Panama is following a global trend of increasing adoption of digital payments. According to a recent study by the World Bank, the use of credit and debit cards in the country grew 15% in 2023. The study also showed that the use of mobile payments grew 20% in the same period.

The Panamanian Financial System Superintendence and Regulation Authority (ASFU) recorded a total of 6.6 million digital financial transactions in 2023, an increase of 10% from the previous year.

This trend is being driven by a number of factors, including increasing connectivity, the adoption of mobile technologies, and growing concerns about security.

Panama has an internet penetration rate of 90%, making it easier for consumers to access and use digital financial services. Additionally, the country has a young and urban population, which is more likely to use smartphones and other mobile devices to make payments.

Another key factor is the growing concern about security, which is leading consumers to adopt digital payments. Cash payments are more prone to fraud and theft, which can lead consumers to opt for more secure payment methods.

Financial experts are unanimous in stating that, worldwide, digital payments are generally considered more secure than cash payments. This is because digital payments are transmitted over the internet in encrypted form, which makes it difficult to intercept the data. Additionally, digital payments often include additional security measures, such as two-factor authentication.

Pagonet is a company that offers payment sending and receiving options, both domestically and internationally. The company uses a secure and reliable platform to process payments, making it a safer option for consumers.

There are a number of security features that help protect consumer data, including:

• Encryption: All payment data is transmitted over the internet in encrypted form, making it difficult to intercept by third parties.
• Two-factor authentication: Consumers can choose to use two-factor authentication to add an extra layer of security to their accounts.
• Activity monitoring: Pagonet monitors the activity of its accounts to detect potential fraudulent activity.

In addition, Pagonet is a regulated company by the Panamanian National Bank, which means that it is subject to a number of security requirements. This helps to ensure that the company implements the best security practices to protect consumer data.

Now that you know that digital payments in Panama are on the rise, contact us to learn how Pagonet can help your business attract consumers in Panama and around the world