Plastic is the new złoty
Credit-card companies are eyeing the Polish market with interest, suggesting it may well be one of their biggest potential growth areas.
Figures released by Narodowy Bank Polski (NBP) show that there were more than 15 million credit cards in circulation in Poland by mid 2004. However, debit cards such as Maestro and Visa Electron made up the vast majority (90 percent), indicating that the credit-card sector is still in its infancy.
"There is still a lot of work to be done in making cashless transactions common, to reach the average EU level," said Małgorzata O'Shaughnessy, general director of Visa Europe in Poland.
O'Shaughnessy hopes Visa can claim 40 percent of all point of sale (POS) card transactions by the end of 2007.
She suggests growth in card use can have wider economic benefits, highlighting a study conducted for the company in the USA by Global Insight Institute. It implies a strong correlation between the level of payment-card usage and economic development. The study is now being continued in Poland by a team led by Janusz Jankowiak, BRE Bank's main economist. The results are expected by the end of January.
So, will more payment cards translate into a higher GDP for Poland? Visa thinks so, but there is some doubt. The correlation studies show a connection between the two factors. However, this does not necessarily prove that one prompts the other. (A.D.)
Figures released by Narodowy Bank Polski (NBP) show that there were more than 15 million credit cards in circulation in Poland by mid 2004. However, debit cards such as Maestro and Visa Electron made up the vast majority (90 percent), indicating that the credit-card sector is still in its infancy.
"There is still a lot of work to be done in making cashless transactions common, to reach the average EU level," said Małgorzata O'Shaughnessy, general director of Visa Europe in Poland.
O'Shaughnessy hopes Visa can claim 40 percent of all point of sale (POS) card transactions by the end of 2007.
She suggests growth in card use can have wider economic benefits, highlighting a study conducted for the company in the USA by Global Insight Institute. It implies a strong correlation between the level of payment-card usage and economic development. The study is now being continued in Poland by a team led by Janusz Jankowiak, BRE Bank's main economist. The results are expected by the end of January.
So, will more payment cards translate into a higher GDP for Poland? Visa thinks so, but there is some doubt. The correlation studies show a connection between the two factors. However, this does not necessarily prove that one prompts the other. (A.D.)
