In recent years, an increasing number of Cypriots are turning towards mobile banking, driven by a variety of factors that are steering them in this direction.

According to data obtained by Brief from the Association of Cyprus Banks, 9 out of 10 primary transactions related to deposits, withdrawals, remittances, money transfers, utility bill payments, and more, are now conducted through alternative banking channels, namely online and through ATMs.

The significant rise in digital transactions is attributed to numerous factors, chiefly the expansion and enhancement of services offered by banks through their digital channels.

A banking source highlighted that even in bank branches, where people traditionally go to pay bills, employees are encouraging customers to use these alternative channels, providing necessary training to facilitate this shift.

Specifically, bank employees are instructing customers to use ATMs for simple transactions, while for more complex ones that require internet or app-based solutions, they are trained to avoid mistakes. Additionally, as per the same source, many branches now manage customer visits by appointment, arranged either online, by phone, or in person.

"The banks have made several moves towards digital transformation, resulting in these outcomes," the source added, noting that the COVID-19 pandemic and the imposed restrictions significantly contributed to the increase in digital banking. Another important factor, the source explained, is the growing number of young people who are familiar with the internet and can effortlessly use these alternative channels developed by the banks.

Apart from the above, the shift towards internet and ATM transactions, as mentioned earlier, is also driven by the widening range of services offered through digital channels by banks, such as opening bank accounts and applying for loans, whether for personal use or vehicle purchases.