Cambodia and Japan initiate a cross-border payment partnership

This initiative, as announced by NBC, aims to foster mutual interconnectivity between the two countries. The cooperation on cross-border payments will occur in two phases. Initially, Cambodian users of the Bakong system will be able to make payments in Japan by scanning the JPQR code. Subsequently, Japanese users will be enabled to make payments in Cambodia by scanning the KHQR code. 

For this project, NBC has chosen ACLEDA Bank Plc and Sathapana Bank as the sponsoring banks for cross-border QR code payments with Japan, while PJA has appointed NETSTARS to handle the payment and settlement of QR code transactions with Cambodia.

Simplified cross-border payments

This initiative will support and promote digital payments, increase transaction security, and facilitate simplified cross-border payments, thereby stimulating tourism and reducing the need for currency exchange during visits to either country. Additionally, local businesses of all sizes will benefit from the ability to accept cross-border QR code payments via KHQR in Cambodia or JPQR in Japan, offering more payment options for residents of both countries.

This MoU builds on a previous Memorandum of Cooperation (MOC) signed between the National Bank of Cambodia and Japan’s Ministry of Economy, Trade, and Industry (METI) in December 2023. 

NBC and PJA are collaborating with the public and private sectors to implement cross-border QR code payment interoperability between KHQR and JPQR, launching Phase 1 at the Osaka-Kansai Expo 2025 in April. Phase 2 will follow by the end of 2025. 

According to NBC's 2024 Annual Report and 2025 Work Plan, there has been a 7% increase in users of the Bakong system, reaching a total of 642,500 by 2024. The system processed a total of 608.32 million transactions. Khmer riel (KHR) transactions saw a remarkable surge of 334%, totalling 299.32 million, while USD transactions increased by 133%, reaching 308.2 million. KHR transactions accounted for 49% of the total activity, which is valued at KHR 183.74 trillion (approximately USD 45.8 billion).