Mashreq Bank Pakistan has secured a restricted licence to operate a digital retail bank. The approval, granted by the State Bank of Pakistan (SBP), allows the bank to conduct pilot operations before a full-scale launch. This move is expected to enhance digital banking through artificial intelligence (AI) and cloud computing.
Mashreq Bank: Advancing Digital Banking in Pakistan
With this licence, Mashreq Bank Pakistan will offer personalized banking services powered by AI. As the financial landscape evolves, digital banking is becoming essential for providing seamless and efficient services. The central bank introduced a regulatory framework in 2022 to facilitate fully digital banks. Since then, five institutions have received no-objection certificates to move forward.
In recent years, fintech startups and traditional banks have focused on expanding digital financial services. Therefore, Mashreq’s entry into Pakistan’s market aligns with the country’s vision for financial modernization. By leveraging advanced technology, the bank aims to improve customer experience and accessibility.
Bridging the Financial Gap
Pakistan has the world’s third-largest unbanked population, with 100 million adults lacking a bank account. Moreover, 82% of women remain without access to financial services. Consequently, digital banks are expected to play a crucial role in closing this gap.
For this reason, the SBP sees digital banking as a means to provide affordable and convenient financial services. As a result, underserved communities will have better access to secure and efficient banking solutions. Given the rapid growth of Pakistan’s digital economy, the demand for online financial services is increasing.
Mashreq’s Commitment to Innovation
In January 2023, Mashreq obtained a digital banking licence under Pakistan’s regulatory framework. Since then, it has been working towards establishing its presence in the country. Now, with its latest approval, the bank is set to play a key role in financial transformation.
Going forward, Mashreq Bank Pakistan will focus on security, innovation, and accessibility. By doing so, it aims to redefine digital banking while supporting Pakistan’s financial inclusion goals. Ultimately, this initiative will ensure a wider audience benefits from modern financial solutions.
