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Business & Commerce

Rising Cyber Scams Threaten Pakistan’s Financial Inclusion Strategy as Banking Fraud Hits New Highs

Last updated: July 26, 2026 8:34 pm
Yamna Shahid
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Rising Cyber Scams Threaten Pakistan’s Financial Inclusion Strategy as Banking Fraud Hits New Highs
Rising Cyber Scams Threaten Pakistan’s Financial Inclusion Strategy as Banking Fraud Hits New Highs
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KARACHI — Industry experts are urgently calling for the accelerated adoption of artificial intelligence (AI) and machine learning within Pakistan’s banking sector to counter a massive surge in sophisticated financial scams and protect public trust. According to data from the Banking Mohtasib Pakistan, fraud-related complaints registered a troubling increase, climbing to 4,615 in 2025 compared to 4,171 in 2024. While the State Bank of Pakistan’s (SBP) newly unveiled Pakistan Financial Inclusion Index (P-FII) rose to an overall score of 58.1 for 2024—driven by substantial growth in digital wallet ownership and account access—the quality sub-index remains dangerously low at 43.9. Cybersecurity professionals warn that this expanding digital footprint has drastically widened the attack surface for bad actors utilizing phishing, identity theft, and UAN spoofing.

Tech leaders emphasize that conventional, rule-based security systems are no longer sufficient to intercept modern cybercriminals who continually adapt their techniques. Integrating advanced AI engineering allows systems to process millions of transactions in real time, pinpointing anomalous behavioral patterns and blocking fraudulent activities before financial damage occurs. Strengthening this infrastructure is an explicitly prioritized objective under the SBP’s National Financial Inclusion Strategy 2024-28. However, experts maintain that technology alone cannot completely solve the crisis; financial institutions must simultaneously invest in extensive customer digital literacy campaigns and forge tighter technical data-sharing loops with cybersecurity bodies and law enforcement agencies to build long-term systemic resilience.

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