Image credit: Anna Shvets
Over the last few years, Egypt has been taking steps towards becoming a completely cashless economy. As the world steadily realises how disadvantageous cash transactions are with regards to economic development, cashless transactions are becoming the norm across the globe.
A lot of research has been made to prove that a transition into a cashless society would actually be beneficial for a number of reasons. Firstly, going cashless would help prevent theft, considering cash is often easily accessible. Not only would going cashless get rid of easy-to-steal cash, but it would also make it easier to track your money in the case of faulty transactions. Secondly, with the spread of COVID-19, many people have been avoiding cash transactions for sanitary purposes, with some research claiming that paper money and coins are a source of virus transmission. Using e-payment would therefore reduce this risk, making it safer for all.
Most importantly, the management of cash in and of itself is quite costly. Not only does printing bills and making coins affect the overall economy of a country, but the need to find a place to store excess cash, make bank deposits, and generally move large sums of money is also costly for businesses and individuals. Going cashless would therefore save time and money.
There have also been many attempts done by several payment solutions providers and FinTech startups to turn Egypt cashless. Firstly, according to FinTech Magazine, Egypt has been in communication with Mastercard, one of the world’s primary global payment solutions providers, with discussions about encouraging e-commerce within the country. Egypt has also been communicating with Mastercard to help make its New Administrative Capital the world’s first “Cashless City”, using investments and input from the company to help develop electronic payment systems.
Moreover, there has been a rise in FinTech companies aiming to provide cashless services for the general Egyptian population. These include companies such as Paymob, which is a platform that allows online payments through mobile wallets, and e-finance, which is primarily responsible for the financial charges of the Egyptian Government.
With these efforts being put in place across the country, you can rest assured that cashless transactions are spreading like wildfire. For instance, almost all vendors within Cairo allow payment by credit card. Additionally, general services such as bill payment, transactions at gas stations, and many more can now be done using a credit or debit card. Hopefully, Egypt will come to rely on cashless transactions, allowing space for economic growth and ease of payment for all.