The Future of Contactless Payments: A Comparative Study of Adoption Trends in Emerging Vs. Developed Markets.
DOI:
https://doi.org/10.54536/ajfti.v3i1.4554Keywords:
Contactless Payments, Cybersecurity Risks, Developed Markets, Digital Payment Adoption, Emerging MarketsAbstract
Modern financial transactions benefit from near-field communication and radio-frequency identification technologies which create contactless payment systems that speed up transactions while promoting security and better convenience. The behavior of adopting contactless payments differs extensively between developed countries and emerging economies because of their distinct infrastructure quality, regulatory standards, and consumer confidence levels. Emerging markets face multiple obstacles in their digital finance sector which stems from weak cybersecurity defenses and inconsistent regulations and insufficient technological capabilities. This systematic literature review examines the key drivers, barriers, and trends influencing contactless payment adoption across different economic contexts. Developed markets, such as the UK and Sweden, have achieved widespread adoption due to regulatory oversight and consumer confidence. In contrast, emerging markets, including India and Nigeria, rely on QR-based payment solutions for financial inclusion but contend with fraud risks, network instability, and weak cybersecurity protections. The Technology Acceptance Model (TAM) features in this review to study consumer actions while examining how users perceive system usefulness and how easily they use it to drive adoption patterns. The research supports developing official cybersecurity rules in addition to teaching people about money and strengthening digital networks to build safe payment systems that include everyone. Solving the mentioned problems will enhance digital financial inclusion and secure the durable expansion of contactless payments worldwide.
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