Electronic payments on the rise: Benefits for citizens and a boost to economic formalization
The Secretary General of the Albanian Association of Banks (AAB), Mr. Spiro Brumbulli, was a guest on the “Pro Business” program on TV Klan, where he discussed the growing use of electronic payments in Albania and their positive impact on the formalization of the economy.
Card payments increased by 23%, while online transactions grew by 20%. This positive trend is the result of joint efforts by banks, the government, and payment service providers to promote digital transactions.
A key factor driving this growth is the expansion of businesses that accept electronic payments, particularly in the tourism sector. However, the use of cash remains high, due to limited financial inclusion and a high level of informality.
Mr. Brumbulli noted that electronic payments are bringing greater transparency, efficiency, and security, by reducing the costs associated with cash handling and facilitating transaction monitoring.
Tangible Benefits for Cardholders
Bank cards not only offer convenience and security, but also direct benefits such as cashback rewards and interest-free installment plans, which help consumers manage larger purchases more easily.
Brumbulli also highlighted the importance of digital security, advising users to avoid clicking on suspicious links and to be careful with their personal data. In cases of fraud, users are advised to contact their bank immediately to block the card.
He also addressed concerns from small businesses regarding POS fees, noting that these have been reduced to 2–2.1%, with discussions underway for further reductions. Electronic payments help businesses accurately document their turnover and avoid incorrect tax declarations.
Brumbulli condemned the practice of some businesses, particularly in tourist areas, that charge an additional fee for card payments, calling it illegal and unacceptable.