The State Bank of Pakistan (SBP) has introduced a new regulatory framework enabling teenagers to independently open and manage bank accounts and digital wallets, expanding financial inclusion and promoting early financial literacy across the country.

The initiative targets individuals aged 13 to 18 years, allowing them to access formal banking services without relying solely on parent-controlled or joint accounts. Authorities estimate that nearly 26 million Pakistanis fall within this age group, many of whom previously lacked practical exposure to financial services.

Promoting Early Financial Inclusion

The framework aims to help young users develop saving habits, conduct digital transactions and gain firsthand experience with regulated financial systems. By integrating teenagers into banking at an early stage, policymakers seek to prepare a digitally capable generation ready to participate in Pakistan’s growing digital economy.

Although adult account ownership has increased significantly in recent years, youth participation remained limited due to regulatory constraints. The new policy removes those barriers while maintaining safeguards appropriate for minor account holders.

Key Features of the Framework

• Teenagers can independently own and operate bank accounts and digital wallets.
• Accounts will function within a supervised and regulated banking environment.
• Financial institutions will introduce youth-focused banking products and digital payment services.
• The initiative encourages responsible financial behaviour and digital payment adoption.

Prudential Safeguards and Regulatory Oversight

The accounts will operate under SBP’s prudential regulations, ensuring strong consumer protection and risk controls. Banks are required to follow strict customer identification and verification procedures, maintain transaction monitoring systems, and implement internal compliance measures to prevent misuse.

Financial institutions must also ensure secure onboarding processes, proper record maintenance, and oversight mechanisms designed to protect young account holders while preserving financial system stability.

Part of Long-Term Financial Strategy

The teenager banking framework forms part of SBP’s broader financial inclusion and digital transformation strategy under its 2023–28 roadmap and the National Financial Inclusion Strategy 2024–28.

Officials view youth financial empowerment as a long-term economic investment aimed at building a financially literate population capable of independently accessing banking, payments and savings services in the future.

The move represents a structural expansion of Pakistan’s banking sector, bringing millions of young citizens into the formal financial system for the first time.