According to the latest data from the Central Bank of Bahrain (CBB), more than 14 million cashless transactions were recorded in Bahrain in January 2023, representing a 13% increase from January 2022. The data shows that the total value of transactions (point-of-sale plus e-commerce) in January 2023 was BD320.7m ($852.9m), which is 10.4% higher than the same period in the previous year.
The report indicates that 76.8% of the 14,162,710 transactions were contactless, revealing a shift in consumer behaviour towards cashless payments, as compared to the previously dominant cash or moderate card spending. Notably, the highest number of transactions in January 2023 were carried out in restaurants, with 4,930,931 transactions, followed by supermarkets (3,024,452), government services (967,567), health services (757,870), and department stores (580,775). In terms of transaction value, government services recorded the highest value at BD94.3m, followed by restaurants (BD39.4m), supermarkets (BD30m), hotels and resorts (BD16.6m), and automobile dealers (BD15.3m).
The report also reveals that electronic fund transfers in Bahrain increased during January 2022, extending the rising trend to more than two years. Transactions using the Fawri, Fawri+, and Fawateer services, enabled by the electronic fund transfer system (EFTS), continue to see substantial growth, amounting to 26,972,898 last month. Fawri+ is an almost real-time fund transfer service that allows individuals or entities to transfer funds of up to BD1,000 per day in less than 30 seconds. On the other hand, Fawri is a deferred settlement fund transfer service that allows individuals or entities to transfer any amount within a few hours of the business day, and Fawateer provides real-time bill payments.
Overall, the data indicates a significant rise in cashless transactions in Bahrain, reflecting a growing trend towards contactless payments and the wider adoption of electronic fund transfer services, driven by factors such as convenience, security, and efficiency.
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