Karachi: State Bank of Pakistan (SBP) has signed memorandum of understanding with Arab Monetary Fund (AMF), working sub-organisation of Arab League to facilitate cross-border remittances between Arab region and Pakistan.

Joint press release from SBP and AMF said ceremony was hosted in Abu Dhabi to sign MoU to establish framework of cooperation between Buna, cross-border payment system operated by Arab Regional Payments Clearing and Settlement Organisation owned by AMF and Raast, Pakistan’s Instant Payment System.

Dr. Abdulrahman Bin Abdullah Al Hamidy Director General Chairman of Board of Arab Monetary Fund said collaboration with Raast underscored Buna’s commitment to continue connecting different regions together and reinforcing economic, financial and investment ties between Arab region and its main global partners.

“This resonates with shared vision of innovating cross-border payment solutions to offer safe and efficient cross-border instant payments access for individuals and corporates,” he said.

Jameel Ahmad Governor State Bank of Pakistan said MoU was significant strategic achievement that opened door to closer connection between Pakistan and Arab region. “This collaboration between SBP and AMF is in line with our vision to leverage cross border integrations to complement objective of building an innovative Digital Financial Services ecosystem.”

According to details, integration of Raast with Buna aims to facilitate cross-border remittances between Arab region and Pakistan through formal channels. “This initiative will benefit individuals as well as businesses not only through instant, safe and cost-effective cross border payments, but also by strengthening economic, financial and investment ties between Arab countries and Pakistan,” join-statement said. Pakistan’s remittances clock in at $ 2.2 billion in September, 5.5 percent higher on monthly basis

SBP ‘Raast’ Instant Payment System is an initiative built on international standard ISO 20022 and promises to be fast and secure payment option for customers.

Published in The Daily National Courier, November, 04 2023

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