Qatar Payment Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 6.99 Billion |
| Market Size (2029) | USD 11.55 Billion |
| CAGR (2024 - 2029) | 10.57 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Qatar Payment Market Analysis
The Qatar Payments Market size is estimated at USD 6.99 billion in 2024, and is expected to reach USD 11.55 billion by 2029, growing at a CAGR of 10.57% during the forecast period (2024-2029).
- The payment market in Qatar is growing, and the main reason for this growth is a shift from cash to electronic transactions. Factors such as the adoption of a cap on interchange fees, payment card switching to support PIN and contactless payments, and the growth in point-of-sale terminals have helped facilitate an ongoing digital market transformation.
- Due to the growth of businesses and consumers' propensity for digital transformation, as well as the proliferation of smartphones, Qatar's payment and transaction landscape is undergoing rapid change. The technological advancements in digital payment cards, smartphones, and POS at retail terminals are boosting the market's growth.
- In order to help retailers and businesses prepare for the future of trade and comply with customer expectations, market players are expanding their payment options and continuing their transformation into a cashless society. Thus, more widespread use of digital payments is introduced.
- Moreover, the country is also experiencing an increase in the digital-savvy population, who are using modern techniques such as analytics, social media, cloud computing, and the Internet of Things to support the growth of its e-commerce and payments sector. The large number of internet users in the country is a major factor behind this growth.
- In addition, small vendors and street vendors largely depend on cash transactions with their suppliers, and accepting cashless payments can limit their daily purchases if the supplier does not accept online payments. These cases also make it difficult for small retailers and street vendors to adopt electronic payment systems.
- After COVID-19, as a result of health concerns related to using banknotes and coins, customers and traders in Qatar reduced cash usage and accelerated their switch toward electronic payments. In the case of in-store purchases, many retailers have been encouraging contactless cards and mobile or UPI payments.
Qatar Payment Market Trends
Digital Wallet (Including Mobile Wallets) to Witness Growth
- The use of e-wallets and digital wallets has seen significant growth in over-the-counter or physical retail purchases, with a large proportion of consumers using e-wallets to make payments at retailers' outlets.
- E-wallets are not only convenient for small businesses and consumers but also more secure. It does not require small businesses to keep cash on hand in order to store the records of transactions. The added benefits of e-wallets and allowing consumers to pay for goods and services through them in retail stores are taken into account by SMEs and small retailers.
- The number of e-wallets or digital wallets across cities is increasing as a result of the rising population across the country, leading to conjunctive growth. As e-wallet payment becomes viable across channels, major e-wallet players such as CashU, Samsung Pay, and WeChat Pay venture deeper into rural areas to secure more widespread adoption at physical stores in the country.
- Global businesses are increasingly looking at the market as an attractive opportunity to offer their e-wallet services for retail stores through partnerships with them due to the proliferation of online or electronic wallets in Qatar.
Retail Sector to Witness Significant Growth
- Electronic transactions are increasingly used for retail transactions, digital payment infrastructure and services, and underbanked segments of consumers and merchants. Nevertheless, rapid change is taking place due to new initiatives by governments and regulations, as well as the opening of new payment networks in different parts of the country.
- In order to increase digital innovation and stay relevant in a competitive market, banks and financial institutions have outsourced their payment platform technology and operational functions to third parties. In order to respond to changing client needs, they relied on these reliable, flexible retail payment services that could be rapidly expanded. By providing complementary services that allow them to meet the needs of their clients without investing heavily in technology, third-party solutions enabled them to fill technological gaps.
- In recent years, due to changes in end users' payment habits, payment innovation, technical progress, and the entry of new providers, the retail payment landscape in Qatar has undergone a significant transformation.
- Moreover, financial transactions are carried out through electronic methods. They are a major convenience for consumers and retailers, speeding up the payment process and improving customer experience.
- Moreover, Qatar's online shopping business has grown rapidly in recent years due to increasing internet penetration, smartphone adoption, and consumers' willingness to buy abroad. The expanding physical infrastructure and regulatory framework created to facilitate online commerce in this dynamic sector could be used by businesses that are new to the country. According to Speedtest, Qatar boasts some of the fastest average mobile internet connections, registering average median speeds of over 189.98 Mbps as of September 2023.
Qatar Payment Industry Overview
The Qatari payments market is highly fragmented, with major players like Commercial Bank of Qatar, Qatar National Bank, Doha Bank, PayPal Holdings Inc., and CashU. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their service offerings and gain sustainable competitive advantage. For instance,
- In May 2024, QNB launched its exclusive special edition virtual cards skin. These exclusive card designs represent a combination of cutting-edge technology and timeless elegance, reflecting QNB's dedication to sustainable and personalized banking experiences. The virtual-only card designs were developed to further demonstrate QNB’s proactive commitment toward greater sustainability and reducing the industry’s environmental footprint.
- In February 2024, Commercial Bank announced its collaboration with Visa by introducing Visa Installment Solution (VIS) to its merchant partners in the region. Through this partnership, Commercial Bank became the first acquiring bank in the region to offer installment solutions to merchants. VIS is an API-based ecosystem solution that offers an open-loop installment solution during purchase, whether at point-of-service terminals or online, so credit cardholders can effortlessly divide their expenses into more manageable payments over a period of up to 48 months.
Qatar Payment Market Leaders
Commercial Bank Of Qatar
Qatar National Bank
Doha Bank
PayPal Holdings Inc.
CashU
*Disclaimer: Major Players sorted in no particular order
Qatar Payment Market News
- February 2024: Commercial Bank announced the final winners of the mega spends campaign for credit cardholders. The three-month campaign period started on October 1 and ended on December 31, 2023. Six customers who used the bank’s credit cards for domestic and international spending were chosen. It included users of Commercial Bank Mastercard Platinum, Mastercard Titanium Credit Card, and Visa Classic Credit Card. Winners were given a brand-new Nissan X-trail.
- November 2023: Mastercard users in Qatar can now access digital payments via the Samsung Wallet as a result of the partnership with an Electronic Manufacturing Group and Mastercard.
- September 2023: Safexpay, a digital payment company active in three key GCC countries (Saudi Arabia, Qatar, and Oman), opened its core solutions to the rest of the Middle East. In these markets, it will offer various products, such as white labeling for payment aggregation, payout solutions, contactless payments with facial recognition or fingerprint identification, and single-click checkout.
Qatar Payments Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definitions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Stakeholder Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Evolution of the Payments Landscape in the Country
4.5 Key Market Trends Pertaining to the Growth of Cashless Transaction in the Country
4.6 Impact of COVID-19 on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Growing Real-time Payment Systems being launched in Key GCC Countries
5.1.2 High Proliferation of E-commerce and Rising Adoption of M-commerce
5.2 Market Challenges
5.2.1 Difficulties in Cross-border Payments Operations
5.3 Market Opportunities
5.3.1 Increasing Use of Internet Banking
5.3.2 New Entrants Might Well Drive Innovation, Resulting in Greater Adoption
5.4 Key Regulations and Standards in the Digital Payments Industry
5.5 Analysis of Major Case Studies and Use-cases
5.6 Analysis of Key Demographic Trends and Patterns Related to Payments Industry in Qatar (Coverage to include Population, Internet Penetration, Banking Penetration/Unbanking Population, Age & Income, etc.)
5.7 Analysis of the Increasing Emphasis on Customer Satisfaction and Convergence of Global Trends in Qatar
5.8 Analysis of Cash Displacement and Rise of Contactless Payment Modes in Qatar
6. Market Segmentation
6.1 By Mode of Payment
6.1.1 Point of Sale
6.1.1.1 Card Payments (Includes Debit Cards, Credit Cards, and Bank Financing Prepaid Cards)
6.1.1.2 Digital Wallet (Includes Mobile Wallets)
6.1.1.3 Cash
6.1.2 Online Sale
6.1.2.1 Card Payments (Includes Debit Cards, Credit Cards, and Bank Financing Prepaid Cards)
6.1.2.2 Digital Wallet (Includes Mobile Wallets)
6.1.2.3 Other Online Payments (Includes Cash on Delivery, Bank Transfer, and Buy Now, Pay Later)
6.2 By End-user Industry
6.2.1 Retail
6.2.2 Entertainment
6.2.3 Healthcare
6.2.4 Hospitality
6.2.5 Other End-user Industries
7. Competitive Landscape
7.1 Company Profiles*
7.1.1 Commercial Bank Of Qatar
7.1.2 Qatar National Bank
7.1.3 Doha Bank
7.1.4 PayPal Holdings Inc.
7.1.5 CashU
7.1.6 Alphabet Inc.
7.1.7 ACI Worldwide Inc.
7.1.8 Samsung Pay
7.1.9 Apple Inc.
7.1.10 Mastercard (MasterPass)
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
Qatar Payment Industry Segmentation
The study tracks the payment transactions generated at point-of-sale (offline) physical stores and online (e-commerce/digital) channels in Qatar. Online payments include online purchases of goods and services, such as purchases on e-commerce websites and online bookings for travel and accommodation. In the offline segment, all transactions that occur at the physical point of sale are included in the market scope. It includes traditional in-store and face-to-face transactions, regardless of where they occur. The study will also cover trends, developments, and key metrics about the banking industry in Qatar.
The Qatari payments market is segmented by mode of payment (point of sale [card payments, digital wallet, and cash] and online sale [card payments and digital wallet]) and end-user industries (retail, entertainment, healthcare, and hospitality). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
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Qatar Payments Market Research FAQs
How big is the Qatar Payments Market?
The Qatar Payments Market size is expected to reach USD 6.99 billion in 2024 and grow at a CAGR of 10.57% to reach USD 11.55 billion by 2029.
What is the current Qatar Payments Market size?
In 2024, the Qatar Payments Market size is expected to reach USD 6.99 billion.
Who are the key players in Qatar Payments Market?
Commercial Bank Of Qatar, Qatar National Bank, Doha Bank, PayPal Holdings Inc. and CashU are the major companies operating in the Qatar Payments Market.
What years does this Qatar Payments Market cover, and what was the market size in 2023?
In 2023, the Qatar Payments Market size was estimated at USD 6.25 billion. The report covers the Qatar Payments Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Qatar Payments Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the major challenges faced by the Qatar Payments Market?
Major challenges faced by the Qatar Payments Market include a) Cybersecurity threats b) Consumer trust issues c) Need for continuous technological upgrades
Qatar Payments Industry Report
The Qatar payments industry is experiencing a significant transformation, fueled by increased smartphone usage, strong government support for digital payments, and a consumer shift towards cashless transactions. This evolving market features a variety of payment methods such as cards, mobile and online transactions, and emerging contactless options, appealing to a tech-savvy population that is increasingly engaging in e-commerce. The growth is supported by stakeholders including banks, fintech startups, and payment service providers, all focused on delivering secure, convenient, and efficient payment solutions. The rise of mobile and contactless payments, especially accelerated by the pandemic, positions the Qatar payments industry for continued expansion, aiming to enhance consumer experiences and develop the digital payment infrastructure. Strategic partnerships and the adoption of advanced technologies like AI and blockchain are further driving this dynamic market, offering numerous opportunities for industry players to innovate and increase their market presence. For detailed statistics on the Qatar Payment market share, size, revenue growth rate, and a market forecast outlook, access a free report PDF download from Mordor Intelligence™ Industry Reports.
