Karachi: Mashreq Bank Pakistan — one of the country’s two licensed retail digital banks — has announced a strong focus on attracting workers’ remittances and introduced Pakistan’s first-ever profit-bearing current account, offering up to 5% per annum.
During the launch of Mashreq NEO, the bank’s new digital banking platform tailored for Pakistan, Shahzad Khokhar, Head of Islamic Banking, said the Shariah-compliant remunerative current account would offer a market-first profit rate of up to 5%, while the Islamic savings account would deliver returns of up to 10%. Competitive rates will also be available on conventional products.
Prime Minister Shehbaz Sharif inaugurated Mashreq Digital Bank, terming it a “milestone” for Pakistan’s economy.
With its headquarters in Dubai, Mashreq aims to serve 10 million Pakistanis within five years, positioning itself as the second-largest single foreign direct investor in the country with a total investment of $100 million over the past few years.
The bank is leveraging its strong UAE presence to channel workers’ remittances into Pakistan. According to CEO Muhammad Hamayun Sajjad, Mashreq UAE currently facilitates remittances from nearly 300,000 overseas Pakistanis, allowing instant, zero-fee transfers and fast account opening for NRPs.
Pakistan’s remittances reached a historic $38 billion in FY 2024–25, rising from $28 billion two years earlier. “Remittances contribute 10% to Pakistan’s GDP — a lifeline for our economy,” Sajjad noted.
Mashreq plans to begin SME banking by mid-2026 and roll out consumer lending by December 2026. The bank is also evaluating the installation of cash-deposit ATMs across Pakistan.
Mashreq Bank Pakistan officially began commercial operations in September 2025.
Source: Business Recorder
