Global non-cash transaction volumes grew at 12% during 2016–17 to reach 539 billion – the highest in the past two decades:
- Emerging markets led the growth charge. Emerging Asia (32%) and CEMEA (19%) were highest in global noncash transaction volumes.
- Mature markets, including mature APAC, Europe, and North America, maintained a growth rate of nearly 7%, which aligns with our predictions for these markets.
Drivers include growing adoption of mobile payments, uptake in contactless technology, and digital innovation from technology players and card giants. For further details on regional trends and analysis, see page 30, where we have provided the complete analysis.
This year, it is apparent that the market’s regulatory dynamics are focused on interoperability, standardization initiatives, and collaborative supervision. This regulatory focus assumed greater significance given the increasing fragmentation in the landscape that is a result of multiple players, solutions, and standards. The existence of differing standards, systems – as well as the divergent scope of regulators – could stifle competition and undermine customer safeguards. These issues could be detrimental for the new payments ecosystem, which is a future state defined by rebundling of capabilities and services through collaboration and partnerships, and the emergence of a marketplace that offers a variety of lifestyle services as well as financial services and products.