Bank Negara Malaysia and the Monetary Authority of Singapore have jointly launched a real-time payment systems linkage between DuitNow and PayNow, enabling instant, secure, and cost-effective cross-border fund transfers. This collaboration, encompassing non-bank financial institutions and aligning with regional initiatives, marks a significant advancement in enhancing the efficiency and accessibility of cross-border payments between Malaysia and Singapore.
17 November 2023 – Bank Negara Malaysia (BNM) and the Monetary Authority of Singapore (MAS) have jointly introduced a groundbreaking real-time payment systems linkage, connecting Malaysia’s DuitNow and Singapore’s PayNow. Building on the earlier announcement of a QR payment linkage, this initiative enables seamless cross-border QR payments to merchants, marking a significant advancement in the financial collaboration between the two nations.
The DuitNow-PayNow linkage facilitates instant, secure, and cost-effective person-to-person (P2P) fund transfers and remittances. Notably, this real-time payment systems linkage includes non-bank financial institutions from both countries, broadening accessibility for a diverse user base. Consumers of participating financial institutions can now effortlessly send and receive funds, up to RM3,000 or S$1,000 daily, using the recipient’s mobile phone number or VPA.
Initially available for users of Maybank, CIMB, and TNG Digital in Malaysia, the service will gradually extend to other financial institutions. In Singapore, a phased approach will introduce the service to customers of Liquid Group, Maybank Singapore, OCBC, and UOB, progressively expanding eligible user groups until the end of January 2024 to facilitate customer familiarization.
This collaborative effort between central banks, payment system operators, scheme owners, and financial institutions of both countries represents a pivotal milestone in enhancing the cost, speed, access, and transparency of cross-border payments. Aligned with the ASEAN Payment Connectivity Initiative and the G20 Roadmap for Enhancing Cross-border Payments, the DuitNow-PayNow linkage aims to foster economic growth and prosperity while laying the groundwork for scalable cross-border payment networks across ASEAN and beyond.
BNM Governor Datuk Abdul Rasheed Ghaffour emphasized the immense benefits of fast, secure, and cost-efficient cross-border payments for individuals and small businesses in closely connected economies like Malaysia and Singapore. He sees the DuitNow-PayNow linkage as a catalyst for shared growth and prosperity.
MAS Managing Director Mr. Ravi Menon highlighted the linkage as the realization of a shared aspiration between Singapore and Malaysia, contributing to ASEAN’s vision for regional payments interconnectivity.