Islamabad, 0ctober 24, 2023 :The Chinese operator backed by Zong, CMPECC has withdrawn its license of Electronic Monetary Institution (EMI) after the operator carried out its operations for more than one year under the brand of Paymax.
The operator was awarded commercial license in March 2022 which launched the service of e-money wallets for merchants and consumers.
In 2023, two operators – a UK-based Checkout Limited and Careem Pay—also withdrew their license (in-principle approval). These operators are globally renowned but revoked their plans to launch their services in Pakistan. Similarly, Finja also sold out its division of e-money wallet to Opay.
The State Bank of Pakistan (SBP) has advised M/s CMPECC (Pvt) Ltd, currently in ‘Commercial stage’ under Regulations for Electronic Money Institutions (EMIs), to refund all outstanding funds to its e-money wallet holders immediately but not later than 15 days of the issuance of the aforementioned letter
It is pertinent to mention that the liability of returning customers’ funds rests with M/s CMPECC under Regulations for EMIs.
This action has been taken after receipt of M/s CMPECC’s request for closure of its e-money business and request for withdrawal of e-money license under the Regulations for EMIs. It may be noted that EMI licenses are issued by SBP to non-bank entities in three stages i.e. In-Principle Approval, Pilot Operations Approval and Commercial Operations Approval.
Further, instructions on revocation of license of M/s CMPECC, under Regulations for EMIs would be issued separately by the SBP, the SBP’s circular stated.
