Karachi, November 03, 2023: The Arab Monetary Fund (AMF) and the State Bank of Pakistan (SBP) signed a memorandum of understanding (MOU) to facilitate cross-border remittances between the Arab region and Pakistan.
According to a statement, the MoU is signed to establish a framework of cooperation between Buna, the cross-border payment system operated by Arab Regional Payments Clearing and Settlement Organization “ARPCSO”, owned by AMF, and Raast, Pakistan’s Instant Payment System.
Director General Chairman of the Board of The Arab Monetary Fund (AMF) and Chairman of the Board of ARPCSO, said, “This strategic collaboration with Raast underscores Buna’s commitment to continue connecting different regions together and reinforcing economic, financial, and investment ties between the Arab region and its main global partners. This resonates with the shared vision of innovating cross-border payment solutions to offer safe and efficient cross-border instant payments access for individuals and corporates”.
He added “We also aim to increase cross-border remittances by reducing costs and processing times, this initiative confirms the global character of Buna which adheres to the highest compliance standards to connect the Arab region with its main global partners in line with the vision of its founders, their Excellencies in the Council of Central Bank Governors. At this occasion, we would like to thank the Governor of the State Bank of Pakistan and his colleagues for their instrumental support to this initiative.”
Speaking at this occasion, H.E Mr. Jameel Ahmad, Governor of the State Bank of Pakistan said, “This MoU is a significant strategic achievement that opens the door to closer connection between Pakistan and the Arab region. This collaboration between SBP and AMF is in line with our vision to leverage cross border integrations to complement the objective of building an innovative Digital Financial Services ecosystem.”
He said, “The integration of the two payment systems will increase remittances to Pakistan through formal channels, with enhanced speed, safety, and savings in these cross-border transactions. With over 5 million Pakistanis residing in the Arab region and around 55 percent of Pakistan’s total remittances received from Arab countries, SBP is committed to complete the necessary work and operationalize the connectivity between Raast and Buna in the shortest possible time.”