"This Indonesian credit card, of course, facilitates us in using the budget efficiently; in some instances, it can be used to encourage the MSMEs (micro, small, and medium enterprises), and ultimately, it allows for a more maintained governance," Head of the Payment System Policy Department at BI Dicky Kartikoyono said at a virtual press conference.
The credit card supports government transactions that use the state and regional budgets, he informed.
The Indonesian credit card, which was rolled out on Monday at the 2023 Digital Finance and Economy Festival, has been issued to accommodate central and regional government transactions at zero interest for the government. It also allows for more efficient costs for merchants.
Kartikoyono said that the card can be used for common state spending, whether it is for operational or non-operational purposes, add to stocks, rent, for building or place maintenance, and for work-related travel under certain conditions.
He informed that the interconnection of the QR code-based payment system among ASEAN member countries is part of the push for regional economic integration under the Regional Payment Connectivity initiative.
Hence, it is expected that the financial transaction volume can be boosted, which would ultimately improve regional economic growth, he added.
On Monday, the collaboration to implement a cross-border QR payment linkage between Indonesia and Malaysia was established, he noted adding, Indonesia established a similar initiative with Thailand some time ago.
"Going forward, Bank Indonesia will encourage the initiative of cross-country payment so as to pursue inclusion," he said.
He disclosed that the central bank will expedite the coverage of QRIS (Quick Response Code Indonesian Standard) in other ASEAN members, including Singapore and the Philippines.
Kartikoyono said that payment interconnection between Indonesia and Singapore could be implemented in the fourth quarter of 2023.
However, as for the Philippines, some preparations and adjustments to the dynamics in that neighboring country are still needed, he added.
Related news: Central, regional administrations to implement gov't credit card'
Related news: BI launches Domestic Government Credit Card
Translator: Martha Herlinawati S, Mecca Yumna
Editor: Rahmad Nasution
Copyright © ANTARA 2023
