International payments company, Visa Inc. says Sri Lanka can boost economic growth through cashless transactions
An international payments company, Visa Inc. has reportedly stated that Sri Lanka can boost economic growth by moving to cashless transactions.
“For instance, Colombo, with a population of 694,000 and GDP (gross domestic product) of US$ 6.5 billion could alone gain US$ 200 million annually in net benefits by transitioning into a digital economy,” Visa has been quoted as saying in a local media report.
“The estimated catalytic impacts for the city over the next 15 years include a 20.4 basis point increase in GDP growth rate and 2.1% increase in employment.”
According to the media report, Visa claimed it had market leadership in Sri Lanka in payment cards.
Sri Lankan banks have been issuing Visa credit and debit cards since 1988.
Visa opened its first office in Sri Lanka in 2016 and is now associated with 29 banks and nine finance companies that offer Visa’s debit, credit, commercial and prepaid services.
“The progressive approach to the payments industry adopted by the Central Bank of Sri Lanka has been critical in this journey,” Visa’s Country Manager for Sri Lanka and Maldives, Anthony Watson has been quoted as saying.
In April 2018, Visa celebrates 30 years of operations in Sri Lanka and is partnering Sarvodaya Fusion, an NGO, to send 30 three-wheelers across the country to promote the simplicity and value digital payments have on everyday lives, the media report further states.
“With the rapid evolution of digital payments in Sri Lanka, we are excited about the potential for digital payments in the country for years to come,” Visa Group India and South Asia Country Manager, T.R. Ramachandran has stated.
OSL take:
The statement by Visa Inc. about the potential for the promotion of cashless payments in Sri Lanka is an investment opportunity for an interested foreign company promoting digital payment platforms. It 9s interesting that Colombo, with a population of 694,000 and GDP of US$ 6.5 billion could alone gain US$ 200 million annually in net benefits by transitioning into a digital economy.
| Article Code : | VBS/AT/26042018/Z_10 |