Payment System and Draft National Payment System Law

Transcription

1 Payment System and Draft National Payment System Law

2 1. What is Payment? 2. Payment instruments 3. Cash Payment 4. Other payment instruments that is not cash Cheque Payment System Money Transfer Payment System Card Payment System Settlement System 5. Draft National Payment System Law 6. Ask-Answer Content

3 Payment System Payment ພາກລ ດ Govt ວ ສາຫະກ ດ Business ບ ກຄ ນ Consumer/Individuals ພາກລ ດ Govt ລ ດ-ລ ດ G2G ລ ດ-ວ.ກ G2B ລ ດ-ບ.ຄ G2C ວ ສາຫະກ ດ Business ວ.ກ-ລ ດ B2G ວ.ກ-ວ.ກ B2B ວ.ກ-ບ.ຄ B2C ບ ກຄ ນ Consumer ບ.ຄ-ລ ດ C2G ບ.ຄ-ວ.ກ C2B ບ.ຄ-ບ.ຄ C2C

4 What is Payment? Payment is money spending /Payment Instrument for buying goods and any service for example: clothes, medicines, food, living places, electronic fee, water fee and etc Payment Instruments Cash Money Transfer (Direct Debit Transfer, Direct Credit Transfer) Cheque Cards E-Money 4

5 Payment Instruments ເຄ ອງມ ການຊ າລະ Payment Instruments ເປ ນເຈ ຍ Paper-Based ເປ ນເອເລ ກໂຕຣນ ກ Electronic ເງ ນສ ດ ແຊ ກ ໃບແຈ ງໜ /ແຈ ງມ ບ ດຊ າລະ ການໂອນໜ ການໂອນມ ເງ ນເອເລ ກໂຕຣນ ກ Cash Cheque Voucher Cards Direct Debit Transfer Direct Credit Transfer Electronic Money The Payment Transaction through other payment systems we need to have payment instruments both Paper-Based and Electronic such as: Cash, Cheque, Voucher, Cards, Direct Debit/Credit Transfers and Electronic Money.

6 Payment We can divide payments according to two characteristics and payment revolution as below: 1. Cash Payment 2. Other Payments that is not Cash

7 Cash Payment ການສ ງຈ າຍ=ການໄລ ລຽງ=ການຫ ກບ ນຊ Payment =Clearing =Settlement Good and Service payments by Cash have two relation parts as: Buyer and Seller. When buyer pay for the goods or services to seller and seller already provide goods or services to buyer, that means the payment was completed. However if we look and criticize carefully, we will see that there is the third parts joining in this payment and it is the Central Bank or Bank of the Lao P.D.R who protects for money publishing and cash spending domestically. Cash payment is payment, clearing and settlement which happen at the same time. 7

8 Other Payment Instrument that is not Cash ບ ນທ ກບ ນຊ Book Entry ຈ ດໜ Debit ຈ ດມ Credit 2 Payment Service Officer Payment Instruments Cheque Money Transfer Cards E-Money Other Payment Instruments align to the BOL s Define 3 Payer (Individual, Firm, Government) 1 Goods Services Other Payee (Individual, Firm, Government)

9 Payment System Other Payment Instruments that is not Cash Means: payment for goods and services by using other instruments that is not cash for example: Cheque, Money Transfer, Cards, E Money. The Payment Transaction will be over three parts joining which includes System Operator, Payment Service Provider and Payment Service User or client. Payment System Operator means Bank of the Lao P.D.R or Firms who was permitted from the Bank of the Lao P.D.R to process the Payment Operation System; Payment Service Provider means Firm who was permitted from the Bank of the Lao P.D.R to provide the Payment Services; Payment Service User means Individual, Firms and Organizations that registered for using the Payment Service from the Payment Service Provider through channels and other instruments that system service provider defines. Other Payment Instruments that is not Cash is payment, clearing and settlement happen at the same time

10 Payment Settlement System Operator Clearing System Operator

11 Other Payment Instruments that is not Cash Other Payment Instrument that is not Cash is the process through Payment System of the Payment Service Provider; for the clearing is the process through clearing system and Settlement is processing through Account Reduction of the Clearing System Operator and Settlement System Operator for example: Bank of the Lao P.D.R, Commercial Banks, finance institutes or the person who were permitted from the Bank of the Lao P.D.R Example: Cheque Clearing System Money Transfer Payment System Card Payment System

12 ລະບ ບການຊ າລະດ ວຍແຊ ກ CCH=Cheque Clearing House ຫ ກບ ນຊ Settlement ຫ ກບ ນຊ Settlement 6 6 Settlement BOL 5 ຂ ມ ນການໄລ ລຽງ Net clearing data Bring cheque to get money 2 Bank Receives Cheque 7 Approve 3 CCH 1 4 Bank who issues Cheque Approve 7 Cheque Payee Cheque Payer

13 ລະບ ບການຊ າລະດ ວຍແຊ ກ CCH=Cheque Clearing House Payment System Operator = Bank of the Lao P.D.R; Payment Service Provider = Bank receives Cheque and bank issues Cheque; Payment Service User = Cheque Payer and Cheque Payee

14 Money Transfer Payment System within the bank 2 3 Bank A 1 Payer (Individual, Firm, Government) Payee (Individual, Firm, Government) Direct Credit

15 Money Transfer Payment System within the bank Payee (Individual, Firm, Government) Bank A 1 Direct Debit Payer (Individual, Firm, Government)

16 Interbank Money Transfer Payment System ຫ ກບ ນຊ Settlement ຫ ກບ ນຊ Settlement 7 7 ລະບ ບຫ ກບ ນຊ ທຫລ RTGS 6 ຂ ມ ນການໄລ ລຽງ Net clearing data OTC ATM Others 2 Bank A 5 3 Approve Money Transfer Service Provider between the banks 1 4 Bank B Approve 5 Money Transferor Money Receiver

17 Interbank Money Transfer Payment System Payment System Operator = Money Transfer Service Provider between the banks; Payment Servicer Provider = Bank A and Bank B; Payment Service User = Money Transfer Person and Money Receiver

18 ລະບ ບການຊ າລະດ ວຍບ ດ LAPS =Lao ATM Pool Switch 8. ຫ ກບ ນຊ Settlement(D+1) 8. ຫ ກບ ນຊ Settlement(D+1) BOL RTGS 7. ຂ ມ ນການໄລ ລຽງສ ດທ ເພ ອຫ ກບ ນຊ Net clearing data for settlement (D+1) 2. ຂ ຄວາມຄ າສ ງຖອນ Request message(d) LAPS 3. ຂ ຄວາມຄ າສ ງຖອນໄປຍ ງ ທຄ ອອກບ ດ Routing to the issuer bank (D) 5. ຂ ຄວາມການຢ ງຢ ນ 4. ຢ ງຢ ນຂ ຄວາມ ທະນາຄານ ຮ ບບ ດ BCEL 1. Cash Withdrawal Request ຂ ຖອນເງ ນ ສ ດ Routing to the beneficiary bank (D) 6. ຖອນສ ດ Withdraw cash Confirmation message (D) ທະນາຄານ ອອກບ ດ LDB ຕ ວຢ າງການເຮ ດທ ລະກ າຖອນເງ ນສ ດຜ ານຕ ເອທ ເອ ມ ລະຫວ າງ ທະນາຄານ Flow Chart of Cash withdrawal of ATM Switch ATM

19 ລະບ ບໄລ ລຽງ ການຊ າລະດ ວຍບ ດ LAPS =Lao ATM Pool Switch Card Clearing System Operator = LAPS (Bank of the Lao P.D.R); Card Payment Service Provider = Bank that receives the card (BCEL) and bank that issues the card (LDB) Payment Service User = withdrawer or person

20 ລະບ ບຫ ກບ ນຊ RTGS=Real Time Gross Settlement 3 3 BOL RTGS Debit Account Bank A Credit Account Bank B 2 Bank A 1 Bank B 4 Payer (Individual, Firm, Government) Payee (Individual, Firm, Government)

21 ລະບ ບຫ ກບ ນຊ RTGS=Real Time Gross Settlement Payment System Operator Service Provider = Bank of the Lao P.D.R; Direct User= Bank A and Bank B; Indirect User= Payer and Payee (Individual, Firm, Government)

22 ລະບ ບຫ ກບ ນຊ RTGS=Real Time Gross Settlement 2 2 BOL RTGS Debit Account Bank A Credit Account Bank B 1 Bank A Bank B

23 ລະບ ບຫ ກບ ນຊ RTGS=Real Time Gross Settlement Payment System Operator = Bank of the Lao P.D.R; Payment Service Provider = Bank of the Lao P.D.R Payment Service User = Bank A and Bank B.

24 Transaction Process in Payment System ຂ ນຕອນການເຮ ດທ ລະກ າໃນລະບ ບການຊ າລະ ລະບ ບຫ ກບ ນຊ Final Settlement ລະບ ບໄລ ລຽງ Interbank Transfer (Clearing System) ລະບ ບທະນາຄານ (ລະບ ບຊ າລະ) Banking System (Payment System) Transaction Process in Payment System firstly happened from Buying-Selling activities between persons in the society and in order to make society to be more convenient Payment Service has occurred. It was Banks/Finance Institutes that provide Payment Service. Besides proving service to their own customers, they also provide Payment Transaction Service between other Banks/Finance Institutes to provide convenient, assistant and support to the national economic to be more developed. When there is interbank transaction, it required to have Clearing and Settlement between each other. These processes have to be under the operation, monitoring, Service providing and Payment Operation System, Clearing and Settlement System specifically of Bank of the Lao P.D.R

25 Domestic Payment System International Payment System Domestic Payment System Commercial banks Payment Service Provider is Payment System Clearing Payment System Operator ຜ ຄວບຄ ມລະບ ບຊ າລະບ ບການໄລ ລຽງ Real Time Gross Settlement = RTGS International Payment System SWIFT System Domestic Money Transfer International Card Payment System

26 Banking VS E-Money Mobile Banking and Payment Service

27 Banking vs E Money ທະນາຄານ vs ເງ ນເອເລ ກໂຕຣນ ກ Operation Risk (1+2) Technology Risk Separation Prudential Risk 3 This risk is of Bank, but it is not E-Money Issuer ທະນາຄານ ຫ Bank ເງ ນກ ຫ Loan ເງ ນຝາກ ຫ Deposit ຜ ອອກເງ ນເອເລ ກ ໂຕຣນ ກ E Money Issuer 3 2 ບ ນຊ ເງ ນ ເອເລ ກ ໂຕຣນ ກ Pool Bank account ເງ ນຝາກ Individual Deposited Account 1 A Transparent ທ ນ Capital L transparent ຜ ຄວບຄ ມລະບ ບ Operator IT platform No funding

28 Banking vs E Money ເງ ນເອເລ ກ ໂຕຣນ ກ E Money A L e ທະນາຄານ Bank Is Dis 10 1 e1000 ຜ ອອກ Issuer Cash 1000 ຜ ຈ າໜ າຍ/ແຈກຢາຍ Distributor Capital e e 900 Re User ຜ ານລະບ ບທະນາຄານ e100 Cash 100 ຮ ານຄ າ/ຜ ຮ ບຊ າລະ ແລະ ບ ລ ການເງ ນ Retailer Cash 5 e10 Cash 10 Cash out Capital e 100 e

29 Mobile Banking and Payment Service

30 Mobile Banking and Payment Service

31 Mobile Banking and Payment Service ເຄ ອງມ Payment Instrument ການແລກປ ຽນຂ ມ ນ Data Transmission ລະບ ບໂປຣແກຣມ Application mode ການຢ ງຢ ນຕ ວຕ ນ Identification ກ ນໄກຮ ກສາຄວາມປອດໄພ Security mechanism Credit Card Debit Card Pre pay Post pay Fund Trans. Membership Acct. Royalty Card QR Code NFC (Near field communication) Wi Fi On line Bluetooth Short Msg Native App Web based Hybrid Fingerprint ID Face ID ID + Pswd One Time Pswd MsgConfirmed Mobile Number SIM Card ecertificate Tokenization HCE En/Decryption TSM Double Confirmation

32 Mobile Banking and Payment Service

33 Draft National Payment System Law

34 Draft National Payment System Law 1. Research Context 2. Key Contents of Draft NPS Law

35 Research Context 1. Start from September Lesson learn from Vietnam, Thailand 3. Technical Support from World Bank 4. Before 16/Jun/2017 delivered to Ministry of Justice (Referring to the proposal of Justice Ministry No 439/ກຍ, Dated 4/May/2017) 5. August 2017 presented to the government meeting 6. Beginning of September 2017 delivered to the National Assembly 7. October 2017 organized the technical seminar to the National Assembly 8. On 07/Nov/2017 presented to The Ordinary Meeting of the National Assembly 9. On 29-30/Nov/2017 edited the content together with legal committee and financial economic and inspection committee at Vientiane Province 10. Expected declaration by January 2018

36 Key Contents of Draft NPS Law This Law includes 10 Parts, 8 Chapter, 59 Articles 1. Part I General Provision comprised of 7 Articles (1-7) 2. Part II Payment System Development Strategy has 2 Articles (8-9) 3. Part III Payment System comprised of 3 Categories, 17 Articles (10-26) Chapter 1. Payment System modality Chapter 2.Payment System Instruments Chapter 3. Mechanism, Assurance and Payment 4. Part IV Payment System Operator, Payment Service Provider and User comprised of 3 categories 9 Articles (27-35) Chapter 1. Payment System Operator Chapter 2.Payment Service Provider Chapter 3.User 5. Part V Authorization of Payment System Operator and Payment Service Provider comprised of 3 Articles (36-38) 6. Part VI Restriction comprised of 5 Articles (39-43) 7. Part VII Conflict solving comprised of 5 Articles (44-49) 8. Part VIII Supervision and Monitoring Payment System comprised of 2 Categories 6 Articles (50-55) Chapter 1. Payment System Supervision Chapter 2. Payment System Monitoring 9. Part IX Fraud Measurement and promotion comprised of 2 Articles (56-57) 10. Part X Final Provision comprised of 2 Articles (58-59) ກ ດໝາຍວ າດ ວຍລະບ ບການຊ າລະ

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