Interbank fund transfers (IBFT) in Pakistan historically carried transaction fees and required entering cumbersome 24-character International Bank Account Numbers (IBANs). To build a modern, inclusive digital financial infrastructure, the State Bank of Pakistan (SBP) launched Raast—Pakistan’s first instant retail payment system.
Operating on international ISO 20022 messaging standards, Raast enables real-time, end-to-end payment settlement between commercial banks, microfinance banks, and electronic money institutions (EMIs). It allows users to use their registered mobile number as a universal digital payment address, backed by zero transaction fees mandated by central bank regulation.
Below is a complete breakdown of Raast’s operational modules, step-by-step account linking, transaction limits, and its core differences from legacy 1Link transfers.
Key Features and Regulatory Highlights
| Dimension | SBP Raast Instant Payment System | Legacy 1Link Interbank Fund Transfer (IBFT) |
| Transaction Fees | PKR 0 (100% Free / Permanently Waived) | Typically PKR 0 up to PKR 25k/month; ~PKR 10 to PKR 100+ thereafter |
| Settlement Model | Instant Real-Time Gross Settlement (RTGS) | Deferred net settlement / interbank switch |
| Payment Identifier | Mobile Number (Raast ID) or Full IBAN | Full 24-digit IBAN or Account Number |
| Operating Standards | ISO 20022 financial messaging format | Proprietary switch protocol / ISO 8583 |
| Availability | 24/7/365 (including gazetted & banking holidays) | 24/7/365 |
| Supported Entities | All scheduled commercial banks, Islamic banks, EMIs, microfinance institutions | Participating 1Link member institutions |
The Raast Payment Ecosystem: P2P, P2M, and Request-to-Pay
Raast is rolled out in distinct functional modules:
[Person-to-Person (P2P)] ──> Send money instantly using just the recipient's mobile number
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[Person-to-Merchant (P2M)] ──> Instant Dynamic QR code scanning at retail checkouts with zero surcharge
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[Request-to-Pay (RTP)] ──> Billers/businesses trigger a direct digital payment approval request
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[Bulk Direct Credits] ──> Instant automated payroll, pension, and dividend payouts by corporations
- Person-to-Person (P2P) Engine: Enables individuals to move money between accounts using either a 24-character IBAN or an alias Raast ID (registered mobile phone number).
- Person-to-Merchant (P2M): A standardized, national interoperable QR-code system. Small retail merchants, grocery stores, and fuel stations can display a single Raast QR code that accepts payments from any banking app or mobile wallet in Pakistan without needing separate POS hardware.
- Request-to-Pay (RTP): Allows businesses, utility companies, or individuals to send an authenticated digital payment request directly to your mobile app, where you approve the debit with biometric authentication.
- Bulk Payments (G2P & B2P): Utilized by federal/provincial governments and corporations to disburse pensions, BISP welfare subsidies, corporate salaries, and stock dividends instantly to thousands of recipients simultaneously.
How to Link Your Mobile Number to Your Bank Account (Create a Raast ID)
Linking your mobile number to a specific bank account is straightforward and takes less than two minutes inside your banking or wallet app (e.g., Meezan, HBL, Bank Alfalah, Easypaisa, Nayapay, Sadapay):
- Open Your Banking App: Navigate to the menu and select “Raast Management” or “Raast ID”.
- Select Account / IBAN: Choose the designated checking or savings account you want linked to your phone number.
- Link Mobile Number: The system detects your SIM card number registered with the bank. Confirm the binding request.
- OTP Verification: Enter the One-Time Password (OTP) sent to your registered mobile number.
- Instant Activation: Your mobile number is immediately registered on the central SBP directory as your Raast ID. Anyone can now send you funds by entering your mobile number instead of an IBAN.
The “One Number, One Account” Rule
- Single Active Linkage: A mobile phone number can be mapped as a Raast ID to only one bank account at a time.
- Switching Accounts (De-linking): If your mobile number is currently linked to an HBL account and you want it redirected to your Meezan Bank account, open your Meezan app and select “Register Raast ID.” The system will prompt you to confirm de-linking from HBL and re-register the alias to Meezan Bank.
- IBAN-to-IBAN Transfers Still Work: Even if your mobile number is mapped to Bank A, people can still send money to your Bank B account via the Raast rail by entering Bank B’s full 24-digit IBAN.
Transaction Limits Under SBP Guidelines
Under State Bank directives designed to encourage digital adoption, baseline Raast limits are structured to serve everyday consumer and commercial needs:
- Standard Default Limit: By default, retail banking apps provide a daily transfer ceiling of PKR 200,000 to PKR 500,000 per day for P2P transfers.
- Extended Limits via Biometrics: Customers who complete in-app biometric verification can increase their daily Raast transfer limits up to PKR 1,000,000 or higher, depending on the individual bank’s risk tiering.
- Zero Transaction Count Restrictions: There is no restriction on the daily count of incoming or outgoing transactions, provided they stay within aggregate daily rupee limits.
Zero-Fee Mandate: Why Raast Remains 100% Free
Under SBP operational guidelines, commercial banks, microfinance institutions, and EMIs are strictly prohibited from levying any transaction fee, service charge, or interbank convenience surcharge on transactions routed through the Raast rail.
While traditional 1Link transfers may apply nominal charges once monthly thresholds are crossed, Raast transfers remain entirely free of processing fees and Federal Excise Duty (FED).
Troubleshooting Common Raast Errors
- “Beneficiary Raast ID Not Found”: The recipient has not registered their mobile number inside their bank app. You must send funds using their standard 24-character IBAN via the Raast option instead.
- Name Mismatch During Verification: Raast fetches the recipient’s title directly from NADRA/core banking records before you enter your PIN. Always verify the fetched title on your screen before confirming the transfer.
- Failed Settlement / Reversals: Because Raast operates on real-time gross settlement, timeouts are rare. In cases of a network drop, SBP rules mandate automated reversal or credit to the beneficiary account within 2 hours.