A major turning point in Pakistan’s digital banking industry has been reached with the strategic interoperability cooperation between U Microfinance Bank (U Bank) and Raqami Islamic Digital Retail Bank Ltd. (RIDBL). This relationship allows RIDBL users to access branch banking services through U Bank.
Through this creative partnership, U Bank will provide RIDBL with smooth physical Cash In/Cash Out (CICO) transaction services and other branch banking amenities, extending to them the Shariah-compliant services of its vast branch and branchless banking channels, including its network of 375+ brick-and-mortar branches nationwide.
Through this partnership, the worlds of traditional and digital banking are being combined, ushering in a new era of ease and accessibility for clients throughout Pakistan. In an effort to optimise the use of physical infrastructure, the State Bank of Pakistan (SBP) announced the regulatory framework for digital banks in January 2022. This framework supports these kinds of collaborations. Among the specific goals are lowering the cost of financial services for the final consumer and maximising financial access for the populace.
At a recent event in Islamabad, Mr. Mohamed Essa Al Taheri, President and CEO of U Bank, Mr. Umair Aijaz, CEO of RIDBL, and other representatives from both organisations made the official announcement of the cooperation.
“With this partnership with RIDBL, we are not only facilitating transactions for a wider segment of customers, but we are furthering our agenda of financial inclusion and economic empowerment in Pakistan,” said Mr. Mohamed Essa Al Taheri, President and CEO of U Bank. At U Bank, we think that working together can lead to good change, and we’re excited to use our combined expertise with RIDBL to provide distinctive financial solutions that meet our clients’ changing demands.
Mr. Umair Aijaz, CEO of Raqami Islamic Digital Bank Ltd., commented on the collaboration, saying, “At Raqami, we actively nurture the vision of a transformative banking landscape—one where accessibility evolves into empowerment.” We are not only rethinking banking with U Bank; we are radically reshaping it and setting new benchmarks for flawless Islamic digital experiences.
The organisations’ common aim for a more inclusive and accessible financial environment in Pakistan is reinforced by these strategic relationships and unwavering innovation, which create opportunities to investigate new use cases.
