Cashback for utility payments to end from October

ArmInfo. In September, pensioners and benefits recipients will be credited with cashback for non-cash payments for utilities in August. However, from October, cashback will no longer be offered for utility payments, the Ministry of Labor and Social Affairs of Armenia reports. 

A week earlier, the Cabinet of Ministers decided to increase the cashback percentage for pensioners and benefit recipients for non-cash purchases from the current 10% to 12%, and  the maximum cashback amount was set 6 thousand drams. It was also decided that from September 1, cashback will not be accrued for non-cash payments for utilities (gas, electricity, drinking water, fixed and mobile communications services). 

From July 1, 2022, pensioners and benefit recipients using cards of Armenian partner banks in this program, receive 10% reimbursement when making non-cash utility payments and purchases until the 25th of the following month, up to a maximum 5 thousand drams per month. Initially planned to operate  in pilot mode and until December 31, 2022,  the program has been extended several times since then. 

Previously, the program was implemented jointly with commercial banks on equal terms (5% for commercial banks and the same amount for the RA government). However, since January 1 of this year, financing has been fully carried out by the RA government. As of July 1, 2024, approximately 240 thousand beneficiaries are already utilizing the program. Since the start of the program, 9 billion drams have been paid to pensioners and socially vulnerable people. At the same time, the volume of non-cash transactions has reached nearly 119 billion drams. Bank cards are held by 540 thousand citizens of the country, with 44% of them participating in this program.