As per the central bank, three finetechs are entering Pakistan’s financial market to capitalize on the developing financial sector of the country.
State Bank of Pakistan (SBP) quarterly report stated that the three companies entering Pakistan are FonePay, Monet, and TPL Rupya. By their entry, we can expect an increase in the business-to-consumer e-Commerce (e-B2C). SBP report stated that increase in incomes along with growth in communication technology and spread of internet access with expansion in branchless banking has ensured that the sector moves ahead.
The recent and new financial technology will allow users to conduct online transactions with anyone who has a mobile wallet account
According to a global management consulting firm, McKinsey & Company Fintech will introduce 4 million jobs, increase bank accounts to 93 million, add $36 billion to the gross national product (GNP) per year and raise 7 billion to Pakistan government’s net revenue by 2025.
National Technology Fund Ignite CEO Yusuf Hussain said, “Bank accounts seem to be on track as there are 7 million today. This includes 1.8 million traditional accounts, accumulated over 50 years, and 5.2 million mobile/branchless accounts accumulated in around one-tenth of that time.”
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The reason for this is that worldwide the normal bank accounts increase in proportion to the GNP but the mobile accounts can increase exponentially. As per the McKinsey forecast, the State Bank should have the target set to have 50 million accounts till 2020. SBP said that transactions almost worth Rs20.7 billion were carried out by users in the global e-commerce website.
It clearly means that people are ready to adopt the latest technology that can bring ease in terms of financial transactions and online payments. Entry of new companies will boost Pakistan economically and technologically. Thus making life simpler and advanced for the people of Pakistan. Other than this in auto sector of Pakistan, international companies are willing to invest and bring diversity to the market.