What payment instruments to use when travelling to Pakistan? A comprehensive guide

Overview of payment methods for travelling in Pakistan

Chinese tourists travelling to Pakistan need to be well prepared by understanding the local payment environment in advance. The electronic payment system in Pakistan is developing, but cash is still the main method for many transactions. This article will detail the various payment tools available when travelling in Pakistan to help you plan the perfect financial arrangement.

Cash: still an important basic means of payment

Cash (Rupees) is still the preferred method of transaction in most parts of Pakistan, especially in small towns and rural markets. Travellers are advised to exchange an appropriate amount of local currency immediately upon arrival:

• redemption location: Best exchange rates available at airports, banks or official currency exchange offices.
• Amount control: Exchange the right amount of cash according to the itinerary to avoid carrying too much
• small note: Prepare enough small-denomination banknotes to facilitate small daily purchases.
• Secure storage: Dispersal of cash using hidden wallets or fanny packs

While credit cards may be accepted in high-end establishments in major cities, cash settlement is the only option in remote areas and among small merchants.

Use of international credit and debit cards

International credit cards such as Visa and Mastercard are usually accepted in hotels, upmarket restaurants and big shopping malls in major cities in Pakistan:

1. Scope of acceptance::

   • Four-star hotels and above
   • Large shopping centres and international chain shops
   • Selected high-end restaurants and travel agencies

2. caveat::

   • Make sure the card is enabled for international transactions before use
   • Be aware of the possible foreign currency transaction fees (approximately 1%-3%).
   • PIN code setting should be in accordance with international standards (4 digits)

3. Withdrawal Options::
   Cash withdrawals in rupees can be made at ATMs marked with the appropriate symbol.
   However, additional fees will be incurred and there is a daily limit.

Cards such as American Express are less well accepted in Pak.
Recommended as a back-up rather than a primary payment instrument.

The Rise and Trend of Local Mobile Payments in Pakistan

With the increase in smartphone penetration in recent years
Some localised mobile wallets are starting to catch on:

JazzCash - Current Market Share Leader

Launched by telecoms operator Jazz, the
More than ten million registered users.
Functions include money transfers,
Bill Payment,
Mobile phone top-ups, etc.
Foreign tourists can use the basic service by recharging their account through an agent point.

EasyPaisa - a product of the Telenor Group

Over 70,000 agent outlets nationwide support deposit and withdrawal operations.
Featuring convenient cross-border remittance services.
Ideal for long term stays or for those with local family and friends to set up account contacts.

These apps are of limited use to short-term travellers but are growing rapidly and it is worth keeping an eye on them for future changes.

Note: China's mainstream third parties such as Alipay and WeChat have yet to enter the market.

The next part of the article will introduce China UnionPay card applicability analysis and practical financial tips...

[The above is a partial presentation due to space constraints.]

China UnionPay Card Usage in Pakistan

For Chinese tourists, the acceptance of UnionPay cards in Pakistan is gradually increasing, but there are still major limitations:

Scope of acceptance

1. Major bank ATMsMost of the ATMs of major Pakistani banks, including HBL, UBL, MCB, etc., support cash withdrawals with UnionPay cards.
2. Selected Merchant POS: High-end hotels, shopping malls and Chinese restaurants in major cities such as Islamabad, Lahore and Karachi may accept UnionPay cards
3. Chinese institutions in Pakistan: Chinese-owned hotels, restaurants and shops usually have UnionPay payment channels

Tips & Tricks

• Prefer ATMs and merchants with the UnionPay logo.
• It is recommended to limit the amount of cash withdrawal to Rs. 50,000 (approx. Rs. 1,200) in a single transaction.
• Confirm the foreign transaction limit and handling fee rates with the card issuing bank in advance.

caveat

1. Handling fee components::

   • ATM cash withdrawal fee (approx. Rs. 200-500 per transaction)
   • Currency Conversion Fee (approx. 1%-2%)
   • Cross-border service fees charged by some domestic banks

2. Alternative programme::
   It is recommended that you also carry Visa/Mastercard as a supplement.
   Switch immediately when you encounter a situation where UnionPay cannot be used.

PayPal and Western Union contingency programme

While not the preferred choice for everyday payments, the
However, it can be used as a source of financial contingency in special circumstances:

PayPal Usage Features

-Only available on a few cross-border e-commerce platforms
-Required to tie up an international credit card account
-Complicated and time-consuming procedures for withdrawals to local banks

The Western Union Advantage

-Wide network coverage (more than 1,500 agents nationwide)
-Fast arrival (usually within 10 minutes)
-Supports direct conversion of Renminbi into Rupees

Scenario: Emergency need for large amounts of cash or unforeseen circumstances such as theft of wallet. Be sure to bring your original passport for the operation.

"Six Practical Tips for Your Finance Kit

Based on experience in the field, the following key recommendations are summarised to help you manage your travel expenses safely and efficiently:

1️⃣ Mixed Payment Strategies
-70% cash + 20% credit card + 10% e-wallet provisions
-Separate daily in different locations to reduce risk

2️⃣ Exchange rate optimisation techniques

Airport exchange rate:1CNY≈38PKR 

City regular exchange points: 1CNY≈40PKR 

Black market spreads can be up to 151 TP3T (not recommended to risk) ```



3️⃣ Anti-theft brush measures

√Enable transaction SMS alert function   

√Cover CVV codes with stickers    

√Photo BackupCard information is saved separately   



4️⃣ Tips Cultural Adaptation

 Common Occasions Payment Criteria:

 -Restaurant Bill 5%-10%

 -Rs. 50-100/- for hotel baggage handlers   

 *Note: It is considered impolite to give coins*.



5️⃣ Communication Tools Preparation

 Must-have app recommendation:

 ① JazzCash (local payment)    

 ② Xe Currency (real-time exchange rate)    

 ③ Google Maps (to mark ATM locations)



6️⃣ Emergency Contact List

  Chinese Embassy in Pakistan Consular Protection Phone.

  0092-51-8496167      

  Bank card loss line should be deposited into the mobile phone address book in advance    



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 [Special Note] Consumption Practices in Religious Places  



Be careful when visiting religious sites such as mosques:

Most only accept cash donations     

A culture of no counter-offers at commodity stalls     

Many shops open late in the afternoon on Friday, the Day of the Lord's Supper.    



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Through a judicious combination of the various payment instruments described in the text, the

In conjunction with comprehensive security measures.

You will be able to enjoy the breathtaking scenery of Pakistan while

Take complete control of your financial initiative on the go.

A final reminder to all travellers -

Regardless of the method of payment, please retain important transaction documents for at least three months for verification.