E-payment share in retail sector exceeds goal as KSA pushes for cashless financial system
RIYADH: The usage of the digital mode of funds continues to speed up in Saudi Arabia, with the retail sector surpassing the 60 % goal set by the Monetary Sector Growth Program, as the Kingdom strikes towards a cashless financial system.
Final yr, the share of e-payments within the Kingdom’s retail sector reached 62 % of combination funds, together with money, revealed the most recent information from the Saudi Central Financial institution, additionally recognized as SAMA.
This accomplishment comes from Saudi Arabia’s ongoing assist and enablement of the monetary sector over the previous couple of years, reported the Saudi Press Company.
A key goal of the FSDP was to advertise digital funds and convert Saudi society to a cashless society by growing the share of non-cash transactions from 16 % in 2016 to 60 % by 2022 and an additional 70 % by 2030.
“The FSDP goals to develop a diversified and efficient monetary sector to assist the event of Saudi Arabia’s financial system, diversify its sources of revenue, and stimulate financial savings, funds and investments,” based on its web site.
By way of notable enhancement in cost infrastructure, enchancment of present techniques, and the introduction of latest techniques and providers, the Kingdom speeds forward to its Imaginative and prescient 2030 objectives.
Saudi Arabia has additionally boosted digital funds additional by advancing the monetary sector’s regulatory, technical, and operational outlooks.
The company reported that e-commerce gross sales by way of Mada, the Saudi Cost Community, rose by 40 % final yr in comparison with 2021.
In 2022, the variety of point-of-sale transactions by way of Mada reached a powerful 7.2 billion transactions.
As for on-line transactions by way of the Mada card, they reached 610 million transactions in 2022 witnessing a 76 % progress.
Final yr noticed the Kingdom’s POS transactions processed by way of 1.4 million POS units, displaying a progress of 42 % year-on-year.
SAMA, as one of many FSDP stakeholders, considers decreasing money transactions certainly one of its most essential strategic targets. To attain this, it has been working arduous over the previous few years on a number of initiatives, tasks and investments within the digital funds sector in step with the targets of FSDP.
SAMA’s technique to convert Saudi Arabia to a cashless society is working properly, as evidenced by the achievements made in digital funds.