Have you forgotten your Wallet at home and realized late? Did you wish you could pay with your phone? Many times, right? Multiple times I have wished for QR code payment through my phone, which remains at my side for 24 hours like my attire.
The problem is finding its solution recently. Use of the QR code payment in Nepal has been increasing more rapidly in few years. Now many restaurants, or other commercial sites are accepting their payments electronically, with the use of QR codes.
Payment for the business transactions through the QR code payment has gained its popularity in significant numbers, and many organizations are widely using them. In one month period, an additional 85,975 transactions worth Rs. 321 million have been successfully conducted and QR code payment has been used extensively.
QR Code Payment in Nepal: How is Central Bank looking at the situation?
With the increase in QR code payment in Nepal lately, Nepal Rastra Bank is preparing to make more systematic and uniform electronic transactions. For this, NRB has been seeing its resources and personnel to maintain more orderliness and uniformity with the hike of the transactions done through various electronic media.
NRB has made it clear that the transactions need to be in International standards. For which, alike the international practice of QR codes, details of Who, When, Where and from which merchant the QR code is scanned has to be noted and maintained. Details of mobile which was used during QR code operation, account details of the scanner, amount of deduction, details of PSO operator along with three-page customer identification which is also known as Know Your Customer (KYC) of the person who is handling the business should be stated prominently as per the international practice of QR codes.
“The detailed data specifications of such a scan should be on the server or all the details of the QR scanned transactions should be seen and found when searched for. That is why we are trying to manage it,” said a NRB source. “The QR code issued now does not contain all this information. Institutions are running them according to their own will. That is why we are preparing to have the same criteria for everyone.”
Bhuvan Kandel, the Executive Director from the Department of Payment System of Central Bank, said that the operating company need to add more arrangements and obey mandatory schemes directed by the central bank. He says that transactions should be international standards so that it will be easier to find out where the money has gone. He stated, “There are always demands for the new equipment in the market. The central bank is playing a guardian to make it more easier”.
QR Code Payment in Nepal: Where are they being used?
QR code payment in Nepal is now used in large supermarkets, hotels, and restaurants. Also, QR code payments are being imminently used in small grocery stores, drug stores, meat shops, stationeries, and snack shops. In fact, many places are using it right now.
Banks are using these methods with great enthusiasm and interest. With more customers being the youths who can easily use android devices and apps, they are welcoming the technologies with a warm grasp.
QR Code Payment in Nepal: Challenges
Most of the shops, shopping malls, and other places have made arrangements to pay using QR code payment in Nepal, but when making such payments, the lack of Wi-Fi in most places has led to problems such as having to open data on mobiles and payment being interrupted when data is slow.
Thus, the main challenge for the QR code payment in Nepal can be internet issues. We all carry phone but we lack wifi in public places. This has been a major challenge, as using mobile data is not cheaper in Nepal.
Other challenges may come along with the technology. Fraud, scams, misuse and many more can be challenges for effective implementation. Uniformity and acting in own will not excluding the misuse of personal data for crimes and blackmails can be the hindrances too.
In the last September, Rs. 9 billion 880 million worth of payment was made by E-sewa, IMEPay, Khalti, and other internet payment service providers from 1,175,000 transactions. A total of Rs 7.85 billion worth of transactions worth Rs 28.80 billion were transacted in September. The data shows a clear indication, there is a greater prospect for the QR code payment in Nepal to reach its apex and contribute for Digital Nepal we all want.
The significant increase may be because of different factors like development of electronic payment infrastructure, incentives for transactions, and increasing practice in the use of electronic payment devices by the public. But, like other technology, there is a risk for this too. NRB should make proper rules, regulations and set a standard to follow.
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Also read: Nabil Bank Launches Scan and Withdraw Service: Cash Withdrawals at Bank Using QR Codes
