18 Jul, 2016 Hor Kimsay

Three months since the central bank soft-launched its FAST payment system it is taking the system public, making electronic riel-denominated transfers available to the customers of more than a dozen financial institutions.

The National Bank of Cambodia (NBC) launched the Fast and Secure Transfer (FAST) payment system in April on a trial basis with just five financial institutions participating in the scheme, and providing services only to the staff of these institutions. Today it will open the system for account holders at 13 commercial banks and micro deposit-taking institutions (MDIs).

According to Neav Chanthana, NBC’s deputy governor, the FAST system was designed to enable customers to make payment transactions and fund transfers in Khmer riel instantaneously from one commercial bank or MDI to another. She said its adoption will have a broad impact on the health of the local financial sector.

“[The FAST system] will promote the use of local currency, enhance transparency through electronic payment, reduce cash circulation in the market, and finally, improve effectiveness of financial resources utilisation,” Chanthana said in a release issued on Friday.

She added that Cambodia was gradually shifting from a cash-based economy to an electronic payment culture as more financial institutions launch internet or mobile banking and expand their ATM networks.

As of today, customers at seven banks – Acleda Bank, Cambodia Public Bank, Canadia Bank, ABA, BIDC, Phillip Bank, and Sathapana Bank – can use the FAST system. Six MDIs can use it too: AMK, VisionFund, Prasac, Amret, Kredit and Hattha Kaksekar.

Ly Thay, senior vice president and head of the operations division at Acleda Bank, one of the banks that participated in the FAST pilot program, said the new riel-denominated payment transfer system helps to reduce time and fees on transactions between banks or MDIs.

“The most important benefit of the new system is its ability to transfer money from one bank to another at a fast speed,” he said.

“The transaction fee is also very much lower than before.”

According to Thay, a $5 fee previously applied to transfers of funds between domestic banks for amounts less than $5,000, and $10 for larger amounts.

With the new FAST system, riel-denominated transfers of less than 4 million riel ($1,000) are charged a transaction fee of 4,000 riel, while those from 4 million riel to 20 million riel are charged 8,000 riel. Transfers of amounts exceeding 20 million riel are charged 12,000 riel.

For now, bank customers must physically visit a participating bank branch to initiate an electronic transfer or payment. In future, however, they will be able to do this online or through mobile banking.

Charles Vann, vice chairman of Association of Banking in Cambodia, said the FAST system will help improve and encourage electronic fund transfers, such as those used for bill payments, remittances or online purchases.

“The FAST system contributes to boosting business activity as it facilitates the ordering of goods and payments are made the same day,” he said.“It will also help to boost e-commerce activity.”

http://m.phnompenhpost.com/business/fas ... el-quickly


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"she added that Cambodia was gradually shifting from a cash-based economy to an electronic payment culture"

Dont make my toes laugh again, they could not even get the cash based economy right and yet they want to move to electronic payment economy, tell that to thousands of farmer who store their money on their arms in gold bangles

It can only be used in Cambodia and no transfers to banks outside the country as the Riel isn't worth the paper its printed on outside of Cambo. Why transfer in Riel is its not worth anything? It is better than having a bunch of coins rattling around in your pocket.

The National Bank of Cambodia wants to de-dollarize the economy and make the riel real. FAST is part of this multi-pronged effort, as is the issuance of redesigned currency notes.

Idiots at NBC once came out with prakas stating that all company should pay their employees in riel, they shld also force all business to accept riel too, employees with riel cant spend their riel n need to change back to usd at loss in order to buy something? What a bunch of idiots

And dont get me started on how the fuck they gonna manage riel flotation in international market? Pegged to the usd as always? Once they unpegged it will cause massive devaluation and sending more people below the poverty line

Anyone know if there's a Khmer version of that article available? I'd bet if I asked tomorrow at one of the listed MFIs if I could make a FAST payment to my ABA account they'd have no idea what I was talking about.

walkjivefly wrote:Anyone know if there's a Khmer version of that article available? I'd bet if I asked tomorrow at one of the listed MFIs if I could make a FAST payment to my ABA account they'd have no idea what I was talking about.

If u need a khmer version of that article, most probably that mfi do not hv that service

Save the Riel!!!

Has anybody tried this service? It is obligatory to open riel account or they can autoconvert from $$?