Kuwait’s payment landscape is rapidly transforming as consumers increasingly adopt digital alternatives to cash. Visa’s third edition of the Where Cash Hides report shows that 59 percent of consumers in Kuwait now primarily use non-cash payment methods, relying on cards or mobile devices for most transactions. This marks a four-percentage-point increase compared to last year.
The appeal of cash is declining across everyday purchases. Only 30 percent of respondents now use cash for routine spending, down from 40 percent in 2025. The drop is evident across categories traditionally dominated by cash, including app-based purchases, bill payments, and dining out.
For everyday needs such as utilities, meals, and taxi rides, debit cards and mobile wallets are now the preferred options. Credit cards, meanwhile, are more commonly used for occasional or higher-value purchases. Peer-to-peer payments remain one of the last strongholds of cash, with 61 percent of consumers still tipping in cash. Cash is also used for peer-to-peer services, rent payments, and international remittances via exchange houses, though usage in these areas continues to decline.
Visa’s data shows a sharp 19-percentage-point drop in cash usage for peer-to-peer payments, signaling a broader behavioral shift. Mohamed Reyad, Visa’s Country Manager for Kuwait, said the findings reflect a steadily modernizing market, with consumers increasingly seeking payment options that are fast, convenient, and secure.
The report highlights that digital payments are gaining ground because they offer greater safety, transparency, and ease of use. Cards reduce the risks associated with carrying physical money, enable seamless online and in-store purchases, and provide instant transaction records. Mobile payments further enhance security through tokenization, ensuring sensitive card details are never shared.
Rewards, cashback, and lifestyle benefits attached to credit and prepaid cards have also become a strong motivator, aligning with consumer expectations at home and abroad. Together, these factors are accelerating Kuwait’s transition toward a more cash-light economy.
