A Myanmar Payment Union (MPU) system for trade-related payments between the Ministry of Commerce and traders involved in export and import has been recently finalised, according to U Khin Maung Lwin, assistant secretary at the ministry.
“It is mainly for payment of licence fees to the Ministry of Commerce. Currently, [businesspersons] have to go to a bank, which costs time and money in travelling to and from the ministry.
“If an MPU system is used, transactions will be completed at one department. While applying for a licence, licence fees can be paid at the same time. It is also possible to pay licence fees by cards,” he said.
At present, businesses have to get a voucher from the ministry and then go to a bank for payment. With that voucher and certified payment, the ministry issues the licence.
The system will now be changed so that payment will be made by using an MPU system while applying for a licence. For the card system, the amount due for licence fees will be deducted from the bank account, U Khin Maung Lwin said.
The MPU system change has been under preparation to be launched for overseas trading and border trading at zones in early May 2017.
The first stage will be introduced at Nay Pyi Taw headquarters, Yangon export and import office, Muse 105 trade zone and Myawaddy Trade Zone.
When using an ATM card from one of the 23 banks that implement an MPU system, customers can make payments via a point-of-sales (POS) system or by an e-ecommerce system via the Myanmar Tradenet website.
The basic structure of the system is provided by KBZ and it is now at the testing stage. Based on the trial results, an MPU card payment system will be established later.
The ministry provided e-payment services for trade after connecting with Myanmar Citizens Bank in 2007 and payments were received for some overseas export/import-related accounts.
– Translation by Zaw Nyunt