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Khyber Pakhtunkhwa CM Approves Digital Payments Act, Sends Bill to Cabinet

Cabinet review now determines when enforcement could begin.

Overview

  • The Digital Payments Act 2025 would require QR code payments across government departments, businesses and service providers.
  • Businesses would be prohibited from adding surcharges to digital transactions, and refusing QR payments would constitute a violation.
  • Previously undocumented firms that register and accept QR payments would face no new direct sales tax assessments on those receipts for two years from commencement.
  • Officials frame the measure as a push for financial inclusion, reduced cash-based corruption, stronger revenue stability and data protection for consumers and businesses.
  • Implementation plans include public Wi‑Fi in markets, digital services in commercial zones and digital literacy in curricula, with the initiative positioning KP as Pakistan’s first comprehensive provincial model.