The memorandum of understanding (MoU) between Mastercard and National Database and Registration Authority (Nadra) which would have enabled citizens to receive foreign remittances by citing the 12 digit ID number has been called off.
Interior Minister, Chaudhry Nisar called off the deal citing serious security concerns on Thursday. The cancellation is with immediate effect.
In a statement, Mr. Nisar said that the agreement was signed without written permission from the acting government. He also said that both the parties did not consult with the security matters before initiating the deal.
In order for the deal to pass, Nadra has to explain the what the Mastercard company will have access to in the national database of identification cards.
While this was a very positive sign for Pakistanis who actively receive remittance from foreign countries, it posed threat to the security of the database held at Nadra.
The deal if it had gone live, would have provided people with an easy and end to end solution to receive payments through Nadra and Mastercard. But this deal would also enable Mastercard to have access to the database of Nadra.