Saudi Payments, owned by the Saudi Central Bank (SAMA), has teamed up with the world’s leader in digital payments, Visa, to launch an innovative, low-cost mobile acceptance solution, as part of its efforts to support small businesses across the Kingdom.
According to the report, the new ‘Tap to Phone’ solution will operate through mada, Saudi Arabia’s innovative national payments network, to accept contactless payments via their smartphone devices using Near-Field-Communication (NFC) technology without having to invest in a separate physical device.
The introduction of Tap to Phone in Saudi Arabia is a significant step forward for the country’s payments industry, and it aligns with Saudi Vision 2030’s goal of reducing dependency on cash.
The new acceptance solution supports the Saudi Central Bank’s (SAMA) and Saudi Payments’ aim of introducing new innovative financial technology solutions that benefit all sectors of society and improve financial inclusion.
“This step enhances the Kingdom’s financial technology capabilities and is congruent with Saudi Vision 2030’s nation-wide drive for digitalization, which in turn would underpin the transition to a digital economy and foster investments in innovative payment solutions to support smaller businesses and improve consumers’ access to quality financial services all around the Kingdom. With further penetration of contactless payments, we are confident that demand for secure and convenient digital payments through Tap to Phone technology will continue and even accelerate post-COVID -19.”
“The pandemic has made it critical for all businesses to expand their payment methods beyond cash, as consumers expect and prefer secure and seamless cashless payment methods wherever they shop. But even as the majority of merchants in Saudi Arabia recognize the importance of digital acceptance, more than half (53 percent) of merchants recently surveyed in our Small Business Recovery study showed keen interest in low-cost acceptance solutions. And that’s where a cost-effective tool like Visa Tap to Phone comes in, helping businesses go digital quickly, avoid lost sales and improve cash flow by accepting contactless payments anywhere, anytime while improving the customer experience,” commented Mr. Ali Bailoun, Visa’s General Manager for Saudi Arabia.