Capital Markets Autumn 2020

I

Digital Payments Beyond the Election

I • Digital payments continue to outgrow the broad economy as they gain penetration, driven by increasing e-commerce and mobile payments

‒ China has the largest volume of digital payments and Europe is growing fastest

• Payment networks, processors, and software companies can capitalize on the trend

II

Global Digital Transactions

Mobile Payments

E-Commerce

III

8.3

16.5% CAGR

7.3

6.4

4.2

IV

5.4

3.4

4.4

2.7

3.9

$ Trillions

2.1

1.5

1.1

V

4.1

3.9

3.7

3.3

2.9

2.8

2019

2020E

2021E

2022E

2023E

2024E

VI

Source: Statista Digital Market Outlook 2020. CAGR is compound annual growth rate, the rate of return required for a quantity to grow from its beginning balance to its ending balance. Mobile payments occur when smartphones are used to process transactions using wireless communication or scan QR barcodes.

5