Islamabad: Government Moves to Modernize Pension Payments
ISLAMABAD: According to Beyond Time News, the federal government is preparing to introduce a nationwide digital verification system for pensioners to improve transparency and reduce fraud in pension payments.
The proposed system will connect pension disbursement with NADRA’s biometric and facial recognition technology. Officials say nearly 1.7 million pensioners across Pakistan may eventually become part of the new framework.
The initiative aims to modernize the public-sector pension system through digital verification and automated banking integration.
How the New Pension Verification System Will Work
Under the proposed mechanism, pensioners will verify their identity and proof-of-life status through the Pak ID app operated by National Database and Registration Authority.
After verification, commercial banks will confirm pension eligibility through systems linked directly with NADRA before releasing monthly pension payments.
Officials said the State Bank of Pakistan has been asked to guide commercial banks to integrate their systems with NADRA’s digital verification platforms.
Biometric and Facial Recognition Checks to Be Introduced
The new pension verification model will use NADRA’s Proof of Life Certificate (POLC) and Family Registration Certificate (FRC) databases to confirm pensioners’ identities and eligibility.
Banks will also connect with NADRA’s “Nishan Pakistan” API and the e-Sahulat system for real-time verification before processing pension payments.
According to Beyond Time News, officials have already started implementing some parts of the project, while technical integration between banks and NADRA remains in progress.
Read more:NADRA launches mobile registration drive in UK on January 24
Government Aims to Reduce Fraud and Improve Transparency
Authorities believe the digital system will help eliminate fake claims, reduce paperwork, and speed up pension processing across the country.
Officials also revealed that the government has requested approval from the Finance Division to revise the financial model linked to NADRA’s verification services. The plan may include reduced or waived service charges related to the Proof of Life system.
Experts say the project could become one of Pakistan’s largest digitally integrated pension authentication systems by combining biometric verification, facial recognition, banking technology, and centralized identity databases.
Digital Pension System Expected to Benefit Millions
The government expects the new system to make pension payments safer, faster, and more transparent for retired public-sector employees.
The move also reflects Pakistan’s broader push toward digital governance and improved financial management through technology-based public services.
