Business And Markets

Electronic Payments Costlier Than Cash

Electronic Payments Costlier Than CashElectronic Payments Costlier Than Cash

A recent study conducted by Pulse Ware Company and University of Tehran academics shows that costs of circulating banknotes is still lower than the electronic payment fees, despite claims to the contrary by the Central Bank of Iran. 
The report says using electronic tools for making small payments bears higher expenses and consequently ends in higher inflation, way2pay website reported.
The CBI has stopped minting coins, claiming that the metal used for minting coins is worth more than the nominal value of the coins. In recent years coins have almost disappeared from daily transactions. 
Pulse Ware, a private company specializing in financial market research, says the CBI's assumptions are not accurate because it has not employed proper models for estimating banknote circulation per capita and the volume of money in circulation. 


Subscribe to the Financial Tribune to continue reading this article or Log in to your account if you are already a subscriber.

Find out more about our subsciption plans here.

Add new comment