Journal of Academic Research for Humanities (JARH) is a double-blind, peer-reviewed, Open Free Access, online Multidisciplinary Research Journal
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Vol. 5 No. 4 (2025)
The International "Journal of Academic Research for Humanities"

Research Articles

Digitalization in Pakistan Economy: A Review of the Transformation of the Banking Sector

Published 25-10-2025

  • Syed Suhaib Uddin Ahmed
    • ,
  • Nighat Moin
    • ,
  • Rabia Ahmed

Syed Suhaib Uddin Ahmed
Student-Bahria Business School-Bahria University-Karachi Campus. Pakistan.

Nighat Moin
Faculty-Management Studies Department- Bahria University-Karachi Campus, Pakistan

Rabia Ahmed
Department of Business and Law University of Northampton Waterside Campus, Northampton, United Kingdom

Abstract

This Paper showcases a narrative review of the digitalization of the Pakistan Banking Sector. The Banking sector is considered to be the main driver of the country's digital economy. Drawing on recent data from the State Bank of Pakistan (SBP), policy documents, and scholarly research, the study explores how digitalization is reshaping financial intermediation, customer behaviour, and operational efficiency. The paper identifies both opportunities and challenges associated with this transformation, ranging from financial inclusion and innovation to cybersecurity and regulatory preparedness. By situating Pakistan’s experience within global and regional trends, this study contributes to the understanding of how developing economies can leverage digital technologies for sustainable financial growth. The findings underscore that while digitalization enhances accessibility and service efficiency, its success depends on coherent policy frameworks, robust technological infrastructure, and consumer trust mechanisms. The study concludes with actionable recommendations for policymakers, regulators, and financial institutions to strengthen Pakistan’s digital banking ecosystem.

Keywords

Digital Banking, , FinTech, , Financial Inclusion, , Pakistan Economy

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