Cambodia launches inter-bank payment system/ Illustrative photo (Source: Phillipbank)

Phnom Penh - The National Bank of Cambodia (NBC) has formally rolled out the Cambodian Shared Switch (CSS), a chip-and-card inter-bank payment system, following a pilot run since October 2017.

CSS enables money transfers and withdrawals through participating financial institutions (PFI) and is viewed as an initiative to align the country’s payment landscape with regional and global technological development, reported the Phnom Penh Post.

Speaking at the launch ceremony on July 4, NBC deputy governor Chea Serey noted that CSS would allow clients to make cross-institutional transactions using cards at ATMs and point-of-sale (POS) devices, as well as offer a “local switch” for regional payments.

Serey expressed hope that the CSS will promote transparency in electronic payments, efficiency in the use of financial resources, and the government’s digital-economy agenda, in addition to reducing the usage of physical currency.

Cambodia Microfinance Association (CMA) chairman Sok Voeun said by expanding the scope of financial institutions’ operations, CSS is crucial for enhancing the financial sector as a whole, adding that there are “thousands” of ATMs nationwide operated by CSS PFIs.