By April share of non-cash card transactions reached 30% with an  increase of 53.4% per annum in Armenia

ArmInfo.By April 1, 2020 the share of non-cash card transactions reached 30% of the total volume of plastic transactions in Armenia.

The y-o-y growth in the volume of  non-cash card transactions accelerated from last year's 48.4% to the  current 53.4%, in the Q1 of this year amounting to 176.6 billion  drams. This is due to the significant intensification of Internet  commerce, the popularization of mobile and web applications by banks  and the Armenian Card, and such effective measures to encourage  cashless transactions like CashBack. According to the Central Bank of  Armenia, five years earlier (Q1 of 2015), the share of non-cash  transactions in the total volume of plastic transactions amounted to  11%, and by April 1, 2019, it reached 24%.

At the same time, the total volume of plastic transactions  accelerated y-o-y growth moderately from last year's 19.2% to the  current 23%, in Q1 of this year amounting to 592.2 billion drams. The  number of plastic by April 1, 2020 cards increased by 17.5% per annum  - up to 2.5 million pcs, against an almost similar growth a year  earlier (by 17.3%).

In the quarterly context (for the Q1 of 2020), the dynamics of the  number of plastic cards records a slowdown from 4.7% to 2.9%, which  was also observed a year earlier in the same period - from 5% to  3.5%. At the same time, the quarterly dynamics of the total volume of  plastic transactions shows deterioration - from a 2.7% growth in Q4  of 2019 to 10.7% decline in the Q1 of 2020, which was also observed a  year earlier with a more significant trend reversal - from 10% growth  in the Q4 of 2018 to 14% decline in Q1 of 2019. The volume of  non-cash card transactions also recorded a deterioration in quarterly  dynamics - from 17.8% growth in the Q4 of 2019 to 6.1% decline in Q1  of 2020, which at a more modest pace was observed a year earlier -  from 6.9% growth in the Q4 of 2018 to 0.5% decline in the Q1 of 2019

According to the source, the number of local ArCa cards accelerated  y-o-y growth from 6.4% to 20.8%, reaching 760.6 thousand. The  increase in the number of international MasterCards also accelerated  from 7.6% to 10.9%, exceeding 614.2 thousand pcs, while the y-o-y  growth in the number of Visa, on the contrary, slowed down from 37%  to 19.5%, amounting to 1.04 million pcs. The dynamics of the number  of other international cards (mainly HSBC cards, as well as AmEx and  Diners Club) improved with the yield from the 3.2% decline to 11.6%  growth, exceeding 48.3 thousand.  According to the regulator, the  acceleration in the rate of the total volume of plastic transactions  was due to a significant acceleration in the growth of transactions  for local ArCa - from 7.3% to 26.1% and international MasterCard -  from 19.6% to 28.2%, as well as a reversal in transaction dynamics on  other international cards from a 0.04% decline towards 13.6% growth.  Against this background, Visa transactions have slowed y-o-y growth  from 24.9% to 18.7%. Nevertheless, according to the results of the Q1  of 2020, Visa cards hold the lead in the volume of transactions -  279.97 billion drams, MasterCard in the second place - 189.5 billion  drams, in the third place is ArCa - 114.3 billion drams, and the  remaining 8.4 billion drams are transactions with other international  cards (HSBC, AmEx, DC).

In the Armenian plastic market, Visa's share in the total number of  cards for the Q1 of 2020 increased to 42.1% (versus 41.4% in the Q1  of 2019), MasterCard's share remained at 25%, ArCa's share increased  to 30.9% ( versus 30.1% in the Q1 of 2019), and the remaining 2%  (against 2.1% in the Q1 of 2019) retained other international cards  (HSBC, AmEx, DC). Visa also holds the dominant share in the total  volume of plastic transactions - 47.3% (versus 49% in the Q1 of  2019), MC is in the second place - 32% (against 30.7% in the 1Q1of  2019), ArCa is in the third place - 19.3% (versus 18.8% in the Q1 of  2019), and the remaining 1.4% (against 1.5% in the Q1 of 2019) are  transactions with other international cards.

As of April 1, 2020, there were 11,613 POS-terminals in Armenia, of  which 766 are located in the head offices and branches of banks. In  annual terms, the total number of POS-terminals increased by 25% or  2319 pcs, compared to last year's growth of 17.1% or 1355 pcs.  Moreover, only in the Q1 of 2020 the number of POS-terminals  increased by 3.9% or 434 pcs. It is noteworthy that the number of  POS-terminals in banks and their branches in annual terms increased  by 1.6% or 12 pcs. (Only for the 1st quarter - by 0.8% or 6 pcs),  while at the same time in the same period of 2019 an annual decline  of 7% or 57 pcs was recorded. The number of retail and service points  where ATMs or POS-terminals are installed, the Central Bank ceased to  publish since 2015.

It should be noted that the Central Bank of Armenia is the majority  shareholder of ArCa, then ACBA- Credit Agricole Bank, Armeconombank  and Ardshinbank are the major shareholders of the organization, and  the remaining 14 banks each hold 2% of the shares. Through their own  processing, HSBC Bank Armenia and VTB Bank (Armenia) work on the card  market. All 17 banks of Armenia operate on the card market, taking  into account Armswissbank, which began issuing cards only in March  2018. -