New research shows that worldwide expenditure on payment cards reached over $42 trillion in 2021, a rise of 23%. This rapid increase came as economies around the world recovered from the effects of the Covid-19 pandemic, which led to a marginal fall in payment card spending in 2020.
The report shows growth in total purchases across debit, credit, and prepaid cards, and in all regions. Excluding China, which accounted for 50% of total payment card spending across the globe, growth remained high at 22%.
Debit cards saw the biggest rise in spending, up 25% to $28 trillion. The growing number of contactless debit cards combined with changes in consumer behaviour during the pandemic encouraged greater use of such cards for low-value transactions. Credit card expenditure also grew strongly, up 20%, reflecting the recovery of the travel and entertainment sectors after pandemic restrictions were eased in many countries.
The Middle East and Africa region saw the fastest growth, with card spending up almost a third, and credit card spending recovering from a 9% fall in 2020 to rise by 30%. The Asia-Pacific region saw the greatest absolute growth, fuelled by increased debit card spending as contactless debit transactions continue to cannibalise cash usage.
Link: https://www.paymentscardsandmobile.com/global-payments-card-spending-reaches-42-trillion/