The Jakarta Post
Bank Indonesia (BI) has officially granted China-based e-wallet heavyweight WeChat Pay a permit to operate in the country.
BI deputy governor Sugeng said the central bank granted the permit on Jan. 1.
“WeChat Pay is now legal [in the country],” he said on Saturday as quoted by kompas.com via Kontan.
Regulators agreed to grant the permit after WeChat Pay formed a partnership with private Bank CIMB Niaga. The bank will serve as an “acquirer” in charge of processing each transaction made through the foreign e-wallet platform.
WeChat Pay’s arrival to the country’s burgeoning cashless ecosystem coincided with the implementation of BI’s Quick Response Indonesia Standard (QRIS) code, a nationwide standard QR payment system. This will allow Indonesian customers to use WeChat Pay at merchants that support QRIS.
“[WeChat Pay] is already connected with QRIS,” Sugeng said.
Prior to receiving BI’s official permit, WeChat Pay had been operating illegally in the country as the e-wallet was the go-to cashless payment system for a number of Chinese visitors.
Alipay – another China-based e-wallet backed by technology giant Alibaba – has yet to be granted an operational permit from BI.
“No development on that front,” Sugeng said. (rfa)