China Drafting Mobile Payments Regulations
Published on: 12th Dec 2013
By: Ian Mansfield
China's Central Bank is preparing to draft regulations governing the use of mobile payments an official at the People's Bank of China (PBOC) has told local media.
Fan Shuangwen, deputy head of PBOC's Department of Payment and Settlement confirmed that the rules were being drafted at a mobile payment industry conference.
Fan said the mobile payment industry is still in its infancy in China and market players are still exploring commercial and technological models.
Government policies should encourage business innovations and guide cooperation among different sectors involved in mobile payment, given the diversity of the value chain and the complexity of players' interests, he added.
In 2010, the PBOC promulgated a rule to regulate the mobile payment businesses of non-financial institutions in China. The rule stipulates that non-financial institutions should obtain a license for providing mobile payment services. So far, 37 payment institutions have been granted mobile payment licenses.
Statistics from market research firm Analysys International show the transaction value via third-party payment in China totaled RMB334.3 billion (USD54.7 billion) in the third quarter of this year.