Asia United Bank said Wednesday it launched WeChat Pay in the Philippines, which will allow mobile payments from Chinese tourists.

Under a licensing agreement with WeChat developer Tencent, AUB said it would enable merchants in the Philippines to accept payments through WeChat Pay for hotel and airline bookings, shopping and dining.

WeChat Pay's launch in the Philippines came after a unit of Tencent rival Alibaba launched a mobile payment system for Filipinos in partnership with Globe Telecom.

WeChat Pay is embedded in WeChat, China's dominant social messaging app with nearly 1 billion users, according to AUB. It is offered in 15 countries and available in 12 currencies.

China is the Philippines' third biggest source of foreign tourists according to the Department of Tourism.