Online Payments Sector

[winston]

CN Non-Banking Payment Institutions Handle Over 24% YoY More Online Payment Deals in 2Q21

The People's Bank of China announced the payment business statistics for the second quarter of 2021.

During the quarter, Chinese non-banking payment institutions handled 260.83 billion online payment transactions, totaling RMB87.32 trillion, representing a year-on-year increase of 28.17% and 24.37%.

Source: AAStocks Financial News

[winston]

CN 2020 Adult E-payment User Proportion Hits 89.2%, Up Nearly 3.8 Ppts YoY

The People's Bank of China published the 2020 China Inclusive Financial Indicators Analysis Report.

The proportion of adults using electronic payments was 89.16% last year, rising 3.79 ppts from the same period of 2019 according to survey.

Of which, the proportion of adult e-payment users in rural areas climbed 6.51 ppts YoY to 82.72%.

Source: AAStocks Financial News

[winston]

China's non-cash payments soar in 2Q

Non-cash payments, involving bank cards, online payment vehicles, commercial papers, credit transfer and other settlements, totaled 1,080.82 trillion yuan (US$167.05 trillion) in the second quarter, up 6.25 percent year on year, according to the People's Bank of China.

Of the total, mobile payments sustained an upward trend to 117.13 trillion yuan, up 10.32 percent year on year, it added.

The bank card transactions hit 240.25 trillion yuan in the second quarter, up 9.66 percent year on year.

China had 13.12 billion bank accounts at the end of June, up 2.05 percent from the previous quarter, it added.

Source: Bernama

https://www.theedgemarkets.com/article/ ... ts-soar-2q

[winston]

Payments: Not many surprises within 2Q22 earnings – travel spending appears to continue to recover at a strong rate, which is important for some of the network names under coverage.

The acquirers also continue to post relatively strong growth and Morningstar expects growth to be healthy.

In this space, we prefer PayPal (PYPL US) given that the share price has likely imputed some roll-back of pandemic-related tailwinds, while the company is making positive strides in usage among existing accounts, capital returns and cost reduction.

Source: OCBC