Visa plans to increase digital payments in Pakistan through a strategic partnership with 1Link, the country’s largest payment service provider. With a large unbanked population, Visa aims to make digital payments more accessible and cost-effective. Currently, Pakistan has over 120,000 point of sale machines, and Visa intends to significantly increase this number by tenfolding businesses’ acceptance of digital transactions. The strategy involves technology that transforms phones into payment instruments and accepting various forms of payment to expand digital payments beyond large cities and mainstream businesses to include smaller merchants. The goal is to make digital payments more widespread and convenient for all.
The partnership with 1Link also aims to streamline remittances into Pakistan, a key source of foreign exchange for the country. Pakistan relies heavily on funds from overseas Pakistanis, and improving the process for sending and receiving remittances will enhance payments security and boost such transactions via legal channels. By enabling 1Link’s PayPak cards to be accepted on Visa’s Cybersource Platform for online transactions, the partnership opens up new opportunities for digital payments in the country. This collaboration will be a game-changer for consumers in Pakistan, providing them with more options and security in their digital transactions.
With Pakistan signing a $7 billion bailout deal with the International Monetary Fund in July, the country is focusing on reforms such as raising revenue and documenting the economy. Digital payments are set to play a vital role in these reforms, and Visa is committed to partnering with the government to drive digitization in the country. By investing in digital payment infrastructure, Visa aims to make digital payments more accessible and cost-effective for the population. The goal is to increase the number of businesses accepting digital payments by providing technology solutions that cater to a wide range of merchants.
As one of the top remittance recipients globally, Pakistan’s economy greatly depends on funds from overseas Pakistanis. Enhancing the process for sending and receiving remittances will not only boost payments security but also increase transactions through legal channels. The strategic partnership between Visa and 1Link aims to improve the overall digital payments ecosystem in Pakistan and offer more options for consumers and businesses alike. By expanding beyond large cities and mainstream businesses to include smaller merchants, Visa is working towards making digital payments a common practice across the country.Overall, the increase in digital payments in Pakistan will provide benefits such as greater financial inclusion, more convenient payment methods, and enhanced security for consumers and businesses alike. With the support of strategic partnerships and investments in the digital payment infrastructure, Visa is set to revolutionize the way transactions are conducted in Pakistan. By aiming to increase the acceptance of digital payments across businesses and geographic locations, Visa is paving the way for a more efficient and secure payment ecosystem in the country.
