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Supported by<\/p>\n
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Insights from South China Morning Post, The Economic Times, and Times of India<\/p>\n
Tourists in China have trouble making simple payments. An Indian lawmaker warned of \u201cticking time bombs.\u201d Cuban small businesses are bracing for impact<\/a>.<\/p>\n Countries have been transitioning to prioritize digital payments for years, and the move to \u201ccashless\u201d societies has some clear advantages. But the goal has run into hurdles globally.<\/p>\n As China tries to boost its tourism after lifting COVID-19 restrictions, tourists have reported having trouble<\/a> making payments in a largely cash-free economy, where many locals use WeChat and AliPay for payments, the South China Morning Post reported this week. Last summer, those apps allowed users to connect their international credit cards for the first time, but foreigners still face restrictions for individual transactions and transfers or are wary about giving personal data to the apps. China\u2019s central bank last week encouraged more banks, hotels, and restaurants<\/a> to accept foreign cards, a sign that Beijing wants to encourage tourism to help its struggling economy.<\/p>\n India has also been a leader in the cashless transition; a government minister recently declared that India does as many cashless transactions in a month \u201cas America does in three years<\/a>.\u201d But the rapid growth of the fintech sector has come with challenges: Last week the country\u2019s central bank clamped down<\/a> on the Indian digital payment platform Paytm, ordering it to stop accepting deposits at the end of the month. It prompted a lawmaker to warn of the risks of digital transactions, calling two other leading, foreign-backed payment platforms \u201cticking time bombs<\/a>,\u201d while a parliamentary panel pushed for more government support for domestic fintech players. The Paytm saga \u201chas shown India\u2019s world-leading fintech sector for the adolescent it is,\u201d Bloomberg\u2019s Menaka Doshi wrote. \u201cHungry for growth<\/a>, but dismissive of process.\u201d<\/p>\n Tourists suffer<\/a> in a cash-free world, The Telegraph\u2019s travel correspondent argued last year. Credit cards can be declined or come with fees, and it\u2019s not uncommon for phones to run out of battery while sightseeing. But platforms are increasingly allowing digital transactions to be standardized across borders \u2014 perhaps providing a glimpse into the future of a cashless world. This week, officials announced that India\u2019s Unified Payments Interface \u2014 a free, digital payment platform that works with multiple fintech companies \u2014 can now be used to make payments in rupees in Sri Lanka and Mauritius, and at the Eiffel Tower<\/a>. The move was seen as a benefit to Indian tourists who won\u2019t have to worry<\/a> about exchange rates or cash withdrawals.<\/p>\n<\/div>\nSIGNALS<\/h3>\n
China has been largely cashless for years<\/h3>\n
Paytm collapse highlights India\u2019s \u2018adolescent\u2019 fintech sector<\/h3>\n
Digital payments are becoming globalized in a boon to tourists<\/h3>\n