SBP proposes mandatory data sharing by banks under open banking regulations

The State Bank of Pakistan has put draft Open Banking Regulations 2026 out for consultation, proposing that banks, microfinance banks and electronic money institutions share customer-approved data and payment access with authorised third parties. Profit by Pakistan Today reported that the plan would use APIs, with Raast serving as a central hub for approved information exchange and payment instructions.

Customers would have to specify why and for how long they permit access, and could manage or revoke consent through online dashboards. The proposal includes safeguards such as biometric checks, local storage of customer data and a requirement to restore disputed unauthorised payments within seven business days, subject to exceptions. Stakeholders can submit feedback by November 30, 2026, before the SBP finalises the framework.