Mobile payments jumped 127 percent from a year earlier to NT$120.9 billion (US$4.15 billion) in the first seven months of the year, as consumers embraced contactless payment amid the COVID-19 pandemic, data compiled by the Financial Supervisory Commission showed yesterday.
The use of mobile payment services, which enables consumers to pay their bills just by tapping their smartphones, has surged as people feel safer not having to hold cash or come into contact with devices that have been touched by other people.
As more consumers turn to mobile payment services, supermarket chain operator Pxmart Co Ltd (全聯實業) and state-run oil refiner CPC Corp, Taiwan (台灣中油), as well as several franchise shops and department stores have launched electronic wallets to boost consumer loyalty, the commission said.
Photo: Lee Ching-hui, Taipei Times
That some consumers chose to redeem their Triple Stimulus Vouchers via mobile payment services could also boost online transactions, the commission said.
Transactions made via electronic payment services — such as Jkos Pay operated by Jkopay Co (街口支付), and Line Pay Money offered by LINE Biz+ Taiwan Ltd (連加網路) and iPass Corp (一卡通票證) — totaled NT$45.6 billion in the first seven months, ranking first among the five types of mobile payment tools, the data showed.
E-payment transactions rose 3.18 times from NT$14.3 billion a year earlier, the fastest growth among the five tools, as more stores partnered with Jkopay or Line Pay Money, and more teenagers used the service to transfer money from bank accounts to e-payment accounts, the commission said.
It was the first time that transactions through e-payment services outperformed those via mobile credit cards, the data showed.
Mobile credit cards reported the second-largest transactions, with NT$36.6 billion in the first seven months, followed by mobile debit cards with NT$35 billion, mobile point-of-sale (mPOS) with NT$2.7 billion and electronic stored-value cards with NT$1 billion, the data showed.
Transactions via mobile debit cards reported the second-fastest growth of 2.59 times from NT$13.5 billion a year earlier, the commission said, attributing it to more banks promoting digital savings accounts by encouraging consumers to apply for debit cards and rewarding them with higher interest rates.
Although mobile payments still make up a comparatively small part of non-cash payments, which surpassed NT$3 trillion last year, they are expected to continue growing this year, the commission said.
Taiwan started mobile payment services in 2016, with accumulated transactions reaching NT$299.1 billion as of the end of July, the data showed.
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