China UnionPay has inked a major agreement with Halyk Bank of Kazakhstan. Card issuance will expand to cover corporate card, diamond card and CNY/Tenge dual-currency card to avoid exchange losses and meet the demands of different cardholders
Kazakhstan is located in the center of Central Asia and is of great importance to the implementation of the “One Belt One Road” strategy. Since last year, UnionPay International has rapidly increased the UnionPay card acceptance coverage to cover about 70% of local ATMs and over 50% of merchants and has also pushed forward large-scale UnionPay card issuance by major local institutions.
The business developments have laid solid foundation for UnionPay International’s support of the “One Belt One Road” strategy in a broader area. As the first institution in Kazakhstan to carry out UnionPay card businesses locally, Halyk Bank has enabled UnionPay card acceptance by all its ATMs and merchants. The bank also issued the first UnionPay chip debit card in the local market at the end of last year and will also realize large-scale UnionPay card issuance.
UnionPay has strong advantages in global acceptance network while Halyk Bank wishes to provide its clients with payment convenience during their international travels. These common grounds helped to realize the deepened cooperation. The cooperation involves the following aspects.
The two sides will also cooperate on innovative services including online payment and cross-border remittance. Second, the two sides will jointly carry out the scholarship program for Kazakhstan students in China. Third, the two sides will carry out cooperation in the Khorgos Trade Zone located at the border of China and Kazakhstan. Fourth, the two sides will discuss to participate in the Astana EXPO-2017 in appropriate ways.
The UnionPay card acceptance environment in the countries and regions along the “One Belt One Road” is rapidly improving. In Pakistan, UnionPay cards are accepted by 70% of ATMs and about 90% of POS terminals and a variety of UnionPay cards have also been issued locally to provide support for the construction of China-Pakistan economic corridor in the “One Belt One Road” flagship project. In the UAE, UnionPay cards have become accepted by all merchants and 100% of ATM acceptance is expected within this year. In Mongolia, UnionPay cards are accepted by almost all POS terminals and ATMs. The UnionPay card acceptance coverage is also expanding in countries including Russia, Turkey and Azerbaijan.
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