GCASH is adopting the cashless payments model of Alipay, China’s leading third-party mobile and online payments platform, which is enjoying unprecedented success in China, India and the rest of Asia to give people ease, convenience and security when purchasing goods and services, from street vendors to high-end shops.
Alipay is operated by Ant Financial, which entered into a joint venture with Philippine telecommunications provider Globe Telecom and the country’s oldest conglomerate Ayala Corp. to boost the operations of Mynt, parent firm of GCash mobile wallet service.
“I believe e-payments have a tremendous amount of potential in the Philippines given the continuous growth of smartphone penetration and the number of unbanked Filipinos. ... Part of financial services is cashless payments. It has taken off in other countries like China and India where the people have realized its value because of the convenience and security that it provides—merchants and buyers don’t have to prepare change, e-money cannot be easily stolen, payments can easily be tracked, among other things,” said Ernest Cu, Globe president and chief executive officer (CEO).
Seven out of 10 Filipinos are unbanked while nine out of 10 do not have access to formal credit.
Eric Jing, Ant Financial Services Group CEO, said: “Ant Financial is working closely with Mynt to bring digital financial inclusion to Filipinos. Imagine a day when you can just pick up your phone and pay using QR codes when you shop, buy tickets, buy food. ... Digital payments with GCash is only the beginning of many new things.”
Aside from the scan to pay feature of the GCash App which allows QR scanning to pay for goods and services, GCash customers can also use the app to cash in, top up their prepaid credit, borrow load, book movies, transfer money and pay bills.
Electronic payment using QR codes is now a way of life in China with practically every business, even street performers, already part of the ecosystem. Over half a billion Chinese use Alipay’s e-payment system. (PR)