Bangkok Bank, one the largest commercial banks in Thailand, has introduced an international QR payments solution that will run between Thailand and Vietnam. The solution is reportedly being deployed with assistance from the Bank of Thailand (BOT) and State Bank of Vietnam (SBV).
Bangkok Bank Public Company Ltd, which maintains a branch network including more than 1,165 locations, will be offering clients in Thailand and Vietnam the option to perform QR payments through mobile banking apps between the two Southeast Asian countries.
The banks claim that it’s a more accessible and seamless way to transact. The new system will also offer competitive exchange rate fees because of the higher number of merchants that are willing to support the QR payment system.
Notably, the total volume of digital transactions in 2020, including QR code payments, surpassed 13 million, up by nearly 50%% from 2019 levels.
Bangkok Bank’s management noted that they think that when economic activities get back to normal and travel and tourism begin to recover, then the cross-border QR payment services will serve a key role in supporting economic activities.
Charamporn Jotikasthira, Executive Director at Bangkok Bank, stated:
“In the initial stage, cross-border QR payments will meet the needs of specific groups such as Vietnamese who are working in Thailand or Thais who are working in Vietnam, including online shopping between countries, etc. We believe that in the future when the Covid-19 situation eases, overseas travel will resume and regional travel will start first, particularly in countries that have efficient systems to manage and control the spread of Covid-19, such as Thailand and Vietnam. Therefore, we are confident that the cross-border QR payment service via Bangkok Bank Mobile Banking will expand quickly and be available for wider use in the future.”
Regulators in Thailand have been working on progressive policies in order to support the nation’s evolving financial ecosystem.
As reported recently, the Open Banking regulatory framework in Thailand has not yet been fully launched, but digital technology adoption remains steady.
The crypto-assets sector in Thailand has also been growing steadily during the past few years. The SEC in Thailand is reportedly backing off its initial plan to set a 1 million Baht (about $33,000 per year salary) minimum annual income requirement for crypto investors.