Bank Indonesia is preparing to expand its QRIS cross-border digital payment system to India, Hong Kong and Timor-Leste this year as the central bank pushes to strengthen regional financial connectivity and accelerate digital economic inclusion.
The expansion reflects Indonesia’s broader ambition to position its domestic payment infrastructure as part of an increasingly interconnected Asian digital economy, while also supporting tourism, trade and small business transactions across borders.
Deputy Governor of Bank Indonesia, Filianingsih Hendarta, said the initiative forms part of the central bank’s target to make QRIS cross-border services operational in eight countries during 2026.
At present, the Indonesian payment system has already been integrated with six countries, namely Malaysia, Singapore, Thailand, Japan, South Korea and China.
“We will continue expanding QRIS cross-border cooperation,” Filianingsih said during a virtual press conference on Wednesday. “In 2026 we are targeting expansion with India, Hong Kong and also Timor-Leste.”
The move comes as QRIS transactions continue to record rapid growth both domestically and internationally, highlighting the increasing role of digital payments in Southeast Asia’s evolving financial landscape.
QRIS, which stands for Quick Response Code Indonesian Standard, was introduced by Bank Indonesia to standardize QR code-based digital payments across multiple financial service providers and electronic wallets.
Since its launch, the platform has become one of Indonesia’s most widely used digital payment systems, especially among small businesses and micro-enterprises seeking affordable cashless transaction solutions.
The cross-border version of the system enables Indonesian users to make payments abroad using domestic mobile banking applications, while foreign tourists from partner countries can also pay directly at Indonesian merchants using their home-country applications.
According to Bank Indonesia, inbound QRIS transactions conducted by foreign tourists in Indonesia have now reached Rp2.28 trillion since the international payment system was introduced.
Filianingsih said both outbound and inbound transaction values have continued to rise steadily as public familiarity with the system increases.
“Both inbound and outbound QRIS transactions are showing strong growth,” she said.
The expansion is expected to provide practical benefits for Indonesian travelers, students, migrant workers and business operators who increasingly rely on digital payment services while abroad.
For merchants, especially those in tourism areas, wider QRIS integration is also seen as an opportunity to attract more foreign consumers by simplifying payment processes and reducing currency exchange complications.
Financial analysts say the initiative demonstrates how central banks across Asia are becoming increasingly active in building regional payment interoperability systems.
Rather than relying solely on traditional international card networks, many Asian countries are now exploring direct payment integration through national QR systems and local currency settlement mechanisms.
Indonesia’s QRIS partnerships with neighboring countries have already become part of a broader regional trend toward faster and cheaper cross-border retail payments.
Countries such as Thailand, Malaysia and Singapore have also launched bilateral payment connectivity projects aimed at reducing transaction costs and strengthening financial inclusion.
The addition of India could represent one of the most strategically significant expansions so far because of the size of India’s digital payment ecosystem and its rapidly growing financial technology sector.
India’s Unified Payments Interface, or UPI, has become one of the world’s largest real-time payment systems, processing billions of transactions every month.
Cooperation between QRIS and India’s payment infrastructure could potentially create one of the largest interoperable digital payment corridors in Asia.
Meanwhile, expansion into Hong Kong may strengthen financial connectivity with one of Asia’s major international financial centers, while cooperation with Timor-Leste could deepen regional integration within Southeast Asia.
Bank Indonesia views digital payment expansion not only as a financial innovation initiative but also as part of a broader economic development strategy.
Filianingsih said QRIS plays an important role in supporting national economic growth by making financial transactions easier and more accessible, particularly for micro, small and medium enterprises.
Indonesia’s MSME sector contributes around 61 percent of the country’s gross domestic product and employs a large share of the national workforce.
For policymakers, expanding digital financial access among small businesses has therefore become a key pillar of economic modernization.
“This is part of the digital economic empowerment and financial inclusion strategy,” Filianingsih said. “We aim to reach at least 66 percent of MSMEs because MSMEs contribute around 61 percent of GDP.”
Domestic QRIS adoption has also continued to rise sharply in recent years as Indonesians increasingly shift toward cashless payments for daily transactions.
Bank Indonesia reported that domestic QRIS transaction values have already reached Rp7.83 billion this year, moving toward the central bank’s annual target of Rp17 billion.
The number of QRIS users has also climbed to 63 million, approaching the year-end target of 70 million users.
Meanwhile, the number of merchants accepting QRIS payments has reached 45.3 million, close to the target of 47 million merchants by the end of the year.
The rapid expansion reflects changing consumer behavior across Indonesia, where mobile banking applications and electronic wallets are increasingly replacing cash transactions in retail commerce.
Digital payment usage surged significantly during the COVID-19 pandemic and has remained strong even after economic activity normalized.
The government and central bank have continued encouraging cashless payment adoption as part of Indonesia’s long-term digital transformation agenda.
Observers say QRIS has become particularly important because it offers a relatively low-cost entry point for small merchants to participate in the digital economy.
Unlike traditional card payment systems that often require expensive infrastructure and fees, QR code-based payments can be implemented using simple printed codes and smartphones.
This accessibility has helped accelerate adoption among street vendors, traditional markets, food stalls and small retail businesses throughout Indonesia.
The cross-border expansion may also support Indonesia’s tourism recovery by improving convenience for international visitors.
Tourists from countries already connected to QRIS can use their domestic banking applications to make payments directly in Indonesia without needing cash exchanges or international cards.
Officials believe this convenience can encourage spending among visitors and improve transaction efficiency in tourism centers such as Bali, Jakarta and Yogyakarta.
Financial technology experts also note that expanding cross-border QR systems could strengthen regional resilience against global financial disruptions.
By increasing the use of local currencies and domestic payment systems, countries may reduce dependence on external payment infrastructure and lower exposure to currency volatility.
This strategy has gained increasing attention among Asian policymakers amid geopolitical tensions and concerns over global financial fragmentation.
However, experts also caution that expanding international payment interoperability presents technical and regulatory challenges.
Cross-border digital payment systems require coordination on cybersecurity standards, consumer protection rules, anti-money laundering regulations and foreign exchange settlement frameworks.
Differences in payment architecture between countries can also complicate integration efforts.
Despite these challenges, Bank Indonesia appears committed to accelerating implementation as demand for digital payments continues to grow rapidly across the region.
The central bank has repeatedly emphasized that digital financial infrastructure will become increasingly important for Indonesia’s economic competitiveness in the coming decade.
The QRIS expansion strategy also aligns with Indonesia’s broader efforts to strengthen its digital economy, which is projected to become one of the largest in Southeast Asia.
As more consumers and businesses adopt cashless payment systems, policymakers believe interoperable digital infrastructure will become essential for supporting trade, tourism and financial inclusion both domestically and internationally.
For Bank Indonesia, the continued growth of QRIS represents not only a technological development but also a strategic effort to modernize the national financial ecosystem and deepen Indonesia’s integration into the regional digital economy.
