RECORDER REPORT

LAHORE: Around 50,000 digital accounts have been opened by the Non Resident Pakistanis (NRPs) under Roshan Digital Account (RDA) initiative so far, said State Bank of Pakistan’s (SBP) sources.

The SBP has reported that overall inward remittances into the popular account crossed $200M in December 2020.

An official of the central bank told the Business Recorder that the RDA has established considerable traction among NRPs for transfer remittance, investment and other financial needs as use by overseas Pakistanis as utilization continues to grow. It is an initiative launched in collaboration with leading commercial banks to discourage the insecure and informal system of fund transfer, hundi/hawala by offering innovative banking solutions for millions of NRPs seeking to undertake banking, payment and investment activities in Pakistan which will help promote economic activity inside the country, he added.

Meanwhile, a senior banker from MCB Bank, Umer Sheikh, Head of Products-Retail Banking Group, pointed out that this is the first time in the country’s history that NRPs are being provided an opportunity to remotely open an account in Pakistan through an entirely digital and online process without any need to visit a bank branch.

Furthermore, opening the account requires only a basic set of documents. In addition, the central bank has directed all partner banks to complete all necessary customers’ due diligence within 48 hours.

He highlighted that the SBP in close partnership with the commercial banking sector has built a strong platform to facilitate and ensure faster, cheaper, convenient and efficient remittances into the country. The initiative aims to simultaneously address two major objectives to boost the volume of inward remittances and reduce the use of informal channels. The latter is a particular focus for the SBP looking to integrate Pakistan better within the global economy.

He underlined that this digital account initiative allows NRPs to bank safely and efficiently in their homeland. Through this platform, Pakistanis around the globe can open and operate a digital account without having to visit Pakistan.