Malaysia's MyClear Merges with MEPs

Malaysia's MyClear Merges with MEPs
30.05.2017 11:15 am

Malaysia's MyClear Merges with MEPs

M&A Deals

Bank Negara Malaysia (BNM) wishes to announce the merger of MyClear and MEPS to form Payments Network Malaysia Sdn Bhd or PayNet. PayNet will be the operator of shared payments infrastructures for the nation. 

The formation of PayNet is aligned with Bank Negara Malaysia’s efforts to ensure Malaysia’s payments infrastructures are competitive, efficient, open and innovative to accelerate the nation’s migration to electronic payments (e-payments) and to meet the existing and future needs of the economy. PayNet will be jointly owned by BNM and the financial industry.

“The merged entity will assume a key role in enhancing Malaysia’s growth potential through the provision of world-class payment systems that are competitive, efficient, open and innovative. As a shared utility, PayNet will operate with a public interest objective to support and develop safe, reliable and efficient payment systems in Malaysia”, said Governor, Muhammad bin Ibrahim. 

The merger will increase synergies and efficiencies through coordinated strategies for the development of shared payment infrastructures under a single entity that will improve the cost-effectiveness, inclusiveness and the value proposition of e-payment services in Malaysia. To facilitate network expansion and drive innovation in payment services, PayNet will enable open and fair access to its payment infrastructures to both banks and eligible non-bank entities. In the immediate term, infrastructure projects that will be spearheaded by PayNet include the establishment of a national addressing database to facilitate payments to recipients using their mobile phone numbers or National Registration Identity Card (NRIC) numbers. PayNet will also promote the acceptance of MyDebit cards as a low-cost alternative for merchants to lessen the need for cash in retail transactions.

"The merger comes at an opportune time when it is increasingly crucial for the country to avoid duplication and consequently make the right investment decisions to help prepare the domestic financial sector for what might come next. In this respect, we envisage that PayNet will facilitate innovation and technological improvements in payment infrastructures for the benefit of the various market participants in the financial sector, while preserving the need for stability and security", added Datuk Abdul Farid Alias, the Chairman of MEPS.

PayNet will operate the nation’s key payment systems previously operated by MyClear and MEPS. These include the Real Time Electronic Transfer of Funds and Securities System (RENTAS) that facilitates the transfer and settlement of high-value interbank payments and securities transactions, and various retail payment and clearing systems, including the Shared ATM Network, Interbank GIRO (IBG), Instant Transfer, JomPAY, Financial Process Exchange (FPX), Direct Debit, domestic debit card network (MyDebit) and the cheque clearing system.

Related News

Venafi to Acquire Jetstack to Accelerate and Secure Digital Transformation

Venafi®, the inventor and leading provider of machine identity... Read more »

IHS Markit Acquires Catena Technologies

 IHS Markit (NYSE: INFO), a world leader in critical information, analytics and solutions, today announced the acquisition of Catena Technologies (Catena), a global regulatory... Read more »

Santander strengthens its international trade operations for SMEs with the completion of the investment in Ebury

Banco Santander announced today the completion of its purchase of a c.50.1% stake in Ebury, one of the best international payment, FX and international cash management... Read more »

Tenth Revolution Group Acquires Top AWS Solutions Provider, Rebura

Tenth Revolution Group, a global leader in cloud talent solutions, today announced the acquisition of Rebura, one of the UK’s fastest-growing Amazon Web Services (AWS)... Read more »

Auriga acquires the award-winning ATM cybersecurity solution Lookwise Device Manager from leading managed security services provider S21sec

Auriga, a leading supplier of technological solutions for the omnichannel banking and payments industries, announces the acquisition of Lookwise Device Manager (LDM), a modular... Read more »

TietoEVRY integration progressing as planned – employee consultations initiated to drive merger-related efficiencies

TietoEVRY is taking the next step in the integration to ensure its position as the leading digital services and software company in the Nordics. A unified organization... Read more »

Free Newsletter Sign-up
+44 (0) 208 819 32 53 +44 (0) 173 261 71 47
Download Our Mobile App
Financial It Youtube channel