KARACHI (APP) – The State Bank of Pakistan has asked commercial banks to deploy more ATMs nationwide, as currently available network of 9,000 machines lacks the strength to facilitate the growing population in future, said a Deputy Governor of the central bank, Riaz Riazuddin on Thursday.
“Density of ATMs is low in Pakistan and we need to increase it in future,” said Riazuddin. He was speaking at the 13th e-banking conference and exhibition organized by Total Communications and 1Link at a local hotel.
State bank in collaboration with stakeholders has been striving to strengthen the payment delivery channels through automation and digitalization.”
The alternate payment delivery channels like e-banking and branchless banking have emerged as supporting pillars of SBP’s vision for financial inclusions. “Creating digitally inclusive financial system will ensure reaching un-served and underserved population…,” said the deputy governor.
He said the recently issued regulations related to payment system operators and payment service providers has paved the way for new entrances pertaining to electronic payment gateway, payment scheme, clearing house, ATM switch, point of sales gateway, e-commece gateway and so on.
According to World Bank, Naveed Ali Baig of Innovative said, there are available mere 6.49 ATM machines for each 1,000 people in Pakistan as compared to 290 machines in South Korea for each 1,000 people, 173 machines in US, 42.4 machines in Indonesia, and 13.27 ATM machines are available for each 1,000 people in India.
Baig said banks have planned to deploy another 500-600 ATM machines in the ongoing year 2015.
Faisal Ejaz Khan, Chief Executive Officer at 1Link, said they would soon launch a mobile app – POS (point of sale) – that would enable debit cardholders to make payments through smart phones, which would work like debit machines.
“POS app would help swapping debit cards through smart phones…we are just waiting for approval from regulators {SBP}” he said, adding over seven million debit cards in Pakistan would automatically become POS cards.
He said 1Link would also launch “Direct Debit” app in the next three months. This would enable banks to directly debit payments from bank accounts for account holders utility bills, their monthly installments for cars and houses, school and university fees, and etc. The services would be activated on the request of account holders.
