The phenomenon of "difficult payment" is ostensibly a difference in technology application and living habits, but in fact it is a litmus test of the openness of China's financial market, the ability of financial services to be in line with international standards, and the friendliness of the business environment.
According to reports, the payment problem of foreigners in China has attracted high-level attention. The executive meeting held on February 23 deliberated and passed the "Opinions on Further Optimizing Payment Services and Improving Payment Convenience". It is emphasized that it is necessary to focus on the inconvenience of payment for the elderly, foreign personnel and other groups, strengthen coordination and cooperation, increase necessary resource investment, take multiple measures to break through service blockages, and promote the parallel development and complementarity of mobile payment, bank cards, cash and other payment methods.
A customer pays for an item with a mobile phone at a self-checkout counter at a supermarket. Photo according to Visual China.
At the moment, the pace of foreign tourists "coming in" is accelerating. According to data, the number of inbound travel ticket bookings for the Spring Festival in 2024 will increase by about 819%, and the number of inbound travel orders during the Spring Festival will increase by more than 10 times year-on-year. The main overseas source countries include Japan, the United States, South Korea, Malaysia, Australia, the United Kingdom, Canada, etc.; Destinations popular with foreign tourists include Shanghai, Beijing, Guangzhou, Shenzhen, Chengdu, Harbin, etc.
Not only tourists, but also many expatriates living and working in China. However, in this land with a high penetration rate of mobile payment, some expats are facing the dilemma of "having money and not spending it". The reasons behind this are complex, ranging from technical barriers to cultural habits and the adaptability of commercial facilities.
On the one hand, although China's mobile payment system is convenient and efficient, for foreigners who have not yet opened or do not know these payment tools, especially those who are accustomed to paying by credit card and cash, **payment has become a threshold that is not easy to cross. On the other hand, the coverage rate of foreign card POS machines on the merchant side is not high, making it impossible for foreign tourists to conveniently use international bank cards for consumption.
The phenomenon of "money is hard to spend" is not an isolated payment problem, but it essentially reflects some shortcomings in details, such as how to further improve infrastructure construction, improve the inclusiveness and convenience of public services, and how to better create a business environment conducive to the integration of foreign enterprises and individuals into the Chinese market. The high-level attention to this issue is also concerned about the far-reaching impact of this issue on the country's overall image, economic vitality and attracting foreign direct investment.
In order to solve this problem, we should first accelerate technological innovation and international cooperation in the field of financial services, encourage and support various payment platforms to be compatible with international credit cards and mainstream mobile payment methods, simplify the process of opening accounts and binding payment tools for foreigners, and realize the seamless connection of domestic and foreign payment systems.
Secondly, the policy level should increase the guidance for merchants to popularize wild card POS machines. It is reported that the handling fee for foreign card swiping is high, and the single rate is basically 25 to 35, while Alipay's single transaction rate is only 38, so many merchants prefer to let foreigners use cash or Alipay and WeChat. The settlement cost of wild card POS machine is high, the frequency of use is low when the number of inbound passengers is not high, and the enthusiasm and initiative of merchants are not high, especially small and medium-sized merchants will not consider deployment.
In this regard, it is necessary for relevant departments to guide service industries such as shopping malls, such as reducing the handling fee of wild cards through subsidies and other means, and also exploring multiple small and medium-sized merchants to share foreign card POS machines, so as to stimulate the enthusiasm of merchants to use.
In July 2023, in order to solve the problem of payment convenience for foreigners coming to China, Alipay and WeChat Pay successively support binding overseas bank cards. However, there are reports from expats that there are sometimes problems with registration and login. According to WeChat Pay, since the verification channels of international passports are different from ID cards and residence permits for Hong Kong, Macao and Taiwan residents, it is currently necessary to upload passports according to the prompts after completing various processes**. At present, WeChat Pay is also actively communicating with relevant departments to explore more accurate authentication methods. At the same time, the relevant departments may also wish to actively listen to the suggestions and opinions of foreigners and payment platforms, and continuously optimize the corresponding process.
Strengthening cross-cultural communication and advocacy is also a key measure. Through a combination of online and offline methods, we will promote and popularize China's mobile payment operations to foreigners, and add multilingual guidance signs and services in public places, hotels, scenic spots and other places to help them quickly familiarize themselves with and adapt to the local payment ecosystem.
The phenomenon of "difficult payment" is ostensibly a difference in technology application and living habits, but in fact it is a litmus test of the openness of China's financial market, the ability of financial services to be in line with international standards, and the friendliness of the business environment. If it is difficult for expatriates to conduct financial transactions in China easily and safely, both short-term travel spending and long-term business investment may be discouraged. Solving the "payment difficulties" of foreigners is also conducive to promoting the compatibility and facilitation of China's financial payment system, and realizing the smooth docking of domestic and international payment systems.
In the long run, solving these problems is not only to meet the actual needs of foreigners living in China, but also a strategic choice for China's economy to move towards a higher level, wider fields and deeper opening-up. We will continue to optimize the business environment and refine public services, so that China's economy can embrace the world with a more open attitude and attract more foreign investment, so as to truly realize the deep integration of "bringing in" and "going out".
Red Star News Special Commentator Bi Ge.
Edited by Zhao Yu.
Red Star Review Submission Email: hxpl2020@qqcom
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