Alex wrote: ↑Sat Jun 10, 2023 11:26 am

Kammekor wrote: ↑Sat Jun 10, 2023 9:48 am The 1,70$ soup ending up costing 3$ with fees sounds reasonable to me.

I don't think so, that's a ridiculous example with a ridiculous mark-up.

In the real world, those cross-border QR code payment systems are being set up as an alternative to using Visa's or Mastercard's networks. To cut out the middleman, directly between the central banks of two countries such as in this case. So I think the fee will be competitive.

If I used my ABA Bank Visa card in Bangkok today for this 60 baht noodle soup purchase, ABA Bank would take $1.77 from my USD bank account in Cambodia. They would use Visa's exchange rate plus 2% as stated in their terms, resulting in that total amount. If I exchanged $100 notes at SuperRich today instead, that noodle soup would cost me $1.74.

I can't imagine that QR code payments will be THAT much more expensive compared to Visa card payments that you would end up paying $3 for that noodle soup. Otherwise those who want to go cashless will just continue using their Visa card. I'd expect the mark-up to be very similar.

ego bibere nimis wrote: ↑Fri Aug 25, 2023 8:16 am

Alex wrote: ↑Sat Jun 10, 2023 11:26 am

Kammekor wrote: ↑Sat Jun 10, 2023 9:48 am The 1,70$ soup ending up costing 3$ with fees sounds reasonable to me.

I don't think so, that's a ridiculous example with a ridiculous mark-up.

In the real world, those cross-border QR code payment systems are being set up as an alternative to using Visa's or Mastercard's networks. To cut out the middleman, directly between the central banks of two countries such as in this case. So I think the fee will be competitive.

If I used my ABA Bank Visa card in Bangkok today for this 60 baht noodle soup purchase, ABA Bank would take $1.77 from my USD bank account in Cambodia. They would use Visa's exchange rate plus 2% as stated in their terms, resulting in that total amount. If I exchanged $100 notes at SuperRich today instead, that noodle soup would cost me $1.74.

I can't imagine that QR code payments will be THAT much more expensive compared to Visa card payments that you would end up paying $3 for that noodle soup. Otherwise those who want to go cashless will just continue using their Visa card. I'd expect the mark-up to be very similar.

It's all just Prompt Pay basically and it's awesome and instant. I wasn't even aware you could do cross border until last week when I landed in Jakarta, got in a cab and arrived at the hotel and realized I forgot to get some local cash at the airport from the ATM. The driver didn't accept credit cards and offered up a QR code. I thought sure let's try, fully expecting it to not work and bingo...instant payment approval popped up on my phone and on his taxi meter screen.

That was from my Bangkok Bank app rather than my ABA app. The exchange rate charged was Bangkok Bank's prevailing rate as quoted on their website at the time of the transaction (with NO additional fees), which made the transaction likely less expensive that doing a foreign ATM withdrawal. It's a fantastic service. I was in Singapore on the way home for a day, tried it there at a department store and it worked just as well. This was last week.

Limits apply at the moment for cross border and as I understand it, they are maximum US$3k per transaction and US$10k per day total. Will try with my ABA app next week when in Ha Noi. It should work in TH, SG, MY, IN, VN & KH. But I think that KH is only one way at this stage (inbound).

CEOCambodiaNews wrote: ↑Sat Oct 21, 2023 12:28 am Travelex partners with National Bank of Cambodia to trade Khmer Riel
Tuesday 17 October 2023 08:34 CET | News
Foreign exchange brand Travelex has partnered with National Bank of Cambodia to trade Cambodia’s national currency, the Khmer Riel (KHR), at Singapore’s Changi Airport.

Customers will be able to both buy and sell Cambodian Riel at Changi Airport, in exchange for a wide range of currencies including Singaporean Dollar, US dollar, Australian Dollar, European Euro, and Japanese Yen.

Travelex’s investment in the Khmer Riel, and its decision to trade the currency in one of Asia’s most prominent financial hubs, represents a key development for the currency. Travelex’s trading means the Riel is now available to be traded with other currencies in Singapore for the first time, as per the press release.

Travelex has partnered with National Bank of Cambodia to trade Cambodia’s national currency, the Khmer Riel (KHR), at Singapore’s Changi Airport.

Cambodia’s efforts to increase the impact of its currency
In recent years, the Cambodian central bank has been working to promote the Riel a means of improving its monetary policy effectiveness to ensure sustained economic growth and stability. Earlier in 2023 the National Bank of Cambodia also announced an expansion of the Riel’s use in international markets by connecting the bank’s blockchain based Bakong payment system to other central banks and major commercial payment system providers following a successful payment system integration with Thailand.

The announcement also comes just weeks after the National Bank of Cambodia and the Monetary Authority of Singapore (MAS) entered a Memorandum of Understanding to jointly create a Financial Transparency Corridor initiative which aims to establish digital infrastructure to facilitate trade and cross-border related financial services between SMEs in Singapore and Cambodia.
https://thepaypers.com/payments-general ... l--1264964

Doc67 wrote: ↑Sat Oct 21, 2023 8:59 am
I noticed last year that nobody would change KHR in Bangkok airport, not even at their stitch-up rates. You have to wonder why they won't touch the stuff. I can't wait to see what Travelex's rates are at Changi. I can't see much demand. Poor Cambodians don't go to Singapore, only wealthy ones, and they use $'s.