Modernization of payment infrastructure - How are electronic payments being promoted? BoA: With AIPS EURO, 682 transactions per day
Over the past few years, Albania has undertaken a series of efforts to modernize its payment system, with the aim of facilitating and increasing payments made electronically by citizens.
According to the Bank of Albania's annual report, positive developments in the field of electronic payments have led to an increase in their use, reaching 23 payments per capita in 2024 and exceeding the target of 10 payments per capita that was set in 2023.
This growth has come as a result of the greater use of cards, POS terminals, ATMs and home banking. In addition to basic functions, such as checking account balances, bank applications are also being widely used for making online payments. Data from the report shows that the number of payments through home banking increased by 22% compared to 2023.
Meanwhile, the number of POS terminals has also increased by 27.61% in the past year. The POS infrastructure provided by commercial banks has resulted in significant growth, which indicates a familiarity of businesses with the provision of POS services and a positive reaction to customer requests for card payments. In the use of cards, debit cards predominate, at around 87.7%, with an average value per transaction of 6,746 lek.
Also, despite ATMs being used primarily for cash withdrawals, 2024 saw the expansion of ATMs that provide other services. The number of ATMs with cash deposit functionality increased by 26 terminals, while that of ATMs offering the transfer order function increased by 144 terminals.
On the other hand, in Albania there are also 3 main infrastructures for processing interbank payments and 1 infrastructure for the settlement of securities. The AIPS system is the only infrastructure for the real-time settlement of large-value payments in Lek, while the AIPS EURO system enables the real-time gross settlement of bank clients' transactions for payments in Euro, within the territory of Albania. Data from the annual report of the Bank of Albania show that through the AIPS EURO system alone, an average of 682 transactions are carried out per day with a value of 21 million euros.
But what developments are expected next?
Within this month, individual applications of commercial banks to join the Single Euro Payments Market, SEPA, are expected to begin, while next year the implementation of the instant payment system will begin. Also, in May, Mastercard's program for the distribution of free terminals for merchants in Albania will begin. Recently, the Bank of Albania took another important step towards the modernization of the financial system, by implementing the new ISO 20022 payment standard, which aims to improve the exchange of data in payment transactions.
US-China trade war intensifies - Beijing tariffs take effect after Trump's measures are suspended
Donald Trump's trade war with China continues to escalate, as Beijing's 84% retaliatory tariffs came into effect hours after the US president announced a......
Exchange rate/ Dollar and Pound recover. Swiss Franc weakens!
The US dollar has recovered its value this morning from the decline it suffered throughout this week, being bought today at 89.5 lek and being sold at 91 lek......
May 16, European Political Community Summit in Tirana - Minister Hasani: France's commitment is essential for the stability of the region
Next month, on May 16, the European Political Community Summit will be held for the first time in Tirana. During his official visit to Albania, the French......
Governor Sejko meets the Bloomberg News team - “Trade policies, important implications for the global economy”
The Governor of the Bank of Albania, Gent Sejko, held a meeting with the Bloomberg News team. Initially, Governor Sejko introduced Bloomberg representatives......
The longest and deepest underwater road in the world - Part of the main European highway E39
Norway is building the world's longest and deepest underwater tunnel, one of Europe's most ambitious engineering projects, which it hopes will boost the......
China imposes 84% tariffs on US goods as Trump's trade war escalates!
China said it is raising its retaliatory tariffs on the United States to 84%, from 34%, effective Thursday. In a statement, the Chinese finance ministry said......
Trump "clears the way" for coal in the US - New measures ease production, while energy demand increases
United States President Donald Trump signed executive orders aimed at increasing coal production, in his latest action that runs counter to global efforts to......
Balluku inspects works for the new Kuçova substation: It serves residents, the NATO air base and oil wells
The Kuçova electrical substation is undergoing a deep reconstruction. Built in 1956 and with equipment from the same period, which directly affects the......
