In recent years, digital payments have rapidly gained popularity around the world, offering a seamless and efficient way to conduct transactions. Among these innovations is Cambodia’s Bakong QR code payment system, a project launched by the National Bank of Cambodia (NBC) to create a more modern and accessible payment ecosystem. With the increasing global reliance on digital transactions, many are now wondering whether they can use the Bakong QR code payment system while traveling abroad, particularly in China.
The short answer is yes—thanks to an exciting new development, Cambodians can now use the Bakong QR code payment system in China, making it easier than ever for citizens and tourists to make payments while abroad. This is possible through the partnership between Cambodia’s National Bank and UnionPay International (UPI), which has resulted in the second phase of cross-border QR Code payment transactions.
Serey announced this during the official launch of ‘Phase 2: Bakong Outward Cross-Border Payment’ in the presence of Ho Wai Man, General Manager of the Bank of China Credit Card (International) Ltd and Larry Wang, CEO and Deputy Chairman of the UnionPay International (UPI) in Phnom Penh, on March 10.
The launch of ‘Phase 2: Bakong Outward Cross-Border Payment’ in collaboration with the UPI follows the successful introduction of the ‘Phase 1: Inward Cross-Border Payment’ launched in December 2023.
“Today’s event marks a significant milestone in our partnership and underscores our commitment to innovating and digitalising financial services, driving sustainable and inclusive growth,” Serey said.
The Launch of Cross-Border QR Code Payments
On a momentous occasion, the National Bank of Cambodia and UnionPay International officially launched the second phase of cross-border QR Code payment transactions. This new phase of development has opened up a host of possibilities for Cambodians traveling or doing business in China and beyond. The second phase of the project was officially launched with a ceremony presided over by Her Excellency Dr. Chea Serey, the Governor of the National Bank of Cambodia, alongside key figures such as Mr. Larry Wang, CEO and Vice Chairman of the Board of Directors of UPI, and Mr. Ho Wai Man, General Manager of Bank of China Credit Card (International) Ltd.
Serey emphasised that with the Bakong App users – later some of the banks will join the initiative – will be able to scan the WeChat QR code in China.
The launch ceremony was not just a symbolic gesture—it marked the beginning of a more connected and digital financial world. With this initiative, the integration of Cambodia’s QR Code payment system with UnionPay’s payment network and WeChat Pay enables Cambodians to make cross-border payments via QR code scanning. This development is a game changer, providing greater convenience for both individuals and businesses by facilitating easy and fast transactions between Cambodia and China.
How the System Works
The system works by connecting the National Bank of Cambodia’s Bakong payment card system with UnionPay’s international payment network. UnionPay is one of the largest and most widely recognized payment networks in China and many other countries. With this connection in place, Cambodians can now make payments in China by simply scanning a QR code through UnionPay’s payment card scanner.
Also read: Can I Use Bakong QR Code Payment in Japan?
Serey continued, “Regarding remittances through the UPI payment platform, we [NBC] are excited about this development, as there are many Chinese workers in Cambodia and Cambodians working in China. This will help them make safe and secure remittances to their families.”
This development is particularly noteworthy because UnionPay, which is widely accepted in China and various other regions, will now allow the integration of Cambodia’s local payment system with a global one. This is a significant step in bringing Cambodia’s financial infrastructure into alignment with international standards, enhancing both the convenience and efficiency of cross-border payments.
Benefits for Cambodians in China
For Cambodians traveling to China, this new payment system offers numerous advantages. First and foremost, it eliminates the need for travelers to carry large amounts of foreign currency, which can be inconvenient and risky. By using the Bakong QR code payment system, users can make purchases at a wide range of businesses across China, just like they would with local Chinese payment methods such as Alipay or WeChat Pay.
Serey said, “This initiative offers opportunities to maximise trade and streamline cross-border payments and remittances. This, in turn, supports the local economy, promotes the use of the Riel currency.”
This new system is especially helpful for tourists, who often face challenges when trying to make payments in foreign countries. In the past, relying on international credit cards or cash could be costly due to exchange rates and transaction fees. However, with Bakong, Cambodian tourists can now make payments in Chinese Yuan (CNY) at a reasonable cost, as the transactions are conducted through a seamless digital platform that bridges the gap between Cambodia’s and China’s financial systems.
Also read: What is the Digital Community of Cambodia? Why You Need to Join?
Moreover, this initiative provides Cambodians with the ability to make cross-border transactions more smoothly. This can be especially valuable for those involved in business or trade, as it reduces the reliance on traditional banking systems and facilitates faster, more cost-effective payments.
Expanding Trade and Tourism
The Bakong QR Code payment system’s expansion into China is not just a win for individual consumers but also a significant step forward in strengthening the economic ties between Cambodia and China. By allowing for easier payment transactions between the two countries, this system can help foster greater trade and tourism. Cambodian businesses looking to expand into the Chinese market can now accept payments more easily, helping them tap into a massive consumer base.
At the same time, the introduction of this payment system provides a boost to tourism, allowing Chinese tourists visiting Cambodia to make payments through the same system. As Cambodia’s tourism industry continues to grow, providing a seamless payment experience for foreign visitors is essential for attracting more tourists and increasing overall tourism revenue.
By facilitating smooth cross-border payments, the initiative also promotes investment opportunities. Investors and businesses engaged in cross-border trade will find this system particularly beneficial, as it simplifies the process of making payments and transferring funds across borders. This development is expected to drive more economic activity between the two countries, contributing to sustainable economic growth and development in both nations.
Strengthening Cambodia’s Financial Landscape
The implementation of Bakong and its integration with UnionPay International represents a significant milestone in Cambodia’s journey towards modernizing its financial system. As one of the first ASEAN nations to introduce a national QR code payment system, Cambodia is positioning itself as a leader in financial innovation in the region. This development is not just about improving payment systems—it’s about creating an inclusive financial environment that benefits both local citizens and international businesses.
Also read: How Many Financial Institutions Operate the Bakong System in Cambodia?
Through this cross-border QR code payment initiative, Cambodia is not only improving the convenience and accessibility of payments for its own citizens but also encouraging the use of digital financial tools that support sustainable economic growth. This is in line with the broader goal of the National Bank of Cambodia to enhance financial inclusion, promote digital financial services, and ensure that the country remains competitive on the global stage.
Looking to the Future
The second phase of the Bakong QR Code payment system is just the beginning. As more countries and regions adopt digital payment systems, the opportunities for Cambodians to use the Bakong system abroad will continue to grow. With ongoing support from financial institutions like UnionPay and innovations in digital payments, Cambodia’s QR code system could soon be integrated into additional international networks, making it even easier for Cambodians to conduct transactions worldwide.
This development signals a bright future for Cambodia’s financial sector and highlights the growing importance of digital payment systems in an increasingly interconnected world. Whether you’re a Cambodian citizen traveling to China for business or leisure, or a Chinese tourist visiting Cambodia, the ability to use the Bakong QR code payment system will undoubtedly make your financial transactions easier and more convenient. As the system evolves and expands, it will continue to shape the future of cross-border payments and financial inclusion in Cambodia and beyond.