Use of Credit Card in Brazil Jumps 25% to US$ 50 Billion

Brazil map covered with credit cards Brazilians are using credit cards more often. Purchases made using plastic money in Brazil during the first quarter totaled 85 billion Brazilian corn (US$ 49.8 billion), a 25% increase in comparison with the same period of last year.

The new data was disclosed this Wednesday, April 9, by the Brazilian Association of Credit and Service Card Companies (ABECS). The total includes purchases with credit, debit, store and network cards.

According to the association, 1.3 billion transactions were conducted, growth of 21% in comparison with the first three months of 2007. In March, according to the ABECS, the number of active cards in the country surpassed 450 million.

In a press release, the communications director at the association, Marcelo Noronha, stated that the result so far overcomes previous forecasts made by the sector. For the whole year, the organization was forecasting a 20% rise in volume of financial operations, but the figure may be revised, should performance remain above expectations during the second quarter.

There has been an increase of 10% in average amount spent per card, which reached 191 corn (US$ 112.1) in the first quarter. The bulk of expenditure was made using debit cards, for which average spending per unit grew 20% to reach 120 reais (US$ 70.4).

According to the ABECS, there are 205 million active debit cards in the country, which answered to a total of 24 billion reais (US$ 14.2 billion) spent in the first quarter, 29% more than in the same period last year.

The majority of expenditure, however, was made by means of credit cards, totaling 48 billion reais (US$ 28.1 billion), growth of 23% compared with the first three months of 2007. Store cards posted total spending of 12 billion reais (US$ 7 billion), growth of 23%.

ABECS counts on 35 affiliated companies that answer to 95% of the credit cards issued in Brazil. It is based in the southeastern Brazilian city of São Paulo and was founded in 1971.

Anba

Tags:

You May Also Like

Scotland Spells Relief for Brazil’s Scandal-Plagued Lula

Brazilian President Luiz Inácio Lula da Silva left Wednesday for Scotland where together with ...

Brazil, Listen to the Calles!

Ever since their military regimes ended, Latin American countries have seen the calles, the ...

Lula’s US$ 856 Billion Growth Plan Will Start Only After He Leaves Office

From the total 1.59 trillion Brazilian reais (US$ 856 billion) forecasted for investment in ...

Lax Control Opens Brazil to Transgenic Contamination

With the appearance of genetically modified organisms in the last decade (which are also ...

Brazilians Involved in Military Era’s Operation Condor Won’t Be Extradited

Authorities in Brazil have said they are awaiting notification from Italy on arrest warrants ...

What Was Brazil’s Role in Operation Condor? It Created and Led the Murderous Plan

The head of Brazil’s Justice and Human Rights Movement, Jair Krischke stated before the ...

Loans in Brazilian Congress Were Just Way to Bypass the Law, Says Report

The joint preliminary report by the Post Office and Vote Buying Congressional Inquiry in ...

Brazil Confident It Will Sell US$ 75 Million at Dubai’s Gulfood

Brazil’s Ministry of Agriculture, Livestock and Supply expects the business volume at the upcoming ...

Brazilians Get Afternoon-Anxiety Syndrome After Almost Two Months of Daily Rain

After 47 consecutive days of rain the city of São Paulo, in Southeast Brazil, ...

For Experts Brazil Can Resist Political Crisis, But Not Lack of Reforms

Economists downplayed the impact of the Brazilian political crisis on the economy but warned ...