Globally, CIC has increased from 4% to 7% annually over the last five years (WPR, 2019)
Sep 20, 2019
The report uses Payments Open Banking Assessment which illustrates the state of Open Banking from a payments perspective in 18 markets worldwide. According to the report, "Globally, CIC has increased from 4% to 7% annually over the last five years, despite lawmakers' support of non-cash transactions." (WPR 2019, p. 37).
Excerpt World Payments Report 2019
At the retail/individual level, cash seems to be still indispensable for minor transactions (involving supplies and groceries), personal security as back-up, and small charitable donations.
Cash is still the ultimate recourse for payment transactions, as illustrated by the fact that CIC is up significantly in several countries undergoing distress, such as Mozambique, Myanmar, and Ukraine.
Interestingly, countries with the highest non-cash transactions volume also continue to be highly dependent on cash.
'Over 30% of the countries analyzed in WPR 2019 recorded higher CIC growth when compared to that of non-cash transactions volume.'
The unique set of needs that cash fulfill makes a cashless world challenging to envision, although CIC continues to be affected by digital instruments. In the US, Finland, South Korea, Singapore, and the UK (with record high non-cash transactions per inhabitant), CIC has grown steadily. Even though these countries record high volumes of non-cash transactions, their economies support medium to high cash usage. (p. 38)
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