Myanmar Oriental Bank cooperates with Visa for first payment service for POS transactions

Visa cardholders can now use their Visa cards to pay for transactions at select merchants in Myanmar.

In a statement, Visa announced that the first Visa payment service for point-of-sale (POS) transactions in Myanmar have been made in cooperation with Myanmar Oriental Bank (MOB), heralding the next stage in the development of electronic payment systems in the country. This milestone brings new opportunities for local merchants and banks to participate in the global electronic payments system and marks the first time international cardholders can make a payment directly to a local merchant with their Visa card.

From today, international Visa cardholders will be able to use their Visa credit, debit and prepaid cards to pay for transactions at select merchants in Myanmar through traditional point of sale terminals. Myanmar merchants will leverage point of sale terminals enabled with EMV technology, offering Visa cardholders a highly secure and convenient way to make payments throughout the country.

In December, Visa established a nationwide ATM network. This latest development will boost growing tourism and the retail sector in Myanmar. According to the Myanmar Ministry of Hotels and Tourism, tourist arrivals reached more than 1,000,000 in 2012, and this number is expected to grow significantly in the coming years.

Daw Kyi Kyi Than, Managing Director of Myanmar Oriental Bank, said: “This is a significant landmark in the development of financial services in Myanmar as POS transactions offer greater flexibility for both merchants and consumers. Myanmar Oriental Bank was the first bank in the country to issue credit cards in 1995, and as Myanmar opens its borders once again, we are proud to be the first Visa POS acquiring bank in the country. By joining hands with Visa, we are part of its far-reaching  international network, and we look forward to seeing local businesses in Myanmar prosper as our economy continues to grow.”

Myanmar’s first international POS transaction occurred today at the Green Elephant Restaurant, and was the first ever to be processed by Myanmar Oriental Bank. The Green Elephant restaurant opened  in 2000 and is one of the most popular restaurants in the city for foreign visitors and local diners, rated as one of the top restaurants in Yangon.

“We have been operating our restaurant business for more than a decade. Increasingly, we are welcoming international visitors and to be able to accept Visa card payments means we can now offer the highest level of payment convenience and service to customers,” said Ms. Cherie Aung-Khin, owner of Green Elephant Restaurant. “We are excited to be one of the first businesses in Myanmar to offer this to our diners, and we look forward to being able to provide even better service to our foreign patrons at our restaurants in Yangon, Mandalay and Bagan.”

Somboon Krobteeranon, Visa Country Manager, Myanmar and Thailand, said: “We believe that Visa’s first POS payment transaction in Myanmar is an important step in helping Myanmar develop its electronic payments infrastructure. The ability to accept electronic payments at their premises will  open up many new opportunities for merchants to grow their businesses as tourists and business travelers with Visa cards will be able to pay for services and products more conveniently.”

He added: “Yangon International Airport recorded an increase in tourist arrivals of more than 50% in 2012. With this in mind, it is important that we work to expand this service to key merchant sectors  ahead of the Southeast Asian Games taking place this year, as hotels, restaurants and retailers will greatly benefit from the increased opportunities they present.”

Today’s international POS transaction is the latest milestone in Visa’s efforts to bring the security, convenience and stability of electronic payments to Myanmar merchants and consumers. Visa is currently operating an international ATM network in Myanmar with a total of 108 ATMs throughout the country. Today’s development enables local banks to provide electronic payments services to their local merchant clients and allows them to serve as standalone active acquiring client banks in the Visa global network.