$100 billion size of the e-commerce sector in the Middle East

The e-commerce industry in the Middle East and North Africa has witnessed a rapid pace of growth, and is even the fastest growing compared to the rest of the world, according to the latest report issued by UPLO, a company specialized in managing e-retail commerce operations.
The report stated that online sales in the region are growing at an average rate of 14% annually, rising to more than 25% in some countries. The company estimates that the size of the sector in the region is currently between 50 and 100 billion dollars, with support from the UAE and Saudi Arabia, with rapid growth rates in Egypt and other Gulf countries.
The volume of e-commerce in Saudi Arabia currently amounts to about $12 billion, with annual growth rates of 15%, reaching $24 billion within five years in 2028, according to “Mordor Intelligence.”
The size of the e-commerce market in the UAE is about $9 billion and is expected to grow 11.5% annually to reach $16.5 billion within five years.
UPLO stated that one of the main factors that support growth in the e-commerce market in the region is the development of the financial technology system, especially the online payment feature, and the provision of solutions for all segments of society through the “buy now and pay later” feature.
In the current year, cash on delivery accounted for 35% of e-commerce payments, credit cards 42%, and payment via buy now, pay later 23%, but with the Black or White Friday event coinciding a few days before receiving wages, “Ablo” estimates indicate that The “Buy now, pay later” feature will achieve a rise in the UAE and Saudi markets, thus making progress on both credit cards and cash on delivery. According to a UPLO survey, 70% of consumers in the region prefer electronic payments, and more than 80% said that they used an electronic payment application in 2022.