Singapore leads use of in-app payment systems in Asia

But 43% still use cash to make payments.

Singapore leads Asia's adoption of in-app payment systems with 19% able to use the technology, Paypal reported in an Asia Pacific study.

According to the survey made by Blackbox Research, this could be due to the prevalence of transport apps such as Grab and Uber.

In-app payments also rank highest among respondents from Singapore, with 29% aware of the technology.

However, PayPal said awareness does not necessarily translate into use, but Singapore had the highest rate for people that used the applications.

"The survey highlighted that there is a consistent gap between consumer awareness and consumer usage. Not only does this trend exist across all payment modes, but also across all countries surveyed," PayPal said.

On the other hand, 43% in Singapore still use cash for payment, albeit lower than the Asian average of 57%.

Singapore also makes the most contactless payment through credit cards at 49%. Hong Kong followed with only 19%.

This was made possible considering 100% of Singapore has an internet access and 98% own smartphones.

This is significantly higher than the Asian average, where 92% use the Internet and only 88% own a smartphone.

PayPal said the introduction of digital payments has led to a rise in the number of merchants selling online.

In Singapore, 58% of merchants said they accept PayPal while 59% accept bank transfers.