The State Bank of Pakistan (SBP) governor has officially launched a co-branded debit card issued by Habib Bank Limited (HBL) in partnership with UnionPay and the national switch operator PayPak.
The move is designed to accelerate the adoption of digital payments across Pakistan, with the central bank urging broader industry collaboration to strengthen the domestic payments network.
The launch underscores a strategic shift toward formalizing cashless transactions through local infrastructure rather than relying solely on international card schemes.
By leveraging PayPak, the national switch, the SBP aims to reduce transaction costs and increase the velocity of domestic digital commerce.
This development follows recent efforts by Mastercard and The Bank of Punjab to expand their strategic partnership for digital transformation, indicating a coordinated push by both global and local players to capture market share in Pakistan's evolving fintech landscape.
For investors, the initiative highlights the growing importance of payment infrastructure providers and banks with strong digital capabilities in emerging markets.