The central bank’s new rules to set up localised online payment gateways have invited mixed reactions from the stakeholders. While some say they will promote digital payment system in the country, for others they sound the death knell for financial technologies also known as FinTech – startups helping financial industry to progress. The State Bank of Pakistan has notified rules, enabling non-banking institution to apply for the licence to work as payment system operator/payment service provider (PSO/PSP). For ecommerce players, the unveiling of the new rules is big news as they are presently reliant on international payment gateways to receive money from customers, a reason why cash-on-delivery dominates the online shopping market in Pakistan. They are expecting an enormous expansion in the online shopping market, after the advent of a localised ecommerce payment solution akin to PayPal or PaysBuy of Norwegian Telenor, from the current paltry one to Rs3 billion a year. However, industry experts express reservations over the rules, especially the initial paid-up capital requirement of Rs200 million set for an aspiring PSO/PSP. Jehan Ara, president of Pakistan Software Houses Asso - See more at: magazine.thenews.pk/mag/moneymatter_detail.asp?id=9507&magId=10&catId=29#sthash.olOBTA5m.dpuf
Posted on: Mon, 17 Nov 2014 02:54:09 +0000
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