Official figures show that the number of mobile banking app users rose from 95 million to 137 million in a year. Meanwhile, the number of active merchants accepting QR code payments increased by 300 per cent.
The expansion of digital payments has been supported by mobile banking applications and Raast, a government-backed instant payment system that allows users to transfer money and make payments between participating banks and digital wallets without additional transaction fees.
But the growth of digital payments has not reduced Pakistan’s reliance on cash.
According to the Pakistan Economic Survey 2025-26, currency in circulation increased from Rs1,108 billion last year to Rs1,294 billion this year.
The figures highlight a contrast in Pakistan’s changing payment habits: more people are using digital services, but demand for physical money is also rising.
Experts say many Pakistanis continue to consider cash more convenient and reliable for everyday purchases. While digital payment options are becoming more widely available, cash remains a preferred way to pay for many routine transactions.
The trend suggests that the shift towards a digital economy is not necessarily replacing cash. Instead, digital payments and physical money are continuing to coexist as people choose different methods depending on their needs and circumstances.
