The State Bank of Pakistan (SBP) has informed a parliamentary committee that beneficiaries of the Benazir Income Support Programme (BISP) will bear the cost of cash withdrawals made through the programme’s upcoming digital wallet system.

During a briefing to the National Assembly Standing Committee on Poverty Alleviation and Social Safety, SBP Deputy Governor Saleem Ullah said a withdrawal fee of Rs280 will apply when beneficiaries take cash out of their digital wallets. However, online transfers and transactions made through the RAAST payment system will remain free of charge.

According to the SBP, the new system is being introduced as part of efforts to improve transparency, reduce payment delays and expand financial inclusion for millions of low-income families receiving social assistance.

Saleem Ullah said two private microfinance banks are expected to activate the system on July 16 and July 20, while all six participating banks are likely to complete integration by July 31. Full digitalisation of beneficiary accounts and mandatory online functionality is targeted for December 31.

Members of the committee raised concerns about limited public awareness regarding the digital wallet initiative and questioned whether banks were providing adequate support to beneficiaries. The committee directed BISP management to strengthen implementation and ensure proper guidance for users.

BISP Secretary Amer Ali Ahmad told lawmakers that a district-wise report on bank performance would be submitted to the committee for review.

The committee was also briefed on a tragic roof-collapse incident at a BISP distribution centre in Rahim Yar Khan earlier this year. Officials said Rs2 million was paid to the family of each deceased victim, while injured beneficiaries received Rs500,000 for medical treatment. The compensation amount was recovered from the responsible bank after it was penalised for negligence.