Cash or card in Asia? How to avoid a payment nightmare on your next trip

Whether you're hunting for the world's best laksa in a Singaporean hawker centre or trekking through the serene outskirts of regional Japan, the modern Aussie traveller faces a classic dilemma: can you tap or is it cash only?

While Asia leads the world in futuristic QR codes and seamless digital wallets, the region's diverse landscape means your high-tech Mastercard is often only as good as the nearest working Wi-Fi signal. And some situations, like a Cambodian market, call for cash only.

Dr Aaron Tham, senior lecturer in tourism, leisure and events at the University of the Sunshine Coast, says "cash is still king" in many destinations across Asia, in areas where digital commerce remains limited, or when the internet breaks down or is patchy.

In Cambodia, Laos, Thailand, the Philippines, Nepal, India and rural areas of Japan and South Korea, cash is "very much still needed", he says.

"China is one such exception where card payments are the modus operandi, with transactions almost exclusively through Alipay and WeChat pay. Other countries such as Singapore and metropolitan areas of Japan, South Korea and destinations such as Hong Kong are also moving towards a cashless society," Tham says.

But according to Brett Mitchell, Intrepid Travel managing director ANZ, you should still carry both cash and card to all Asian destinations to ensure you are "prepared for any situation".

"Street food stalls, night markets and family guesthouses are all cash-only experiences, so always carry some," he says.

And some countries might surprise you.

"Japan catches travellers off guard more than anywhere. Cards work well in Tokyo and Osaka, but venture into regional Japan and you'll find cash-only signs at ryokans, temples, and local restaurants," Mitchell says.

"Get your yen sorted before you fly or at the airport when you land, because finding a foreign-card-compatible ATM outside a major city can be a real challenge."

And though Singapore is the "gold standard" in widely accepting card payments, "some hawker stalls still prefer cash," he says.

Travelling through Bangkok and Bali you will notice the tourist areas are increasingly card-friendly at hotels, restaurants and larger shops, "though I'd still carry some local currency for markets and anywhere you're dealing directly with local sellers," Mitchell says.

So what about the new digital wallets and QR code systems? Mitchell says in China's major cities including Shanghai, Beijing and Chengdu, you can get by with minimal cash if you set up Alipay or WeChat Pay before you arrive - and both platforms now accept foreign Visa and Mastercard.

"In many cities some vendors only have a QR code, so having one set up matters. Alipay has a Tour Pass built specifically for international visitors. In Hong Kong, the Octopus card covers the MTR, buses, convenience stores and restaurants and can be picked up at the airport," Mitchell says.

"Across Southeast Asia, GrabPay sits inside the Grab app most travellers are already using. In Japan, Suica and Pasmo cover transit and convenience stores, and mobile Suica works with Apple Pay. In Indonesia, QRIS is a unified QR standard expanding fast across Bali and beyond," Mitchell says.

"All of these are regulated, established systems and are safe to use."

If you're travelling further afield, Bunnik Tours product team manager, James Atwell, says in the '5 Stans', card use is largely restricted to larger establishments, with US dollars often exchanged into local currency for everyday spending.

"Ultimately, having cash on hand provides flexibility and peace of mind, particularly in case of outages, empty ATMs or places where cards simply aren't accepted," he says.

Research from Money.com.au found that a third of Australians have experienced at least one card payment issue on their most recent trip overseas, so even if you are travelling to an area where cards are accepted, cash can come in handy.

"Even if you plan to use your card most of the time, having the equivalent of $100-$200 AUD in local currency can get you out of a bind (e.g. taxis, tips, emergencies)," says finance expert, Sean Callery.

James Tao, consumer financial analyst at ING, says you shouldn't rely on just one payment method.

"Asia is incredibly advanced digitally, but it's also incredibly diverse, so it may be a good idea to prepare with a couple of card options and some local cash," he says.

This article was originally published on Explore on April 13, 2026, as 'The new digital payment systems and where you still need cash in Asia'.