Worldline (Euronext: WLN), a global leader in payment services, announces its wholly owned subsidiary, GCS APAC, has been granted Major Payment Institution license by the Monetary Authority of Singapore (MAS).
The successful approval by the Singaporean financial regulator to Worldline’s wholly owned subsidiary, GCS APC, confirms Worldline’s position as one of the leading global operators in the financial payments sector. Specifically, it helps facilitate Worldline’s ambitions to expand its presence, not only in one of the most interesting markets in Asia but also into the wider, increasingly influential pan-Asian marketplace, while enhancing its offerings for both local and international merchants operating throughout the region.
The MAS license allows Worldline the opportunity to bring its innovative and market-leading payment technology solutions to one of the most advanced and rapidly expanding global markets with huge growth potential. It will be able to deliver localized and cross-border money transfer services, alongside supporting merchant acquisition services to an eager and increasingly demanding universe of local and international merchants conducting business within this marketplace.
With e-Commerce in Singapore expanding exponentially from SGD12.4 billion ($9.3 billion) in 2019 to an estimated SGD19.8 billion ($14.8 billion) in 2023 - at a CAGR of 12.3%, - this strong momentum is expected to continue, reaching SGD29.4 billion ($21.9 billion) by 2027 at a CAGR of 10.4% over 2023-27 [source: GlobalData]. The rapid rise in contactless card payments underpins this phenomenon with the number of contactless cards increasing from 27.7 million in 2019 to 39.3 million in 2023, and the annual value of card transactions estimated to exceed $107.3 billion in 2023 according to GlobalData.
This announcement further reflects Worldline’s successful strategic push into the wider, fast-expanding Asian regional markets,
- Japan, with its total card payment volume of c. 750 billion USD for 2023 [source: GlobalData], where Worldline has a preferred partnership with Vesca, a leading local provider of payment solutions and network service provider (NSP). Worldline is providing transaction processing, leveraging the footprint, scale and technology of its global payment processing facilities, while Vesca is the technical enabler that acts as the acceptance layer in the country. Through this set-up, to accept credit cards is simple and cost efficient for Japanese merchants.
- South Korea, where, according to GlobalData, eCommerce revenues are projected to reach US$119 billion in 2023 with an annual CAGR 2023-2028) of 7.7%, resulting in a projected market volume of US$160 billion by 2027. This market is particularly interesting for global e-commerce players, in support of whom Worldline has rolled out geo expansion recently. Through a deep understanding of the country’s financial ecosystem and local partnerships Worldline supports global online businesses process payments locally, as well as access the local market without having to set up a local entity.
- India, Worldline has been building a robust payment ecosystem for over 26 years. The Paytech offering in India encompasses the entire payment value chain - in-store and online - and is aligned with its commitment to building a less cash economy in India and boosting economic growth. Today, Worldline is acknowledged as one of the foremost Paytech organizations in India and is a preferred partner for 30+ leading public and private sector banks along with NBFCs, Insurance Companies, E-commerce, Start-ups, Retail brands, and SMBs. In India, Worldline has 1.5 million+ merchant touchpoints across 5000+ towns and cities.
Worldline Payment Orchestration takes charge as a prominent orchestrator, actively managing transactions in the Asia-Pacific (APAC) region.
In addition to serving merchants in the region, Worldline is also working with a large network of leading banks. Over 85% of banks in ASEAN countries are already using Worldline’s product portfolio in markets like Singapore, Malaysia, Indonesia, the Philippines, Thailand, Vietnam, Brunei, Taiwan, Hong Kong and China.
“Businesses and consumers in these diverse markets have shown great enthusiasm in adopting new ways of doing business for many years now. In line with their rapidly changing purchasing habits, they are constantly adopting innovative technologies and setting new trends with global implications”, says Ms Beate Krugmann, Head of East & Southeast Asia at Worldline Merchant Services.
“At Worldline we appreciate these exciting trends and are very keen to stay on top of innovation and development. As part of our regional expansion strategy, we are committed to playing a pivotal role in our Asian markets that are so rapidly gaining importance. I am very proud we have now been granted our new license from the Monetary Authority of Singapore, which ensures an even stronger foothold in Singapore and throughout our Asian markets.“