Radio ExpressTV
Live
Disparities in Cash Usage Among Arab Countries, with Morocco in the Middle Class
Statistical data from Forex indicates a striking disparity in the reliance on cash transactions across Arab countries. The figures highlight a clear variation in the use of cash within the region’s financial systems.
Morocco is classified among countries with a moderate reliance on cash, with cash transactions accounting for about 65 percent of the total financial activity in the kingdom.
Lebanon tops the list of Arab countries that depend heavily on cash, with a rate of 90 percent, followed by Iraq at 85 percent. Egypt and Jordan also rank high, both demonstrating an 80 percent reliance on cash transactions, reflecting a persistent connection to cash-based dealings in these nations.
Conversely, Tunisia reports a cash reliance rate of around 55 percent, while in Oman, the rate is about 50 percent, placing both alongside Morocco in the moderate category of this classification.
In the Gulf States, the report notes a significant decline in cash usage, with percentages not exceeding 30 percent in both Kuwait and Saudi Arabia, and 25 percent in Qatar.
Bahrain and the United Arab Emirates found themselves at the bottom of the list, with cash transaction rates not exceeding 20 percent, indicating substantial progress in adopting electronic and digital payment methods.
The report underscores a wide gap between Arab countries concerning payment methods and financial dealings, vividly illustrated between those with very high cash reliance, like Lebanon, and those that have made significant strides in reducing it, such as the UAE and Bahrain.
This disparity reflects differences in the maturity of financial systems and the extent of modern payment methods’ adoption among economies that still primarily rely on cash and those rapidly moving towards digitization and reducing cash transactions.
The report concludes by highlighting that Morocco, Tunisia, and Oman represent a middle ground in this classification, with cash reliance rates ranging from 50 to 65 percent of total financial transactions.
