The Gig Economy and Digital Fast Payments : Technical Note

Overview & Synopsis

The World Bank Group has closely monitored the global development of fast payment systems (FPS) by central banks and private sector providers, resulting in a comprehensive toolkit that guides countries in designing and implementing such systems. Supported by the Gates Foundation, the toolkit includes a main report, country case studies, and technical focus notes addressing specific aspects of fast payments. This particular note, developed in collaboration with the Bank for International Settlements (BIS), examines the implications of fast payments for the growing gig economy, where digital platforms connect workers with customers across sectors such as transportation, delivery, and professional services. As gig work relies heavily on digital payment systems, the choice of payment methods affects transaction costs, settlement speed, and dispute resolution. The study highlights the importance of ensuring that payment innovations align with policy objectives, emphasizing that inclusive, low-cost, interoperable fast payment systems can enhance financial access, empower workers and consumers, and support more competitive and inclusive economic outcomes.