GCC Financial Cards & Payments Market Research Report: Forecast (2024-2030)

Market Definition

Financial cards are part of the overall payment system issued by a financial or any other institution, such as a bank, to a customer that enables its owner (the cardholder) to access the funds in the customer's designated financial accounts. There are several types of financial cards used by individual users such as credit cards, debit cards, charge cards, and prepaid cards and they are used for domestic and foreign type of transactions.

Market Insights & Analysis: GCC Financial Cards & Payments Market (2024-30):

The GCC Financial Cards & Payments Market is projected to grow at a CAGR of around 11.2% during the forecast period, i.e., 2024-30. Factors such as the expanding e-commerce industry, regulatory changes in Islamic banking, growing international transaction volume, high internet penetration rate, and increasing requirements for credit facilities, among others, have stimulated the number of users of financial cards and payments in the Gulf region. The visionary efforts taken up by the governments of the UAE, Saudi Arabia, Qatar, etc., towards promoting digitalization in various sectors have increased the usage of facilities, such as mobile banking, internet banking, etc. Therefore, the rising utilization of these services has elevated the demand for financial cards and payments in the region.

Moreover, technological advancements in product offerings like the integration of blockchain into transactions for greater security shall also pave the way for the GCC Financial Cards & Payments Market expansion and generate remunerative opportunities for the leading players. Additionally, the growing trend of online shopping after the pandemic in the GCC has consequently heightened the usage of digital banking operations. As a result, there has been a consumer shift in the preference for purchasing online through financial cards and payment modes.

Notably, due to the increased risk of contamination through constant touch on point-of-sale terminals, the demand for tap & pay-enabled debit and credit cards has been budding at a significant rate. Hence, it is expected that the demand for financial cards and payments will witness an uptick in demand in the region during the forecast period. However, growing cases of fraudulent activities using these cards might restrain the fledged growth of the GCC Financial Cards & Payments market in the coming years.

Furthermore, as the living standards and economic conditions of the people in the GCC are dynamic, the utilization of financial cards like credit cards is also accelerating rapidly, thus elevating the GCC Financial Cards & Payments Market size in the forthcoming years.

GCC Financial Cards & Payments Market Driver:

Expanding E-commerce Industry – The growing e-commerce industry across the GCC region has well-supported the Financial Cards & Payments Market over the historical years. The countries, such as the UAE, Saudi Arabia, Qatar, etc., have witnessed a significant surge in online retail sales due to high investments by global retail players in the lucrative market. The countries, including the UAE, Qatar, Kuwait, and Bahrain have almost 100% of the population with internet and mobile phone access.

Due to this, the transactional volume of payments made via financial cards, such as debit cards, prepaid cards, credit cards, etc., has increased considerably. Moreover, the Dubai Chamber of Commerce and Industry forecasts e-commerce to generate USD8 billion in sales by the year 2025. Hence, it is expected that the ever-growing e-commerce market in the region will increase the demand for financial cards and payments in the forecast years.

GCC Financial Cards & Payments Market Opportunity:

Sustainability Initiatives & Introduction of Eco-friendly Cards – As nowadays, sustainability is becoming a priority worldwide, and many of the regions or regional countries are focusing on reducing the usage of things that emit carbon emissions.  Similarly, in the GCC region governments & other businesses are taking several initiatives to reduce carbon footprints. As part of the sustainability efforts, banks are providing eco-friendly cards made of recycled materials & promoting paperless statements & digital receipts. Hence, this action underlines the dynamic nature of the GCC Financial Cards & Payments Market, further creating an opportunistic arena.

GCC Financial Cards & Payments Market Trend:

Digital Revolution & Fintech Improvement – There is a rapid digital transformation, with a strong focus on fintech innovation across the GCC region. This, in turn, is creating a profitable trend for financial card providers to make individuals aware of advanced payment solutions, such as contactless payments, mobile banking services, and digital wallets. Moreover, these advanced technologies are meeting the surfacing demands of individuals & businesses. Hence, driven by the inclusion of cutting-edge solutions, the GCC Financial Cards & Payments Market is predicted to witness growth in the future years

GCC Financial Cards & Payments Market (2024-30): Segmentation Analysis

The GCC Financial Cards & Payments Market study of MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2024–2030 at the national level. As per the analysis, the market has been further classified as:

Based on the Type of Payment:

• B2B
• B2C
• C2C
• C2B
  • E-Commerce Shopping
  • Payments at POS Terminals
  • Others

Customer-to-business (C2B) segment witnessed sizeable growth over the historical period. The rising penetration of the internet & smartphones in the GCC region has expanded the scope of financial cards and payments for e-commerce activity. The trend of shopping through e-commerce portals has gained noteworthy traction in countries such as the UAE, Saudi Arabia, Qatar, etc. The rising inclination of consumers towards online shopping as it offers a convenient, enjoyable, and secure digital experience has flourished the adoption of cashless payment methods, such as debit cards, and credit cards, among others.

GCC Financial Cards & Payments Market (2024-30): Regional Projection

Geographically, the GCC Financial Cards & Payments Market expands across:

• Saudi Arabia
• The UAE
• Qatar
• Bahrain
• Kuwait
• Oman

The UAE is anticipated to acquire the largest market share during the forecast period. It owes principally to the country having numerous shopping complexes, the establishment of luxury brands, and plenty of things to shop for, encouraging the utilization of financial cards & payments to make transactions conveniently.

Besides, the massive influx of tourists, pilgrims, and migrants in the country is also augmenting the demand for these transactional services across commercial areas like hotels, restaurants, cafes, shopping malls, retail stores, online platforms, and other locations. Hence, the need for QR-code-based payment systems is gaining momentum and backing the UAE Financial Cards & Payments Market growth.

Gain a Competitive Edge with Our GCC Financial Cards & Payments Market Report

• GCC Financial Cards & Payments Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• GCC Financial Cards & Payments Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.