Unverified Mobile Wallets and Digital Bank Accounts to Be Blocked Nationwide

Millions of Pakistanis are set to lose access to their mobile wallets and digital bank accounts starting October 25, 2025, as the State Bank of Pakistan’s (SBP) new biometric verification regulations come into effect. The updated rules, introduced in July under BPRD Circular No. 1 of 2025, make biometric verification the primary and mandatory method for customer identification across all financial institutions.

These regulations apply to banks, digital banks, microfinance institutions, development finance institutions (DFIs), and electronic money institutions. The move is part of SBP’s broader effort to enhance transparency in financial operations, strengthen anti-money laundering (AML) measures, and improve counter-terrorism financing (CTF) controls across Pakistan’s banking ecosystem.

Under the previous framework, customers had a 60-day grace period to complete biometric verification before their debit transactions were blocked. However, the new rules remove that cushion — meaning users who have not completed verification by October 25 may face immediate service interruptions. These disruptions could include the inability to send or receive funds through digital wallets, mobile banking apps, or online accounts. Experts estimate that tens of millions of accounts could be impacted nationwide, including foreign currency and Roshan Digital Accounts (RDAs).

The SBP’s Consolidated Customer Onboarding Framework introduces a standardized process for both in-branch and remote account openings, ensuring consistent customer due diligence across all financial channels. The framework covers both individual and corporate accounts, as well as those denominated in local or foreign currency, to ensure a uniform approach to verification and monitoring.

Financial institutions were given a three-month compliance period to integrate biometric verification systems and update customer databases. The SBP has not issued any notification regarding an extension to this deadline, emphasizing the urgency of completing the process.

Industry experts view the move as a significant step toward enhancing the security and credibility of Pakistan’s digital finance sector. However, they also warn that without sufficient public awareness and accessible biometric facilities, millions of users — particularly in rural and remote areas — may face temporary exclusion from the formal banking system until they complete the verification process.