PM launches Buna-Raast project for swift transfer of remittances

Prime Minister Shehbaz Sharif has launched Buna-Raast connectivity project in Islamabad in order to streamline flow of remittances from the Arab world to Pakistan through legal channels, reported 24NewsHD TV channel.

The project links Pakistan's digital payment system, Raast, with Buna, which is established under the Arab Monetary Fund.

Addressing the ceremony in the federal capital on Thursday, Prime Minister Shehaz Sharif said this ground-breaking initiative will further strengthen their historic relations with the Arab world in a modern digital way.

The prime minister said this landmark initiative aims to facilitate their fellow Pakistanis in the Arab world to quickly send their money back home.

Shehbaz Sharif pointed out that it is Pakistan's first cross-border real-time payment system that will make remittances more affordable and accessible.

Referring to the economic challenges, he said he will soon announce a five-year homegrown economic programme. Shehbaz Sharif said discussions have been held with stakeholders on it over the last many months.

The prime minister said the programme will envisage measures to uplift the economy and different sectors including agriculture and IT.

The prime minister said that besides easing the remittance-sending process digitally, it would also help boost the country’s foreign exchange and further strengthen the already cordial relations between Pakistan and the Arab world.

Calling it a great step forward in promoting financial transactions through modern techniques, Shehbaz said the project would expand the reach of Pakistan’s digital payment infrastructure. “This signifies how 21st-century Pakistan is moving ahead by augmenting modern technologies in the people’s lives. This is the first cross-border real-time payment system linkage that will make remittances more affordable and accessible,” he said.

He further said the project also held the potential to accelerate the connectivity into a future model of a wider payment system where transactions would take place from region to region with a potential of over $20 billion in annual payments.

He thanked the Arab Monetary Fund, State Bank of Pakistan, Finance Ministry, Bill and Melinda Gates Foundation and Karandaaz for their support in launching the project.

Earlier, he also gave away the mementos to Chairperson of Arab Monetary Fund Dr Fahad Alturki, SBP Governor Jamil Ahmed, President of Bill and Melinda Gates Foundation Dr Anita Zaidi, and CEO of Karandaaz Waqasul Hassan.

In his remarks on the occasion, Finance Minister Muhammad Aurangzeb expressed satisfaction that macro-economic stability is taking roots in Pakistan.

The minister said the investors’ confidence is also coming back to the country. He was confident that the Extended Fund Facility of the IMF will help bring permanence to macro-economic stability.

He said the government is committed to structural reforms including in the energy and taxation system.     

Aurangzeb said remittances are a lifeline for Pakistan and the country received remittances of three billion dollars in the month of July this year. He said that Buna-Raast project will further enhance remittances.

Reporter Awais Kiyani