FINAL WORD
This , in turn , can drive economic growth by supporting local entrepreneurs and cultivating a safer society .
However , to drive the adoption and usage of cashless transactions among informal businesses , several steps still need to be taken by private and public sector stakeholders .
Address cost and perception issues . Developing affordable digital payment solutions and launching education literacy campaigns can help dispel misconceptions about digital payments . Improving financial and digital literacy through training programs and community outreach is also essential to ensure that all segments of the population can benefit from digital payment systems .
Enhance digital infrastructure . Expanding Internet and mobile network coverage , especially in underserved areas , and modernising payment systems to support real-time , low-cost transactions will make digital payments more attractive and accessible . Building trust in digital payments is equally important . Ensuring robust security measures and promoting transparency in digital payment fees and processes can help build confidence among users .
Regulatory support . Creating a supportive regulatory environment for digital payment adoption and providing incentives for businesses to adopt digital payment methods will encourage the transition to a cashless society . While the South African Reserve Bank is busy with a digital payments strategy to try and promote digital payments more broadly across the country , costsensitive consumers in townships will continue to rely on cash until certain regulatory fees , such as interchange and other bank transaction fees are addressed .
Finally , promoting collaboration between government , financial institutions , technology providers , and community organisations is essential for developing and implementing comprehensive digital payment solutions .
Annelene Dippenaar , Chief Business Officer , Shop2Shop
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