Islamabad is on track to become the first fully cashless city in Pakistan, following an ambitious new plan by the Capital Development Authority (CDA) to digitize all civic payments. From property taxes and utility bills to parking fees and land transfers, every rupee spent on city services will soon be processed through digital platforms.
In a high-level meeting on July 31, CDA Chairman Muhammad Ali Randhawa outlined a roadmap that includes mobile app payments, QR code infrastructure, and ERP integration with public and private banks. This transformation aims to eliminate cash transactions in public offices, boosting transparency and efficiency.
Smart Parking and QR Payments Lead the Way
Among the first visible changes will be smart parking systems in commercial areas like Blue Area and Food Street. These will use M-Tag-based entry, digital meters, and congestion-adjusted pricing. Drivers without M-Tags will be restricted from entering these areas, while parking slots will be reservable and payable via QR codes or mobile apps.
Simultaneously, all CDA-run services (including property-related transactions) will shift to app-based payments, drastically reducing the reliance on cash counters and manual documentation.
Cashless, QR Code Systems for Businesses and Government Workflows
The CDA is introducing a QR-based merchant system for retailers, restaurants, and parking operators, beginning with central zones. Internally, they’re also digitizing government workflows by integrating SAP-based ERP systems for payrolls, budgeting, and audit trails. This will increase institutional transparency and streamline resource management.
Aligned with National Digital Agenda
Islamabad’s digital pivot aligns with the federal government’s broader financial inclusion goals. Earlier this month, the Prime Minister ordered a 400% increase in digital payment adoption, particularly in Islamabad Capital Territory, AJK, and Gilgit-Baltistan. Retailers in these regions are now mandated to implement digital payment solutions.
This directive was issued to both raise awareness and push merchant-level compliance, reinforcing Islamabad’s position as the national pilot for digital transformation.
Cashless System Rollout, Awareness, and What Comes Next
The CDA plans to phase the rollout, starting with civic hotspots and commercial zones, then expanding citywide. Public awareness drives, free Wi-Fi zones, and special incentives for small merchants will help build trust and ensure broad-based adoption. A cashless Islamabad will have:
- Transparency: Reduced corruption by minimizing cash handling.
- Efficiency: Reduced queues and wait times across government offices.
- Digital Inclusion: Massive tech adoption across demographics.
- Urban Innovation: A smart city to modernize operations.
With Islamabad leading the way, this cashless push may soon become a national model, setting the pace for other Pakistani cities to follow.