AmBank to launch cashless option using QR codes in August

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KUALA LUMPUR (July 31): AMMB Holdings Bhd (AmBank Group) said it will team up with a telco company to launch a cashless mobile payment using quick response (QR) codes next month. 

The new service will allow customers to perform transactions seamlessly, without the need for usage of cards.

The group's CEO Datuk Sulaiman Mohd Tahir said the new service will leverage on its existing 50,000-merchant base in the country. He said this after the group’s annual general meeting today.

He declined to reveal the telco the bank will be partnering with for this service, for which it will allocate RM120 million to RM160 million in the financial year ending March 31, 2019 (FY19).

"Fifty per cent of the capex will be used for the technology-related investment such as digital banking and related systems," its group chief financial officer Jamie Ling told a news conference, following the AGM today.

On the group’s prospects in FY19, Sulaiman said it has targeted a minimum return on equity of 8.5% compared with 7% in FY18, mainly on the back of better profitability and on-target loan growth.