In an effort to boost digital banking, the State Bank of Pakistan (SBP) has decided to remove all transactional limits on its online payment app Raast.
According to an SBP circular, the latest central bank measure to help Raast users will go into effect on April 1.
However, it stated that financial institutions are free to set their own maximum transaction limits based on their assessment of their customers’ risk profiles, as long as the limit does not fall below Rs.200,000/- per transaction.
“However, banks/MFBs/EMIs may set Raast transaction limits for their customers in their system based on their risk profile in compliance with the relevant AML/CFT requirements,” the SBP stated.
“Customer transaction range for Raast payments shall not be less than Rs.200,000/- per transaction or the transaction limits applicable as per the account type and mentioned by SBP from time to time,” according to previous rules.
The central bank also stated that the aggregate customer limit assigned to Raast payments should not be less than their IBFT limit, and that available transaction limits should be displayed in their mobile apps or internet banking portals.
The SBP directed banks to ensure that all technical and operational arrangements for implementing new rules were in place by March 21.
Raast is designed to provide customers with a digital payment system that is instant, dependable, and free of charge.
The SBP announced last month the implementation of Raast’s Person-to-Person (P2P) payment services with the goal of promoting digital financial services and financial inclusion.
Customers can use their International Bank Account Number (IBAN) or Raast ID to send and receive funds via P2P payment services. Customers will initially be able to receive funds by using their registered mobile numbers as their Raast ID and linking them to any of their bank accounts.