51% of residents said that their foreign payments to their families eased economic hardship

Dubai: «The Gulf»
The Cross-Border Payments Report 2021/2022 issued by MasterCard revealed that more than half (51%) of the people in the UAE who sent overseas payments online to friends and family last year believe their loved ones would have struggled financially without the support. While this percentage drops to 40% globally, these payments continue to provide a lifeline for individuals and families abroad.
The study included about 8000 consumers in 15 countries, and despite the presence of tangible indicators of an economic recovery in the UAE (29% of people earn more money today than they were in the pre-pandemic period), and the return of activity to the international travel and tourism movement, The study found that nearly two-thirds of UAE residents (66%) sent more money to their loved ones abroad last year. The results of the report showed that 34% of people in the country make or receive more payments across the border, compared to what was the case 12 months ago, and “family support” was the main motivation for sending this money abroad; Nearly 90% of consumers in the UAE said they sent money abroad to help friends and family, which is the most common reason for making cross-border payments.
More than two years later, many are still suffering from the consequences of the pandemic and its economic effects, in addition to being affected by the recent global events. 57% of the respondents in the country said that they had to make cross-border payments online more than before due to the effects of the pandemic, while 54% said that their relatives abroad are still struggling to financially recover from the effects of the pandemic.
The study revealed that the most important factor that consumers in the country care about when sending cross-border payments via the Internet is the guarantee of delivery of funds within 24 hours (54%). Although 89% were confident that their money would arrive on time, 87% of people in the country said they would make cross-border payments more if they were faster.
In general, 9 out of ten (89%) of the respondents feel confident and secure when making external payments via the Internet, which in turn contributes to the recovery of the global economy. Jihad Khalil, General Manager for the Eastern Region in the Middle East and North Africa at MasterCard, said: “For more than 35 years, Mastercard has supported the UAE’s efforts to be a leading center that embraces talent and competencies, by providing innovative technological solutions that enhance the payments system and elevate the payment system. them to the highest levels. Through our cooperation with banking institutions, exchange companies and financial technology companies, we have expanded the MasterCard payment system to include multiple channels and provide new services that collectively contribute to the promotion of the digital economy, and facilitate the sending of money at the time, place and way that consumers choose.”
MasterCard has contributed significantly to increasing the volume and value of international payments between individuals and small businesses during the pandemic period, and its cross-border services, which it provides to banks, non-bank financial institutions and digital companies, have made it possible to make payments in multiple ways and means, and reach 90% of the world’s population in more than 100 countries around the world, which contributed to enhancing predictability and certainty in the field of international remittances. MasterCard’s services are a key driver of the company’s omnichannel offering, offering global payment options for cards, bank accounts, digital wallets and cash agents, all through one secure connection.