GPN Expands: Now Includes Cross-Border QR Transactions and Indonesian Credit Cards

GPN) has greatly benefited the ease of transactions for the Indonesian public. If you frequently pay street vendors using the QRIS scan method through an e-wallet app on your smartphone, or if you use a debit card with the Garuda logo at the cashier, you are part of the cashless society utilizing GPN.

Initiated by Bank Indonesia (BI), GPN plays a crucial role in connecting various digital transactions into a single integrated payment system. The primary mission of GPN is to achieve payment system sovereignty within the country through a more efficient, reliable, and secure infrastructure that is fully processed domestically. Currently, GPN-based transaction services are available in various payment methods, including GPN debit cards, Quick Response Code Indonesian Standard (QRIS), and the development of Indonesian Credit Cards (KKI).

So, how has GPN developed over the six years since its launch? And what digital innovations can we look forward to in the near future? Read on for the full story!

Advancements in GPN-Based Payment Methods

In general, the GPN-based financial services that have been widely enjoyed by the public can be categorized as follows:

1. GPN Debit Card

This service features a GPN-branded debit card that can be used at Electronic Data Capture (EDC) machines from any bank at stores and merchants across Indonesia. The GPN debit card is equipped with the latest security standards, including chip technology and a 6-digit PIN code.

To obtain a GPN debit card, you only need to open a savings account or exchange your old debit card at your nearest bank branch. In addition to being convenient, you can also take advantage of various attractive promotions offered by your issuing bank.

2. Domestic QRIS

This digital transaction service integrates various payment service provider applications such as e-wallets and mobile banking into a single QR code scanning system known as QRIS (pronounced KRIS). Domestically, QRIS services have been developed into three forms: Static Merchant Presented Mode (MPM), Dynamic Merchant Presented Mode (MPM), and Consumer Presented Mode (CPM).

The advantages of QRIS for customers are its quick, easy, and secure transaction process, all in the palm of your hand by using smartphone. Additionally, the QRIS transaction method reaches all segments of society, especially supporting MSMEs in expanding their businesses.

3. Cross-border QRIS

Cross-Border QRIS extends the domestic QRIS service, allowing Indonesian tourists and foreign tourists to transact at merchants by simply scanning QRIS using their home country’s payment application. Currently, Cross-Border QRIS is available accross countries including Thailand, Malaysia, and Singapore.

According to Bank Indonesia, Cross-Border QRIS is a concrete implementation of Indonesia's vision to standardize global trade infrastructure and retail payment systems. The aim is to create a secure and competitive regional payment system, and to expand the acceptance of national cashless payments more efficiently.

4. Indonesian Credit Card (KKI)

This payment instrument offers credit facilities for the government and state institutions to meet domestic spending or transaction needs. Like other GPN-based payment methods, KKI transactions are processed entirely within the country.

KKI can be used for various types of general spending with a regulated credit limit, such as operational goods, supplies, rentals, building maintenance, and booking official trips for Civil Servants (ASN) through marketplaces or online merchants. The presence of KKI enables efficient and purposeful use of government budgets, supports MSMEs, and ensures better governance implementation.

BI and Industry Players Continue to Collaborate to Expand GPN Innovations

Through collaboration between the government and various industry players, GPN continually expands the types and scope of its services to support the rapid adoption of cashless transactions by the public. This ongoing development also aims to enhance service accessibility and the efficiency of the national payment system, aligning with BI's strategic initiatives outlined in the National Payment System Blueprint (BSPI).

As part of this commitment, BI is currently exploring partnerships with China, the United Arab Emirates, South Korea, Japan, and Saudi Arabia to broaden the acceptance of Cross-Border QRIS. This initiative aims to enable both Indonesians and tourists to enjoy seamless digital transactions in these countries without the need to exchange cash for foreign currency at money changers.

Moreover, the Indonesian Credit Card (KKI) service is being prepared to include online payment features soon, which will support government payment transactions at online merchants with higher transaction limits. Deputy Governor of BI, Filianingsih Hendarta, mentioned that the digital features of KKI will also facilitate an interlinked financial system with government procurement platforms, enhancing operational efficiency.

GPN has proven to be a digital enabler of financial services that seamlessly integrates with our daily lives. GPN innovations not only accelerate the widespread and equitable adoption of digital transaction methods but also significantly contribute to the realization of a cashless society in Indonesia. This initiative is expected to expedite digital transformation in Indonesia and open new opportunities for inclusive and sustainable digital economic growth.