PayPak explained

PayPak
Logo Alt:PayPak
Markets:Pakistan

PayPak (Urdu: {{Nastaliq|پے پاک) is a Pakistani domestic financial services and payment service launched by 1Link under the State Bank of Pakistan Vision 2020. Currently, 35 of the country's banks have adopted it.[1] The reason to launch this domestic payment scheme was to save inter-change costs of International Payment Schemes. PayPak cards can only be used on ATMs & POS Terminals throughout Pakistan and enabled for online transactions.[2]

The new payment scheme aims to compete in the domestic market with other international payment schemes like Visa, MasterCard & UnionPay.[3]

Technology and license

PayPak uses the Gemalto's product PURE.[4] PURE is an off-the-shelf payment application from Gemalto that is fully compliant with the EMV™ standard. It is designed for dommes and private payment card associations looking for chip-based security and fast time to market. PURE is also a scheme-agnostic EMV application that private-label card issuers and national payment associations can use without the need to enter into a business agreement with another payment scheme.

Market share

The uptake of the payment scheme has been slow.[5], more than 4 million PayPak cards have been issued – representing 3.5% of the 41.9 million payment cards issued in the country.[6]

PayPak has over 25% of market share in terms of volume of cards in the market.[7]

While Visa has 40%, Mastercard and UnionPay have 25% each of market share.

See also

External links

Notes and References

  1. Web site: First domestic payment scheme launched. 2016-04-06. Dawn. en. 2019-04-28.
  2. Web site: Tech talk: A local startup bets the bank on electronic payments. Khan. Mutaher. 2019-04-21. Dawn. en. 2019-04-28.
  3. Web site: Pakistan's First Domestic Payment Scheme PayPak Launched. ProPakistani. en-US. 2019-04-28.
  4. Web site: 1LINK selects Gemalto PURE white-label EMV technology for PayPak. 2018-01-29. Daily Times. en-US. 2019-04-28.
  5. Web site: SBP asks banks to accelerate adoption of PayPak cards. 2017-12-08. The Nation. en. 2019-04-28.
  6. Web site: Payment Systems Review – Quarter 1 FY19. State Bank of Pakistan.
  7. Web site: 2021-01-24. SBP wants the cheap PayPak to be the default debit card; the banks don't. 2021-02-19. Profit by Pakistan Today. en-US.