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Indonesia gets new payments system

Indonesia's central bank has launched a retail payments system designed to cut the cost of money transfers.

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Indonesia gets new payments system

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This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The BI-Fast system will enable real-time money transfers of up to 250 million rupiah, at a maximum transaction cost of 2500 rupiah - 4000 rupiah cheaper than using the old system.

The pandemic has led to a digital payments surge in Indonesia, with November seeing a 47% rise in transactions on a yearly basis, according to Reuters.

Bank Indonesia governor Perry Warjiyo says the new system "will accelerate the digitalisation of the national economy, integrate the payment system industry from end to end - digital banking, fintech, e-commerce and consumers, promote economic and financial inclusion and support the national economic recovery".

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