Cuba Implements 6% Discount for Card Payments, Targets Electronification of Banking
Starting today, all customers in Cuba who make payments through cards or payment gateways for goods and services will receive a 6% discount, regardless of the type of business ownership. This measure, announced by the vice president of the Central Bank, Alberto Quiñones, aims to promote electronic payment channels and prioritize bankarization in the country.
The discount will only be applicable to businesses operating in CUP, the local currency. Quiñones, while announcing this incentive, also criticized the deficient service of bank branches on the Island. He highlighted that the current situation is not due to banking processes but rather the high demand for cash extraction over deposits.
While the use of electronic means for payments is not mandatory, establishments in Cuba are urged to provide multiple options to customers for their preferred mode of payment. The objective is to encourage the adoption of electronic payment channels. Bank branches currently make decisions based on logistics and the availability of cash.
Administrative limits have been imposed on individuals based on the cash situation, but it is expected that these limits will gradually disappear as the country sees an improvement in its cash reserves. Quiñones expressed a hopeful tone, indicating that an enhancement of the cash situation would lead to more flexibility in banking practices.
This move reflects Cuba’s efforts to modernize its banking system and adapt to the digital age. By incentivizing electronic payments, the country hopes to streamline transactions and provide more convenience for customers and businesses alike. With the implementation of this discount, Cuba takes a step forward in its journey towards financial digitization.