Islamabad Cashless City: Fully Digital by December 31
The Islamabad cashless city project will make the capital Pakistan’s first fully cashless city by 31 December, the government decided on Friday, 13 November. After 30 November, no cash payment will be accepted in any department of the Islamabad Capital Territory administration or the Capital Development Authority (CDA).
The decision was taken at a meeting on the Cashless Capital project chaired by State Minister for Interior Tallal Chaudry. The meeting set the year-end deadline for the full transition and directed all departments to prepare for it.
“After Nov 30, no cash payment will be accepted in any department of the Islamabad Capital Territory administration and the Capital Development Authority (CDA),” Chaudhry said at the meeting, according to an official statement by the Ministry of Interior.
“The target is to bring all merchants in Islamabad into the cashless system by Dec 31,” he added.
Islamabad cashless city: what changes and when
The plan has two clear dates. From 30 November, the ICT administration and the CDA stop taking cash. By 31 December, every merchant in the capital is to be part of the digital payments system.
The state minister said 26,000 merchants in Islamabad had already been connected to digital payments. “Digital payment facilities will be provided at every level, from street vendors to major business centres,” he said.
He said the cashless system would improve financial transparency, tax monitoring and the transaction system. “All relevant institutions will work together to make Islamabad a modern digital city,” he added.
CDA Chairman Sohail Ashraf, banking sector representatives and other senior officials attended the meeting. The banks appreciated the Cashless Islamabad initiative and assured full cooperation, the statement said.
The push from the top
The project carries the backing of the prime minister and the interior minister. Chaudhry said implementation was under way “at a fast pace on the special instructions of Prime Minister Shehbaz Sharif and Interior Minister Mohsin Naqvi”.
Naqvi had promised the prime minister that Islamabad would be made Pakistan’s first cashless city and “the world’s first cashless capital”, the state minister added.
The prime minister has repeatedly stressed digital payments. Last week he directed the authorities to prepare a clear roadmap with time-bound targets for a 100 per cent digital payments system across the country. He was told that work on digitising payments in federal and provincial institutions was moving fast, and payments in most institutions would be fully digital by December 2026.
“Promoting a cashless economy is one of the government’s top priorities, with its positive results already beginning to emerge,” the prime minister said at that meeting.
What it means for Islamabad residents
For people living in the capital, the change will reach everyday payments first. Government fees, fines and service charges in ICT and CDA offices will go digital from 30 November. Islamabad has already moved some payments online, including QR code payments for traffic fines.
Shops, vendors and businesses will follow. The target is to bring all of them into the system by the end of the year, so customers can pay by card, mobile wallet or bank transfer instead of cash.
The shift also gives the tax authorities a clearer view of transactions. Cash leaves no trail, while digital payments create records that can be checked. That is one reason the government links the project to better tax monitoring and transparency.
The test will be whether small traders and street vendors, who deal mostly in cash, can be brought on board in seven weeks. The government says banks will support the rollout, and the 26,000 merchants already connected show the work has started.
If Islamabad meets the deadline, it will be the first city in Pakistan to run without cash for government services and merchant payments. The CDA, which will enforce the change in its own offices, has been in the news this year over a court order on land compensation. The authority has also rolled out electric buses for women commuters in the capital.
Frequently asked questions
When will Islamabad become fully cashless?
The government has set 31 December 2026 as the deadline for Islamabad to become the country’s first fully cashless city.
When will cash payments stop in government offices?
After 30 November 2026, no cash payment will be accepted in any department of the ICT administration or the CDA.
How many Islamabad merchants already take digital payments?
About 26,000 merchants in Islamabad have already been connected to the digital payments system, according to the interior ministry.
Who is leading the Cashless Capital project?
State Minister for Interior Tallal Chaudry chaired the meeting that set the deadline. The project runs on the instructions of Prime Minister Shehbaz Sharif and Interior Minister Mohsin Naqvi.
