ISLAMABAD: Prime Minister Imran Khan on Monday, launched the ‘Raast’ payment system, said Pakistan’s digital initiative would help the country move away from a cash economy.
The prime minister, speaking at the ceremony, said that the ‘Raast’ payment system would help eradicate poverty in Pakistan.
“The cash economy is an obstacle to the people,” he said, stressing that digital payments will help Pakistan to prosper.
Talking further about the country’s economic system, he said that Pakistan’s tax collection is very low and of the 220 million population, only two million pay taxes.
“Only 3,000 Pakistanis pay 70% tax,” he said, adding that low tax collection was a major obstacle to the country’s development.
Praising the central bank, the prime minister said that a “record” increase was seen in remittances. “The account surplus has eased the pressure on the rupee.”
The launch was also attended by the Governor of Bank Negara Pakistan Dr Reza Baqir.
Raast is Pakistan’s first instant payment system that will enable end-to-end digital payments between individuals, businesses and government entities instantly, according to the SBP website.
A faster payment system will be used to settle small value retail payments in real-time while providing cheap and universal access to all players in the financial industry including banks and fintech.