacrificial animals ahead of Eidul-Azha.

SBP’s Joint Director of the State Bank of Pakistan’s Payment System Policy and Oversight Department, Ahmed Sumair revealed this while speaking at the 17th international conference titled ‘Mobile Commerce 2024’.

He stated that the central bank is collaborating with 25 banks to implement QR code payments in 50 major cattle markets ahead of Eid in June 2024.

The initiative aims to assist both customers and cattle farmers in avoiding the burden of carrying heavy cash amidst security concerns. Additionally, QR payments could potentially enable banks to access over Rs550-600 billion in cattle purchases through digital banking during the annual festival and expanded financial inclusion through Raast.

“People can scan QR codes generated by merchants via mobile phones on Raast or through other mobile applications provided by commercial banks,” Sumair said. The QR code payment method is also accessible on Raast via basic keypad phones, offering free financial transactions.

Although QR code payment systems have been available in Pakistan for some time, their non-interoperability limited their utility. Raast has introduced an interoperable QR code, allowing individuals to make payments between different banks through mobile banking.

He said markets had been identified in all 15 cities with SBP field offices, including Karachi, Lahore, Islamabad, Rawalpindi, Faisalabad, and Hyderabad. “We are covering six cattle markets alone in Karachi this Eidul Azha,” he added.