QR code payments a ‘credit positive’ for banks, says Moody’s

Alka Anbarasu, vice president and senior analyst, noted on Monday the Bank of Thailand’s decision last Tuesday to allow five Thai banks to commercially launch competing e-payment systems using QR codes. 
The system allows customers to use banks’ mobile-phone apps to scan merchants’ standard QR codes to purchase products and make payments immediately. 
The regulator’s approval is a credit positive for the five banks because it will further improve their efficiency and delivery of digital payment systems, Anbarasu said. 
The approval also confirms the strength of the banks’ risk-management systems for digital payment versus competitors that did not receive approval at this stage, he said.
The banks will be able to save costs as penetration of the new payment system increases with both merchants and consumers. 
Before approving the payment systems, the BOT tested the readiness and robustness of each bank’s IT systems, risk management, consumer protection, security and related operations in branches and call centres, aiming to serve consumers continuously and efficiently. 
Initially, the new method will support small transactions at food stalls, small and midsize shops, fresh markets and taxis. 
The BOT wants the service enhanced to support more sources of funds, such as credit cards, and to facilitate other innovative financial services.