ISLAMABAD: The State Bank of Pakistan (SBP) and Controller General of Accounts Pakistan (CGAP) agreed on Monday to digitise the federal government payments via Raast.
An SBP press release in this regard said that the bank has signed a memorandum of understanding (MoU) with CGAP on the issue.
“After the pilot run, the facility will be rolled out to cover all the salaries, pension as well as supplier payments of the federal and provincial governments,” the press release added.
According to details, the payroll and pension-roll data will be shared from the CGA system to SBP’s Raast through a highly secured interface, and payments to the beneficiaries’ accounts will be made instantly after validating the beneficiaries’ detail. To ensure that payments are only credited in the intended beneficiary’s account, the digital payment system will verify the beneficiaries’ details with their banks in real-time before crediting the payment in the beneficiary’s account.
The central bank said that it is also working to use the powerful capacities of Raast to include payments of social security nets such as the Ehsaas Programme, the Benazir Income Support Programme (BISP) and other government entities.
Raast is Pakistan’s first instant payment system that will enable end-to-end digital payments among individuals, businesses, and government entities instantaneously. The system can also make payments to multiple beneficiaries at a time in order to cater to high volume government payments like salaries, pension and social security payments.