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Here’s when card payments in Singapore are set to rebound

Contactless is becoming the mainstream payment method in the country

Singapore

Here’s when card payments in Singapore are set to rebound. Source: shutterstock.com

Card payments in Singapore are set to rebound and grow by 10.2% in 2021 due to the improving economic conditions, according to GlobalData.

The report has found that with the reopening of businesses, easing of travel restrictions, and ongoing COVID-19 vaccination program, the value of card payments is forecasted to register a CAGR of 8.2% by 2024 to reach S$129.8 billion (US$96.5 billion) in 2024.

While card payments in Singapore have been on a sustained growth during the last few years, the growth was hampered in 2020 due to COVID-19 pandemic. The economic downturn affected consumers’ buying capacity and subsequently affected payments market
Kartik Challa, Payments Senior Analyst at GlobalData

To contain the COVID-19, Singapore began a vaccination campaign in December 2020 with an aim to cover the entire population by Q3 2021. This, along with the rollout of a stimulus package worth US$81.8bn (equivalent to 24.8% of the country’s GDP), has set the stage for economic recovery.

Besides, while card payment was affected during the pandemic, the loss was partially offset by the shift away from cash and towards contactless cards. In fact, Singapore has a developed contactless card network with the majority of consumers having contactless cards.

We’ve reported that Brits say the majority of their payments are now contactless.

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