The UAE now leads the Gulf region in reducing cash dependency, with only 20% of daily transactions conducted in cash, according to the latest Cash Index by Forex SA. Bahrain recorded a similar rate, while Qatar stood at 25%. Saudi Arabia and Kuwait follow with around 30% usage, placing them mid-transition toward digital payments. Oman remains the most cash-reliant in the GCC at 50%.
The report notes that GCC countries are steadily advancing digital payment ecosystems through national strategies, wider POS acceptance, and modern fintech solutions. These efforts aim to enhance financial inclusion, increase transaction efficiency, and drive economic growth.
Globally, advanced markets such as South Korea, Norway, China, Iceland, and Australia now conduct under 10% of everyday transactions in cash, making physical money nearly obsolete. Meanwhile, heavily cash-dependent economies — including Myanmar, Ethiopia, and Gambia — still see cash usage at 95% or higher due to limited digital infrastructure.
The findings highlight the UAE’s strong digital transformation momentum while underscoring global divides in payment modernization as many countries continue working toward secure and inclusive electronic financial systems.
