Market Research Reports - Ken Research Credit Card Demand Future Outlook Malaysia | Page 2

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 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.
Malaysia’s contactless card technology has encouraged many consumers and currently reached
a maximum penetration. The complete migration of payment cards to EMV standards with
contactless functionality and awareness education by Malaysia’s 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.
Key Topics Covered in the Report:
Malaysia Bill Payment Market Research
Malaysia Money Remittance Industry
Alternative Payment Methods in Malaysia