Singapore, Indonesia launch cross-border QR payment linkage
Customers can now pay with the QRIS and NETS QR offered in the two countries.
Singapore and Indonesia’s central banks have launched a cross-border quick response (QR) payment linkage between the two countries, enabling financial institutions to make seamless cross-border retail payments.
FIs need only to use their existing mobile banking applications to scan QRIS or NETS QR codes displayed in merchants in Indonesia and Singapore, respectively.
Bank Indonesia Governor Perry Warjiyo and the Monetary Authority of Singapore Managing Director Ravi Menon jointly announced the linkage and made QR cross-border payments live during the Singapore Fintech Festival 2023.
This linkage is expected to enable micro and small businesses to tap into a new pool of customers in each other’s economies. It will also benefit a significant number of travellers between the two countries, MAS and BI said in a joint statement.
Travel between Singapore and Indonesia have rebounded significantly in the first half of 2023. Indonesia recorded 600,000 arrivals from Singapore, whilst Singapore recorded 1.1 million travellers arriving from Indonesia during the first half of the year.
BI and MAS have also signed a Letter of Intent (LOI) to establish a local currency settlement framework.
When operationalised in 2024, the framework will facilitate the settlement of cross border payments, including QR payments, trade and investments between Indonesia and Singapore in their respective local currencies, the two central banks said in a joint statement.