Cash payment decreased in Southeast Asia and cashless payment was favored
July 21, 2020
One director of Thailand's MAKRO, said people want to avoid contacting cash as much as possible for the sake of epidemic prevention, and shopping malls are ready to accept electronic payment.
The survey results of MasterCard company on consumer behavior changes in Southeast Asia during the epidemic period show that mobile payment and other cashless payment methods are more and more popular among consumers. The proportion of cash payments in Southeast Asia showed a significant downward trend, with Thailand decreasing by 59%, Malaysia and the Philippines by 64% and Singapore by 67%. Three quarters of Southeast Asian consumers use contactless payment more often than two years ago, and 70% of Southeast Asian consumers expect to use cashless payment more often in the next 12 months, according to a survey released by visa credit card company.
The volume and amount of mobile payment transactions in Vietnam increased by 189% and 166.1% respectively in the first four months of this year. In Singapore, the usage rate of contactless payment by card is up to 84%, and that of mobile phone is 54%. In the first quarter of this year, the card consumption of retail e-commerce in the Philippines doubled. The governor of the Philippine central bank said more and more financial institutions are adopting digital technology to provide more efficient and secure services. The Philippines will digitize at least half of its retail payment transactions in the next three years. To this end, the Central Bank of the Philippines has drafted a three-year roadmap for digital payment transformation to encourage domestic financial institutions to actively transform.
According to the survey conducted by Thailand based Research Center, the rapid growth of mobile payment in Southeast Asia has a good foundation due to the increasing popularity of smart phones and the high proportion of young people. In the future, digital payment may become the mainstream payment method of Southeast Asian people.