Mastercard Economy 2021 report highlights permanent shift away from cash in UAE

SourceZawya
SectorFinancial Services
CountryUAE

Young and digitally savvy populations across MEA are key to long-term growth outlook, but youth unemployment poses a threat to growth prospectsDubai: The Mastercard Economics Institute has released Economy 2021 - a global outlook report providing detailed analysis of the economic impact of COVID-19 including permanent changes in digital consumer spending habits, growth of online banking, fintech disruption and opportunities to boost financial inclusion.Among the key trends analysed in the Middle East & Africa (MEA) is the sharp shift to digital platform use, driven by changed consumer behaviour, mobility restrictions and the necessity to generate business revenues beyond brick-and-mortar locations. The Mastercard Economics Institute, which was launched last year to analyse macroeconomic trends through the lens of the consumer, released the report to help governments and businesses of all sizes find a path forward following a gruelling and transformative 2020.The continuing trend away from cash is expected to be more persistent in economies such as the UAE, which already has a resilient e-commerce infrastructure and a young, digitally savvy population. That said, according to Economy 2021, as e-commerce rapidly becomes a way to pandemic-proof a business, adoption by older generations and added convenience and lower costs for consumers will contribute to the...read more...