President Widodo Advocates for Local Bank Cards
President Joko Widodo has urged local agencies to transition away from international payment processors and adopt cards authorized by local banks. This move is expected to bolster Indonesia's financial independence and increase the usage of domestically issued cards.
Reducing Dependency on External Financial Platforms
The initial report from Republic World highlights that Indonesia aims to reduce dependency on external financial platforms like Visa and Mastercard, taking cues from the impact of Russian sanctions imposed by the U.S. This step is considered a strategic move to protect the nation from geopolitical and international upheavals.
Widodo Cautions on Potential Problems with Visa, Mastercard
President Widodo has expressed concerns regarding the possible issues that may arise due to the U.S. sanctions on Russia, cautioning that Visa and Mastercard could be problematic. This further emphasizes the need for an indigenous payment platform in the country.
BREAKING: Bank of Indonesia to transition away from Visa and Mastercard, introducing a new payment system.
— Paryte (@Parytecom) March 21, 2023
Progress on the Local Payment System Project
Erwin Haryono, a spokesman for the central bank, has reported that the progress on the local payment system project is at 90%. This indicates that developing the indigenous payment platform is well underway and could soon provide a viable alternative to Visa and Mastercard.
