Ascultă Radio România Actualitaţi Live

Cash payments "outrun credit card transactions"

Financiers claim that payment in cash is hiding in Romania a rate of over 40 percent of the underground economy. The value of card transactions increased continuously but "is under the cash payments."

Cash payments "outrun credit card transactions"

Articol de Adrian Cristea, 28 Martie 2012, 20:44

17 billions of lei were the card payments made last year in Romania - National Bank of Romania show the data.

While the number of card payments increased significantly in recent years, Romanians still prefer cash payment - say experts in the field, present at a specialized forum.

500 ATMs and 6,000 POS per million inhabitants are the main coordinates of the card market in Romania, according to statistics for 2011 of the National Bank.

In the same year, one million Bulgarians have access to 700 ATMs and 9,000 points in the Czech Republic were accepted for payment by card.

Last year were recorded - also shows figures National Bank - six card payments, worth about 230 euros per inhabitant.

Moreover, in Romania exists in 2011 about one card every two people, while, statistically, every Bulgarian had a credit card.

Credit card, "good for economy '

The head of the Financial Stability within the National Bank of Romania, Ruxandra Avram, thinks that card payments can contribute to the economy.

"We have a problem and the issue is known, we are a country that still go on cash. It wouldn’t be necessarily the only issue, the biggest problem is that it hides the gray economy and hiding in an overwhelming proportion going somewhere to 40 percent.”

"Without a banked population, at some point the development will stop, will stay somewhere where it is now."

Banking sector representatives agree that the underground economy can be reduced by developing the cards.

Catalin Creţu, the representative of an institution providing payment solutions, believes that authorities should be more involved in encouraging the card payments.

"In Bulgaria there is a law: no more than 1,500 Euros payment is not made ​​in cash. What signal sent this law?

"If you want to pay over 1,500 Euros valid, you have access to electronic payments and make it into a civilized manner, transparent, without doubt."

Experts say that the underground economy exceeds 30 percent of raw national product and encouraging card market would bring more money to the state budget.


Translated by Ioana Vioreanu
MTTLC, Bucharest University

Etichete : national bank cash cards
IMF cuts its growth estimates for the Romanian economy
News in English 22 Aprilie 2025, 23:15

IMF cuts its growth estimates for the Romanian economy

The International Monetary Fund has lowered its growth forecast for the Romanian economy this year to 1.6%, down from 3.3% in...

IMF cuts its growth estimates for the Romanian economy
EC: TikTok has made extra preparations to better manage the May elections
News in English 22 Aprilie 2025, 23:14

EC: TikTok has made extra preparations to better manage the May elections

The European Commission is continuing to work with the online platform TikTok to ensure that there will be no breaches of EU...

EC: TikTok has made extra preparations to better manage the May elections
The fire in Arges "could not have started by natural causes"
News in English 21 Aprilie 2025, 19:01

The fire in Arges "could not have started by natural causes"

The IGAV's two Black Hawk helicopters withdrew last night after dropping 240 tons of water, a vital aid because the...

The fire in Arges "could not have started by natural causes"
Financing guide under the "Rabla for tractors" program published
News in English 21 Aprilie 2025, 19:00

Financing guide under the "Rabla for tractors" program published

This week, another necessary step of the "Rabla for tractors" program was completed - the publication of the...

Financing guide under the "Rabla for tractors" program published
A new multinational exercise on Romanian territory
News in English 17 Aprilie 2025, 21:30

A new multinational exercise on Romanian territory

Around 4.000 soldiers, with over 900 technical means, from 10 allied countries will take part next month in a new...

A new multinational exercise on Romanian territory
The National Audiovisual Council has removed several videos posted online
News in English 17 Aprilie 2025, 21:29

The National Audiovisual Council has removed several videos posted online

The National Audiovisual Council has removed in recent days a number of illegal online materials from TikTok, Facebook and X....

The National Audiovisual Council has removed several videos posted online
"Romania is and will remain a pillar of transatlantic cohesion on NATO's Eastern flank"
News in English 16 Aprilie 2025, 18:45

"Romania is and will remain a pillar of transatlantic cohesion on NATO's Eastern flank"

After the talks with the delegation of American congressmen, Prime Minister Marcel Ciolacu emphasized in a press release that...

"Romania is and will remain a pillar of transatlantic cohesion on NATO's Eastern flank"
Recently recovered Dacian bracelet on display at the National Museum of History
News in English 16 Aprilie 2025, 18:44

Recently recovered Dacian bracelet on display at the National Museum of History

From Wednesday, April 16, another Dacian gold bracelet, recovered by Romanian judicial authorities at the end of last year,...

Recently recovered Dacian bracelet on display at the National Museum of History