Welcome to Backstory, a weekly newsletter turning global technology shifts into a three-minute read. This week, we’re thinking about how we deal with money  – Mary Ames, Director of Strategy

THE BIG TAKE

Our Cashless Future Starts Now

The Covid-19 pandemic is accelerating trends that existed long before the outbreak. The technology enabling remote work, for example, is being put to use. Millions of people are now working from home. The same acceleration can be seen in less obvious areas. Consider contactless payments and financial technology. Since March, there has been an explosion of interest in all things cashless. That’s a golden opportunity for the Gulf.

Beyond the iPhone: Over the last decade, smartphones have fueled growth in financial technology and inclusion across emerging markets. Millions of people across Africa, the Middle East, and Asia who previously had no access to formal financial markets have been able to use their smartphones for digital banking. Once a person has access to the formal financial system, a host of other products and services are available to them. The transformation is a critical part of efforts to lift people out of poverty and reform economies around the world. 

Innovation happens here: The UAE is a hub for financial inclusion efforts including digital banking. Dubai-based startups are some of the world’s best when it comes to remittances, which are a key part of this digital transformation. UAE companies are also creating apps and platforms that are changing the sector. The Covid-19 pandemic is a chance to accelerate efforts and ensure the UAE remains one of the world’s leaders in financial technology. 

Digital solutions: If you look around the streets of Abu Dhabi and Dubai, you can’t miss the growth of cashless services. From Abu Dhabi taxis accepting contactless payments to the growth of Apple Pay in the country, the UAE is a testbed for the latest innovations. A recent paper produced by Mastercard found that early adoption and the use of digital technology allow for higher productivity levels through more efficient use of capital and labour. Financial technology is a ripe sector for the UAE and other Gulf economies. Using the Covid-19 pandemic as a motivator, the UAE can entrench its quantitative advantage in the sector for decades to come.

QUESTION OF THE WEEK

This week, we’re asking you about money. Do you prefer digital payments over cash? Get in touch across our social media channels @xische with your thoughts, feelings, and answers. Or drop us a line and just say hello.

QUOTE OF THE WEEK

“You can’t connect the dots looking forward; you can only connect them looking backwards.”

– Steve Jobs

COVID19 STORIES

We are passionate about telling human stories. Now more than ever, those stories involve you. Covid19 Stories is a showcase of words, photos, and videos of our global community designed to celebrate shared experiences from this time of isolation. Powered by Empowering through, this exhibition is a dynamic and living testament to the historic moment we’re living through. Visit Covid19 Stories to share your story today.

OUR VIEWS THIS WEEK

Networked cities: Over the past three decades, the UAE has emerged as a physical nexus point of the international economy. This is thanks to top-down leadership, smart infrastructure investment, and an early embrace of future technologies. As the economy shifts due to Covid-19, the UAE needs to pivot to become the digital nexus point of the world. This week, we reviewed how this can happen seamlessly and position the country to face new challenges. The next chapter is digital. 

WFH forever? Over the last two months, the technology world has warmly embraced remote work. From Google to Facebook, the major tech giants are encouraging their staff to stay home permanently. What if countries adopted a similar mindset? This week, we considered how Gulf nations can borrow a page from Silicon Valley’s handbook and shift to more remote work. Thinking outside the box in these subtle ways is key to finding opportunities in the Covid-19 marketplace.

A MESSAGE FROM SPIDERSILK

Practical cybersecurity: In today’s online world, cybersecurity is a critical line of defence for any business. Enter SpiderSilk, a Dubai-based cybersecurity firm specializing in simulating the most advanced cyber offences on your technology so you can build your best security defenses. Mitigating risk and protecting digital infrastructure can be achieved through the most advanced adversarial simulations and advisory services.

SPOTTED ELSEWHERE

Future reading: If you’re a regular Backstory reader, you know we love technology and all that it affords society (not to mention the gadgets!). On the other hand, we’re equally enamored with the luxury of paper and the printed page. This story from the Australian publication Aeon neatly strikes a similar balance. In this piece about the future of reading, Craig Mod (check out his newsletter) says “digital books stagnate in closed, dull systems, while printed books are shareable, lovely and enduring. What comes next?” It’s a must read piece. 

Solar flare: As if 2020 wasn’t already a stressful year, scientists are reporting that the sun might be waking up from an extended hibernation. That’s right, our previously sleepy sun might soon be sending solar flares across the solar system. With the successful SpaceX launch this week, hopefully we will soon have a technological means of harnessing this power. In the meantime, expect more solar turbulence. 

QUICK HITS

• Has the coronavirus ended our desire to shop? 

• Looking for a great newsletter for these troubled times? Check out this one all about the art of craftsmanship. 

• A new economy needs a different mindset.

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