In 2015, there was also significant progress in terms of digital and mobile transformation and a substantial growth in cashless payments, according to stats from the Interbank Card Center (BKM) in Turkey. The number of individual cards used for payments over the internet reached 22 million. The total value of card payments rose by 15%.
In 2015, ss part of the transition to the creation of a cashless society, Turkey made significant progress towards the introduction of its own payment method Türkiye’nin Ödeme Yöntemi, meaning “Turkey’s Payment Method” or TROY. The total number of cards in Turkey increased by 5% in 2015 to 171 million. This means that Turkey has become the leading card market in Europe.
BKM General Manager Dr. Soner Canko made the following evaluation of developments in payment systems in Turkey in 2015: “2015 was a good year for the Turkish payment systems sector and one in which all of the important work of recent years really began to bear fruit. Turkey recorded a stellar performance in 2015. We used more cards and payments were faster and became easier. As a result, it was a year in which the country’s economy was able to benefit from savings in both time and money.”
Dr. Soner Canko highlighted the four most important developments in 2015: “In 2015 we began to see the results of the many projects that we had initiated in order to realize our goals of creating a cashless society and bringing greater speed and productivity to the Turkish economy. As we conducted operations, we spent less time occupied with making payments and increased our productivity.”
Dr. Canko noted that 2015 was the year in which Turkey both became familiar with and embraced TROY, which represents a turning point in the history of payment methods in the country. “TROY was developed by drawing on the sector’s accumulated knowledge and technological expertise,” said Dr. Canko. “TROY has further leveraged the image that Turkey had already acquired in the international arena as a country that serves as a pioneer and a role model for the sector. TROY is scheduled to become part of our lives in April 2016.”
Dr. Canko summarized 2015 statistical results as follows: “2015 was a year in which we continued to make significant progress in terms of cashless payments. The total volume of card payments rose by 15%. Within this total, the volume of payments using credit cards increased by 14% while total debit card payments recorded significant growth of 28%. We see this as further healthy progress towards achieving our goal of creating a cashless society.”
In terms of the total number of cards, Turkey ranks first in Europe with 171 million. Since 2010, the share of card payments in total household expenditures has risen from 28% to 39%.” In his evaluation of 2015, Dr. Canko said: “The digital transformation in payments has continued to accelerate. The total volume of card payments over the internet rose by 32% in 2015, with the result that the internet accounted for 11% of total card payments.”
In 2015, 22 million credit cards were used to make payments over the internet. To put it another way, two out of every five credit cards were used to make payments over the internet. In 2015, the number of contactless cards in Turkey increased by 30% to 23 million. The number of POS terminals accepting contactless cards tripled and reached to 304,000. Dr. Canko evaluated this rapid development as follows: “It is only in recent years that Turkey has been introduced to contactless payments. 2015 was a golden year for contactless payments as a result of the combination of efforts to raise awareness and the importance of speed in making payments. We believe that, as they are used in different areas, the rise of contactless cards will continue.”
Dr. Canko also provided some pointers to developments that will shape the agenda in 2016. “2016 will be the year of FinTech,” he said. “Technological innovations in the financial sector, what is known as FinTech, have been widely discussed around the world over the last two years. It is worth noting that payment systems rank first when it comes to FinTech initiatives. New FinTech innovations will make payments easier and more fun. At BKM, in 2016 we shall also realize projects to support the FinTech ecosystem.”
In terms of other future developments, Dr. Canko predicted that wearable technology, the mobile internet and the internet of things will make their mark on the years to come. “In the future, payments in every facet of life will become invisible,” said Dr. Canko.
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