Visa and 1LINK join hands to facilitate digital payments

The alliance will enhance Pakistan’s payment infrastructure by leveraging Visa Direct to facilitate real-time cross-border payments
 

Collaboration between Visa and 1LINK to expedite digital payments  

Visa (NYSE: V), a global leader in digital payments, has joined hands with 1LINK, Pakistan’s largest payment service provider and payment system operator. The agreement was formalized in the presence of Mr. Saleem Ullah, Deputy Governor of the State Bank of Pakistan, and Mr. Syed Sohail Javaad, Executive Director of the Digital Financial Services Group of the State Bank of Pakistan, along with senior executives from Visa and 1LINK.

This partnership will integrate Visa's Alias Directory Service into the 1LINK network, aiming to simplify inbound remittances, enhance user experience, and protect sensitive payment information.

The collaboration addresses the fragmented global payment ecosystem, where banks, digital wallets, and local payment methods often operate independently within varying regulatory frameworks. By integrating Visa’s technology, this partnership will significantly impact inward remittances in Pakistan and foster collaboration across these disparate systems.

Additionally, the alliance will enhance Pakistan’s payment infrastructure by leveraging Visa Direct to facilitate real-time cross-border payments. According to Visa’s “Money Travels: 2024 Digital Remittances Adoption Report,” digital apps are increasingly favored for international money transfers due to their convenience and security.

 

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The partnership will also enable the adoption of new payment methods, such as accepting 1LINK’s PayPak cards on Visa’s CyberSource Platform. This integration will provide secure transaction capabilities for PayPak users at online merchants. CyberSource offers advanced gateway technology, payment expertise, and support services to help acquirers manage their online transactions effectively.

Leila Serhan, Senior Vice President and Group Country Manager for Visa’s North Africa, Levant, and Pakistan (NALP) region, commented, “Pakistan is among the world’s top 10 remittance-receiving countries. As the country undergoes rapid digital transformation, Visa’s partnership with 1LINK underscores our commitment to expanding financial inclusion and improving financial services. The Visa Alias Directory service and CyberSource platform will bring unprecedented resilience, security, and functionality to Pakistan’s payment ecosystem.”

Najeeb Agrawalla, Chief Executive Officer of 1LINK, expressed enthusiasm about the collaboration, emphasizing its potential to enhance speed, security, and accessibility for inward remittances. “With 1LINK’s robust e-payment network and Visa’s global reach, this partnership will establish a new channel for receiving remittances, fostering financial stability and economic development. The acceptance of PayPak on the CyberSource platform will significantly broaden Pakistan’s eCommerce landscape and strengthen the country’s payment infrastructure.”

 

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According to the State Bank of Pakistan’s second quarterly report for 2024, there is a growing preference for digital payment channels over traditional methods. The central bank recently reported a 28% increase in remittances in April 2024, totaling $2.8 billion, and a 13% rise in digital payment volumes in eCommerce. Visa supports Pakistan’s vision of developing a robust digital payments infrastructure that meets the needs of consumers and businesses for seamless and secure transactions.

Source: Islamabad Post

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