E-payments in emerging markets

Abstract

With emerging markets around the world migrating from cash to electronic payments, the opportunity is ripe for banks, merchants and service providers to develop strategies for entering these markets. Purchasing power is growing, online spending is accelerating, consumers are increasingly using debit and credit cards, and governments are encouraging shifts from cash to electronic transactions. But while the potential for growth and profit is enticing, these markets are fraught with challenges, including regulatory complexities, infrastructure insufficiencies and intense competition. This paper examines opportunities related to e-payments in emerging markets, as well as tactics for mitigating the risks inherent in entering potentially volatile new markets.