Mixed Views toward Mobile Payment in Southeast Asia
2018-11-23 11:41 Friday
According to VMware Banking, around 45% of Singaporeans haven't taken proper measures to secure their financial data, the highest figure in Southeast Asia. Some consumers even use the same passwords for different mobile apps and services.
Cashless payment in Singapore has surged by leaps and bounds, but inadequate cyber security measures put consumers, banks and financial institutions at risks of financial fraud and losses.
76% of Singapore consumers choose to upload their bank account details to at least one to six applications, yet only 14% of them encrypt their apps or use different passwords for different accounts, making Singapore the least cyber protective region.
"Banks and financial institutes have a pressing need to boost their cybersecurity defenses," said Sanjay K. Deshmukh, Vice President and Managing Director, Southeast Asia and Korea, VMware. "Existing architecture is insufficient to guard against this new payment reality – banks and FSIs need a new network infrastructure to protect their apps, data and users across multiple cloud environments."
However, the situation is different in other countries. A survey reveals that 46% of Malaysian consumers are skeptical about the security of e-wallets and payment applications. The numbers rise for connected devices, with 53% doubting the security of smart devices with payment capabilities. While consumers in Indonesia, the Philippines and Thailand are more open toward connected devices and new methods of payment.
Malaysian consumers also prefer traditional payment methods, as evidenced by the 70% that expressed trust in online interbank transfers, ATMs or cash. 82% of Malaysian consumers store their bank account details on at least one to six applications, with only 25% opting to use different passwords for all their accounts.
"Malaysia's cashless adoption rate is ramping up, with e-payment transactions per capita doubling to 111 transactions per capita in 2017 and forecast to reach 200 transactions per capita in 2020," an executive at Bank Negara stated.