# Mastercard 2022 payment predictions Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-02-04 Category: FINANCE Category URL: https://financedigest.com/category/finance Meta Title: The indomitable rise of green fintech in 2022 Meta Description: Discover how fintech companies like Helpful, ekko, and Doconomy are driving innovation in sustainable finance. Stay ahead in 2022! URL: https://financedigest.com/mastercard-2022-payment-predictionshtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/istock-1284998131-1736816260415-compressed.jpg) _By_ **_Scott Abrahams,_** _SVP Business Development and Fintech at Mastercard_ **1.The indomitable rise of green fintech** ![](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/scott-abrahams-svp-business-development-and-fintech-at-mastercard-1736816260390-compressed.jpg) Scott Abrahams, SVP Business Development and Fintech at Mastercard [Climate change](https://www.financedigest.com/scientists-in-germany-turn-up-heat-on-seagrass-in-climate-change-fight.html "Scientists in Germany turn up heat on seagrass in climate change fight") has topped the news agenda throughout 2021, and rightfully so. In 2022, it is my sincere hope that governments, organisations, and individuals across the globe take decisive action to tackle the climate crisis, and the [financial services](https://www.financedigest.com/devops-the-secret-tool-thats-transforming-financial-services.html "DevOps: The Secret Tool that’s Transforming Financial Services") industry is no exception. There is a huge amount of innovation in this space, and we have seen good progress in 2021, with fintechs like Helpful, ekko and Doconomy leading the charge. But payments is just one part of it – there are also new solutions cropping up in other areas of financial services, like the Government’s new [green savings bond](https://www.financedigest.com/green-bonds-are-set-to-drive-corporate-esg-debt-out-of-slump-in-2023-barclays.html "Green bonds are set to drive corporate ESG debt out of slump in 2023 -Barclays") through NS&I and in pensions, a UK company, Cushon launched the world’s first net zero now pension. In 2022, I expect to see continued momentum and a surge of new entrants into this space, as well as increased interest from consumers in how the choices they make can contribute to a greener, more [sustainable financial](https://www.financedigest.com/cobots-in-the-financial-workplace-reducing-costs-attracting-talent-and-enhancing-sustainability.html "Cobots in the financial workplace: Reducing costs, attracting talent and enhancing sustainability") ecosystem. **2.The** [digital new normal](https://www.financedigest.com/digital-payment-tools-the-new-normal-for-charity-fundraising.html "Digital payment tools: the new normal for charity fundraising?") Many of us are already living digital-first lives, and this has been dramatically accelerated by ongoing [global events](https://www.financedigest.com/incentive-fm-group-wins-contract-with-global-events-company.html "Incentive Fm Group Wins Contract With Global Events Company"). Mastercard data shows that at the beginning of the pandemic, there was a larger shift to [digital payments](https://www.financedigest.com/can-i-please-speak-to-someone-why-building-relationships-is-still-crucial-in-digital-payments.html "“Can I please speak to someone?” Why building relationships is still crucial in digital payments") in 10 weeks than in the preceding five years. At the European level, the pandemic has pushed contactless payments to more than 80% of all in-store card transactions, and in the UK, the online [share of spend in the retail sector is five percentage points higher](https://www.financedigest.com/european-shares-end-higher-on-china-recovery-optimism.html "European shares end higher on China recovery optimism") than the pre-pandemic trend, a 21% gap. Since the start of the pandemic, there has been a decline in cash use and an increase across all digital [payment methods](https://www.financedigest.com/freelancer-payments-methods-what-you-should-know.html "Freelancer Payments Methods: What You Should Know"). Of those who used digital [payment technologies in the last year](https://www.financedigest.com/2019-year-customers-take-control-payments.html "2019: The year customers take control of payments"), 65% are using smartphone payments more, 64% are using QR code payments more and 59% are using contactless more. The uptake of the usage of mobile [banking apps has also increased](https://www.financedigest.com/banking-and-fintech-convergence-will-increase-reliance-on-it.html "Banking and Fintech Convergence will Increase Reliance on IT") enormously, and this shift will likely stick, even after the pandemic eventually becomes history. In fact, one in four (25%) [say they’ve used new digital](https://www.financedigest.com/digital-euro-will-be-free-but-limited-in-scope-ecb-says.html "Digital euro will be free but limited in scope, ECB says") payment technologies they wouldn’t have used before the pandemic. **3.Financial inclusivity must be prioritised** Mastercard data found that 30% of people don’t feel comfortable using [digital payments](https://www.financedigest.com/italys-nexi-signs-digital-payments-deal-with-tims-olivetti.html "Italy’s Nexi signs digital payments deal with TIM’s Olivetti"), and that older generations are still far less likely to have a banking app than those younger than them – just 42% of over 65s and 57% of 55–64-year-olds have a banking app. Despite the plethora of benefits that come with the mass migration to [digital payments](https://www.financedigest.com/the-future-of-digital-payments-and-collections-16.html "The Future of Digital Payments and Collections 16"), there remain those that prefer more traditional transaction methods, and we cannot leave these people behind. It is the responsibility of the [payments industry](https://www.financedigest.com/how-the-epa-plans-to-boost-confidence-in-the-uk-payments-industry-post-brexit.html "How the EPA plans to boost confidence in the UK payments industry post Brexit"), policymakers, and government to ensure these people are not excluded as we move towards a more digital economy. This must [remain a key focus](https://www.financedigest.com/european-bourses-steady-as-focus-remains-on-key-economic-data.html "European bourses steady as focus remains on key economic data") in 2022. **4.5G will enter payments** For consumers, 5G’s high-speed, always-on connections, will mean they’re [provided with more choice](https://www.financedigest.com/route-genie-partners-withnorsk-global-to-provide-retailers-with-increased-international-carriage-choice.html "Route Genie Partners WithNorsk Global To Provide Retailers With Increased International Carriage Choice"), information, and personalised content both before, during and after a transaction. The level of connectivity it offers means that machines, devices and even objects will be able to actively participate in transactions. In short, 5G will revolutionise payments, and we will step closer to this [becoming reality](https://www.financedigest.com/2022-the-year-future-payment-trends-become-reality.html "2022 – the year ‘future payment trends’ become reality?") in 2022. **5.Choice, flexibility, and security will become non-negotiable** I could speak about [payment methods until the cows come home, but let’s be honest – nobody wakes up in the morning thinking about how they can’t wait to use a payment card](https://www.financedigest.com/why-latin-america-chose-biometric-authentication-for-payment-cards.html "Why Latin America Chose Biometric Authentication for Payment Cards") or an app! It is what they are buying that motivates them. Regardless of what they are buying or how they choose to pay for it, their decision will be made based on a core [set of values](https://www.financedigest.com/in-line-transit-time-ultrasonic-flow-meters-sales-are-set-to-be-valued-at-us-337-5-mn-in-2021.html "In-Line Transit Time Ultrasonic Flow Meters sales are set to be valued at US$ 337.5 Mn in 2021") – convenience, flexibility, and safety. In 2021, we’ve seen an uptick in popularity of payment methods that offer exactly this, including Buy Now Pay Later (BNPL), which we announced our own [plans for in September 2021 to meet](https://www.financedigest.com/uks-sunak-plans-to-meet-biden-in-g20-summit.html "UK’s Sunak plans to meet Biden in G20 summit") the growing demand for flexible, digital-first payment options. As we move into 2022, the payment [companies](https://www.financedigest.com/why-are-companies-implementing-crypto-payments.html "Why are companies implementing crypto payments?") that succeed will be those that prioritise and deliver payment methods that allow people to pay and get paid safely, in real-time, and in a way that works for them. **6.Open banking** Open [banking is already present in many parts of our lives, including in choosing banking services](https://www.financedigest.com/axion-swiss-bank-and-avaloq-sign-long-term-contract-for-bpo-services.html "Axion Swiss Bank and Avaloq sign long-term contract for BPO services"), demonstrating our creditworthiness and in some personal financial management (PFM) tools. It means we can make our financial data work for us and [open](https://www.financedigest.com/australia-financial-crimes-regulator-opens-investigation-into-britains-entain.html "Australia financial crimes regulator opens investigation into Britain’s Entain") access to more streamlined and flexible financial experiences. In areas such as savings, for example, open banking tools can provide huge value to consumers by providing personalised [tips to help them make more informed financial](https://www.financedigest.com/5-tips-for-financial-fitness-in-2021.html "5 tips for financial fitness in 2021") decisions. With the sum of excess consumer savings in UK [expected to reach approximately £193,188 million](https://www.financedigest.com/pallet-boxes-market-is-expected-to-reach-us-184-5-million-in-2022-exhibiting-growth-at-cagr-of-5-7-for-2022-28-fmi.html "Pallet Boxes Market is expected to reach US$ 184.5 million in 2022, exhibiting growth at CAGR of 5.7% for 2022-28: FMI") in 2022, this is an area that holds huge potential. To date, uptake in Open Banking has been slow and consumers haven’t benefitted as much as they could have, but in 2022 we can expect to see greater adoption of services for both individuals and [small businesses](https://www.financedigest.com/how-banks-will-evolve-to-support-small-business-owners.html "How banks will evolve to support small business owners"). The [financial services](https://www.financedigest.com/top-6-trends-emerging-in-financial-services-in-2016.html "TOP 6 TRENDS EMERGING IN FINANCIAL SERVICES IN 2016") innovators that capitalise on this will be the ones that thrive in a consumer-centric, data-driven economy. **7.Central [Bank Digital](https://www.financedigest.com/igtb-launch-digital-transaction-banking-available-as-saas.html "iGTB launch Digital Transaction Banking available as SaaS") Currencies will gain momentum** The last year has shown just how essential digital payments are to the global economy, and governments [around the world](https://www.financedigest.com/around-the-world-in-mobile-payments.html "Around the world in mobile payments") have taken note with some now looking to their central banks to issue their own digital currencies, known as CBDCs. These are digital and equivalent representations of physical currency but easier to handle, less vulnerable to fraud and, as connectivity increases and mobile devices become more widespread, an effective [way to include more people](https://www.financedigest.com/5-common-ways-people-end-up-in-debt-without-realising.html "5 Common Ways People End Up In Debt Without Realising") in the digital economy. Over the next year, we should expect to see developments in this space, and will see central banks, [financial institutions and governments coming together to help shape the future](https://www.financedigest.com/the-future-of-financial-institutions-in-2023.html "The Future of Financial Institutions in 2023") for CBDCs. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---