According to the PBOC, China's "bankcard penetration rate" (defined as the total bankcard payment for consumer goods, excluding wholesale and real estate transactions) as a percentage of gross national retail sales was just under 26% by the end of September 2008. At the end of 2007, this figure was at 22%, and as recently as 2005, it was below 10%. In top-tier cities such as Beijing, Shanghai, and Guangzhou, the figure is higher but still below those of developed economies.
The rapid growth and utilization of bankcards, however, shows that Chinese consumers are willing to adopt alternative payment methods and is a positive sign for the development of electronic payments.
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