Middle East Prepaid Card and Digital Wallet Market Intelligence and Future Growth Dynamics Databook - Q2 2025 Update

Key Trends and Drivers in the Middle East Prepaid Cards Sector

Government Initiatives Driving Digital Payment Adoption in the United Arab Emirates (UAE)

• The UAE is experiencing a significant increase in the adoption of prepaid payment instruments, supported by government efforts to digitize the economy. This includes initiatives to promote cashless transactions and enhance financial inclusion.
• The government's push towards a digital economy is a primary driver of this trend. By encouraging digital payment solutions, the UAE aims to improve transaction efficiency and reduce the reliance on cash.
• The trend is expected to continue, with increased collaboration between the government and financial institutions to introduce innovative prepaid card solutions. This will likely lead to higher adoption rates among consumers and businesses, further embedding prepaid cards into the UAE's payment ecosystem.

Rising Adoption of Prepaid Cards Among Unbanked Populations in Saudi Arabia

• In Saudi Arabia, prepaid cards are being used increasingly by individuals without traditional bank accounts. These cards provide a means for unbanked populations to engage in digital transactions.
• This trend is driven by the need for accessible financial services among unbanked individuals. Prepaid cards offer a practical solution for secure transactions without a traditional bank account.
• The adoption of prepaid cards among unbanked populations is expected to grow, contributing to greater financial inclusion in Saudi Arabia. Financial institutions may develop more tailored prepaid card products to meet the specific needs of this demographic.

Integration of Prepaid Cards with Digital Wallets in Qatar

• Qatar is witnessing the integration of prepaid cards with digital wallet platforms, allowing users to manage funds and make payments through their smartphones.
• The increasing penetration of smartphones and the demand for convenient payment solutions drive this trend. Consumers prefer the ease of managing finances digitally, which prepaid cards linked to mobile wallets facilitate.
• This integration is expected to deepen, with more financial institutions partnering with technology providers to offer seamless prepaid card and digital wallet solutions. This will likely enhance the user experience and promote cashless transactions in Qatar.

Growth of Prepaid Gift Cards in the Retail Sector in Kuwait

• Kuwait's retail sector is experiencing an increase in the issuance and use of prepaid gift cards, particularly during festive seasons and special occasions.
• Retailers are adopting prepaid gift cards to boost sales and attract customers. Consumers appreciate gift cards' flexibility, making them a popular choice for gifting.
• The trend is expected to intensify, with more retailers launching customized prepaid gift card programs. This will likely increase consumer engagement and loyalty in Kuwait's retail market.

Corporate Adoption of Prepaid Payroll Cards in Oman

• In Oman, companies are increasingly utilizing prepaid payroll cards to disburse salaries to employees, especially those without bank accounts.
• The need for efficient and secure salary disbursement methods drives this trend. Prepaid payroll cards offer a practical solution for employers to pay unbanked employees, ensuring timely and transparent transactions.
• Prepaid payroll cards are expected to expand, with more companies adopting this method to streamline payroll processes. This will contribute to financial inclusion and improve the financial well-being of employees in Oman.

Competitive Landscape of the Middle East Prepaid Card Market

Current Market Dynamics

• The rising adoption of prepaid cards in e-commerce, transportation, and corporate payroll solutions supports the market's growth. With many unbanked populations in the region, prepaid cards have become an essential financial tool, offering secure and accessible payment alternatives. Additionally, fintech companies are driving innovation, introducing digital wallets linked to prepaid cards, further expanding the market's reach.

Key Players and Market Share

• The prepaid card market in the Middle East is highly competitive, with a mix of global financial institutions and emerging fintech players. Leading companies such as Visa, Mastercard, American Express, and Carrefour SA dominate the market, offering a diverse range of prepaid card solutions for personal, corporate, and travel-related transactions. These companies have established strong distribution networks, leveraging partnerships with banks and retail chains.
• In addition to traditional financial institutions, fintech firms are entering the market with innovative prepaid card solutions tailored to regional needs. Companies like YouGotaGift, a digital gift card provider, have expanded their presence through partnerships with major retailers such as Carrefour. Meanwhile, regional fintech startups in Saudi Arabia and the UAE are launching prepaid card solutions integrated with mobile wallets, catering to the growing demand for digital financial services.

Recent Launches and Partnerships

• Strategic collaborations and partnerships are crucial in the evolution of the prepaid card market in the Middle East. One notable partnership is YouGotaGift’s collaboration with Carrefour, which has expanded the availability of digital prepaid gift cards, addressing the rising demand for digital gifting solutions. Additionally, banks and fintech firms are forming alliances to integrate prepaid card services with digital payment platforms, enhancing consumer convenience.
• While direct mergers and acquisitions in the prepaid card segment remain limited, broader financial sector consolidations impact the market. Large financial institutions are acquiring smaller fintech firms to strengthen their prepaid card portfolios and expand their customer base. This trend is expected to intensify as traditional banks seek to enhance their digital offerings by leveraging the technological capabilities of fintech startups.

Anticipated Market Evolution (Next 2-4 Years)

• The prepaid card market in the Middle East is expected to become increasingly competitive over the next few years. The entry of new fintech firms and the expansion of services by existing players will drive further innovation. Integrating prepaid cards with digital wallets and mobile payment solutions will likely become a key differentiator, with companies focusing on enhancing customer convenience and security.
• Regulatory developments will also play a crucial role in shaping the market. As governments implement stricter financial regulations, prepaid card providers must navigate compliance challenges while maintaining product innovation. Additionally, the push for financial inclusion will create opportunities for companies to introduce prepaid solutions tailored to unbanked and underbanked populations, further driving market growth.

Regulatory Changes

• Regulatory bodies in the Middle East have introduced new measures to enhance consumer protection and improve financial transparency in the prepaid card industry. Governments across the region are focusing on strengthening anti-money laundering (AML) and know-your-customer (KYC) compliance frameworks to ensure secure prepaid card transactions. These regulations aim to reduce fraud risks and increase trust in digital payment solutions.
• Central banks in countries like Saudi Arabia and the UAE have also introduced guidelines to facilitate the seamless integration of prepaid cards with mobile payment systems. These changes enhance the financial ecosystem, providing consumers with more secure and convenient digital transaction options. As regulatory frameworks continue to evolve, prepaid card issuers must ensure compliance while maintaining a seamless user experience.

Overview of Prepaid Cards and Digital Wallet Market

Prepaid Card Market Analysis

• Metrics Assessed: The study examines the prepaid card market through various lenses, including transaction value, transaction volume, average transaction value, load value, and the total number of cards in circulation.
• Card Types: A distinction is made between open-loop and closed-loop prepaid cards, providing insights into their respective market shares and growth trajectories.
• Usage Categories: The report segments the prepaid card market into various categories such as general-purpose cards, business and administrative expense cards, travel forex cards, and meal cards.
• Business Segmentation: Further segmentation is provided based on business size and type, including small-scale businesses, mid-tier businesses, enterprise-level businesses, government entities, and retail consumers.
• Sector-Specific Applications: The analysis extends to specific sectors utilizing prepaid cards, including transit and toll payments, healthcare and wellness services, social security and other government benefit programs, fuel purchases, utilities, and more.

Digital Wallet Market Insights

• Key Segments: The digital wallet market is dissected across five primary spending categories: retail shopping, travel, entertainment and gaming, dining establishments, and recharge and bill payments.
• Performance Metrics: For each segment, the report evaluates transaction value, transaction volume, and average transaction value, offering a granular view of consumer spending behaviors.
• Retail Spend Breakdown: An in-depth analysis is provided for retail spending via digital wallets, covering categories such as food and grocery, health and beauty products, apparel and footwear, books, music and video, consumer electronics, pharmacy and wellness, gas stations, restaurants and bars, toys, kids and baby products, services, and other miscellaneous categories.

Virtual Prepaid Card Market Segmentation

• Categories Analyzed: The virtual prepaid card market is segmented into key categories, including general-purpose cards, gift cards, entertainment and gaming cards, teen and campus cards, business and administrative expense cards, payroll cards, meal cards, travel forex cards, transit and toll cards, social security and other government benefit program cards, fuel cards, utilities, and other miscellaneous categories.
• Performance Evaluation: For each category, the report assesses transaction value, providing insights into the adoption and usage patterns of virtual prepaid cards across different consumer segments.

Consumer Usage Trends

The report delves into consumer behavior concerning prepaid cards, segmented by:

• Age Groups: Identifying usage patterns across different age demographics.
• Income Levels: Analyzing how income brackets influence prepaid card adoption and usage.
• Gender: Examining differences in usage trends between genders.

This title is a bundled offering, combining one regional and 3 country reports (tables 444, figures 544):

• Middle East Prepaid Card and Digital Wallet Business and Investment Opportunities Databook
• Israel Prepaid Card and Digital Wallet Business and Investment Opportunities Databook
• Saudi Arabia Prepaid Card and Digital Wallet Business and Investment Opportunities Databook
• United Arab Emirates Prepaid Card and Digital Wallet Business and Investment Opportunities Databook

Scope

Prepaid Payment Instrument Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Prepaid Card vs. Digital Wallet

Digital Wallet Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Segments

Digital Wallet Market Size and Forecast by Key Segments

• Retail Shopping (Value, Volume, Avg. Value)
• Travel (Value, Volume, Avg. Value)
• Restaurant (Value, Volume, Avg. Value)
• Entertainment and Gaming (Value, Volume, Avg. Value)
• Recharge and Bill Payment (Value, Volume, Avg. Value)

Digital Wallet Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

Prepaid Card Industry Market Attractiveness

• Load Value Trend Analysis
• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards
• Market Share Analysis by Functional Attributes - Open Loop vs. Closed Loop
• Market Share Analysis by Prepaid Card Categories

Open Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Closed Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Prepaid Card Consumer Usage Trends

• By Age Group
• By Income Group
• By Gender

Prepaid Card Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

General Purpose Prepaid Card Market Size and Forecast

Gift Card Market Size and Forecast

Gift Card Market Size and Forecast by Functional Attribute

• By Open Loop Gift Card
• By Closed Loop Gift Card

Gift Card Market Size and Forecast by Consumer Segments

• By Retail Consumer Segment
• By Corporate Consumer Segment

Gift Card Market Share Analysis by Retail Categories

• Gift Card Market Share Analysis by Gifting Occasion
• Gift Card Market Share Analysis by Purchase Location

Entertainment and Gaming Prepaid Card Market Size and Forecast

Teen and Campus Prepaid Card Market Size and Forecast

Teen and Campus Prepaid Card Market Size and Forecast by Functional Attribute

• By Open Loop Teen and Campus Prepaid Card
• By Closed Loop Teen and Campus Prepaid Card

Business and Administrative Expense Prepaid Card Market Size and Forecast

Business and Administrative Expense Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Payroll Prepaid Card Market Size and Forecast

Payroll Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Meal Prepaid Card Market Size and Forecast

Meal Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Travel Forex Prepaid Card Market Size and Forecast

Travel Forex Prepaid Card Market Size and Forecast by Consumer Segments

• By Retail
• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Transit and Tolls Prepaid Card Market Size and Forecast

Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast

Fuel Prepaid Cards Market Size and Forecast

Utilities, and Other Prepaid Cards Market Size and Forecast

Virtual Prepaid Card Industry Market Attractiveness

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Virtual Prepaid Card Categories

Virtual Prepaid Card Market Size by Key Categories

• General Purpose Prepaid Card - Transaction Value
• Gift Card - Transaction Value
• Entertainment and Gaming Prepaid Card - Transaction Value
• Teen and Campus Prepaid Card - Transaction Value
• Business and Administrative Expense Prepaid Card - Transaction Value
• Payroll Prepaid Card - Transaction Value
• Meal Prepaid Card - Transaction Value
• Travel Forex Prepaid Card - Transaction Value
• Transit and Tolls Prepaid Card - Transaction Value
• Social Security and Other Government Benefit Programs Prepaid Card - Transaction Value
• Fuel Prepaid Cards - Transaction Value
• Utilities, and Other Prepaid Cards - Transaction Value

Reasons to buy

• In-depth understanding of Middle East’s prepaid card and digital wallet market dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 80+ market segments and sub-segments of prepaid payment instrument, prepaid card, digital wallet and virtual prepaid card.
• Understand Middle East’s market opportunities and key trends along with forecast (2020-2029). Understand market dynamics through essential KPIs such as transaction value, transaction volume, and average value per transaction.
• Develop Middle East’s market specific strategies: Identify growth segments and target specific opportunities to formulate your prepaid card and digital wallet strategy; assess market specific key trends, drivers and risks in the industry.
• Detailed analysis of Middle East’s market share by key players across key prepaid card categories.
• Get insights into Middle East’s consumer attitude and behaviour: Understand changing consumer attitude and behaviour and boost ROI. Get detailed insights into retail spend through prepaid cards, virtual prepaid cards and digital wallets.