Two decades ago, it was hard to imagine a world where cash didn't exist. But with the rise in popularity of cashless payment methods, a society without cash could soon become a reality.
The COVID-19 pandemic is one major catalyst for the shift. To minimize direct contact, people gravitated towards payment methods that didn't require the use of physical money, like bank cards and payment apps.
In this article, you'll learn what experts think about the future of cashless payments, payment methods on the horizon, and companies that are already making the change.
Companies Testing Cashless Experiences
How to Set Up Cashless Payments
Adopt Cashless Payment Methods
Cashless Payment Predictions
The global transition to cashless payment methods is happening very quickly. Experts believe that before long, we'll be living in a cashless society. In fact, some countries are already working to completely eradicate cash from their economies.
Sweden has reduced the amount of cash in circulation by 50% over the last decade.
According to the European Payments Council, traditional cash transactions made up just 1% of Sweden's gross domestic product (GDP), and ATM cash withdrawals are steadily declining by 10% each year. The Swedish Central Bank recently stated that only 9% of the country's population uses cash for transactions right now.
Now, analysts predict that Sweden will become the first cashless nation in the world by 2023.
In PwC's 2025 & Beyond: Navigating the Payments Matrix, PwC explored the ongoing transition from cash-based to cashless payment methods, the development of digital economies, and the impact of new payment trends.
Here are some of the cashless payment predictions in the report:
- Cashless transactions will grow fastest in Asia-Pacific, increasing by 109% from 2020 to 2025, and then by 76% from 2025 to 2030, followed by Africa and Europe.
- Global cashless payment volumes are set to...