Visa The Embedded Lending Opportunity April 2024 Banner

Hong Kong and Thailand Unveil Cross-Border QR Code Payment System

Hong Kong Monetary Authority

Hong Kong and Thailand are bridging the gap between their economies.

The two countries launched a new cross-border QR code payment system, known as the FPS x PromptPay Link, according to a Monday (Dec. 4) press release. The collaboration between the Hong Kong Monetary Authority (HKMA) and the Bank of Thailand (BOT) aims to provide a fast, secure and easily accessible retail payment service for travelers between the two regions.

Through the payment system, travelers from Thailand and Hong Kong can make retail payments by scanning the Hong Kong FPS QR code and Thai PromptPay QR code displayed by merchants, using their mobile payment applications. This seamless connectivity not only offers users an efficient payment method but also enables merchants to receive their funds immediately.

“The HKMA is very pleased to work with the Bank of Thailand on this initiative which provides a safe, convenient and efficient means for travelers to make cross-border retail payments,” HKMA CEO Eddie Yue said in the release. “The launch of this service today marks an important milestone to the FPS in Hong Kong in expanding its usage to cross-border payments.”

BOT Governor Sethaput Suthiwartnarueput pointed to the benefits of the collaboration.

“This collaboration with Hong Kong is an important milestone in Thailand’s digitalization efforts and demonstrates our commitment in creating more efficient and inclusive cross-border payments in the region,” Suthiwartnarueput said in the release. “This linkage will bring tangible benefits not only to the 1.5 million tourists from these two economies but also merchants serving them as well.”

The HKMA also participated this year in a study of the use of central bank digital currencies (CBDCs) for B2B payments.

As PYMNTS reported last month, Visa completed a pilot test in Hong Kong to study tokenized deposits using CBDCs. The pilot program was part of the “Digital Hong Kong Dollar” initiative organized by the HKMA.

The pilot test simulated two use cases: property payments and settlements between payment institutions and merchants. It highlighted the benefits of B2B payment tokenization, including faster payment speed, improved settlement risk management and control, enhanced payment network resilience and increased transaction transparency.