KARACHI: Pakistan’s growing e-commerce sector loses an estimated $1.61 billion annually at checkout due to cross-border payment inefficiencies, according to a new Payoneer white paper.

The losses form part of a wider $72bn gap across Asia. The report identifies three key contributors: $0.97bn from cart abandonment, $0.46bn from settlement delays, and $0.18bn from foreign exc­hange and payment-rel­ated costs, said a press rel­ease.

Despite strong demand, many transactions fail to convert because of payment friction, unexpected fees and delayed settlements, limiting revenue for businesses.

Cart abandonment alone accounts for over 60 per cent of total losses, as global buyers increasingly expect localised payment options and transparent pricing. Layered payment systems and slow settlement cycles erode merchant margins and restrict cash flow.

The findings underscore the need for streamlined payment flows, localised checkout experiences and faster settlement processes to unlock growth in Pakistan’s cross-border digital economy, the press release added.

Published in Dawn, April 30th, 2026