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Increase in “contactless” payments expected in Mexico after COVID-19 pandemic

July 2, 2020

When the Covid-19 restricted daily life and changed the way of buyingConsumers are quickly adopting new payment habits, moving further away from cash and opting for digital and contactless payments.

In this sense, Alejandro Morales, CEO of Prosa, believed that new technologies such as artificial intelligence, robots, automation and P2P (person-to-person payments via social networks) will make the sector more dynamic. and contactless.

“In Mexico, there will be an accelerated introduction of contactless as people will be more concerned about hygiene issues than ever. People don’t want to get in touch with coins or notes, and they don’t want to know what happens to them.” What is contactless is that companies with solutions for ultraviolet light are already coming and will remove viruses or bacteria, “said the Director General of Prose, Alejandro Morales.

Morales also said that the alternative in terms of financial inclusion in Mexico comes more from the side of bank correspondents, through which you can reach the communities where there is no banking infrastructure today.

Increase in “contactless” payments expected in Mexico after COVID-19 pandemicIncrease in “contactless” payments expected in Mexico after COVID-19 pandemic

He stressed that only 37% and 40% of the population have access to a bank account, so there is an opportunity to place more services and financial products, which would also help to use less cash.

Mexico at the forefront of digital payments

Taking all of these points into account, experts like Morales appreciated this A larger number of citizens will avoid using cash and opt for digital options, as is the case with contactless cards called “contactless”, and the Banco de México’s Cobro Digital (CoDi) platform.

This technology enables transactions, especially small daily purchases, to be completed quickly and securely, improving the customer experience and displacing cash.

The financial services company said CoDi has the potential to increase the number of users who make digital payments, in addition to introducing other technologies such as blockchain that make transactions transparent.

What is CoDi?

CoDi is a platform developed by the Banco de México to enable payment and collection transactions through electronic transfers in a fast, secure and efficient manner via mobile phones.

CoDi uses QR code and NFC technology to make it easier for companies as users to carry out transactions without cash.

On the other hand, In addition to electronic currencies, other financial services from technology giants such as Samsung Pay, Google Pay and Apple Pay are expected to be available on the Mexican market.

Digital payments: what can you expect after COVID-19?

Although digital payments in Latin America have nuances in terms of acceptance, large and small companies are strengthening the trend towards using “hygienic” means of payment to counter infection.

The economic landscape is still sailing in an uncertain sea, but experts offer a positive forecast for digital payments according to COVID-19.

The introduction of digital payments will not stop as people have valued e-commerce for convenience.

The research center in Mexico warns caged people against staying away from cryptos

The corona virus situation has enabled digital or contactless payments to come to the fore today. However, the actors believe that the focus is no longer on growing demand, but on how these channels can be made sustainable in the long term.

Just like the internet and smartphone revolution happened, a dramatic introduction of digital payments is required.