BAKU, Azerbaijan, July 17. The Central Bank of Azerbaijan (CBA) and the Chinese international payment system “UnionPay” discussed the development of QR code-based payment solutions.
This was announced by the press service of the CBA, following a meeting between Vusal Khalilov, Deputy Chairman of the Central Bank, and Wang Lixin, the Chief Executive Officer of UnionPay International, who is currently visiting Azerbaijan.
At the meeting, the parties exchanged views on the initiatives outlined in the Memorandum of Understanding signed this year, the status of joint projects, and the prospects for developing the digital payment ecosystem and QR code-based payment solutions in the country.
The meeting also addressed opportunities for deepening the partnership and mutual integration.
Meanwhile, on January 30 of this year, a videoconference was held between Vusal Khalilov, Deputy Chairman of the Central Bank, and Wang Lixin, Chief Executive Officer of UnionPay International. The meeting focused on the importance of expanding cooperation in the issuance of payment cards and strengthening the interoperability of QR code technologies. Following the meeting, the parties signed a Memorandum of Understanding on cooperation.
In addition, it was announced that the memorandum will help establish a legal framework for cooperation between the Central Bank and UnionPay, strengthen their cooperative relationship, and expand joint activities in the areas of UnionPay card issuance and processing, the integration of cross-border money transfer systems, and the application of QR and token technologies.
Under the Memorandum of Understanding, the parties plan to implement initiatives aimed at developing cashless payments, providing local cardholders with a more stable, secure, and convenient card experience, card products and services, and new innovative products, as well as define the technical architecture and mechanisms that will facilitate the transition to a cashless economy.
Nevertheless, Azerbaijan is currently undergoing the phased rollout of a QR payment system based on the unified AZQR standard. In an exclusive interview with Trend, the Central Bank of Azerbaijan (CBA) announced that banks have already completed technical integration with the system and that the functionality is gradually being implemented in POS terminals and mobile banking apps.
“The next stage of development could be the introduction of cross-border QR payments. To this end, options for mutual integration of Azerbaijan’s instant payment system with similar systems in other countries are being explored. The regulator is currently studying international best practices in this area. The priority areas are expanding the use of QR payments in everyday retail transactions, improving the user experience, and ensuring full interoperability among banks participating in the ecosystem,” the Central Bank noted.
