In a strategic move to facilitate smoother financial transactions for international travelers, Cambodia has recently introduced Alipay+ into its national QR payment landscape. This integration signifies a notable advancement in the country’s financial technological capabilities, paving the way for hassle-free payments for tourists and bolstering the local economy.
Cambodia’s new initiative allows visitors to make payments using the KHQR system, the nation’s standardized QR code, designed to unify the payment experience across various platforms. The integration with Alipay+ enables travelers to use 12 different international mobile payment applications, including widely recognized names such as Alipay, AlipayHK, GCash, and Touch ‘n Go.
The convergence of KHQR with Alipay+ means tourists can now effortlessly settle payments at over a million merchant locations throughout Cambodia. This ease of transaction is expected to greatly enhance the visitor experience, as it removes the barriers traditionally associated with dealing in foreign currencies and navigating through different payment systems. With the transaction capability set to increase as more merchants come on board, international visitors will be able to engage more extensively with the local market, benefiting both the tourism industry and Cambodian merchants.
Executed transactions will be carried out in the local currency, Cambodian riels, further simplifying the buying process. This feature is particularly beneficial as it negates the need for currency exchange and allows visitors to understand the exact costs in the local economic context.
The establishment of KHQR was taken up by the National Bank of Cambodia, the country’s central bank, in 2022 as a key component of the Bakong payment system. The aim was to streamline digital transactions by creating a singular QR code system compatible with multiple mobile banking applications, thereby negating the need for numerous QR codes and simplifying the payment procedure for both consumers and merchants.
This collaboration between Alipay+ and Cambodia’s Bakong system is a significant stride in the realm of cross-border payments within the ASEAN region. The memorandum of understanding (MoU) that cemented this partnership was signed during the Singapore Fintech Festival in 2023, hinting at a future where financial cooperation and digital interconnectedness are the norm.
Alipay+ is no stranger to cross-border QR code payments, having established its presence in several countries, including Singapore, Malaysia, South Korea, Nepal, and Sri Lanka. Its reach extends to over 90 million merchants in 66 different markets globally, making it a familiar system for travelers.
Governor Chea Serey of the National Bank of Cambodia expressed confidence in the positive impact of this partnership, citing the National Bank’s dedication to advancing cross-border payment systems within the region. She believes leveraging technology through this partnership will significantly support Cambodia’s digital transformation and unlock new venues for merchants amidst the country’s evolving digital landscape.
Edward Yue, General Manager for Southeast Asia, Australia, and New Zealand at Ant International, praised the visionary steps taken by the National Bank of Cambodia. He pointed out that by integrating digital payment methods into the country’s travel ecosystem, Cambodia is not only enriching the visitor experience but also empowering local businesses to capitalize on the surge of tourism. As tourists can now ‘travel like a local’ using their domestic payment apps, the local communities stand to benefit from a more dynamic, experience-rich travel culture.
The fusion of Cambodia’s financial technology with Alipay+ promises an exciting phase of growth for the tourism and commerce sectors, marking a new chapter of digital convenience and economic synergy for the country and its visitors.
Source: Fresh News
