Malaysia to disburse cash to help boost digital payments

One-off cash transfer to nearly half of the population to cost $110 million

Under its 10-year plan, Bank Negara Malaysia is targeting to increase the number of e-payment transactions per capita to 200 by the end of this year from 44 transactions as it seeks a shift toward cashless society. © Reuters

January 14, 2020 19:46 JST

KUALA LUMPUR (Nikkei Markets) -- Malaysia's federal government said Tuesday it will disburse 450 million ringgit ($110 million) to nearly half of the country's population through three e-wallet companies to jump-start a nascent digital payments industry.

Up to 15 million Malaysians are expected to receive a one-off 30 ringgit each under the so-called e-Tunai Rakyat initiative, Finance Minister Lim Guan Eng said in a statement. The money will be channeled through one of the three e-wallet operators -- Grab, Boost and Touch 'n Go -- picked for the program.