Latest news with #WhereCashHides
Gulf Insider
16-02-2025
- Business
- Gulf Insider
Visa Bahrain: An Exclusive Interview With Malak AlSaffar on Driving the Cashless Future
While Bahrain has emerged as a leader in digital payments, outpacing many of its regional counterparts, a recent report on Bahrain by Visa highlighted that 17% of financial transactions continue to be cash-based. The number, although small, uncovers the money habits of consumers in the Kingdom. Soon after the report was released, Gulf Insider sat down with Malak AlSaffar, Country Manager, Visa Bahrain to learn more about the Where Cash Hides study, why 17% of Bahrain's population still relies on cash transactions, and what measures are being taken to reduce this number even further. Visa's 'Where Cash Hides research, conducted by Ipsos, surveyed (online) 2,800 individuals from the general population across the GCC (400 in Bahrain) and included questions about the overall frequency of and motivations for cash usage. The research was completed in August 2024. From empowering small businesses and fintech startups to enhancing digital security and expanding cashless solutions, the discussion explores the latest technologies, challenges in reducing cash dependency, and Visa's collaborative efforts with banks, regulators, and fintechs to shape the future of finance in Bahrain. The purpose of the study was to identify the segments and categories where cash continues to be used. As we all know, Bahrain is very digital. However, by surveying 400 consumers, we aimed to understand what motivates cash transactions and how we, along with our partners in Bahrain's government, can engage those segments and reduce cash usage, creating a more convenient digital landscape for all consumers in the country. Bahrain is undeniably a leader in digital payments, and we're very pleased with the progress made. Even at 17%, cash usage is relatively low compared to our GCC neighbours, highlighting the success of Bahrain's digital transformation. Our research revealed that most Bahrainis are digitally native, which is a testament to the government's forward-thinking digital agenda over the past few years. The push towards digitalising payments has been a remarkable advancement, and we're proud to have partnered on several key initiatives to support this progress. That said, there are still areas where cash remains prevalent. Around 28% of surveyed consumers indicated that they still use cash regularly, primarily for tipping, while 54% noted that cash is still used for peer-to-peer transactions in certain situations. However, for everyday spending, the reliance on cash has been steadily decreasing. While 17% is still a phenomenal number, we're eager to see the momentum continue as Bahrain moves closer to becoming a fully cashless society. Let's examine why people are still using cash. Our research highlights speed, convenience, and habit as the key reasons, even within the specific categories I mentioned. One of our main priorities is educating consumers about the benefits of digital payments while also ensuring they have access to them. It's essential that everyone, everywhere, can obtain a digital payment credential and, just as importantly, the means to accept digital payments. We approach this from both sides of the payment landscape—facilitating digital transactions for consumers and enabling businesses to accept them seamlessly. Visa's 'Where Cash Hides research, conducted by Ipsos, surveyed (online) 2,800 individuals from the general population across the GCC (400 in Bahrain) and included questions about the overall frequency of and motivations for cash usage. The research was completed in August 2024. According to the study, individuals aged 30 to 39 years are the least reliant on cash for peer-to-peer and day-to-day transactions, with 55% of respondents in this age group reporting that they use digital payments for at least 8 out of 10 transactions. Malak AlSaffar Visa's 'Where Cash Hides research, conducted by Ipsos, surveyed (online) 2,800 individuals from the general population across the GCC (400 in Bahrain) and included questions about the overall frequency of and motivations for cash usage. The research was completed in August 2024. We are fully committed to supporting Bahrain's objective of creating a cashless payment landscape, which is a top priority for us. A key part of our strategy is investing heavily in solutions that drive this transition. For instance, we've identified key barriers to reducing cash reliance, such as peer-to-peer payments. Visa has the ideal solution in Visa Direct, which enables digital peer-to-peer transactions. Our focus is on bringing Visa Direct to the market to enhance consumer access to seamless digital payments. Another challenge is payment acceptance. Not everyone has the right acceptance channels, which is why we are introducing solutions like Click-to-Pay. This simplifies e-commerce transactions, ensuring users can pay as easily online as they do via point-of-sale (POS) terminals. Similarly, our Tap to Phone solution enables merchants to accept payments directly on Android devices, eliminating the need for costly POS systems. This is particularly beneficial for micro and small businesses, making digital acceptance more accessible and affordable. Beyond major launches, we also recognise the importance of the creator and gig economies, particularly SMEs, which form a key part of ING's ecosystem. To support this sector, we collaborate with partners to develop tailored products and educational initiatives. For example, we work with banks to launch SME cards, providing better access to financial services. Additionally, programmes like She's Next empower women entrepreneurs through grants, mentorship, and resources, helping them build financially secure and digitally enabled businesses. Through these efforts, we continue to advance digital transformation in a way that is both practical and inclusive for the entire ecosystem. Security and innovation remain key pillars for Visa. To provide consumers with the reassurance they need, they must have complete trust in the services we offer. Globally, we have invested over $10 billion in technology over the past five years to ensure the highest standards of safety and security. We leverage cutting-edge advancements in tokenisation and artificial intelligence to enhance our fraud monitoring systems. E-commerce is an area where consumers often feel most uncertain about payment security. Our Visa acceptance platform, CyberSource, integrates some of the most advanced security technologies, including tokenisation, which ensures card details remain safe and protected across online transactions. Beyond financial investment, we place significant emphasis on consumer education, particularly in markets like Bahrain, where different demographics may have varying levels of familiarity with digital payments. Last year, we launched the Stay Secure programme in Bahrain, an awareness campaign designed to educate consumers on identifying fraudulent websites, scams, and phishing attempts. Our research revealed that nine out of ten people express concerns over potential online fraud, highlighting the urgent need for continued education. As we drive the shift towards a cashless society, in alignment with both government objectives and Visa's vision, ensuring that consumers not only adopt digital payments but do so safely and confidently remains a top priority. At the core of what we do is collaboration. We work closely with partner banks, financial institutions, government bodies, and stakeholders across the ecosystem to build a robust digital payment infrastructure. Visa has played a pivotal role in Bahrain for many years, continuously innovating alongside our partners to enhance the payment landscape. Looking ahead, our focus remains on strengthening these collaborations. One key initiative is the Visa Everywhere Initiative , which we have now launched twice. This programme invites fintech startups from Bahrain to compete for a Visa grant, providing them with access to a global platform to showcase their solutions. Beyond fintech, we are committed to fostering inclusive growth through initiatives like She's Next . In 2024, we introduced this global programme to Bahrain in partnership with Bahrain Islamic Bank, Bahrain FinTech Bay, and Innovate for Bahrain. This initiative is designed to support and empower Bahraini women entrepreneurs by equipping them with the tools, mentorship, and resources needed to succeed. Crucially, Visa does not introduce solutions in isolation—we bring them to market in collaboration with our ecosystem partners. Our role, both in Bahrain and globally, is to empower everyone, everywhere, by driving financial inclusion and innovation. Through this discussion, it's clear that Bahrain is already recognised as one of the most advanced financial services hubs in the GCC. We are fortunate to have a visionary government that has made digitalisation a national priority. Take BenefitPay, for example. With innovations like it, Bahrain is well-positioned to continue driving digital payments forward. I'm particularly excited about the advanced regulations that will further support innovative fintechs and startups, strengthening the ecosystem even further. While significant progress has been made in reducing cash usage, there is still room to push that 17% figure even lower and create a truly digital economy. Cash still lingers in everyday transactions—whether at petrol stations or in tipping culture—and these are areas where we can explore new, innovative solutions. By working closely with our partners, regulators, and banking institutions, we can continue to identify and eliminate these last pockets of cash dependency, driving the country towards a fully cashless future.
Zawya
28-01-2025
- Business
- Zawya
Oman advances in digital payments, but 25% transactions still cash: Visa
Muscat – While Oman is at the forefront of digital payments, a quarter (25%) of transactions among consumers surveyed in the sultanate are still made in cash, according to the second edition of Visa's Where Cash Hides research report. Visa, a global leader in digital payments, conducted the survey across the GCC to examine cash usage trends and explore opportunities to further accelerate the shift towards digital payments. The research, based on a survey of 2,800 individuals across the region, looked into the overall frequency of, and motivations for, cash usage. It identifies cash-heavy categories and proposes simpler, more secure digital payment solutions for both consumers and local businesses. In Oman, peer-to-peer (P2P) transactions (42%) and everyday spending (28%) account for a significant proportion of cash usage. Within the P2P segment, tips (66%) were the top category where surveyed Omani consumers used cash, showing the biggest drop from 2023. This was followed by money exchanges between friends and family (53%) and property rent (24%). However, international money transfers through exchange houses saw an increase (23% in 2024 vs 14% in 2023), suggesting opportunities to advance secure, digital cross-border payments. Everyday spending – such as offline taxis (63%), farmers' markets (55%), and app-based taxis (33%) – are primarily where cash is used. Restaurants saw the most significant drop in cash usage (20% in 2024, down from 38% in 2023), indicating progress in digitising payments in these sectors. The main reasons respondents prefer cash for P2P transactions are habit (32%) and convenience (28%). For everyday purchases, the leading reasons cited are speed (31%) and acceptance (26%). According to Visa's report, efforts to introduce convenient and secure solutions, such as Visa Direct (for P2P, tips, other disbursements, and remittances), Click to Pay (for a better online checkout experience), and Tap to Phone (a low-cost acceptance solution for SMEs, freelancers, and taxis), will further promote digital payments and increase card acceptance in the identified categories. It said, 'Encouraging mobile and contactless payments also presents a pathway to increasing digital payment usage for everyday expenses. This requires educating both banked and unbanked populations about the acceptance and security of digital payments.' In a press statement, Manish Gautam, Visa's Country Manager for Oman, said, 'Despite progress with digital payment adoption in Oman, 25% of consumer transactions are still in cash. For Visa, this represents an opportunity to further drive financial inclusion and digitise commerce in the country. Our second edition of Where Cash Hides research highlights precisely where and how Visa, together with our partners, can help grow the digital economy. 'As a global leader in digital payments, Visa remains committed to supporting the Omani government's cashless agenda and enabling local businesses to create a better payment experience for everyone, everywhere in the Sultanate.' Despite cash usage, consumers' overall reliance on cash remains low. Nearly half (49%) of respondents reported that only 1-2 out of their last 10 transactions were in cash. Just 2% of respondents claimed that all 10 of their most recent transactions were made with cash. © Apex Press and Publishing Provided by SyndiGate Media Inc. (
Muscat Daily
27-01-2025
- Business
- Muscat Daily
Oman advances in digital payments, but 25% transactions still cash: Visa
Muscat – While Oman is at the forefront of digital payments, a quarter (25%) of transactions among consumers surveyed in the sultanate are still made in cash, according to the second edition of Visa's Where Cash Hides research report. Visa, a global leader in digital payments, conducted the survey across the GCC to examine cash usage trends and explore opportunities to further accelerate the shift towards digital payments. The research, based on a survey of 2,800 individuals across the region, looked into the overall frequency of, and motivations for, cash usage. It identifies cash-heavy categories and proposes simpler, more secure digital payment solutions for both consumers and local businesses. In Oman, peer-to-peer (P2P) transactions (42%) and everyday spending (28%) account for a significant proportion of cash usage. Within the P2P segment, tips (66%) were the top category where surveyed Omani consumers used cash, showing the biggest drop from 2023. This was followed by money exchanges between friends and family (53%) and property rent (24%). However, international money transfers through exchange houses saw an increase (23% in 2024 vs 14% in 2023), suggesting opportunities to advance secure, digital cross-border payments. Everyday spending – such as offline taxis (63%), farmers' markets (55%), and app-based taxis (33%) – are primarily where cash is used. Restaurants saw the most significant drop in cash usage (20% in 2024, down from 38% in 2023), indicating progress in digitising payments in these sectors. The main reasons respondents prefer cash for P2P transactions are habit (32%) and convenience (28%). For everyday purchases, the leading reasons cited are speed (31%) and acceptance (26%). According to Visa's report, efforts to introduce convenient and secure solutions, such as Visa Direct (for P2P, tips, other disbursements, and remittances), Click to Pay (for a better online checkout experience), and Tap to Phone (a low-cost acceptance solution for SMEs, freelancers, and taxis), will further promote digital payments and increase card acceptance in the identified categories. It said, 'Encouraging mobile and contactless payments also presents a pathway to increasing digital payment usage for everyday expenses. This requires educating both banked and unbanked populations about the acceptance and security of digital payments.' In a press statement, Manish Gautam, Visa's Country Manager for Oman, said, 'Despite progress with digital payment adoption in Oman, 25% of consumer transactions are still in cash. For Visa, this represents an opportunity to further drive financial inclusion and digitise commerce in the country. Our second edition of Where Cash Hides research highlights precisely where and how Visa, together with our partners, can help grow the digital economy. 'As a global leader in digital payments, Visa remains committed to supporting the Omani government's cashless agenda and enabling local businesses to create a better payment experience for everyone, everywhere in the Sultanate.' Despite cash usage, consumers' overall reliance on cash remains low. Nearly half (49%) of respondents reported that only 1-2 out of their last 10 transactions were in cash. Just 2% of respondents claimed that all 10 of their most recent transactions were made with cash.
Zawya
27-01-2025
- Business
- Zawya
More UAE consumers using digital payments, yet 23% of transactions still in cash: Visa's latest ‘Where Cash Hides' research
Cash usage remains common for peer-to-peer (P2P) transactions including tips and money exchanges between friends and family as well as everyday spending Visa's Salima Gutieva: Despite progress with UAE's digital transformation, opportunity remains to further digitize commerce in the country Dubai, United Arab Emirates: While the UAE is at the forefront of digital payments, around a quarter (23%) of transactions of consumers surveyed are still in cash, according to the second edition of Visa's 'Where Cash Hides' research. The research, based on a survey of 2,800 individuals across GCC, examined the overall frequency of and motivations for cash usage. It identifies cash-heavy categories and proposes easier, more secure digital payment solutions for both consumers and local businesses. The first edition of Visa's Where Cash Hides was conducted in 2023. Key survey findings Cash in specific transactions (by % of consumers surveyed): In the UAE, P2P transactions (33% vs 43% in 2023) and everyday spending (25% vs 27% in 2023) form the largest portion of cash usage. Within the P2P segment, tips (51% down from 55%), and money exchanges between friends and family (39% down from 50%) are the prime areas where surveyed UAE consumers use cash. International transfers through exchange houses (27% vs 40%) and rent (16% vs 25%) saw the most significant declines from 2023, indicating progress in digitizing payments in those categories. For everyday spending, 44% of surveyed consumers said they used cash for farmers markets (no change from 2023), followed by offline taxi (32% vs 46%) – which saw the biggest drop from the first wave – and public transport (metro, buses) (27% versus 23%). Motivators for cash usage (by % of consumers surveyed): The top reasons respondents prefer cash for P2P are habit (23%) and acceptance (20%) and, for everyday spends, speed (24%) and acceptance (23%) were cited as the top reasons. Implications and solutions: Efforts to introduce convenient and secure solutions such as Visa Direct (P2P, tips and other disbursements, and remittances), Click to Pay (better online checkout experience), and Tap to Phone (low-cost acceptance solution for SMBs, freelancers and taxi) will further drive digital payments and increase card acceptance in the categories identified. Encouraging mobile and contactless payments also presents a pathway to increasing digital payments usage for everyday expenses. This requires education on acceptance and security of digital payments for both banked and unbanked populations. Salima Gutieva, Visa's VP and Country Manager for UAE, commented, 'Despite progress with digital payment adoption in the UAE, 23% of consumer transactions are still in cash. For Visa, this represents an opportunity to further drive financial inclusion and digitize commerce in the country. Our second edition of Visa's Where Cash Hides research pinpoints precisely where and how Visa, together with our partners, can help grow the digital economy. We remain committed to supporting the UAE government's cashless agenda – such as initiatives like Dubai's Cashless Strategy aiming for 90% digital transactions by 2026 and enabling local businesses in creating a better payment experience for everyone, everywhere in the UAE." Despite cash usage, the overall reliance on cash continues to remain low. For 61% of respondents, only 1-2 out of their last 10 transactions were in cash. Only 3% of respondents claimed that all 10 out of their last 10 transactions were made with cash. About Visa Inc. Visa (NYSE: V) is a world leader in digital payments, facilitating transactions between consumers, merchants, financial institutions and government entities across more than 200 countries and territories. Our mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive. We believe that economies that include everyone everywhere, uplift everyone everywhere and see access as foundational to the future of money movement. Learn more at About Visa, and @VisaCEMEA. Media Contact Kateryna Korobkova
