Business Desk 
Feb 24, 2025
The State Bank of Pakistan (SBP) has issued criteria for businesses and banks to become a participant of Raast, SBP's instant payment system, to offer digital payments nationwide.
Launched in 2021, Raast enables secure, quick, and efficient fund transfers, providing services such as bulk payments, person-to-person (P2P) transfers, and person-to-merchant (P2M) payments.
The new system was introduced to enable instant payments "Pal Bhar Mein, Mulk Bhar Mein", meaning "across the country in an instant". To encourage the use of digital payments further, SBP has established distinct participation terms for institutions that are interested in becoming Raast participants.
It should be noted that these regulations aim to facilitate banks, fintech companies, government agencies, and private companies' integration into the system, enabling easier digital transactions that will become more available and secure for individuals and businesses across the country.
Eligible entities for Raast participation
SBP has outlined a wide range of entities that are eligible to apply for participation in Raast. These include:
- Banks and Microfinance Banks (MFBs)
- Non-bank financial institutions (NBFIs), including Financial Market Infrastructures (FMIs), regulated by SBP or SECP
- Federal and provincial governments, along with their agencies, departments, and autonomous bodies
- Public Sector Entities (PSEs)
- Corporates and other private sector organisations, including Small and Medium Enterprises (SMEs)
- Business platforms, payment aggregators, educational institutions, incubators, and Fintechs
- Entities that are under the licensing process with SBP, and have valid in-principle approval
Raast participant categories
Raast offers four categories for participation, providing flexibility depending on the type of service and business:
- Direct Settlement Participants (DSPs)
- Direct Non-Settlement Participants (DNSPs)
- Payment Initiation Service Providers (PISPs)
- Indirect Participants (IPs)
How to become Raast participant to provide digital payments?
To become a Raast participant, interested entities must follow a specific onboarding process. This includes:
- Filing an application with SBP at [email protected] for DSPs, DNSPs, and PISPs.
- For IPs, contact Relationship Entities (REs), i.e., DSPs or DNSPs of Raast.
- Signing the Non-Disclosure Agreement (NDA) and obtaining Integration Specifications from SBP.
- Signing the Participant Agreement within 10 working days upon examining the specifications.
- Filing a detailed integration project plan and technical integration.
- Upon successful integration, pilot operations will begin, and once successful, the participant can go live on Raast.
SBP will closely monitor each participant's progress and has the right to end the onboarding process if the progress is not satisfactory.
Moreover, SBP believes that these new participation standards will greatly increase the number of Raast participants, encourage competition, and further growth of digital payments in Pakistan.
