Group items tagged

Bank Negara Malaysia and the Bank of Thailand launched a cross-border QR payment linkage between Malaysia and Thailand. Under this first phase, users in Thailand can use their mobile payment applications to scan DuitNow QR codes to make payment to merchants in Malaysia. Under phase two, users in Malaysia will be able to use their mobile payment applications to scan Thai QR codes to make payment to merchants in Thailand. The last phase of the linkage will be expanded to include cross-border remittances.

Bank Negara Malaysia and Payments Network Malaysia have joined the BIS Innovation Hub's Project Nexus on a proof-of-concept to improve the cost and speed of cross-border payments. It will explore the feasibility of linking the real-time payment systems in Malaysia, Singapore and the euro area. This will enable customers to send and receive cross-border payments instantly and securely. The results, expected to be published by end-2022, will inform future development of a global network of real-time payment systems to enable fast and seamless cross-border payments.

Bank Negara Malaysia is "actively building internal capacity to support informed decisions" on central bank digital currency (CBDC) including conducting proofs of concepts (POCs). Though they do not have any immediate plans to issue CBDC they will "actively assess the potential value proposition of CBDC". The central bank said that policy decisions around CBDCs will be guided by whether it is able to demonstrate clear benefits to Malaysia as a whole while ensuring that risks from CBDCs are effectively managed, in particular, the financial stability risks. https://www.bnm.gov.my/-/ar2020_en_pr

The National Bank of Cambodia (NBC) and Malaysia's Maybank Group reportedly launched the Maybank-Bakong Cross Border Funds Transfer -- a real-time funds transfer service between Malaysia and Cambodia through the NBC's Bakong e-wallet and Maybank's MAE app. In the first phase, customers will be able to transfer funds from Malaysia to Cambodia, while transfers from Cambodia to Malaysia will be rolled out at a later date. There is a minimal service fee. Maybank customers can transfer funds up to US$2,500 (or RM10,000 equivalent) daily via their mobile devices.

Malaysia's Securities Commission (SC) served a public reprimand against Binance, calling for the exchange and all of its entities to cease operations in the country. The SC stated that Binance continued to operate in Malaysia despite previous warnings. https://www.sc.com.my/resources/media/media-release/sc-takes-enforcement-actions-on-binance-for-illegally-operating-in-malaysia

Bank Indonesia (BI) and Bank Negara Malaysia (BNM) launched the Indonesia-Malaysia cross-border QR payment linkage on May 8, 2023. This follows from the successful completion of the pilot phase announced on January 27, 2022. The full launch sees the number of participating financial institutions, including non-banks, increase. This will enable more Indonesians and Malaysians to make instant retail payments in either country by scanning Quick Response Code Indonesian Standard or Malaysian DuitNow QR codes at physical stores or online merchants.​

The Monetary Authority of Singapore (MAS) and Bank Negara Malaysia announced plans to commence a phased linkage of Singapore's PayNow and Malaysia's DuitNow instant payment systems. Customers will also be able to make retail payments by scanning QR codes displayed at merchants' storefronts. The first phase, to be launched in the fourth quarter of 2022, will allow customers of participating financial institutions to make real-time fund transfers between Singapore and Malaysia using just a mobile number. In June, the MAS and the Reserve Bank of India announced plans to link PayNow and India's Unified Payments Interface (UPI) real-time payment systems by July 2022.

Bank Negara Malaysia and Bank Indonesia launched a cross-border payment pilot, through which Malaysian and Indonesian users can make retail payments by scanning merchants' DuitNow or QRIS (Quick Response Code Indonesian Standard) QR codes. Full launch is expected in 2022Q3. Phase 2 of a similar linkage between Malaysia and Thailand also went live this week. Phase 1, launched in June 2021, allowed Thai users to use DuitNow QR codes to pay Malaysian merchants. Phase 2 will allow Malaysian users to scan Thai QR codes to pay Thai merchants.

Bank Negara Malaysia "is actively assessing the value proposition of central bank digital currency (CBDC) to Malaysia," it said in an email to Bloomberg. "While a decision has not been made to issue CBDC, we have focused our research on CBDC via proof-of-concept and experimentation to enhance our technical and policy capabilities, should the need to issue CBDC arise in the future." The central bank first signaled CBDC exploration intent in their 2020 annual report.

The Monetary Authority of Singapore (MAS) and Bank Negara Malaysia (BNM) have jointly launched a real-time payment systems linkage between Singapore's PayNow and Malaysia's DuitNow. The initiative follows the QR payment linkage announced in March 2023 which enabled cross-border QR payments to merchants. The PayNow-DuitNow linkage enables instant, secure and cost-effective P2P fund transfers and remittances between the two countries using the recipient's mobile phone number or virtual payments address. This real-time payment systems linkage is also the first to include the participation of non-bank financial institutions from both countries.

The National Bank of Cambodia (NBC) and Ant International have reportedly launched cross-border QR code payments. The payments will occur between NBC's Bakong payment system and Ant International's Alipay+ cross-border mobile payments and digital solutions platform. This will allow users of 12 international payment apps, including Alipay, AlipayHK, Touch 'n Go eWallet, GCash, Kakao Pay, and others, to make seamless payments to merchants in Cambodia by scanning KHQR codes. This will support payments in Cambodian riels. In September 2024, the NBC and Bank Negara Malaysia launched a similar scheme for payments between Cambodia and Malaysia.

In Malaysia, where annual economic growth has averaged just under 5 percent over the past five years, fintech is a part of everyday life. It is rapidly becoming a central part of the country's financial sector, with considerable promise for expansion, according to new IMF analysis.

The Securities Commission Malaysia and Indonesia's Otoritas Jasa Keuangan established a collaborative framework to develop the fintech ecosystem in both markets. It aims to facilitate information sharing on emerging fintech trends and regulatory developments, provide joint innovation project opportunities and facilitate referrals of fintech businesses seeking to operate in each other's jurisdiction.

The Singapore Centre of the BIS Innovation Hub (BISIH) announced that it will start a proof-of-concept of its Project Nexus cross-border payments platform with the Monetary Authority of Singapore, the Bank of Italy and the Central Bank of Malaysia, as well as with BCS in Singapore and PayNet in Malaysia. Project Nexus aims to enable and speed up the process of linking fast payment systems by standardizing the way that these systems connect to each other. Rather than a payment system operator building custom connections for every new country that it connects to, the operator can make one connection to the Nexus platform. This single connection allows a fast payments system to reach all other countries in the network. This provides a more scalable way to build up instant cross-border payment networks.

Bank Negara Malaysia laid out its central bank digital currency (CBDC) plans in its 2021 annual report. Beyond its current participation in the Bank for International Settlements (BIS) Innovation Hub's Project Dunbar for cross border payments, it is also planning to explore a domestic wholesale CBDC later this year and a retail digital currency in 2024. https://www.bnm.gov.my/-/ar2021_en_pr

The BIS Innovation Hub Singapore Centre and partners successfully connected the test versions of three established instant payment systems (IPS) using the Nexus model. The next phase of the project will work on the real-world potential of a multilateral network that could be scaled up across more countries. The year-long collaboration included the Bank of Italy, Central Bank of Malaysia (BNM) and Monetary Authority of Singapore (MAS). Test payments were initiated using only the mobile phone numbers or the recipients' company registration numbers via the Eurosystem's TARGET Instant Payment Settlement (TIPS), Malaysia's Real-time Retail Payments Platform (RPP) and Singapore's Fast and Secure Transfers (FAST) payment system. For the next phase of the project Bank Indonesia, BNM, Bangko Sentral ng Pilipinas, MAS and the Bank of Thailand will leverage experiences from Phase I and Phase II of the project towards connecting their countries' IPS and facilitate cross-border transactions across a combined population of about 500 million people. Looking ahead, the BIS and the five central banks envisage that Nexus could eventually be implemented globally. To achieve this, they will aim to establish a Global Advisory Panel of central banks and payment system operators to advise on the project's development beyond the Southeast Asian region. The Bank of Italy and the European Central Bank will be invited to join this panel.

Bank Negara Malaysia issued an updated Exposure Draft on the Licensing Framework for Digital Banks that incorporates the proposed simplified regulatory framework for digital banks applicable during the foundational phase. The simplifications aim to reduce regulatory burden for new entrants that have strong value propositions for the development of the Malaysian economy, whilst safeguarding the integrity and stability of the financial system.

The Malaysian Securities Commission has ordered 19 crypto trading platforms to cease operations in the country and return funds and assets to investors, effective June 1.

UK-based remittance firm Xendpay is partnering with Ripple to use its RippleNet global settlements platform to allow it to enter new markets like the Philippines, Bangladesh, Malaysia, Vietnam, Indonesia, and Thailand.

Some markets including Singapore, Malaysia, Hong Kong, Taiwan and Japan already have sufficiently high limits. Australia and New Zealand have raised their limits, effective April 9, and the Philippines will increase its limit on July 17. Still other markets are at a more exploratory stage in their deliberations and Mastercard stands ready to support them as initial discussions build momentum for action.