Luxembourg’s Payment Cards Record A Significant CAGR of 23.14%

Date: 2015-09-16

“• In 2013, credit transfer was the preferred payment instrument, having a substantial industry share of 98.1%, in terms of transaction value, while payment cards accounted for just a 0.5% share. The use of cash is continuously decreasing due to a growing preference for electronic payment methods, resulting in cash’s share being halved during the review period, down from 1.5% in 2009 to 0.7% in 2013.

• In terms of the number of cards in circulation, Luxembourg’s payment cards (including debit and credit cards) registered a positive growth during the review period, recording a significant compound annual growth rate (CAGR) of 23.14%, increasing from 992,348 cards in 2009 to 2.3 million in 2013. In terms of transaction value, payment cards valued EUR10.2 billion (US$13.5 billion) in 2013, after registering a review-period CAGR of 10.60%.

• In 2013, the average transaction value (ATV) in Luxembourg was US$121.0, which was the fifth highest in the European region. Greece recorded the highest ATV, with US$227.6, followed by Switzerland (US$156.6), Italy (US$141.2) and Germany (US$131.5). However, Luxembourg recorded the region’s highest card penetration of 4.43 cards per inhabitant in 2013, followed by Norway (2.73), the UK (2.48), Sweden (2.38) and Belgium (2.04).

• Security developments in Luxembourg’s online payment systems enabled the steady growth of e-commerce, along with the use of social media for enhanced product presentation. E-commerce supported increasing card penetration during the review period. The increasing number of online shoppers and growth in online retailing, banks are offering web cards for individuals who frequently buy products or services online. For instance, BGL BNP Paribas, BIL, Banque Internationale à Luxembourg (BL) and ING Luxembourg offer web cards for online transactions. As e-commerce is anticipated to at a forecast-period CAGR of 19.82% to reach EUR1.3 billion (US$1.8 billion) by the end of 2018, the demand for web cards is expected to further increase over the forecast period, which will support payment cards growth over the forecast period.”


Contact With Us
Join templatemonster at google+
Customized Research
Request Sample