Gig economy and digital rapid payment: technical explanation

MAY 2026 FINANCIAL SERVICES SECTORPayment Systems Development Group © 2026 International Bank for Reconstruction and Development / The World Bank Group1818 H Street NWWashington DC 20433Telephone: 202-473-1000 This volume is a product of the staff of the World Bank Group and the Bank for InternationalSettlements (BIS). The findings, interpretations, and conclusions expressed in this volume do The World Bank do not guarantee the accuracy of the data included in this work. Theboundaries, colors, denominations, and other information shown on any map in this work do RIGHTS AND PERMISSIONS The material in this publication is subject to copyright. Because the World Bank Group encouragesdissemination of their knowledge, this work may be reproduced, in whole or in part, for noncommercialpurposes as long as full attribution is given. CONTENTS 1. Setting the Context 2. Background 3.Evolution, Business Models, and Economics of Gig Platforms 3.1 Drivers and Implications of the Gig Economy3.2 Revenue Streams in Gig Platforms3.3 Emerging Business Models and Financial Services 4.Digital Payments and the Gig Economy 4.1 Main Payment Channels/Platforms and Providers4.2 The Benefits and Role of Digital Payments within the Gig Economy15 5. Policy Considerations 5.1 Regulators (Governments, Central Banks, and Regulatory Agencies) 185.2 Payment System Operators and System Integrators5.3 Gig-Economy Platforms (Private-Sector Employers/Intermediaries) 19 Acknowledgements References Endnotes26 Settingthe Context The World Bank Group has been closely monitoring the developmentof fast payment systems (FPS) by central banks and private playersacross the globe. This comprehensive study has resulted in a toolkit Work on the FPS Toolkit is supported by Gates Foundation. Thetoolkit can be found at fastpayments.worldbank.org and consists of •The main report,Considerations and Lessons for theDevelopment and Implementation of Fast Payment Systems• Case studies of countries that have already implemented fast This note, which resulted from the collaboration of authors at theWorld Bank Group and the Bank for International Settlements (BIS), ispart of the third component of the toolkit, and aims to explore theimplications of fast payments for the gig economy. The growth of thegig economy has potentially far-reaching implications for paymentsystems.Gig work involves digital platforms that intermediatebetweenworkers and(retail or business)customers in areas asdiverseas ride hailing and food delivery,freelance design andprofessional services, and customer service. While some activities are Background The gig economy is a labor market characterized bythe prevalence of short-term contracts or freelancework. Gigs are temporary or part-time work. The termderives from the early twentieth-century jazz sceneandthe name given for individual live musicperformancesor engagements.Gig workers are Researchers from different academic disciplines havealready sought to understand the implications of thegig economy for workers, for different sectors of theeconomy,and for macro outcomes.For example,economists such as Katharine Abraham discuss thechallengesofmeasuringthegigeconomy.Information-systems researchers like Ni Huang discuss A growing body of research investigates the extent towhich online gig work represents new activities or justa formalization of tasks previously conducted throughinformal or offline channels, such as domestic services,delivery,transportation,or short-term householdrepairs. The migration of such activities onto digitalplatformscan increase visibility,traceability,andpossiblypayment reliability,rather than creating As gig-economy platforms represent a substantial shiftin practices of commerce and employment, it followsthat policy makers who aim to build responsible digitalbusiness and employment opportunities should focuson the digital tools mediating those relationships. If theemergence of gig activities is taken as a given—or ifdecisionson this are in the realm of other public strengthenone another,in a cycle that driveseconomicgrowth and innovation.As demand forflexible,on-demand services rises,platforms mayincreasingly rely on efficient digital payment solutionstomeet the expectations of gig workers andcustomers.These payment systems enable fast,secure,and seamless transactions,ensuring thatworkersarepromptlycompensatedwhilealsofosteringfinancial inclusion by providing access to Our key findings highlight the diversity of practices atpresent. Indeed, the gig workforce spans everythingfromhigh-frequency,cash-flow-dependent deliveryworktoinfrequent,project-basedprofessionalservices.This heterogeneity translates into equallyvaried liquidity, risk, and settlement needs, meaningthatpaymentsystemsmustaccommodatefundamentally different use cases, rather than a single“gig worker” profile. We provide evidence that the gigeconomy continues to grow in terms of the number of Thispaper aims to contribute to the resear