The Impact of Capital Controls on the Use of Electronic Means of Payments (EMPs) in Greece

Abstract

The aim of this chapter is to analyze the evolution of the use of electronic means of payments (EMPs) in Greece during the years of capital controls and the prospects created for the Greek banking market and economy from their use. More generally, the authors try to analyze the level of reaction of the real economy to an extreme economic event, coupled with the subsequent development of trends. The introduction of capital controls in Greece in 2015 has led to significant changes in consumers' behavior including the evolution of the means of payment. In this study, the authors analyze initially the penetration of EMPs in Greece during the years before capital controls, then they focus on the current situation and the estimation for the future. They describe the policy followed by the state and measures taken by the Greek banks to encourage the wider use of electronic means of payments.