Its all about Plastic Money and its impact on economic developement.

1. The plastic money in the economy and its impact on the speed in economic activities
Presented by:
Tonmoy Bora

2. What is plastic money?

3. Types of Plastic Money
Debit
Cards
Cash
Cards
Credit
cards
Pre-Paid
cash cards

4. ECOMONIC CYCLE
CONSUMPTION Decline in
Inventory
Increased production
Greater Income More Jobs

5. Impact of electronic payment on economic growth
Rising card payments drive economic growth
Value derived from the migration to electronic
payment
Card penetration
The macroeconomic impact of card usage
The value of card payment

6. Rising card payments drive economic growth
• Global economic growth -$983B(2008-2012)
• Electronic payment contributed to –
Emerging markets – 0.8% increase in GDP
Developed markets-0.3% increase in GDP
• Card growth boosts recovery

7. Value derived from the migration to electronic payment
• Higher potential tax revenue
• Lower cash handling cost
• Guaranteed payment for merchants
• A reduction in the gray economy due to lower unreported cash
transaction.
• Greater financial inclusion

8. Card penetration

9. The macroeconomic impact of card usage
• The card usage in 2008 was 27.4% which has drastically increased
to 32.8% in 2012.
• Private consumption
• Card penetration as a percent of total PCE
• The growth of card usage
• GDP growth due to card usage

10. GLOBAL RETAIL PURCHASES PAYMENT
BREAKDOWN(in U.S$)
2.9%
Total Compound
Annualized
Growth rate
7.7%
Compound
Annualized
Growth rate
2014

11. The value of card payment
• Less friction more efficiency
• Card benefits all parties(consumer, merchant, bank )
• Security
• Convenience
• Transparency

12. Resolved