TIRANA, June 3 – Home banking transactions registered a boost in the cash-based Albanian economy in 2014 when the number of accounts increased by four times, the central bank says in its 2014 annual report.
The service first launched in 2005 is now offered by 11 out of the 16 commercial banks operating in the country.
“The increasing use of electronic services such as home banking is a considerable development. In the past few years, these services have been used more and the users’ spectrum has expanded, including not only businesses, which were the target group when this service was first provided, but also by individuals,” says Elisabeta Gjoni, a deputy governor of Albania’s central bank has said. At the end of 2014, the number of accounts accessible via internet stood at 145,211, from 27368 at the end of 2010, followed by fourfold increase of such transactions conducted via these accounts.
The Albanian economy continues remaining largely cash-based despite the number of debit and credit cards rising, a situation unveiling the high informality of the Albanian economy estimated at 30 percent of the GDP.
The latest 2014 annual report by the Bank of Albania shows cash withdrawals dominate card transactions with around 85 percent, a situation which has improved compared to few years ago when the rate was at 96 percent.
The Albanian Association of Banks reports the number of debit and credit rose to 863,000 at the end of 2014, up from only 34,000 a decade ago.
