In order to foster innovation in the payments industry and promote financial inclusion through digital financial services in the country, SBP, vide its PSD Circular No. 01 of 2019, issued Regulations for Electronic Money Institutions (EMIs) (Regulations).

2. Since issuance of these Regulations, SBP has received an encouraging response from the market participants and a number of entities have been licensed to provide electronic money (e-money) services in the market. SBP’s Regulations for EMIs have also received positive response and acceptance from the foreign investors and the institutions alike.

3. Further, in order to increase the uptake of e-money services, encourage the new as well as already established EMIs to come up with new business models, use cases and technological solutions, SBP has revised the Regulations for EMIs in light of the indigenous experiences and international best practices.

4. These Regulations shall come into force with immediate effect. However, the existing EMIs providing e-money services are advised to streamline their existing operations/processes, where applicable as per the revised Regulations, and submit compliance report of the same to SBP latest by September 30, 2023.

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Enclosure: Regulations for Electronic Money Institutions