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SBP Strengthens Digital Financial Landscape with New EMI License

PSO SBP

KARACHI, November 20 2024: The State Bank of Pakistan (SBP) has granted a license to M/s. E-Processing Systems Private Limited (EPSPL), enabling it to commence commercial operations as an Electronic Money Institution (EMI). This development marks a significant milestone in Pakistan’s ongoing digital transformation, bolstering the country’s financial inclusion and digital payments ecosystem.

Revolutionizing Digital Transactions

Under this license, EPSPL will provide e-money wallets to a diverse audience, including consumers, merchants, and agents. These wallets aim to simplify and secure financial transactions, supporting the SBP’s vision of a tech-driven, cashless economy.

With the addition of EPSPL, the number of operational EMIs in Pakistan rises to five, joining the ranks of:

  1. NayaPay Private Limited
  2. Finja Private Limited
  3. SadaPay Private Limited
  4. Akhtar Fuiou Technologies Private Limited
  5. E-Processing Systems Private Limited

Emerging Players and Expanding Ecosystem

In addition to the five operational EMIs, M/s. Wemsol Private Limited and M/s. HubPay Private Limited are conducting pilot operations. Furthermore, three more EMIs—M/s. YAP Pakistan Private Limited, M/s. Cerisma Private Limited, and M/s. Toko Lab Private Limited—have received in-principle approvals and are gearing up for pilot operations by developing their organizational and technological frameworks.

Strategic Implications for Pakistan’s Economy

This expansion of the EMI landscape is pivotal for multiple reasons:

  • Enhanced Financial Inclusion: More EMIs mean greater access to financial tools for unbanked and underserved populations.
  • Safer Digital Payments: E-money wallets ensure secure and transparent transactions, reducing reliance on cash.
  • Economic Modernization: A robust EMI sector accelerates Pakistan’s shift toward a formal, tech-driven economy.
  • Encouraging Innovation: Licensing new EMIs fosters competition, driving innovation in digital financial services.

SBP’s Commitment to Digital Transformation

The SBP’s strategy to enable EMIs underscores its dedication to building a future-ready financial system. By licensing new players like EPSPL, it is not only creating opportunities for tech entrepreneurs but also ensuring a competitive ecosystem that benefits end-users.

The Road Ahead

The SBP’s progressive policies and regulatory framework are positioning Pakistan as a leader in the region’s digital payments landscape. With EPSPL’s entry, consumers and businesses can look forward to a seamless and efficient digital payment experience. Moreover, the expanding EMI ecosystem signals a promising era of financial inclusion and economic growth, paving the way for a cashless and digitally empowered Pakistan.

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