SBP Allows Exchange Companies to Join Raast for Faster Home Remittances

The State Bank of Pakistan has allowed exchange companies to connect with Raast, the country’s instant digital payment system, enabling them to facilitate home remittances through a faster and safer channel.

Under the new arrangement, beneficiaries receiving remittances through exchange companies will be able to receive funds directly into bank accounts, microfinance bank accounts, or digital wallets maintained with electronic money institutions. The move is aimed at improving convenience for remitters and beneficiaries while supporting the shift towards a cashless economy.

Raast, launched by the SBP in 2021, is a state-of-the-art payment system designed to enable instant, low-cost, and interoperable digital payments across the financial system. The inclusion of exchange companies marks a significant expansion of the platform’s reach in the remittance ecosystem.

The central bank said the digital enablement of exchange companies through Raast is aligned with its Strategic Plan 2023 to 2028, which focuses on building an innovative, inclusive, and customer-centric digital financial services ecosystem. Strengthening digital payments infrastructure and facilitating secure cross-border transfers remain key priorities under this plan.

Over the past two years, the SBP has also undertaken a series of reforms to regulate exchange companies and curb the misuse of foreign exchange. These measures include enhanced transaction monitoring, tighter regulatory requirements, permission for commercial banks to set up exchange companies as subsidiaries, and the closure of firms that failed to comply with regulatory standards.

Officials said the latest step is expected to improve transparency, enhance consumer protection, and further formalise remittance flows into the banking and digital payments system.