Malaysia ranks second globally in QR code payment adoption at 61.5%, just after China. The growth is driven by the convenience and ubiquity of QR codes, supported by the DuitNow QR standard that unifies various payment methods. Despite this progress, caution is needed to ensure inclusivity, particularly for those still reliant on cash transactions.
In Malaysia, the digital payment landscape is thriving, primarily due to QR code adoption. Currently, the country ranks second globally in QR code payment adoption at 61.5%, closely trailing China, which stands at 67.4%. Malaysia has surpassed various developed nations like the UK and the US, indicating a substantial shift towards cashless transactions in daily commerce.
QR codes are ubiquitous in Malaysia, being utilized from upscale boutiques to local food stalls. Their widespread presence reflects a combination of user convenience, technological innovation, and supportive government initiatives. DuitNow QR has been particularly pivotal, allowing businesses to adopt QR payment solutions conveniently.
DuitNow QR acts as a comprehensive payment standard, enabling different e-wallets and financial services to unify under a single QR code system. This simplification has fostered broader QR code usage, benefiting both consumers and merchants by streamlining transactions across various platforms, including popular services like Touch ‘n Go and GrabPay.
The surge in QR code usage is also driven by factors such as ease of payments and the pandemic’s push towards contactless transactions. The initiative by banks and the government has further accelerated the transition towards cashless systems, which were deemed essential during the COVID-19 pandemic.
Since its launch in 2019, DuitNow QR has expanded significantly, with registrations growing to 2 million merchants, now exceeding traditional POS systems. The transaction volume has experienced substantial growth, with 360 million transactions valued at RM 14.6 billion, highlighting the significant role of small businesses within this ecosystem.
Despite the advancements, caution is urged against pursuing a fully cashless society, as not all consumers are ready for complete digital adoption. Older generations and rural areas may still rely on cash transactions. Therefore, a balanced approach that accommodates all demographics should be prioritized while pursuing digital progress.
Malaysia’s impressive ranking in QR code payments reflects its rapid adoption of digital transactions. The success of initiatives like DuitNow QR has unified various payment systems and fostered seamless consumer experiences. However, while embracing digitization, it’s essential to maintain accessibility for all demographics, ensuring a balanced coexistence of cash and cashless payments to avoid alienation of certain user groups.
Original Source: fintechnews.my
