Sunday, December 4, 2022
HomeBusinessRussian banks switch to Chinese ATMs

Russian banks switch to Chinese ATMs

Russian credit organizations are switching to Chinese ATMs after American companies refuse to supply and service such devices. Ak Bars Bank and Post Bank reported that they had already begun to purchase ATMs made in China. VTB, Zenit and the Ural Bank for Reconstruction and Development are considering this possibility.

The ATM network of Ak Bars Bank previously consisted of ATMs from the United States, but now the credit institution is actively switching to Chinese-made ATMs, its representative said. The first ATMs of the GRG company from China will appear in the bank’s network in September. Post Bank reported that they already have Chinese-made ATMs in their network. VTB is testing self-service devices from foreign manufacturers, in particular from China. They noted that this year they plan to conduct pilot projects on the use of new types of devices in several offices.

Considering the possibility of purchasing ATMs of Chinese and Korean production also in the bank “Zenith”, shared his representative. In addition, they are considering the possibility of purchasing Chinese or Korean ATMs from the Ural Bank for Reconstruction and Development in the future. The purchase of ATMs from new manufacturers is also allowed in Sberbank, Otkritie and Novikombank, their representatives said.

American companies Diebold Nixdorf and NCR were the leaders of both the global and Russian ATM markets, said Yegor Krivosheya, head of research at the Skolkovo-NES Center for Financial Technology and Digital Economy Research. He specified that the share of these devices was about 60-70%. However, in the spring of 2022, these companies suspended their work in Russia. At the same time, Russian banks used Chinese, Korean, and Japanese ATMs, but there were significantly fewer of them, Yegor Krivosheya noted.

“In Russia, domestic ATMs are also being created, but their full-scale launch requires both investment and time. Chinese ATMs are a clear affordable alternative. The quality of service is unlikely to change for consumers, given that this is a familiar row of ATMs for some banks, – says Yegor Krivosheya. “Moreover, the largest banks are quite scrupulous about the choice of equipment suppliers and take into account technological aspects, ergonomics, and device design.”.

According to the Central Bank, according to the results of the first quarter of 2022, the number of ATMs in Russia decreased from 190.5 to 187.5 thousand. Alexey Voylukov, Vice President of the Association of Banks of Russia, believes that the fleet of such devices in the country covers the needs of citizens. According to him, credit institutions have spare parts, components and consumables for ATMs or their supplies through third countries have already been arranged, so there will be no problems with ATMs by the end of the year. Then banks will have to explore new opportunities, including Chinese equipment. However, it is quite specific, and there is still little experience with it on the Russian market.

At the same time, Alexei Voylukov recalled that the departure of American ATM manufacturers from Russia led to a number of difficulties, for example, when reconfiguring ATMs to accept a new 100-ruble note.

Russian banks switch to Chinese ATMs

“ATMs require regular maintenance, software updates, replacement of consumables, the availability of spare parts and a replacement fund of devices. After the imposition of sanctions, first of all, there were problems with servicing Western ATMs, which were previously supported by manufacturers. After their sudden departure from the Russian market, not only service, but also the official supply of spare parts ceased.– Dmitry Shilov, Director of the T1 Integration Service and Outsourcing Competence Center, explained.

According to various sources in the payment market, Chinese ATMs are optimal in terms of price / quality ratio. They are cheaper than American ones, while, despite some features in the assembly, they practically do not differ functionally from them. However, Russian banks continued to use American technology, since it entered the market earlier.

- Advertisement -

- Advertisment -

- Advertisment -spot_imgspot_imgspot_img


Two Wheeler


Digit News