Meeting discusses transition to cashless economy

Business Recorder reported that Atif Ikram Sheikh, president of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), welcomed a Tuesday roundtable his body hosted at its Karachi head office on moving toward a cashless economy. The meeting drew business representatives alongside officials from the State Bank of Pakistan (SBP), the Federal Board of Revenue (FBR) and the Sindh Revenue Board (SRB). Its core aim was to design coordinated incentives for digital payments, such as possible tax breaks, cashbacks and discounts.

Participants discussed how such measures could push more transactions onto the books, strengthen tax compliance and widen the formal economy. Sheikh called going cashless a pressing need for growth, arguing it brings openness, cuts business costs and links the country to global markets. Speaking for the central bank, Ghulam Muhammad Phul of the Financial Inclusion Support Department said the SBP backs secure digital payment infrastructure and affordable FinTech offerings.

Officials from the tax authorities also weighed in. Zafar Rafique of the FBR said the board is looking into tax perks for digital payments that would reward businesses keeping formal records, while Sajjad Akbar said the FBR will take on board the feedback gathered through FPCCI. Sindh Revenue Board's Abdul Hameed Memon noted that the province already offers lower sales tax on digital restaurant payments, 8 percent against 15 percent for cash.