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NIFT and M10 Networks Partner to Power Digital B2B Payments in Pakistan


Partnership will deliver B2B payment network to support Pakistan’s corporate sector and facilitate digital payment switch mandated by Federal Board of Revenue

Tuesday 26 April, 2022 – The National Institutional Facilitation Technologies (NIFT) of Pakistan and M10 Networks today announce a partnership aimed at facilitating digital B2B payments within Pakistan and enabling low-cost, secure, and instant cross-border transfers.

M10 enables banks to modernize money movement by providing a platform to tokenize regulated liabilities, such as central bank money, commercial bank money, and digital currencies, and offer fast, low cost, and secure B2B payments and instant, 24/7 cross-border transfers.

NIFT was established in 1995 as a joint venture between six major Pakistani banks and entrepreneurs from the private sector. It is the leading Payment System Operator (PSO) in Pakistan for cheque clearing and the country’s foremost Digital Payment Gateway, providing an electronic platform for clearing, processing, routing, and switching of electronic transactions in Pakistan. 

The partnership between M10 and NIFT was developed in response to the 2021 overhaul of tax laws by Pakistan’s Federal Board of Revenue, which requires companies to make digital payments for expenditures of more than Rs250,000.

Under the agreement, NIFT will act as the local operator of the M10 platform and use the M10 shared hierarchical ledger and digital authorisation technology to authorize digital payments.  NIFT will settle digital payments using its existing settlement mechanisms and in compliance with local regulations. Subject to regulatory approval, M10 and NIFT will work together, along with nine local participating banks, to enable the authorization of commercial payments between commercial entities in Pakistan.

“NIFT continues to play a vital and proactive role in modernising Pakistan’s payment system,” comments Haider Wahab, CEO at NIFT. “We are committed to delivering an efficient, swift, secure, and convenient inter-bank payment system in which economic growth can further thrive. This new partnership with M10 Networks opens a range of exciting new possibilities for Pakistan’s payment infrastructure and puts it at the cutting edge of innovation in this space.”

“M10’s turnkey solution offers central banks and participating commercial banks everywhere the ability to quickly realize the benefits of digital payments in full compliance with today’s regulation and without disruption to their conventional systems,” says Marten Nelson, CEO and Co-founder, M10 Networks. “Our shared, hierarchical ledger technology supports secure, low-cost B2B and cross-border payments and can process up to one million transactions per second. With NIFT acting as a local operator, the M10 platform will contribute significantly to the modernization of Pakistan’s payment infrastructure and enable participating local banks to easily comply with the country’s new tax regulations.”

The project will commence in Q2 of 2022 and will be delivered in three phases with completion in the first half of 2023.

About M10 Networks

M10 is the regulated digital currency network for banks.

M10 supplies digital money technology to create a global instant payments network, allowing banks to use digital money instead of conventional payment systems to perform cross-border transfers, settlements and remittances instantly, securely and at a lower cost.

M10’s turnkey platform is delivered as a cloud-based service, is based on immutable hierarchical ledger technology, and is operated by a proprietary, permissioned blockchain. It tokenizes regulated liabilities such as central bank money, commercial bank money and e-money, and can be configured to meet the digital money needs of central banks and commercial banks.

About NIFT

NIFT is a joint venture between consortium of six banks and private sector operating in Pakistan for over 25 years. It is responsible for establishment and management of automated clearing house in the country under the license of State Bank of Pakistan. Currently, NIFT is serving 36 commercial banks with 11,912 branches and 7 microfinance banks with 499 branches through its 27 Centers covering 357 cities, nationwide.

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