As ACI Worldwide reports, the popularity of instant cross-border payments is rising worldwide and Southeast Asia plays a central role in this SEPA-style payments network. Single Euro Payments Area is a system of transactions that have been made by the European Union and its aim is to manage digital payments transactions between two European countries.
According to the research, Southeast Asia followed the UN’s rules, has taken part in making cross-border electronic payments easy and affordable which is why it has become a new leader in instant cross-border payments.
Advantages of cross-border payments
The tendency of adding cross-border payments to your usual payment routine has become a new tendency as it improves user experience and helps you increase the chance for future opportunities. In this process, the payee and transaction recipient are based in completely different countries which can be a thousand miles away from each other.
These transactions are for people or organizations who look for funds across territories. One of its many benefits is that it offers great flexibility to the customers and reduces forex transaction fees. This way, the customers and the traders feel safer as they can gain greater control over FX transactions. In this way, FX traders can offer customers low exchange fees and as a result, save yours and their money.
Creating a cross-border payments system was a big step in developing the forex trading industry because it’s all about transferring money safely and easily from one into another account. As the forex market developed, it was essential to create more and more payment systems that could provide service to brokers from any place around the world.
Cross-border transactions improved payment security
One of the most effective and specific payment systems of this kind is Mpesa.MPesa forex brokers can be found mostly in African countries like Uganda, Kenya, or Ghana. This system is slowly getting expected on the global payment market as it’s productivity is easily noticeable.
MPesa is the largest mobile transfer network in some of the African countries and it rapidly continues to expand and grow. On this platform, you are provided with payment of bills, deposit, and withdrawal of funds, transfer of funds to other users, save of funds in a virtual account, and many other profitable services.
Another advantage of the immediate cross-border transactions is improved payment security. Using this strategy, you can be sure that your data is protected and maintained safely without the burden of security updates.
While using a cross-border method of payments, you don’t have to draw conclusions from a bank statement as there are several other ways to evaluate your financial decisions correctly. All of this enables you to make smarter decisions and trade more effectively.
Southeast Asia’s innovative payment method
New research from Kapronasia, a leading financial technology market, and from ACI Worldwide suggests that Southeast Asia took a big step forward and developed pan-regional real-time payments ecosystem services.
The region is emerging as a global point for real-time cross-border payments as the countries of Southeast Asia are making significant changes in payments modernization. Asian customers have easily and quickly adapted to this newly established real-time payments as these services are convenient and effective.
The popularity of this type of payment can also be seen especially in Malaysia and Singapore. The countries officially launched cross-border debit card payments in 2019 and since then their operators PayNet and NETS have been working productively on QR payments and instant fund transfers.
QR code payment is also an innovative payment method where contactless payment is performed by a mobile app and it’s an easy way to transfer money electronically. This kind of method is considered the future of Southeast Asia, however, in this region, this method is also far more different from China where it was originally established.