KARACHI: Amid growing concerns over Pakistan’s cash-dominated economy, bankers at a recent summit in Karachi called for a comprehensive digital policy to complement fiscal and monetary policies, paving the way for a more inclusive financial system.

While Pakistan’s banking sector remains highly profitable due to heavy investments in government securities, speakers at the summit emphasised the urgent need to connect the financial system with society. They argued that a large portion of Pakistan’s population remains excluded from banking services, limiting economic growth.

Speakers noted that the speedy digitisation of payment systems is essential for financial inclusion, yet digital payments account for only 20 per cent of transactions in Pakistan.

Naveed Sultan, a professor at Imperial College Business School, stressed that a new financial system was critical for economic development. He pointed to successful models in China, India, Malaysia and the UAE, stressing that 8pc of the global population controls 76pc of the world’s wealth — a disparity that could be addressed through large-scale financial inclusion.

Call for comprehensive digital policy to complement fiscal, monetary........

© Dawn Business