Telecommunications and Information and Communication Technologies (ICTs) have played a significant role in improving human life viz-a-viz promoting economic and social development of the underdeveloped and developing countries across the globe. Improved and revolutionized systems and services have become critical determinant of competitiveness in ICT. Therefore, policy makers are compelled to focus on ICT not only as an element of support but also as a driving force of economic growth. The ICT is now recognized as a catalyst to the efficiency of economic activities and covers almost every aspect of human life such as e-services, e-education, e-health, e-governance and e-commerce, e-banking, etc. It improves effectiveness of social services, distributes social, cultural and economic benefits in the process of development more equitably when it offers a cheap and accessible alternatives including ICT based financial services (mobile banking). This phenomenon not only provides basis for new job opportunities but also pushes traditional economic, commercial and financial activities more efficiently and effectively through ICTs based systems and services.

The financial sector of Pakistan has shown slow growth in terms of expansion in traditional bank branches and bank accounts. Financial sector is one of those areas where use of ICT services can bring in revolution in Pakistan and it can have a significant impact on Pakistan’s economy.

Provision of mobile banking services to the financially excluded poor is an unprecedented opportunity when traditional branch-based banking cannot reach to the un-served in rural areas and only 15 per cent of population in Pakistan has access to formal banking services as compared to 80 per cent access of mobile services in the country.