Innovative electronic devices in cards and payment industry drive the growth Malaysian banking sector: Ken Research

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• Innovative electronic devices in cards and
  payment industry drive the growth Malaysian
  banking sector Ken Research

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The cards and payment market in Malaysia includes
payment cards, online payments, P2P payments, and
newer payment technologies such as mobile wallets
and contactless. It was observed that the use of
cash still remains relatively high in Malaysia
and the payment technology is expected to grow
rapidly over the coming years. Therefore, the
Malaysian banks are providing payments products
and services that are as easy to use, convenient
, and
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• secure to actively promote digital payments.
  Majority of the merchants are promoting card
  adoption with reward programs and benefits to
  encourage consumers to use their cards.
  Malaysias e-commerce market will witness a huge
  growth compared to the other Southeast Asian
  countries in the cards and payments sector in the
  near future. Malaysian cards and payments
  industry operations include credit transfers,
  payment cards, cash, direct debits, and cheques.
  The leading banks in Malaysia are Maybank, Bank
  Simpanan Nasional, CIMB Bank, Hong Leong Bank,
  Public Bank, Citibank, HSBC, Bankcard, AmBank,
  Global Payments, Visa, Mastercard, American
  Express which offer sophisticated cards and
  payment services such as contactless technology.
• Bank Negara Malaysia (BNM) is actively supporting
  the development of Fintech in Malaysia by
  participating in events and regulatory training
  to help Fintech understand the regulatory
  landscape in the country. The country has created
  awareness among the population

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• about the use of payment cards, electronic funds
  transfers and online banking services. Malaysias
  central bank has educated the population about
  the benefits of using financial cards, safe
  practices when using financial cards and going
  cashless. The country has also implementing
  PIN-enabled payment cards, an extra security
  measure for payment cards. The growth in the
  payment cards in Malaysia is expected to witness
  a positive growth over the coming years. A strong
  growth is expected in the category of debit cards
  compared to the other financial card categories.
• According to the study The Cards and Payments
  Industry in Malaysia Emerging trends and
  opportunities to 2020, the rural population in
  Malaysia depended on cash for the majority of
  their transactions. The government and banks
  provided basic financial and banking services
  while expanding banking infrastructure, launching
  new branches, promoting agent banking networks,
  and making

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efforts to change consumer payment habits. The
payment cards such as debit cards, credit cards
and charge cards were gradually accepted and
massive growth in this sector was observed.
Majority of the Malaysians are using their debit
cards for cash withdrawals at ATMs rather than
payments at merchant outlets. To encourage the
consumers to use their debit cards at the
merchant outlets for payments, the central bank
in Malaysia plans to establish 800,000 point of
sale (POS) terminals by the year 2020. The
growing preference for secure electronic payments
and increasing young population in Malaysia using
smartphone has encouraged banks to develop
sophisticated payment service options and
providers. To encourage contactless payments,
Malaysian banks are launching innovative
electronic products. Samsung Electronics launched
its Samsung Pay mobile wallet and Visa launched
Visa Checkout in Malaysia. Maybank collaborated
with Visa and launched
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an NFC wristband and Maybank Visa Payband to
enable its customers to make payments with a wave
of the wrist. The central bank of Malaysia,
Bank Negara Malaysia (BNM) and its auxiliary
Malaysian Electronic Clearing Corporation Sdn Bhd
(MyClear) has launched the JomPAY service to
promote electronic payments. This JomPAY is a
Malaysian government initiative supported by 42
banks offering a common payment platform for
Malaysian consumers to make bill payments using
online free of cost or mobile banking to any
JomPAY-registered merchant using a savings
account, current account or a credit card. BNM
also launched the e-Payment Incentive Fund (ePIF)
that helps the banks to divert check processing
fees to encourage consumers to adopt
e-payments. Malaysias contactless card
technology has encouraged many consumers and
currently reached a maximum penetration. The
complete migration of payment cards to EMV
standards with
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contactless functionality and awareness education
by Malaysias central bank has increased in the
contactless card penetration among Malaysian
consumers. All major banks such as Maybank, Bank
Simpanan Nasional (BSN), CIMB Bank, Public Bank,
and Hong Leong Bank are offering contactless
cards to all their consumers. New opportunities
in the payments industry such as adoption of Open
Application Programming Interfaces (APIs), growth
in digital payments, innovation in cross-border
payments, and challenges from the entry of
alternative service providers are impacting the
Malaysian cards and payments industry. Almost all
the consumers are becoming increasingly
accustomed and benefitted to using cards for
paying their transactions. Majority of the
consumers own several credit cards and debit
cards because they are a safe way to pay for
purchases or make payments. It was observed that
cards and payments industry in Malaysia is
developing with technology, demographic, and
regulatory dynamics.
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• Key Topics Covered in the Report
• Malaysia Bill Payment Market Research
• Malaysia Money Remittance Industry
• Alternative Payment Methods in Malaysia
• Malaysia Cards and Payments Industry Trends
• Consumer Payment Industry Malaysia
• Malaysia Credit Card Industry Analysis
• Malaysia Plastic Money Market
• Malaysia Credit Cards Market Research
• Malaysia Cards and Payments Market Research
  Report
• M-Commerce Market Malaysia
• Ecommerce Payment Industry Malaysia
• Malaysia Payment Industry
• Wallet Payment Market Malaysia
• Plastic Card Money Malaysia
• P2P Payments Malaysia

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• Online Payment Channels Malaysia
• Debit Cards Market Malaysia
• Credit Card Demand in Malaysia
• Credit Card Demand Future Outlook Malaysia
• To know more, click on the link below
• https//www.kenresearch.com/banking-financial-serv
  ices-and-insurance/financial-services/cards-paymen
  ts-industry-malaysia/136054-93.html
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