By Leora Klapper, and Yira Mascaró
When COVID-19 hit, governments rushed to provide financial relief to citizens, often using digital channels to do so. At the same time, social distancing forced people to find alternatives to cash and face-to-face shopping. These shifts fueled speculation that the pandemic would create an overall rise in digital financial inclusion.
A new study by the World Bank measures how the pandemic changed the way people make merchant payments in Latin America and the Caribbean (LAC).