Amazon Payment Services, the digital payment provider operating across the MENA region, is announcing the launch of re:Imagine Payments, a thought leadership forum that aims to help merchants and anyone interested in the digital payments space to increase their knowledge. The forum will see a series of engagements including, roundtable discussions, webinars, and white paper releases.
“What’s Next for Digital Payments in the Middle East and North Africa” is the first of the forum’s publications, and provides insights on digital payment trends across the United Arab Emirates (UAE), Saudi Arabia (KSA), and Egypt. Sponsored by Amazon Payment Services, the white paper research was led by Euromonitor International (EMI) and Sixth Factor Consulting.
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White Paper Highlights
- The “What’s Next for Digital Payments in the Middle East and North Africa” white paper identified 14 of the fastest-growing industries in digital payments. The research took a look at the different dynamics and drivers of these industries in the UAE, Saudi, and Egypt.
- In analyzing the progress of digital payments across key sectors in the UAE, Saudi, and Egypt, research shows that from 2021-2023 the overall digital payments market in the UAE is expected to increase at a compound annual growth rate (CAGR) of 18.3%; 13.6% in the Saudi; and 19.6% in Egypt.
- Looking closely at each of the key countries, findings showed that there was an instant payment “revolution” in the UAE; an expansion in digital banking in Saudi; and a boost in online retail in Egypt due to increasing smartphone penetration rates.
- In Saudi, 89% of consumers reported using at least one new payment method in the past year, including options to buy now, pay later, and person-to-person transfers. In Egypt, digital payments were found to promote financial inclusion with penetration of prepaid cards and mobile wallets approaching 40% of the adult population.
- The research shows that 51% of Generation Z in the UAE use digital or mobile wallets for daily payments, compared to 48% in Saudi, and 43% in Egypt. Moreover, 20% of UAE respondents reported a decline in cash usage, with 50% of Generation Z respondents confirming that they exclusively use cards for transactions.
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