The Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) announced the introduction of two new electronic payment solutions set to launch in mid-2025.
These initiatives aim to facilitate the transition from traditional cheques to digital payments for both corporate and retail users.
The new solutions, EDP and EDP+, will complement Singapore’s existing e-payment platforms, including PayNow, FAST, GIRO, and MEPS+.
Designed in collaboration with Domestic Systemically Important Banks (D-SIBs), EDP will cater to post-dated payments, while EDP+ will address transactions requiring greater certainty of payment.
Both services will be accessible through digital banking platforms and will utilize PayNow to enable payers to conveniently identify payees during transactions.
To support corporates in adopting these new solutions, MAS and ABS have extended the deadline to cease processing corporate cheques by one year.
Originally scheduled for December 31, 2025, the new deadline is now December 31, 2026. This extension provides businesses with additional time to transition to EDP and EDP+, ensuring a smoother shift from cheque-based transactions.
In addition to launching new e-payment options, MAS reaffirmed its commitment to phasing out corporate cheques by 2025.
Banks in Singapore will cease issuing new corporate cheque books by the end of 2025, encouraging companies to migrate to digital alternatives.
Retail cheques will remain available, along with cashier’s orders and USD cheques for both corporate and retail customers.
Major retail banks will continue to waive cheque service fees for senior citizens, maintaining accessibility for this demographic.
MAS and ABS emphasized the importance of embracing electronic payments to enhance convenience and efficiency for all users.
The transition plan includes a public consultation paper, outlining strategies to address the needs and concerns of both corporates and individuals during the shift to digital payments.
As Singapore advances towards a cashless economy, these measures are expected to bolster the nation’s digital financial infrastructure, aligning with global trends towards more secure and efficient payment systems.