Cashless payment refers to any type of financial transaction that does not involve physical cash. Instead, these transactions are conducted electronically, typically through the use of credit or debit cards, mobile payment apps, or other digital methods. Cashless payments offer a number of advantages, such as increased security and convenience, as well as the ability to track and analyze financial data.
They are becoming increasingly popular as technology continues to evolve, and are expected to become even more prevalent in the future.
The New Straits Times reports that the Penang state government is planning to have all revenue collection departments and agencies to only accept cashless transactions by 2030, and currently, they have already achieved 72%.
Penang Chief Minister, Chow Kon Yeow added the state government plans to increase their efforts to implement cashless payment systems in various locations, as part of their initiative to continue with digital transformation.
The use of electronic payment services will not only enhance the government’s revenue collection but also serve as a driving force for the state’s economic growth.
Chow is encouraging cooperation from all parties to support this initiative in order to increase competitiveness and make Penang a smart state.
The Penang government has even set up the Digital Penang Corporation which will help promote the economic digitalisation process in the state.
Penang Chief Minister, Chow Kon Yeow.
He also mentioned that there is no need to wait until 2030 to go cashless. The state can come up with a variety of imaginative and original ideas to promote and accelerate the adoption of cashless transactions.
The state government started a pilot program of cashless payment transaction in April 2020 at Taman Tun Sardon public market to restrict contact due to Covid-19 pandemic.
Following the success of the pilot program, the government implemented a policy requiring all 23 state government revenue collection departments and agencies to use at least one cashless service to collect revenue.
