BCG reported on a “russian miracle” in card payments
Posted on 03.10.2019 at 09:25
The Boston Consulting Group (BCG), an international consulting company, predicts that revenue in the European card payment market will grow by about 5.9% per year until 2028. At the same time, according to the company’s forecast received by RBC, the East European market will grow significantly faster than the West European market: 7.4% versus 5% annually. BCG calls Russia the main engine of the East European market. “Russia contributes the most of this expansion. The combination of affordable retail financing, high market concentration, and large technology investments contributed to this “Russian miracle,” the BCG report said.
According to BCG, in 2010–2018, the volume of payments in Russia grew by an average of 22.1%. In 2019–2028, the growth will decrease to 11.8%. However, Russia still will be ahead of all other countries considered in the study (58 in total).
Max Hauser, Managing Director and Partner of BCG and Head of Digital expert committee in Russia and the CIS, explained that in 2010–2018 there was a “phenomenal” increase in the number of non-cash card transactions in Russia. Over the years, it has grown almost 30 times: from 5.8 to 172 per year per person.
Published October 3, 2019, at rbc.ru