Juan Fernando Maldonado, Product Leader of BBVA Continental, believes that in Peru, the digital transformation of money is taking place faster than imagined.
Following the launch of BBVA Acentos, he told the media that Peru is far away from seeing the end of cash, BBVA informed on their website. Nevertheless, “we cannot ignore that the speed of the digital transformation can change the picture faster than we imagine by the technological avalanche in the world of means of payment “, he added.
New payment methods, such as money wallets, digital coins, NFC technologies and OR codes are only a few of the alternatives to cash that are already being used in many transactions in the country.
“The end of cash would mean a total change in the use of traditional banking channels. Thanks to the smartphone technology, P2P transfers make sending money from one person to another much simpler now”, BBVA said. “For example, BBVA Continental has Lukita, a functionality that allows money transfers from cell phone to cell phone”, they added.
Nevertheless, they also believe that in Peru, the largest barrier to the end of cash is that a large percentage of the population operates within the informal economy that doesn’t have access to the financial system.
“In an environment of high informality, cash becomes the most widely used means of payment and limits people’s access to financial tools and solutions in the digital world that are safer, more effective and traceable,” Maldonado said.
(Cover Photo Archive)