POS weekly transactions down to SAR 11.4B: SAMA

POS device

Point-of-sale (POS) transactions in Saudi Arabia fell in the week ended Oct. 19 to nearly SAR 11.4 billion from around SAR 12.3 billion in the previous week.

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The number of POS transactions reached about 198.2 million last week, compared to roughly 208.5 million a week earlier, according to data issued by the Saudi Central Bank (SAMA).

POS transactions represent consumer expenditures through debit and credit cards at major shopping centers, retail outlets, pharmacies, and others.

The data indicated that the value of sales via POS increases in the weeks that coincide with the disbursement of salaries to government employees (the 27th of each month), in addition to the weeks that coincide with school vacations and the weeks preceding Eid Al-Fitr and Eid Al-Adha.

On the other hand, the value of POS sales decreases in the weeks preceding the disbursement of salaries and the weeks coinciding with the back-to-school season.

Adopting the four-week moving average, the value of POS transactions increased during 2024, compared to 2022 and 2023. The average value of sales ranged between SAR 11 billion and SAR 14 billion in 2024.

However, it ranged between SAR 10 billion and SAR 13 billion in 2023, and between SAR 9 billion and SAR 12 billion in 2022.

Sector-wise, consumer spending focused on the restaurants and cafes sector, totaling SAR 1.77 billion, or 15.6% of the total expenditure in the week to Oct. 19. The food and beverage (F&B) sector followed with SAR 1.74 billion, or 15.4% of the total, as follows:

Riyadh led in terms of POS value by region during the week, with approximately SAR 4 billion, representing 35.1% of the total. Jeddah came in second with SAR 1.6 billion (13.9%), as follows:

According to SAMA’s latest data, e-payments in the retail sector (individuals) reached 70% of the total payment transactions carried out by individuals in the Kingdom during 2023. This achieved the target percentage in the Financial Sector Development Program—a Vision 2030 program—which had aimed to reach an e-payment ratio of 70% by 2025.

Over the past few years, Saudi Arabia has witnessed remarkable progress and rapid growth in adopting e-payment methods. This was fueled by strategic efforts and initiatives launched by the SAMA, in cooperation with the financial sector, to support the growth of the payments sector and stimulate the use of various e-payment options in the Kingdom.