KUALA LUMPUR, May 8 (Xinhua) -- Bank Indonesia (BI) and Bank Negara Malaysia (BNM) on Monday announced the commercial launch of the Indonesia-Malaysia cross-border QR payment linkage.
The launch, which followed the successful completion of the pilot phase of the linkage announced on Jan. 27, 2022, saw an increase in the number of participating financial institutions, including non-banks, BNM and BI said in a joint statement.
It said this will enable more Indonesians and Malaysians to make instant retail payments in either country by scanning Quick Response Code Indonesian Standard (QRIS) or DuitNow QR codes at physical stores or online merchants using services offered by participating financial institutions.
It also said the QR payment linkage will strengthen the economic ties between Indonesia and Malaysia and support a more inclusive and stronger post-pandemic economic recovery.
As international travel gathers momentum, the payment linkage is expected to not only provide travelers with greater convenience but also benefit the tourism and retail sector of both economies.
BNM governor Nor Shamsiah Mohd Yunus said the cross-border QR payment linkage has significant potential to boost economic activities, including tourism spending in the two countries.
She said the payment linkage will also help expand markets for some businesses and facilitate increased settlements in local currency, thereby improving financial outcomes.
"The QR payment linkage between Malaysia and Indonesia complements a growing network of bilateral payment linkages within ASEAN that will contribute towards a more vibrant ASEAN and further development of the region as a center of growth," she added.
Governor of Bank Indonesia Perry Warjiyo said the cross-border QR payment linkage provides more options for users in cross-border payment transactions and serves as a key to improving efficiency, promoting digital economy and financial inclusion in the region, and maintaining macroeconomic stability. ■