News

Rise in ATM usage benefits banks' bottom lines in El Salvador

January 8, 2004

EL SALVADOR - El Salvador's banks expect fee income to have risen in 2003 compared to the previous year because more residents are using electronic banking channels such as ATMs, according to a report in BNamericas.

BNamericas, citing local daily La Prensa Grafica Initial, reportedfee income rose some 30 percent in 2003, reaching U.S .$43 million.

With the increasing demand for banking services, the country's ATM network grew to 800 machines in 2003, compared to 77 in 1997.

The proliferation of ATMs also created an increased demand for debit cards, with 1.14 million in circulation by the end of 2002. 2003's figure is not yet known.

Banco Salvadoreno has the lowest commission rate at 40 cents, according to BNamericas. The highest rate is Banco Promerica's $1.50, although the first 10 monthly transactions are free.