Rewritten Title: Market Dynamics: Leading Iranian Banks Drive National Payment Infrastructure
Article:
A recent report from Shaparak, Iran’s national payment processing network, has highlighted the significant role of major banking institutions in the country’s financial ecosystem. The data, which covers transactions for the month of Mordad (July-August), reveals both substantial growth in the network’s volume and the concentrated market share held by a core group of banks, underscoring their pivotal role in national economic development.
Robust Growth in Transaction Volume
The Shaparak network processed a total of 1,886 trillion tomans in transactions during Mordad. This figure represents a notable 10.7% increase compared to the previous month (Tir). Year-over-year, the nominal growth was a robust 42% compared to Mordad of the previous year.
Strategic Concentration in the Credit Card Sector
The data provides a clear picture of market distribution, revealing that the credit card sector is led by major banks with extensive infrastructure. Three banks—Melat, Saderat, and Melli—collectively command over 41% of all active credit cards in the Shaparak network, with individual shares of 17.4%, 12.5%, and 11.2% respectively. This concentration is widely viewed as a reflection of their established operational capacity and strategic investment in advanced payment technologies.
Bank Refah and Gharzolhasaneh Mehr Iran follow with significant shares of approximately 8% and 6.8%. Other banks, including Pasargad, Tejarat, Shahr, Saman, and Maskan, each hold between 3% to 5% of the market. The report notes that specialized and development banks have a smaller presence in the consumer credit space, a factor attributed to their specific mandates focused on large-scale project financing and other specialized sectors rather than retail banking.
Dominance in Debit Card Infrastructure
The market for active debit cards, the backbone of Iran’s digital payment system, also demonstrates a similar structure. Bank Melli leads this sector with a commanding 21.2% share of all transacting debit cards. It is followed by Bank Melat (10.3%) and Bank Saderat (9.5%). Together, these three institutions account for 41.2% of the market. Banks Sepah, Keshavarzi, Refah, and Tejarat further solidify the presence of major institutions, each holding between 6% and 7.7% of the debit card market.
Gift Card Market Leadership
In the gift card segment, a market that supports retail and corporate incentives, Bank Shahr leads with a 14.4% share. It is closely followed by Bank Melli (13.9%) and the private Bank Parsian (10.4%). These three banks collectively account for 41% of this dynamic market.
A Nation of Active Card Users
The report also detailed the scale of the Shaparak network’s user base. In Mordad, approximately 158.6 million active bank cards were used for transactions. Debit cards remain the most prevalent payment tool, constituting 95.5% of all active cards. This was followed by 5 million gift cards (3.2%) and 2 million credit cards (1.3%).
This data illustrates the critical function of Iran’s major banking institutions in maintaining and expanding the country’s modern financial infrastructure, ensuring reliable and widespread access to digital payment services for citizens and businesses alike.