EMV in the Middle East: what next?

Whilst migration to EMV is the priority for banks in the Middle East at present, they should not forget to consider what will happen once EMV has been rolled out. From a technology point of view, EMV mandates are more complex than magnetic stripe based systems. In order to maintain the ATM with EMV capacity, banks need to consider testing the ATM network on an ongoing basis. With the use of magnetic stripe cards, Gulf banks have not seen much change in their ATM network testing routines and certification requirements. Under EMV, banks will experience a very different situation as standards change much more frequently. Consequently, ATMs will require more rigorous and frequent testing.

EMV-compliant ATMs are about ten times more labour intensive than traditional ATMs, and this change could lead to productivity issues. ATM testing automation needs to be on the agenda so as to ensure that banks continue to successfully maintain their EMV-compliant ATMs.

Once the migration is complete, banks must ensure any faults are swiftly addressed and that they provide maximum uptime across their ATMs networks. At the same time, to comply with international standards of EMV, Middle Eastern banks must be able to certify the validity of their applications continuously under frequently changing mandates.

Clearly, this adds a strain on testing resources to banks. To address this, banks must put in place measures to automate the ongoing testing and monitoring of their networks. This will enable banks to benefit from the return on investment generated by automated procedures, which are both more time and cost-effective than a manual approach.

Issa Keshek

Cash is king in a downturn

The current financial environment has rocked consumer confidence and people worldwide are feeling the pinch. Below are some interesting statistics showing that consumers are turning to cash over credit and debit cards in order to manage their finances:

• 60% of Europeans anticipate a long-lasting economic downturn and lower purchasing power in 2009.

• Level Four found that 43% of Britons feel most in control of their budgets when using cash from ATMs.

• The British Retail Consortium found that cash payments were the predominant payment method in the UK last year accounting for 60% of all transactions, up from 54% in April 2007.

• Zogby International has stated that 73% of US customers bought gifts with cash over the festive period .

• In Australia cash accounts for 70% of all consumer spending.

• This growth in cash payments is clearly evidenced by the increase in the use of ATMs with cash withdrawals up by £367 million in the UK in 2008 compared with the previous year.

Martin Macmillan