This Country Is Set To Regulate Apple Pay And Other Payment Apps. Know Everything
Despite the surging popularity of digital wallets from companies like Apple, Google and Tencent (developer of WeChat), these services currently fall outside the scope of Australian payments law.
Australia's government announced on Monday that it intends to incorporate Apple Pay, Google Pay, and other digital payment services into the same regulatory framework as credit cards and other payment methods, the media has reported. This move is a part of upcoming legislation slated to be introduced to parliament this week, says a report by news agency Reuters.
"We are modernising Australia's payments system to ensure it meets the needs of our economy now and into the future," Treasurer Jim Chalmers was quoted as saying in a statement by the Reuters report.
"We want to make sure the increasing use of digital payments occurs in a way that helps promote greater competition, innovation and productivity across our entire economy."
Despite the surging popularity of digital wallets from companies like Apple, Google and Tencent (developer of WeChat), these services currently fall outside the scope of Australian payments law. The proposed legislation, previously hinted at last month, aims to expand the regulatory authority of the Reserve Bank of Australia to encompass new and emerging technologies in the payments landscape.
According to Chalmers' office, the introduction of legislation is scheduled for either Wednesday or Thursday. Regulators are addressing the rapid expansion of digital wallets, particularly among the younger demographic. Digital wallet transactions accounted for 35 per cent of all card transactions in the June quarter, a substantial increase from the 10 per cent reported in early 2020.
Two-thirds of Australians aged between 18 and 29 use mobile payments. Notably, before the coronavirus pandemic it was less than 20 per cent in the country.
Notably, last year, India witnessed 89.5 million digital transactions, constituting 46 per cent of global real-time payments, surpassing the combined digital payment transactions of the other top four countries.
“India keeps dominating the digital payment landscape! With innovative solutions and widespread adoption, we're leading the way towards a cashless economy," announced MyGovIndia on X, a few months back.
In digital payments, India has been witnessing new milestones, in both value and volume terms, which indicate the robustness of India's payment ecosystem and acceptance, news agency ANI reported a few weeks back, quoting RBI experts.
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