Your Friday fix for global fintech and payments news
We’re back again with another week of exciting payments news! Our weekly round-up brings you a dose of some of the biggest news announcements from the past seven days so you can keep an eye on all that’s shaping our world this week.
- Spotlight on Open Banking: year two
- Visa Tap to Phone expands POS acceptance for retailers
- Global smart card market expected to reach $65 billion by 2025
Open Banking was launched in 2018 and it was widely seen as a mechanism that could change the face of retail banking. Since then, various industry experts have assessed its biggest challenges and successes to date. As part of this, the Competition & Markets Authority (CMA) has released insight into its performance during the first two years. John Stecher, Chief Innovation Officer at Barclays, mentioned in an interview at Money20/20 Asia 2019 that Open Banking was “…one of the most transformational things that has happened in the industry, especially in the retail space.” Stecher predicts that Open Banking will evolve further still with new fintech and banking products moving away from being spend analysers to becoming intelligent agents capable of managing money.
Visa has this week announced a game changing development to enable retailers the accessibility, convenience and ease of a mobile point of sale like never before - the Visa Tap to Phone app. The app enables sellers to accept contactless payments without the need for additional devices. Currently available on Android phones, the app boasts accessibility in the mobile point of sale (mPOS) landscape on an unprecedented scale with the technology expected to expand to other smart phones in the future.
A report from Global Market Insights has found that the global smart card market is projected to reach $65 billion by 2025. Due to a steady decline in the number of cash-based transactions being made in emerging markets, alongside an increasing penetration of smartphones and Government initiatives to increase the usage of digital payments, the smart card market is predicted to expand rapidly over the next few years. The highest growth of smart card adoption is expected to take place in the Asia Pacific region, with the report identifying developing countries such as India, China, and Thailand, as most likely to increase the use of the cards for transportation and retail and within government and healthcare sectors.