Visa sees slowdown in processed transactions with transfer of Russian processing to NPCS
MOSCOW. July 27 (Interfax) - Visa, the international payment system, is seeing a slowdown in the growth of processed transactions due to the transfer of processing of domestic Russian transactions to the National Payment Card System (NPCS).
Visa CFO Vasant Prabhu said in a conference call that the transfer of transactions to NPCS has led to an overall slowdown in growth of transaction processing by 2 percentage points for the quartered ended in June.
He also said that, although processing of transactions in Russia has been handed over to NPCS, Visa continues to control issuer-customer relations, so it will continue to acknowledge revenues from processing in Russia in its results. However, Visa will pay NPCS for the actual processing of transactions. In other words, revenues remain the same, but the company's expenses will increase, Prabhu said.
