The report titled “Saudi
Arabia Cards and Payments Market Outlook to 2023 – Increasing Penetration of
Islamic Credit Cards Coupled with Rising Preference for Online Shopping to
Drive Market Growth”, provides a comprehensive analysis of payment
card services in Saudi Arabia. The report focuses on overall market size for
cards and payment services, SARIE market segmentation by Payments Type
(Customer Payments, Interbank Payments and Others), Saudi Arabia’s Paper
Clearing market segmentation by Type (Commercial and Personal Cheques and
Interbank Cheques), by Region (Riyadh, Dammam, Jeddah, Makkah, Almadinah and
Others); Cards and Payments Market by Stakeholders in Ecosystem, Digital Phase;
Operating Model; Credit Card Market Size by Number of Cards in Circulation,
Number of Transactions and Transaction Volume), By Revenue Stream in a Credit
Card system, Credit Card market
segmentation by Type (Personal Credit Cards and Commercial Credit Cards), by
Competition Scenario in Credit Card market on the basis of Number of Cards in
Circulation by Transaction Volume by
Issuers and Operators; Credit Card Details for Top Banks; Regulations and
Requirements related to Credit Cards; Credit Card market Future Outlook and
Projections; Debit Card Market Size by Number of Cards in Circulation, Number
of Transactions and Transaction Volume), by Revenue Stream in a Debit Card System,
by Competition Scenario in Debit Card market on the basis of Number of Cards in
Circulation and Transaction Volume by Issuers and Operators, Debit Card market
Future Outlook and Projections; Major Bank Profiles in Cards and Payments
Market (National Commercial Bank, Riyadh Bank, Arab National Bank, Saudi
British Bank, Al Rajhi Bank and SAMBA Financial Group); American Express Profile;
Strengths and Weaknesses of Major Banks; Snapshot on Prepaid Cards in Saudi
Arabia, Snapshot on Charge Cards in Saudi Arabia and Anti Money Laundering Law.
The report also covers overall trends and developments, issues and challenges;
and analyst recommendations.
Market Size and Overview: The credit and debit card business
of Saudi Arabia has witnessed steady growth owing to rising transaction volume,
number of transaction and cards in circulation. The debit card transaction
volume grew at a rate faster than the credit cards, even though both posed
single digit growth rate. The credit market by transaction volume grew at a
five year CAGR of 4.6%, whereas the debit card transaction volume grew at a
five year CAGR of 8.6% during the review period 2013-2018. The number of debit
cards in circulation is much more than the credit cards in circulation. When it
comes to number of transactions, again the number of debit card transactions
outweighs the total number of credit card transactions with a five year CAGR
(2013-2018) of 9.9%. Number of credit card transactions as of 2018 witnessed a five
year CAGR (2013-2018) of 11.8%, which is faster than debit card transactions
growth rate.
Market Segmentation for Credit Cards:
Credit cards in Saudi Arabia have been segmented on the basis of consumer
entities i.e. personal credit cards and commercial credit cards. Number of
personal credit cards in circulation witnessed a 5 year growth CAGR of 4.2%
from 2013-2018. The personal credit card market by transaction volume grew at a
five year CAGR of 9.5% from 2013 to 2018. The number of personal credit card
transactions dominated with a five year CAGR (2013-2018) of 13.8% in 2018.
Number of commercial credit cards in circulation witnessed a negative five year
CAGR of (2.8%) from 2013 to 2018. The commercial credit card market by
transaction volume declined at a negative five year CAGR of (4.4%) from 2013 to
2018. The number of commercial credit card transactions grew at a five year
CAGR of 4.6% during 2013-2018.
Competition Stage and Company Positioning: Competition within
Saudi Arabia Cards and Payments Market has been moderately concentrated, with
around 13 banks operating under credit cards and debit cards market. Major
operators in the space are MasterCard, Visa and American Express. The market
competition is based on the transaction volume and number of credit / debit
cards in circulation. The overall card market of Saudi Arabia is still in its
early growth stage as nearly 80.0% still uses cash as the main mode of payment.
A large population remains unbanked along with new technical advancement every
year which makes the industry young in its nature.
Competing Parameters: The major
parameters on the basis of which the banks compete with each other include technological
advancement in financial technology, physical card changes, reward point
program, loyalty program, merchant discounts, annual maintenance charge,
interest rates and others.
Future Outlook and Projections: Increasing demand for Islamic cards owing
to its shariah compliance and entrance of E-commerce giants for instance, Souq,
Cobone, Haraj and AliExpress are collectively expected to drive the payment
cards market in Saudi Arabia.
The overall credit card market by number of cards in circulation is expected to rise at a five
year CAGR of 6.4% in 2023. The number of credit card transactions is expected
to surge at a CAGR of 13.1%, much higher than the prior period. The credit card
transaction volume is also expected to increase at a five year CAGR of 8.6% by
the year ending 2023. The overall debit card market by number of cards in
circulation is expected to rise at a five year CAGR of 6.1% by 2023. The growth
rate projected is almost similar to that of the credit cards due to high dominance
of cash in the economy. The number of debit card transaction is expected to
surge at a five year forecasted CAGR growth rate of 16.4% and the debit card transaction
volume is expected to increase at a five year CAGR of 14.2% during the forecast
period 2018-2023.
Key Segments Covered:
Saudi Arabia Payment Landscape
SARIE Market
By Payment
Type(Interbank Payments, Customer Payments, Others)
Paper Clearing Market
By Type of
Cheques(Commercial and Personal Cheques and Interbank Cheques)
By Region
Credit Cards Market
Number of Cards in
Circulation,
Number of
Transaction
Transaction Volume
Segmentation By Type(Personal
and Commercial)
Revenue Stream in
Credit Card
Credit Card Details
by Major Issuers
Regulations and
Requirements for Credit Cards
Competition Scenario
by Issuers and Operators
By Number of Cards
in Circulation
By Payment
Transaction Volume
Future Projections
Debit Cards Market
Number of Cards in
Circulation,
Number of
Transaction
Transaction Volume
Revenue Stream in
Debit Card
Competition Scenario
by Issuers and Operators
By Number of Cards
in Circulation
By Payment
Transaction Volume
Future Projections
Time Period Captured in the Report:
Historical Period: 2013-2018
Forecast Period: 2018-2023
Banks Covered:
National Commercial
Bank
Saudi Arabia British
Bank
SAMBA Financial
Service
Riyad Bank
Al Rajhi Bank
Arab National Bank
Key Topics Covered in the Report
Saudi Arabia
Payments Landscape
SARIE Market
Paper Clearing
Market
Payment Cards
Stakeholders
Digital Phase in
Saudi Arabia
Credit Cards Market
Size
Credit Cards Market
Segmentation
Revenue Stream in
Credit Card System
Islamic Banking
Regulations and
Requirements for Credit Cards
Competition Scenario
in Credit Cards Market
Debit Cards Market
Size
Debit Cards Market
Segmentation
Revenue Stream in
Debit Card System
Competition Scenario
in Debit Cards Market
Snapshot on Prepaid
Card Market
Snapshot on Charge
Card Market
Trends and
Developments
Issues and
Challenges
Analyst
Recommendations
For more information, refer to below link:
Related Reports
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Ankur Gupta, Head Marketing &
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+91-9015378249
