PIDE Urges Trust-Based AI and Fintech Ecosystem for Pakistan -

The Pakistan Institute of Development Economics (PIDE) has called for the development of Pakistan’s artificial intelligence (AI) and fintech ecosystem on the foundations of trust, inclusion and institutional accountability, emphasising that technology adoption should deliver measurable public value and be supported by strong governance and human oversight.

The recommendations were presented during a seminar titled “Landscape of AI and Fintech in Pakistan”, held in Islamabad to explore how AI, financial technology and big-data analytics can strengthen economic policymaking while protecting public trust, institutional integrity and sensitive information.

Addressing the seminar, Associate Professor of Artificial Intelligence at the University of East London, Dr Mustansar Ali Ghazanfar, said responsible AI and fintech development should be guided by three key principles—value, intelligence and accountability. He noted that AI has the potential to enhance policy research, improve evidence-based decision-making and generate deeper insights from financial and administrative data, provided its use is backed by verified evidence, clear ownership and effective human supervision.

Dr Ghazanfar stressed that institutions should first identify their operational needs before adopting AI solutions, ensuring they understand where technology can create measurable value, what data is required, and who remains accountable for AI-generated outcomes. He added that predictive, generative and agentic AI systems require different levels of oversight depending on their autonomy, data sensitivity and potential risks.

He also urged organisations to move from fragmented AI adoption to structured and governed workflows by using approved tools, maintaining documented evidence, conducting regular performance reviews and ensuring human verification of AI-generated outputs. According to him, successful AI transformation depends as much on people, processes and data governance as it does on technology.

Highlighting Pakistan’s fintech landscape, Dr Ghazanfar acknowledged progress in digital payments but said success should be measured through active usage, affordability, consumer confidence and financial inclusion rather than transaction volumes alone. He pointed to continuing challenges in cross-border payments and access to financial services for exporters, freelancers, women, rural communities and low-income groups.

The seminar also cautioned institutions against uploading confidential information to public AI platforms and recommended secure data management practices for sensitive material. To encourage responsible AI adoption, Dr Ghazanfar proposed that PIDE launch a structured 90-day pilot project to evaluate AI-assisted research workflows before wider implementation.

Participants concluded that Pakistan’s digital transformation should prioritise trusted digital services, evidence-based policymaking, effective regulation and stronger public-private partnerships to ensure AI and fintech deliver sustainable economic and social benefits. – ERMD