By Leila Serhan, Senior Vice President and Group Country Manager, North Africa, Levant, and Pakistan Region at Visa
The Middle East, North Africa, and Pakistan are undergoing a digital revolution transforming how economies grow and innovate. From Egypt’s SME-led digital surge to Morocco’s nationwide “Digital Morocco 2030” strategy and Pakistan’s push for secure, cashless transactions, the region is rapidly embracing financial inclusion and modernization.
Regional Transformation Driven by SMEs
Visa’s “Value of Acceptance” study highlights significant potential in digital payments, particularly among small and medium-sized enterprises (SMEs). Egypt leads with 53% of SMEs adopting digital payments in just two years, 80% of whom report revenue gains. Iraq, once a late adopter, has become a breakout success — with 70% of SMEs integrating digital payments and projections for digital commerce to reach $20.22 billion by 2028. Morocco continues to expand its already impressive 90% internet penetration, while in Pakistan, over half of SMEs have been accepting digital payments for more than two years.
Breaking Barriers and Unlocking Potential
Despite progress, challenges persist — from education gaps to onboarding hurdles. In Egypt, 55% of cash-only SMEs still prefer cash due to familiarity, and 46% of Moroccan merchants find digital systems complex. In Pakistan, 40% of merchants struggle with onboarding. Yet, these challenges present opportunities for further innovation and trust-building.
Security concerns are shifting attitudes too. In Egypt, 41% of merchants fear cash-related robbery, while in Morocco, 56% report reduced fraud after adopting digital payments. Iraq’s SMEs cite digital systems as a solution to accounting and operational risks tied to cash handling.
Partnership-Driven Growth
Visa continues to collaborate with governments, financial institutions, and policymakers to scale digital transformation through initiatives such as Tap to Phone, financial literacy programs, and localized infrastructure development. Each market’s unique regulatory and cultural context demands tailored solutions — ensuring inclusive access and long-term sustainability.
Building the Economy of Tomorrow
Digital transformation is not merely a technology shift — it is a foundation for inclusive, resilient economic growth. In markets where SMEs form the backbone of employment and innovation, adopting digital payments can drive 1–2% annual GDP growth. As digital collaboration deepens, economies from Cairo to Karachi are laying the groundwork for shared regional prosperity.
