Digital Access Outpaces Financial Security in Saudi Arabia
In Saudi Arabia, nearly universal internet and mobile phone access does not guarantee personal financial security. A new study examining digital and financial participation found that while 99.1 percent of adults use the internet and 97.9 percent own a mobile phone, only 37.7 percent save money through formal financial channels. Furthermore, just 41.9 percent meet the survey’s threshold for financial resilience, meaning they can manage an unexpected financial emergency.
These findings highlight a distinct gap between digital adoption and actual economic safety. Having a smartphone and a banking app allows residents to make routine transactions, but it does not automatically provide spare income for savings or protect households against sudden job losses and unexpected bills.
Payment Infrastructure Growth Outpaces Household Savings
Saudi Arabia has invested heavily in banking technology and payment infrastructure to reduce its reliance on cash. Research tracking monthly payment activity from 2019 to 2025 shows that the onset of the COVID-19 pandemic coincided with a 7 percent to 13 percent increase in digital payment intensity compared to cash withdrawals. Following that initial shift, payment activity stabilized at a higher baseline rather than continuing to accelerate at the same rate.
Earlier analyses of Global Findex surveys spanning 2011 to 2021 also documented substantial growth in Saudi digital finance. However, participation varied widely depending on education, income, employment, and gender. A separate study examining complete digital financial non-use found that nearly one in four adults made no use of digital financial services despite widespread account availability.
To capture this broader dynamic, researchers developed the Digital–Financial Foundations Index, which combines seven indicators including account ownership, digital merchant payments, phone and internet use, formal saving, and financial resilience. The index averaged 70.3 out of 100 overall, but rose to 82.3 when limited strictly to digital access and use. This discrepancy demonstrates that national financial progress appears much stronger when saving and resilience metrics are excluded from the calculation.
Socioeconomic Factors Drive Financial Resilience Gaps
Statistical analysis from the research identifies education, employment, and income as the strongest correlates of digital-financial maturity. After controlling for other observed characteristics, adults with tertiary education scored 6.2 points higher on the index than those with secondary education or less. Employed adults scored 9.9 points higher than those not employed, and those in the highest income group scored 10.1 points higher than those in the poorest category.
Specific financial activities mirrored these disparities. Employed adults were roughly 11.2 percentage points more likely to save formally, while individuals in the richest income group were about 20.9 points more likely to meet the financial resilience threshold. Interestingly, once researchers adjusted for education, employment, income, age, and residence, the average difference in index scores between women and men was not statistically significant.
The study, titled “Digital–Financial Foundations in Saudi Arabia: Socioeconomic Inequality and Sustainable Financial Transformation,” was published in Sustainability, 18(21), 10815 (2026) by Nahla Samargandi, a Full Professor of Economics and Finance at King Abdulaziz University; Mesbah Fathy Sharaf, a Full Teaching Professor of Economics at the University of Alberta; and Abdelhalem Mahmoud Shahen, an Associate Professor of Economics at Imam Mohammad Ibn Saud Islamic University (IMSIU).
Policy Adjustments and Product Design Changes on the Horizon
Authors of the study suggest that policymakers and banking institutions track saving, active financial use, and resilience metrics alongside transaction totals and account registrations. As automation and artificial intelligence increasingly shape the financial sector, understanding the underlying financial health of consumers remains critical. Fintech firms and commercial banks face pressure to design low-fee tools and accounts capable of accommodating irregular incomes and fluctuating household balances.
Financial education initiatives also remain vital for helping consumers manage fees, payment risks, and saving options. However, researchers emphasize that financial advice cannot substitute for a reliable income, meaning financial inclusion policies must align closely with broader employment and economic strategies.
Frequently Asked Questions About Saudi Digital Finance
What specific study examined these digital and financial participation rates?
The findings come from a study published in Sustainability, 18(21), 10815 (2026) by Nahla Samargandi, Mesbah Fathy Sharaf, and Abdelhalem Mahmoud Shahen, drawing on data from the World Bank’s 2025 Global Findex survey.
What percentage of adults in Saudi Arabia own digital accounts?
According to the 2025 Global Findex data, 74.6 percent of adults in Saudi Arabia had a digital account, 75.7 percent used some form of digital payment, and 64.2 percent made digital payments to merchants.
Did the research find a significant gender gap in digital-financial resilience?
No. When researchers controlled for education, employment, income, age, and place of residence, the average difference in the Digital–Financial Foundations Index between women and men was not statistically significant.
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