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Payments in The Kingdom

Tag: international payment gateway

Payments in The Kingdom

Payments in The Kingdom

Recent research has found out that Alternative Payment Methods will account for 59% of all online transactions by 2018. With increasing complexities in the global market with regards to payments, it is imperative for economies to allow alternative payment methods which instill that confidence in consumers to pay online. Because the truth is that, as much as the security of payments gateways have improved over the years, there are sections of consumers who still aren’t comfortable in using their cards online.

As a testimony to having a secured alternative payment option, Saudi Arabia has taken the lead and introduced an online payment system known as SADAD, which is a payment system established by the Saudi Monetary Agency. It is designed to be the kingdom’s national electronic bill presentment and payment service. The system links commercial services to local banks, streamlining bill payment transactions for the end consumer as well as the collecting party, through all banking channels 24*7. With SADAD, consumers can shop online, pay utility bills, pay for travel booking, pay for government services, tuition fees, etc…

In recent times, the Saudi E-Commerce landscape has grown significantly, amplified by the consumer’s high purchasing power and growth, thereby sparking off considerable activity in the online payments space, which is not surprising considering Saudi Arabians have the most number of Credit and Debit Cards, amounting to 12.3 million. However, interestingly, 76% of all payments are done through cash on delivery and 24% are made through cards. Moreover, the e-commerce industry is projected to grow to $10.8 Billion by 2020.

As one can make out, Saudi Arabia is positioned in a sweet spot when it comes to online payments and e-commerce, aided by strong government backing & a growing venture funding landscape.

PayTabs is a global payment processing company incorporated in Saudi Arabia. We accept SADAD account at PayTabs. To know more about us, click here.

Data Sources:

Satista

Mastercard

Wamda

Currencies Form the Core of Payments

Currencies Form the Core of Payments

It’s a no-brainer! Everybody out there knows that to buy or sell any product or service through any medium, one would need a transacting currency. The status quo on most transactions, whether online or offline, is the fact that you would need to pay in the currency of the country where you are buying the product from, even if it is online.

But, with the advent of global e-commerce, the status quo on currencies while transacting becomes a deterrent. It is largely due to the willingness of most payments solution providers not to deal with the cumbersome regulations in place in most countries which provide a hindrance for multi-currency payments being made online.

It is not as much as a regulation problem, as it is a regulatory acceptance problem. Most regulators, as in central banks haven’t yet figured out a way to regulate payments in foreign currencies made in multiple currencies through the digital medium. Barring the most accepted currency, i.e. the US Dollar, which is largely used as a de-facto foreign exchange currency across the world, regulators are mostly wary about international payments made in other currencies, especially online.

Having said that, most developed countries and a few forward looking emerging economies have updated their regulations to allow for payments in multiple currencies. However, contrary to popular belief, there aren’t many providers in the market, who possess a seamless global payments processor.

PayTabs has always been ahead of the curve in terms of innovation and one of our key differentiating factor is the fact that we accept 160+ currencies on our platform.

To learn more about our payments platform, click here. Moreover, if you are interested, you can sign up for a free demo as well.

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