Japanese are expected to avoid cash and POS terminals because of the risk of catching the virus
Japanese avoid cash payments in response to the COVID-19. Source: pixabay.com
According to GlobalData, the cash share in the overall payment transaction volume in Japan is set to drop in 5 years, since banknotes can transfer coronavirus.
The report found that the pandemic is likely to push e-payments transaction value and volume among consumers and merchants. The reason for that is the shift from cash to avoid exposure to disease vectors.
The data revealed that while the number of card payments will increase by 2.6%, there will be a decline of -5.5% in ATM cash withdrawals this year.
We’ve reported that consumer behavior is expected to accelerate the shift from cash to e-payments. This way, online, cashless and mobile transactions would see long-term growth since people change their spending behavior to avoid contact with the disease.
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