The State Bank of Pakistan (SBP) has introduced a nationwide regulatory framework allowing teenagers to independently open and operate bank accounts and digital wallets.
The initiative aims to integrate young Pakistanis into the formal financial system at an early age by enabling secure savings, independent transactions, and responsible money management under a regulated environment.
Despite a steady rise in banking access among adults, teenagers in Pakistan have traditionally remained dependent on parent-controlled or joint accounts. The new framework addresses this gap by granting operational control to individuals aged 13 to 18 years, a population estimated at around 26 million.
By allowing early participation in financial services, the central bank seeks to cultivate financial literacy, promote savings culture, and prepare youth for participation in the evolving digital economy.
The move is part of SBP’s Strategic Plan 2023–28 and the National Financial Inclusion Strategy 2024–28, both of which prioritize youth onboarding into formal banking channels.
Under the framework:
The initiative operates within SBP’s Prudential Regulations, which establish safeguards to ensure safety, transparency, and sound banking practices across the financial system.
These regulations require banks to implement strict customer verification and Know Your Customer (KYC) procedures, continuous monitoring of accounts, and robust internal compliance mechanisms to prevent misuse of banking channels.
They are designed to protect account holders while maintaining financial stability and consumer confidence.
Banks must verify customer identity, maintain updated records, and monitor transactions regularly as part of ongoing due diligence requirements applicable to all accounts, including those opened by minors under supervised frameworks.
Prudential Regulations also mandate governance standards, risk management systems, and consumer protection mechanisms to ensure banking services remain secure and responsibly managed.
SBP views youth financial empowerment as essential for long-term economic growth. Early exposure to formal finance is expected to improve financial awareness, strengthen digital payment adoption, and encourage responsible economic participation among young bankers.