Saudi Payments, a finance company operated by the SAMA (Saudi Central Bank), has partnered with Visa to create a low-priced mobile payment acceptance solution. Operated through Mada, Saudi Arabia's countrywide payments network, "Tap to Phone" will empower entrepreneurs in Saudi Arabia, especially small and micro businesses (SMBs) to make contactless payments, claim sources.
The introduction of Tap to Phone in Saudi Arabia is a noteworthy step forward for the region’s payments industry, and it aligns with Saudi Vision 2030's purpose of reducing dependency on cash. The new solution supports Saudi Central Bank's (SAMA) objective of introducing innovative digital payment solutions.
Fahad Al-Akeel, Managing Director, Saudi Payments, said that their firm is delighted to be collaborating with Visa to introduce this viable solution to market at an appropriate time when people of Saudi hope and desire to use money transfers anywhere and everywhere they shop, as well as when many companies need to go digital to address changing customer behavior.
He further added that the demand for safe and efficient digital payments via Tap to Phone technology will persist and even intensify post-COVID-19 pandemic as contactless payments become more widely accepted.
The main benefit of Visa Tap to Phone for merchants is that it does not require additional hardware or expenditure compared to traditional POS systems. Business owners just need to install a Tap to Phone app, registers it, and can start accepting contactless payments in minutes.
Merchants will also be able to observe transactions and receive notifications. The ability to identify purchase history is another benefit for merchants using Tap to Phone.
Furthermore, Tap to Phone's full-featured interface inside the smartphone develops a dynamic cryptogram for every transfer, making Visa card payments simpler and quicker.