This white paper by Karandaaz Pakistan explores the opportunities and challenges of digitizing fuel payments in a sector that remains overwhelmingly cash-reliant. Despite over 10,000 fuel retail outlets and more than 29 million registered vehicles in Pakistan, 85–90% of transactions are still cash-based, driven by low profit margins, limited POS infrastructure, and the cost burden of digital payments on station operators.

Drawing on insights from a multi-stakeholder workshop held in September 2024 with participation from key players such as Total Parco, Shell, OCAC, and the State Bank of Pakistan, the report highlights how Raast’s Person-to-Merchant (P2M) payment system can be a game-changer for low-ticket, high-frequency transactions in the fuel industry. It outlines key barriers to adoption, identifies pain points, and presents actionable recommendations to facilitate a secure and scalable shift toward digital payments in the sector.