There is a steady rise in the use of electronic payments and internet-based transactions in the economy. This is according to the Bank of Jamaica analysis of Christmas spending.
The BOJ said spending over the holiday season wasn’t as robust as expected, and that growth in currency stock was below what was expected.
The reason for this, according to the BOJ was the rise of the use of electronic payments and internet based transactions.
“While notes and coins, and in particular the $1000 note remain the dominant means of settling retail transactions in Jamaica, the bank has noted the steady rise in the use of electronic means of payment by bank account holders (point of sale debit and credit card transactions), as well as Internet-based credit card transactions,” the central bank said.
The BOJ has said that electronic payments for December within the past five years has been higher than the average growth in currency by about 14 per cent.
“This trend will likely continue in line with the efforts to broaden the participation of more unbanked Jamaicans in the financial system,” the bank stated.