Lanka’s digital payments to reach $7 Bn in 2023 – Visa
Visa, a global leader in digital payments, believes that unlocking the potential that digitizing payments can offer the SME (Small and Midsize Enterprise) or small business sector in Sri Lanka will the ability to accelerate the economy and drive growth, Avanthi Colombage, Country Manager for Visa in Sri Lanka and Maldives opined.
While Sri Lanka’s digital payments ecosystem is estimated to reach $7 billion in 2023, this is a small portion of all consumer spending, otherwise called digital PCE (personal consumption expenditure). While cards have grown to 21.2 million (May ’23), there lies a tremendous opportunity for digital payments to grow and empower communities with their inherent ease of use and transaction safety, says Avanthi.
“Now, empowering the SME sector with the right tools and infrastructure to make and receive digital payments would uplift businesses and help drive the economy in the right direction.”
“At Visa, we continually engage with SMEs, empowering them through our ecosystem partners such as banks and fintech solution providers. For the SME sector in Sri Lanka, enabling comprehensive digital payment acceptance would mean less operational cost, greater efficiency, and a positive customer experience, all improving the potential of business tremendously.” She adds.
Today digital payment acceptance is not restricted to only the entrenched POS and mPOS devices, where one can tap or dip a credit or debit card to pay. Of these, QR code-based payments are a great, asset-light way for merchants (retailers and service providers alike) to take the first step into the digital payments ambit.
“Without investing heavily in devices or infrastructure, merchants can use QR codes to accept payments from customers who save their Visa card credentials securely on their smartphones,” said Avanthi.
A few banks in Sri Lanka already offer this facility to their Visa cardholders and this also allows for tourists to use their devices to pay for goods or services.
Tap to phone is another innovative yet simple method that promotes digital inclusivity and reduces the use and need of paper receipts. As more merchants see the value in ecommerce, they will benefit greatly from giving consumers an array of digital payment options to choose from.
Avanthi says that with Sri Lankan consumers increasingly shopping online, some of the top ecommerce categories witnessing growth are telecom/utility bill payments, government and educational services, retail stores, insurance, quick service restaurants, airlines and restaurants.
With tourist arrivals increasing in Sri Lanka and the economy looking up, it is only apt that merchants start providing payment options that international travelers are already familiar with, be it tapping a card or phone, scanning a QR code or paying online.
The post Lanka’s digital payments to reach $7 Bn in 2023 – Visa appeared first on DailyNews.