Malaysia, RI announce first cross-border ATM network
Malaysia, RI announce first cross-border ATM network
The Jakarta Post, Jakarta
Against a backdrop of an increasing number of Indonesian workers
in Malaysia, in addition to tourists and students, a joint
Automatic Teller Machine (ATM) network between the two nations
was launched on Thursday.
The service would be provided through banks in the two
countries through membership with electronic payment service
provider PT Artajasa Pembayaran Elektronis (Artajasa) from
Indonesia and its counterpart, the Malaysian Electronic Payment
System (MEPS).
Mohamad Ishak, Bank Indonesia's director for accounting and
payment systems, said during the launching ceremony that the deal
was part of the central bank's larger plans for establishing
cross-border payment systems within the region.
Asked why Malaysia was selected first, Ishak replied: "Aside
from considering tourists and traveling business people, we are
also concerned about our workers in Malaysia, who are prone to
become targets of crime when carrying their cash in and out of
the country."
Artajasa director Arya Damar said that the company has more
than one million card holders across the country.
Under the agreement, "the card holders (under the network of
the two providers) can withdraw cash from 5,500 Indonesian and
4,500 Malaysian ATMs under MEPS," said Arya, adding that as such
it would significantly reduce people's risk in carrying cash when
traveling between the countries.
"A Rp 18,000 (about US$2) fee for each transaction made will
be charged to the issuing banks," said Arya, although he was
quick to add that it was up to the banks as to whether they
charged the full cost to their customers or not.
The Indonesia-Malaysia cooperation is only an initial stage in
the development of a regional network of banks, with the central
bank also making a similar deal with Singapore.
Artajasa, operating since 2000, is a local electronic payment
service provider known for its product ATM Bersama -- a shared
ATM concept, bringing together major banks such as Bank Rakyat
Indonesia (BRI), Bank Negara Indonesia (BNI), Bank Danamon and
Bank Niaga as its members.
The firm also listed Indonesian rural, regional and
international banks operating in the country including Korean-
based Woori, the Netherlands' ABN AMRO and British Standard
Chartered within their ATM network.
Meanwhile, MEPS serves 12 partnering banks, among them
Bumiputra-Commerce Bank, Bank Muamalat Malaysia and Malayan
Banking.
"This cooperation marks an achievement by both companies in
providing financial services in their respective countries," said
MEPS managing director Dato' Mohd Hata Robani.
Over time, the transaction services provided under the
agreement would be expanded. (003)