Boost, GrabPay vs local giant—it's an e-wallets battle in Malaysia

Between the government's credit programmes, a concerted push to digitise payments, and Touch ‘n Go eWallet's two-decade advantage in the country, e-wallets can now either consolidate or go home

The e-wallet landscape in Malaysia is a crowded one, with 47 non-bank e-wallet licences being issued by the central bank in the last few years

But Boost, Touch ‘n Go eWallet, and GrabPay were selected for two major government initiatives to disburse cash to eligible citizens, giving them an edge

Touch ‘n Go eWallet, despite its Malaysia-only operations, has two strong backers: Touch ‘n Go and Ant Group

E-wallet operators have started to think about monetisation through financial services, where a digital banking licence in Malaysia would come in handy

Malaysia has been trying to embrace cashlessness for a decade. To date, the Malaysian Central Bank (BNM) has issued 47 non-bank e-money licences non-bank e-money licences Service providers that are authorised by the Malaysian central bank to issue and manage electronic money in the country to spur the e-wallet race.

Covid, of course, has really sped up the process. Businesses are increasingly finding digital payments safer and more convenient than handling cold, hard cash. The top three e-wallets in Malaysia—Boost, GrabPay and Touch ‘n Go eWallet—have all seen their merchant touchpoints merchant touchpoints A touchpoint is a way for consumers to interact with a business, and in this case, it's through digital payments including e-wallet payments.

AUTHOR

Ka Kay Lum

Based in Kuala Lumpur, Ka Kay covers investment activities, aka following the money, across Southeast Asia and in-depth stories on the often-overlooked Malaysian startup ecosystem. She was previously a regional writer for Nikkei-owned DealStreetAsia.

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