Maybank has partnered with China’s UnionPay Merchant Services in a bid to tap into the burgeoning card payments market in China.

Maybank has partnered with China’s UnionPay Merchant Services (China UMS) in a bid to tap into the burgeoning card payments market in China.

Maybank is the first Malaysian bank to sign such an agreement with China UMS, which will also see it boosting its cash management business in China.

In a statement released by the bank, Maybank confirmed that this payments market is estimated to be worth “at least RMB14 trillion per year” and is growing at a rate of 26 per cent annually.

The agreement sees Maybank offering its clients “comprehensive collections and payments solutions”, which includes access to new Point of Sales (POS) machines, online payment solutions, ATM kiosks and other professional services from its memorandum of understanding with China UMS.

Maybank customers will also enjoy preferential rates by China UMS when they sign up for its POS terminals or online payment gateway to enable card payments by purchasers of their products.

Datuk Cheong Kwee Heng, chief executive of Maybank’s Greater China division, said the agreement represented a “significant and strategic step” in reaching out towards “the promising China market”.

“Servicing the banking industry has always been our focus. We are more than willing to share and provide our professional services in POS terminals, online payment platforms, self-service terminal platforms, and other top-class service experience to Maybank for their clients,” he said.

“Apart from deepening our POS business, this strategic partnership is also beneficial for both parties to jointly explore new markets and enhance our service and product offerings by leveraging on the strengths and resources of each other.”

Currently, China UMS is the leading issuer of POS terminals in China with a market share of approximately 40 per cent.

According to Maybank, client transactions conducted in Greater China via the company’s regional cash management system – Maybank2E-Regional Cash – grew by a total of 75 per cent in 2015.

The bank expects the volume of these transactions to increase by a further 100 per cent by the end of next year as a result of their agreement with China UMS.