Credit card transactions soars upto Rs.54 bn in 06
Friday, June 20, 2008
The value of business transactions generated through Credit Cards has seen a sharp increase from Rs.18 billion in 2002 to Rs.54 billion in 2006.
Chief Government Whip and Minister Dinesh Gunawardane revealed this in Parliament yesterday in response to an oral question by UNP MP Ravi Karunanayake.
According to the answer tabled in the House, the value of business transactions generated through Credit Cards in 2003 is Rs.23 billion, Rs.32 billion in 2004 and Rs. 42 billion in 2005.
There have been outstanding credit card loans worth Rs.6, 072 million in 2002, and the amount had gone up to Rs.21 billion in 2006. The value recorded in 2003 is Rs.7, 923 million, Rs.11 billion in 2004 and Rs.15 billion in 2006.
The outstanding balance of bad debts was Rs.474 million in 2002, and it had soared up to over one billion rupees in 2006. The amount remitted for franchises in 2006 on account of Master card is Rs.301 million, Visa card amount to Rs.246 million while American Express card have Rs.91.8 million.
MP Karunanayake asked what action had been taken by the government to contain the impact on inflation due to the additional money supply caused by credit card transactions, to which the Minister replied that credit cards are issued according to certain limitations.
News Source : http://www.dailymirror.lk/ |
