Cem Boyner reacts to credit card restrictions: 'Instead of restricting credit cards...'

Following the appointment of Fatih Karahan as the Governor of the Central Bank of the Republic of Türkiye, succeeding Hafize Gaye Erkan, and his remarks on the need for regulations on credit cards, it has been alleged that restrictions could be imposed on credit cards.

Boyner Holding Chairman Cem Boyner issued an open call in his post on LinkedIn, stating that the most effective way to combat the informal economy is to eliminate cash in shopping.

Boyner's post on the subject is as follows;

“Hello everyone,

Some agendas should not be missed; it is critically important to share your thoughts in the right place and at the right time. You know I never shy away from taking responsibility, and this time, the task has fallen to me. Sometimes, regretting what you said is far lighter than regretting what you didn't say in the future.

The topic is the planned restrictions on credit card usage....

Yesterday, I came across a very pertinent interview given by İş Bank General Manager Mr. Hakan Aran to Bloomberg HT, and I thought it would be appropriate for me to comment on the subject as the first person to implement installment cards in the world.

In his interview, Mr. Aran points out that those with a minimum wage limit of up to 20 thousand liras should be excluded from discussions on credit card measures.

'I RAISE IT EVEN FURTHER'

I raise it even further; beyond finding the restrictions to be imposed on credit card usage extremely wrong, I say the most correct decision is to 'eliminate cash'.

I have been a retailer for over 30 years. We learned from the late Uncle Nuri Güven (founder of YKM) that the customer needs installments. We did not invent this need. For decades, we provided a remedy for our customers' problems by making sales with promissory notes in stores. With Advantage, we simply moved the promissory note instrument to a plastic card, and after us, banks moved it to credit cards.

If you do not go where the customer points, if you do not solve their problems, neither banks nor retail will remain. Today, there are still countless very successful retailers who provide installments to their customers with promissory notes instead of cards.

'MEANS MISSING THE MAIN POINT'

I would like to state very clearly that imposing restrictions on credit card usage means missing the main point. If all shopping were done via credit card, there would be no tax evasion and no life outside the banking system. No corruption, no bribery... If the 20 million people outside this system are introduced to the banking system, the informal economy will also be minimized.

Economic policies can either be bold and decisive or they can be of the 'save the day' variety.

Cutting public spending is the right decision; it is permanent, but cutting citizens' spending is a temporary practice. If this restriction comes, it cannot last long, because no administration can implement decisions that will make life difficult for its citizens, impair their quality of life, and annoy them against their will for a long time; it will immediately turn back.

'CITIZENS' LIVES WILL BECOME DIFFICULT'

My suggestion is clear; instead of making citizens' lives difficult by restricting limits and installments, focus on using credit cards instead of cash for payments! This is also one of the fastest and most practical ways to increase tax revenues.

I believe this proposal is the most correct solution that will benefit the retailer, the banks, the citizens, and the state—that is, all four players.

As with every issue, the fact that industry representatives and institutions express their opinions on this matter will prevent potential regrets that may be experienced later. Let this be my open call.

Goodbye for now...”

News Source: 12punto