The federal government has announced plans to turn Islamabad into Pakistan’s first fully cashless city, setting November 30 as the deadline for ending cash payments across all departments of the Islamabad Capital Territory (ICT) administration and the Capital Development Authority (CDA).
The decision was taken during a meeting chaired by Minister of State for Interior Talal Chaudhry, where officials reviewed progress on the Cashless Islamabad initiative.
The meeting was attended by the CDA chairman, banking sector representatives and other concerned officials.
Talal Chaudhry said the government was speeding up work on the project in line with the directions of Prime Minister Shehbaz Sharif and Interior Minister Mohsin Naqvi.
He stressed the importance of involving all stakeholders and considering their recommendations to ensure the smooth implementation of the initiative.
Under the new plan, all ICT and CDA departments will stop accepting cash payments after November 30. The government has also set December 31, 2026, as the deadline for bringing all merchants in Islamabad into the digital payment system.
Chaudhry said the move would help improve financial transparency, strengthen tax monitoring and make financial transactions more efficient.
He further revealed that around 26,000 merchants in Islamabad have already become part of the digital payment network. The government plans to expand the system to businesses of every size, including roadside vendors, hawkers and large commercial centres.
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Banking sector representatives assured the government of their support in expanding digital payment services and making the cashless initiative successful across the capital.
Raast QR Payments to Support Islamabad’s Cashless Plan
Digital payment services, particularly the State Bank of Pakistan’s Raast QR system, are expected to play a major role in the transition. The system allows customers to make instant payments by scanning QR codes.
Several public services and facilities in Islamabad have already adopted cashless payments. These include weekly bazaars, the CDA’s One-Window Facilitation Centre, Metro Bus services and electric buses.
Authorities are also working to introduce QR-code payment facilities at shopping malls, markets, hotels, petrol pumps and restaurants.
The move is part of the wider Cashless Pakistan initiative, which aims to increase the use of digital payments across the country.
According to the Finance Division, the number of active merchants accepting digital payments nationwide has increased from 500,000 to 2.03 million. Digital transaction volumes have also doubled over the past year.