Inflation was one of the most talked about topics in 2022. According to the data announced by the Turkish Statistical Institute (TUIK), annual inflation was 84.39 percent. According to the comparison site encazip.com, which researches credit card debts to examine the effect of increasing inflation on purchasing power, the individual credit card debt of citizens increased by 99 percent on TL basis compared to last year.
One of the most talked about topics in Turkey in 2022 was inflation. According to the inflation figures for November announced by the Turkish Statistical Institute (TUIK), the Consumer Price Index increased by 2.88 percent in November. Annual inflation was 84.39%. According to the comparison site encazip.com, which examines credit card debts to evaluate the effect of rising inflation on purchasing power, the individual credit card debt of citizens increased by 99 percent in TL terms compared to last year. The rate of increase in installment credit card debts increased by 128 percent compared to last year. The increase in credit card debts without installments was 79 percent.
Non-performing credit card debts increased by 30 percent
While an increase of 30 percent in TL basis was observed in the credit card debts of the citizens followed up, when the same data debts are evaluated considering the annual inflation rate, a decrease of 42 percent and a decrease of 17 percent in US dollars were observed. .
8% increase in inflation adjusted debt
Inflation continued to be among the main agenda topics of the whole world in 2022 as well. However, our country was negatively differentiated when compared to other countries, and it was observed that high inflation and macroeconomic conditions pushed consumers to use more credit cards. When the Gross Domestic Product (GDP) increased by 3.9 percent in the same quarter of the previous year, compared to the third quarter data, when the total retail credit card debts were analyzed according to the inflation adjusted data, it was seen that the real increase was 8 percent compared to the same period of the previous year. Encazip.com finance experts who stated that the increase in credit card debts is about twice the increase in GDP can be interpreted as a decrease in the purchasing power of the consumer and therefore turning to credit cards. Its debts have reached the level of 392 billion TL this year. Although this means a two-fold increase, looking at inflation adjusted data or changes in different currencies in a period of high inflation allows us to make a more accurate interpretation. When the total consumer card debts, which were 197 billion TL last year, are evaluated considering the annual inflation rate, we see that it is 362 billion TL. This means an 8 percent increase in credit card debts in real terms.
The increase in installment debts drew attention
When the inflation-adjusted data are compared, it is observed that installment credit card debts increased by 23 percent, normal credit card debts decreased by 3 percent compared to inflation-adjusted data. was limited to 17 percent.
The lion’s share of credit card spending in grocery shopping
Looking at the sectoral distribution of credit cards, according to this year’s most up-to-date data of the Interbank Card Center (BKM), 18 percent of total credit card expenditures are in markets and shopping centers, 9 percent in the gasoline and fuel sector, 7 percent in the electricity-electronics and computer sectors. again, 7 percent was used in the clothing and accessories sectors. It was observed that the sectoral distribution of credit card usage was in line with the same period of the previous year.
26% increase in the number of credit card transactions
The increase in the number of credit card transactions was another noteworthy data in the credit card industry. According to the most recent data of 2022, the total number of credit card transactions reached 613 million monthly, an increase of 26 percent compared to the same period of the previous year. Considering the total number of credit cards, there were 81 million credit cards and 144 million debit cards in circulation in the same month of 2021, while the total number of credit cards in circulation increased to 94 million and the total number of debit cards to 162 million, according to the most recent data of 2022.