Nicosia: Cypriots are increasingly embracing digital payments, with card transactions emerging as the predominant method for non-cash payments, accounting for 75% of such transactions in volume terms. This places Cyprus as the second highest in card usage within the euro area, as per a statistical release by the Central Bank of Cyprus (CBC) for the first half of 2025.
According to Cyprus News Agency, the CBC highlights a significant shift in Cypriots' payment preferences towards digital methods, while traditional methods like cheques and cash remain relevant despite their declining usage. Card payments are the leading form of non-cash transactions in Cyprus, second only to Portugal in the euro area.
In terms of transaction value, credit transfers dominate non-cash payments in Cyprus, representing 84% of the total value, with cheques following at 6%. Notably, 98% of credit transfers in Cyprus were conducted electronically, surpassing the euro area average of 94%. However, the uptake of instant payments in Cyprus, at 17%, still lags behind the euro area average of 21%.
The CBC further notes a preference among Cypriots for larger transactions to be conducted online rather than at physical points of sale (POS). The average value of an online card payment for Cypriot cards was £125, one of the highest figures in the euro area, compared to an average of £37 for card payments made at physical POS locations during the first half of 2025.
Additionally, Cyprus shows robust support for contactless technology, with over 72% of ATMs accepting contactless transactions, far exceeding the euro area average of 34%. Despite the rise in digital payments, cash withdrawals via ATMs and cashback at POS remain significant self-service channels for Cypriots.