Congratulations to the Samoa Commercial Bank for developing an application or app that makes payments cashless. This is the way society should be moving. This is the first bank in Samoa to develop such an app.

Samoa Commercial Bank (SCB) has introduced a payment initiative called the MySCB Wallet allowing people to do things without carrying much cash.

The technology allows customers to use their mobile devices to scan and pay instead of paying by cash when shopping for groceries, buying medicine at a pharmacy, eating at a restaurant, paying for transport/deliveries, utility bills and other fees.

Customers can also process a payment transfer to any account in the bank.

This is not new to the Pacific. Other countries have already taken the lead with this technology. It is a secure, faster payment method that is cost-effective and does not require expensive hardware.

The whole world is heading towards a cashless and paperless society. Payments for virtually anything can be made from phones. Businesses are also moving in this direction. Most business transactions nowadays are also done electronically or through the internet.

The government and the Central Bank of Samoa need to be proactive so the laws align with the changing technology.

When COVID-19 impacted neighbouring Pacific nations, most of the government’s financial help to people was delivered through electronic wallets similar to MTala or MyCash. For Samoa, such technology can be used to make pension payments and to people on social welfare benefits.

Having a cashless economy is also good for tourism. Most people when they travel nowadays, they rely on their electronic wallets. Tourists also travel to places that support such services.

Last year during the World Long Distance Outrigger Championship, a European competitor vented his frustration on how he was unable to book car rental services or hotel accommodation because the local infrastructure did not support such systems.

In October, the nation will be hosting the Commonwealth Heads of Government Meeting. There will be thousands of people coming to this tiny island nation. Most of the delegates will rely on the cashless payment systems.

If such systems are available here by then along with the legislations that support a cashless society and allow such financial transactions, imagine the economic good it will do.

1,347.7 billion cashless transactions were made globally in 2023, and this is predicted to grow to 2,121.6 billion by 2026. The global rise in mobile wallet transactions can be seen both online and in store. Mobile wallet point-of-sale transactions are expected to rise to 39 per cent in 2025, while e-commerce mobile wallet transactions are projected to represent 53 per cent of all transactions by 2025.

Most customers now expect a choice when it comes to payment methods. Cashless transactions are often faster and more convenient. Plus, constant technological advances mean customers can pay with a variety of methods, including through mobile or by tapping or swiping their physical card. These technological advances include better security in a landscape where payment fraud is common – meaning customers can store their encrypted card details with peace of mind.

Cashless payments improve overall efficiency and reduce operational costs in a business. These types of payments are faster to process as customer service teams don’t need to handle, count, or bank physical cash, and all accounting can be stored and completed digitally. Consequently, cashless businesses reduce operational costs, save a significant amount of time, and reduce the possibility of human error in their accounting.

Another reason why more businesses are going cashless is that handling and storing cash on site can be a major risk. Brick-and-mortar businesses can be subject to ‘smash-and-grab’ robberies, which can include cash boxes as well as physical merchandise. Storing cash on-site can be tempting for thieves and put a business and its staff at risk.

The government does have a lot on its plate but this is one of those things that would revolutionise the way businesses operate and make it more convenient not only for the public but also for the government.

We look forward to more banks following the road SCB has gone down and more businesses adopting such systems that would lead towards a more cashless society.