According to recent payment card turnover data from the Central Bank, turnover using domestic cards grew 7% YoY in September. In price- and exchange rate-adjusted terms, however, it was up by just under 6% YoY. Since March of this year, individuals’ card turnover has increased each month in real terms, and we expect the trend to continue in the months to come.
But there has been a vast difference between card turnover in Iceland and card turnover abroad in the recent term. During the pandemic, turnover within Iceland more or less held its ground, while turnover abroad all but collapsed, as could be expected. In recent months, however, card turnover abroad has rebounded, and most of the increase in card use has been due to turnover abroad. In September, for instance, card turnover within Iceland contracted by 3% year-on-year in real terms, while card turnover abroad rose by more than 80%, also in real terms.