Summary

GlobalData’s "Payments Landscape in Malaysia: Opportunities and Risks to 2022", report provides detailed analysis of market trends in Malaysia's cards and payments industry. It provides values and volumes for a number of key performance indicators in the industry, including cash, direct debit, credit transfers, cheques, and cards during the review-period (2014-18e).

The report also analyzes various payment card markets operating in the industry, and provides detailed information on the number of cards in circulation, transaction values and volumes during the review-period and over the forecast-period (2018-22f). It also offers information on the country's competitive landscape, including the market shares of issuers and schemes.

The report brings together GlobalData’s research, modeling, and analysis expertise to allow banks and card issuers to identify segment dynamics and competitive advantages. The report also covers details of regulatory policy and recent changes in the regulatory structure.

This report provides top-level market analysis, information and insights into Malaysia's cards and payments industry, including -
- Current and forecast values for each market in Malaysia's cards and payments industry, including debit, credit, and charge cards.
- Detailed insights into payment instruments including cash, direct debit, credit transfers, cheques, and cards. It also, includes an overview of the country's key alternative payment instruments.
- E-commerce market analysis.
- Analysis of various market drivers and regulations governing Malaysia's cards and payments industry.
- Detailed analysis of strategies adopted by banks and other institutions to market debit, credit, and charge cards.

Scope

- To strengthen consumer confidence in card-based payments, Bank Negara Malaysia introduced the Malaysian Chip Card Specification initiative in 2014 for the migration of domestic debit cards to the EMV standard. As part of the initiative, the central bank prohibited the use of signature-based payments from July 1, 2017. In addition, to encourage individuals to make card payments, the central bank prohibits retailers from imposing surcharges on debit and credit card payments. And to further promote card payments, the central bank has introduced contactless functionality to domestic debit card scheme MyDebit.
- In an attempt to increase card usage, in July 1, 2015 Bank Negara Malaysia introduced a regulation to cap interchange fees charged by domestic debit card schemes at 0.15% of the transaction value (subject to a maximum interchange fee of MYR0.50 [$0.12] + 0.01% per transaction). Debit cards issued by international schemes are capped at 0.21% of the transaction value (subject to a maximum of MYR0.70 [$0.17] + 0.01% per transaction). The interchange fee for credit cards is capped at 1.10% of the transaction value, with plans to reduce it further to 0.48% from January 1, 2021. The central bank has waived interchange fees for any payments made via domestic debit cards to the government or its agencies until December 31, 2020.
- To offer convenient payments for e-commerce purchases, in April 2017, Maybank launched a new payment gateway targeting ecommerce entrepreneurs - particularly SMEs. Maybank2u Pay enables merchants to accept online payments via online banking platform Maybank2u. Merchants will be able to integrate the payment gateway into their website so that they can receive online payments from their customers. Similarly, in March 2016 Visa launched its checkout service, Visa Checkout, in Malaysia. The solution enables users to store their credit and debit card details as well as their shipping address in order to make instant payments.

Reasons to buy

- Make strategic business decisions, using top-level historic and forecast market data, related to Malaysia's cards and payments industry and each market within it.
- Understand the key market trends and growth opportunities in Malaysia's cards and payments industry.
- Assess the competitive dynamics in Malaysia's cards and payments industry.
- Gain insights into marketing strategies used for various card types in Malaysia.
- Gain insights into key regulations governing Malaysia's cards and payments industry.

Companies Mentioned
Maybank
Bank Simpanan Nasional
CIMB
Public Bank
Hong Leong Bank
Bank Islam Malaysia
RHB Bank
AmBank
United Overseas Bank
Citibank
Al Rajhi Bank
HSBC
Aeon Credit Service
Visa
Mastercard
American Express
MyDebit
Diners Club