Pakistan’s cash in circulation rises by Rs1.31 trillion in a year as digital payment transactions expand and QR-enabled merchants more than triple.
ISLAMABAD: Currency in circulation in Pakistan increased by 12.32% year-on-year to Rs11.94 trillion at the end of fiscal year 2025-26, compared with Rs10.63 trillion a year earlier, according to data released by the State Bank of Pakistan (SBP).
The central bank reported that currency in circulation reached Rs11.94 trillion as of June 30, 2026, reflecting an increase of Rs1.31 trillion over the preceding fiscal year. The country’s population remained unchanged at 241.5 million, according to the data.
The figures show that cash remained a significant part of Pakistan’s monetary system even as the country’s digital payments infrastructure and usage continued to expand.
Digital Payment Infrastructure Expands
SBP data for FY26 shows growth in several parts of the country’s payment network. The number of bank and microfinance bank branches increased from 19,347 to 20,454, while branchless banking agents rose from 731,814 to 837,244.
The number of automated teller machines (ATMs) increased from 20,250 to 21,678. Cash deposit machines and combined cash-and-cheque deposit machines rose from 1,038 to 1,896.
Point-of-sale (POS) devices increased from 227,388 to 337,791, while merchants registered for e-commerce payments with banks grew from 9,584 to 23,356.
QR-enabled merchants recorded particularly strong growth, increasing from 1.09 million in FY25 to 3.84 million in FY26. POS merchants registered with banks also rose from 190,823 to 295,367.
The number of banks and microfinance banks listed in the payment infrastructure data increased from 42 to 43, while payment system operators and service providers, electronic money institutions and branchless banking service providers remained unchanged at six, six and 15, respectively.
Digital Banking Users Increase
The number of internet banking users grew from 14.9 million in FY25 to 17.5 million in FY26. Mobile banking users increased from 24.1 million to 30.4 million, while branchless banking mobile app users rose from 79.2 million to 99.1 million.
Electronic money institutions’ e-wallets increased from 5.8 million to 7.9 million, and payment cards rose from 59.7 million to 69.9 million. Call centre and interactive voice response banking users increased from 43.6 million to 46.1 million.
Digital Transactions Gain Momentum
The SBP’s payment systems data also showed substantial growth in transaction volumes.
Large-value transactions increased from 6.0 million in FY25 to 6.3 million in FY26, while their total value rose from Rs1,264.5 trillion to Rs1,565.8 trillion.
Retail payment transactions climbed from 9.07 billion to 14.30 billion, with their total value increasing from Rs611.6 trillion to Rs672.7 trillion.
Transactions through digital channels rose from 7.97 billion to 13.19 billion, while their value increased from Rs178.6 trillion to Rs257.1 trillion. Over-the-counter retail transactions remained broadly stable in volume, rising from 1.10 billion to 1.11 billion, but their value declined from Rs432.9 trillion to Rs415.7 trillion.
The figures highlight two parallel developments in Pakistan’s financial system during FY26: a continued rise in currency in circulation and a rapid expansion in digital payment activity.