UnionPay launches QR code facility with 40 Chinese banks

UnionPay is teaming up with 40 commercial banks in China to offer a QR (Quick Response) code payment service, according to Chinanews.com.

UnionPay launches QR code facility with 40 Chinese banks . [Photo: vcg]

It’s reported that the Industrial and Commercial Bank (ICBC), the Agricultural Bank, Bank of China, and China Construction Bank, will be among them, with a further 60 commercial banks preparing to release a QR payment facility later this year. 

QR code payment has become highly popular in China in both urban and rural areas because of its simplicity and security.

Customers can pay using a mobile application to scan the merchants QR code, which works on both smartphones and phones with a camera function.

The launch of the QR code payment facility offers consumers more options to pay and is convenient to use, said by Ge Huayong, the Chairman of UnionPay. 

To boost the service, UnionPay is to offer a 38% discount to customers across China by making payments via the QR code facility service from June 2, 2017.  

It’s also understood UnionPay International is planning to take the lead in introducing the system in Hong Kong and Singapore.

Experts see the introduction of such mobile friendly payment systems as speeding up the transition to a cashless society.  Up to now Alibaba group’s Alipay digital wallet and WeChat Wallet owned, by Tencent Holdings have dominated the QR/Mobile payment sector.