Project Report

on

Examining the Strength of Singapore’s Electronic (Cashless)

Payments Services and its Impact

A report submitted to

Amity International Business School [AIBS]

AMITY UNIVERSITY, NOIDA

‘Submitted to: Submitted By:

Dr. Varsha Khattri CHARLIE

Dr. Ajit Mittal Manisha Goel [MBA IB]

Enroll Num: A1802017127

AIBS, AUUP NOIDA
 ACKNOWLEDGEMENT

I take this proud privilege to acknowledge gracefully the help I received from
different sources in preparation of this report.

I am highly obliged to Amity Global Institute for giving me insight into the
working of the market and also for giving valuable suggestions and consistent
encouragement throughout the project.

I genuinely offer my sincere regards and heartfelt gratitude towards my faculty

guide, Dr. Ajit Mittal for his immense guidance at every step towards the
fulfilment of the project and for his continuous support and encouragement
during the entire term of the Study Abroad Programme and taking care of even
the smallest intricacies of the project.

I also convey my gratitude to the Management of Amity International Business

School for providing the infrastructure to help me in accessing the necessary data
for analysis purpose.

Last but not the least; I extend my thanks to all my colleagues for the assistance,
support and the suggestions, which have been valuable to me, and for providing
a friendly work atmosphere with healthy competition throughout the project.
 CERTIFICATE OF ORIGIN

This is to certify that I, Manisha Goel student of MBA-IB, Amity International Business
School, Noida has worked under the guidance and supervision of Dr. Ajit Mittal.

The Country Report has the requisite standard for the partial fulfilment the Post Graduate
Degree in Master of Business Administration. To the best of our knowledge no part of this
report has been reproduced from any other report and the contents are based on original
research.

I am aware that in case of non-compliance, Amity International Business School is entitled to

cancel the Report.

Signature –

MANISHA GOEL

A1802017127

MBA- IB
 DECLARATION _________________________

I hereby declare that the work entitled “Impact of Strengthening Singapore’s

Electronic (Cashless) Payment Services” submitted to ‘Dr. Ajit Mittal’

Signature:
Manisha Goel
OVERVIEW AND INSIGHTS–

A payment framework involves the social, political, lawful, financial

and business practices and courses of action utilized inside a market
economy to decide, store and trade esteem or responsibility for and
administrations. In its least difficult frame, An electronic payment
either comes from an exchange amongst purchasers and dealers in a
market, or from a money related commitment.

Present day payment frameworks in a market economy can be

demonstrated in three noteworthy sections. In the first place, the
instruments used to convey payments, at that point, second, the clearing
and settlement process engaged with an electronic payment exchange,
lastly the genuine exchange of assets between establishments.

Singapore's payment frameworks have advanced throughout the years,

driven by mechanical advance, changing buyer needs and improvement
of new money related exercises. It has changed from one that was
construct basically with respect to paper and money exchanges to one
today that has a different scope of cashless instruments, and effective
and solid clearing and settlement frameworks.

In Singapore, the basic techniques for making retail payments other

than utilizing cash incorporate checks, interbank GIRO charge and
acknowledge exchanges and additionally payment cards, which
incorporates put away esteem, charge and Mastercards. Banks' clients
can likewise utilize their check cards to make outsider record reserves
exchanges and to make charge payments to choose business and
government elements by means of the ATMs. All the more as of late,
banks' clients have possessed the capacity to make charge payments
and outsider assets exchanges through their phone, portable and web
managing an account administrations.

MAS works an ongoing gross settlement (RTGS) framework, MAS

Electronic Payment System (MEPS), for expansive esteem SGD
interbank subsidize exchanges and the settlement of Singapore
Government Securities (SGS).

INTRODUCTION –

The MAS Electronic Payment System or MEPS so, is a SGD-just

online interbank payment and reserve move framework in Singapore.
It went online in July 1998, and is possessed and worked by the
Monetary Authority of Singapore (MAS). The unavoidable exchange
of assets and the continuous idea of exchanges are a portion of the key
highlights of MEPS.

Starting at 9 December 2006, the framework was moved up to MEPS+,

which incorporates enhanced highlights, for example, the utilization of
SWIFT message configurations and arrange and mechanized gridlock
discovery and determination.

One of the first "Asian Tiger" states, Singapore is an essential centre

point for trade and back.
The plenty of advanced payment alternatives in Singapore and the
absence of interoperability between the fluctuating frameworks may
make numerous default to a payment mode that they are happy with
utilizing, which is money,"

Cashless payments are, in any case, simpler for traders, as staff don't
need to deal with money or Mastercard receipts, sparing much time or
danger of blundering money

The inclination for trade out Singapore was taken after next by
conventional payment modes, for example, bank exchanges or Internet
saving money at 74 for each penny, with 61 for every penny saying
they lean toward charge cards.

When it came to utilizing money frequently, in any case, just 43 for

each penny did as such, referring to issues, for example, having lacking
money available, and long lines at mechanized teller machines
(ATMs).

REVIEW OF LITERATURE

1. Empirical Study on Usability Impact Factors of Electronic

Wallet-One Card Solution within College Students - By-
Jiangping Wan, Ming Zeng , Lianyu Liang [ September 2013]
–
The study which is done on the usability which impact the factor
of electronic wallet one card solution among college students
which involves the analysis of the current situation among
electronic wallets. The behavioural analysis among using
electronic wallets one card solutions among college students. The
reason of the study is to improve or enhance the usage of
electronic wallets.
2. Trends in mobile payments research - By -Denis Dennehy,
David Sammon [2015]
- Mobile payments also known as m-payments are increasing in
this era and organizations and the youth are increasingly adopting
m-payment methods. In the past few years the usage of the mobile
payments as a new channel of payments has increased the volume
of material on this topic.

3. PREFERENCE TOWARDS MOBILE WALLETS AMONG

URBAN POPULATION - By- Dr. Ramesh Sardar [2016] –
Digital or mobile wallets are developed as one of the most
important contributor towards enhancing the use of cashless and
electronic payments . The usage of Smartphone’s as well as the
usage of internet like 3G and 4G have also helped in increasing
the usage and the growth of M-wallets. The study is focused on
the preference of M-wallets within the urban people.

4. Digital Wallets as a Payment Method Influence Consumer in

Their Buying Behaviour- By- Farah Diba Abrantes Braga,
Giuliana Isabella, José Afonso Mazzon [2013] –
In today’s digital world due to fast growing technology the usage
of digital money is at its peak. This paper aims at different builds
that are related to different payments methods and survey how
they will impact the buying behaviour of the buyer.
RESEARCH METHODOLOGY –

Backdrop Perspective of ongoing patterns of payments in the Smart

Nation-

An instalment biological community that is sheltered, sound, and

secure with world-class innovation, yet where buyers organizations still
depend generously on money and checks. A solid administrative
structure making a sheltered, sound, and secure payment scene.

The basic Foundation is world-class and gives the spine to create

powerful arrangements. The dispatch of FAST* bolsters every minute
of every day payments progressively and is among the first of its kind
on the planet

Constrained appropriation of electronic and creative payments because

of absence of access to viable arrangements. Dependence on money
and checks because of settled in practices and wasteful help forms.

The cost of money and checks to the economy is at 0.52% of Gross

domestic product Manufacture Innovation Administer Convey a
Consistent and Ventures Framework and Experience Rivalry.
Achieving the Shrewd Country Vision will enable Singapore to keep
up its situation as the money related heart of Asia. Changes to the
payments frameworks shape a crucial part in accomplishing this
objective.

• Cash is ordinarily utilized for littler , and payments current

records additionally furnish you with a check book.

• Though you can utilize your home charge card in Singapore, it's
more cost effective to open a nearby ledger so you can without much
of a stretch pull back money. The DBS system and ATM are the two
greatest ATM organizes in Singapore.

• Credit cards are broadly acknowledged. For bigger payments, for

example, adjusted flat lease, you'll be relied upon to give your card
points of interest forthright.

• In expansion to real charge cards, there are a few strategies for

cashless payments in Singapore. They are a piece of NETS, a long haul
activity to make a to a great extent cashless society

Advanced Payments for Everybody –

For more than 30 years, the NETS Gathering has been at the bleeding
edge of cashless payments in Singapore.

From the primary Stick charge payments empowering Singaporeans to

make card payments at retail locations in 1986,to paying for dinners at
the vendor focuses with a cell phone in 2017. NETS has been
ceaselessly improving throughout the years to gain by mechanical
progressions and keep in front of changing shopper needs.

The gathering gives a full suite of payments and money related

preparing administrations including direct charge and credit payments
at purpose of-offers (NETS) and on the web (eNETS), versatile
payments (NETS Pay), card administrations (Money Card, Streak Pay
Card), Electronic assets transfer(Paynow) and check handling
services(CTS)

TRAVEL + SHOPPING PAYMENTS IN 1 CARD.

Save
 Another very reliable and convenient mode of paying for cab is –

GRAB PAY -
At that point there is Grab =Pay and furthermore SEA, or all the
more normally perceived as Garena, who are both pushing for
their individual portable wallets.
• In November a year ago, Grab Pay authoritatively
uncovered its new in-store and in-eatery payments include.

• Grab Pay will centre around more than 20,000 nearby,

money based dealers. As per the PR group, Grab Pay has
onboarded more than 1,000 of such shippers.

• With an arms stockpile of 4 million Grab clients in

Singapore, Grab Pay has not cooperated with anybody on the SG
QR industry individuals.
PIN debit payment enabling Singaporeans to make card payments at retail stores in 1986, to
paying for meals at the h a mobile phone in 2017, NET
It's regular to utilize trade for littler payments out Singapore. Be that as
it may, you will here and there be requested to pay extensive sums
forthright. For instance, for certain healing centre medications, you
need to give verification of protection and a store, and charge card data.
On the off chance that you don't, the healing facility staff will demand
your pre-paying the assessed cost in real money.

With regards to paying for products and ventures, it might be helpful

to think about tipping. Tips are unprecedented in Singapore's inns,
eateries, coffeehouses, and taxicabs. In a few eateries, there is an
administration charge of 10%, which as of now covers tips for the
holding of staff. Most cab drivers will scarcely challenge on the off
chance that you round up the admission with a little tip, particularly on
the off chance that they help convey your baggage. By and large, be
that as it may, you needn't convey save change for tipping.

ATMS

Getting your hands on some money isn't troublesome: there are a lot of
ATMs over the island — at the airplane terminal, in banks, at MRT
stations, and in shopping centeost let you pull back cash with a Visa or
MasterCard, yet ATMs that acknowledge Burger joint's Club or
American Express are rarer. In the event that you utilize an ATM with
your Visa from home, there's ordinarily an abroad charge and an
expense for remote cash change.

It's more reasonable — and less expensive — to open a record with a

nearby bank enabling you to pull back money from its own ATM
organize complimentary. The DBS arrange and at ATM are the two
greatest ATM organizes in Singapore. ATMs give different
administrations as well, for example, paying bills or exchanging
reserves.

CHECKS

When opening a financial balance in Singapore, you more often than

not get a check book. Checks in Singapore are still regularly utilized
for settling bills and little records.

Explorers' checks, however, are rarely utilized for little exchanges, yet
might be acknowledged in upscale eateries in traveller neighbourhoods.
Be that as it may, you ought not depend on explorers' checks: it's far
less demanding to just money them at a bank or authorized
moneychanger's.

MASTERCARDS

When you've quite recently landed, Mastercards can hold you over until
the point when you set up your neighbourhood financial balance. And
in addashless payments, they can likewise be utilized to pull back cash
from ATMs. Twofold check your record expenses for both outside
exchanges and money withdrawals before you leave to maintain a
strategic distance from undesirable amazements.

Most real charge cards are generally acknowledged in malls, inns, and
different offices. For neighbourhood ATMs, Visa or MasterCard works
best. To get a Visa for your Singaporean record, simply enquire at the
bank of your decision about expenses and conditions.
Regardless of where your charge card is from, you should give your
card points of interest ahead of time for bigger bills. At adjusted
condos, auto rentals, or restorative centres for instance, you are relied
upon to either give your Visa data, or to pay the greater part of the bill
forthright. Accordingly, Visas have turned out to be key in Singapore!

Singapore is by and large an exceptionally safe place, yet on the off

chance that your charge cards in Singapore are lost or stolen, please
connect with the significant crisis hotline:

• American Express: 1800-299-1997

• Diner's Club: 6416-0800/ - 0900 (available time/nightfall)

• Master Card: 800-1100-113

• Visa: 0800-4481-250
I CHOOSE DIGITAL PAYMENT, WILL YOU?

CASHLESS PAYMENTS

In expansion to significant charge cards, there are a few techniques for

cashless payments in Singapore. They are a piece of NETS, a long haul
activity to make a to a great extent cashless society.

• The NETS Money Card is a brilliant card for retail locations, pay
telephones, candy machines, auto parks, and street tolls. It can be
finished up with a most extreme of 500 SGD, and can be acquired at
the NETS benefit focus, Seven-Eleven stores, and different areas.

• The NETS Streak Pay card is a methods for payment on open

transport and at chose outlets, similar to accommodation stores or
corner stores.
• The NETS Card is issued by a few neighbourhood banks when
you open a record. It fills in as an all inclusive check card and payment
technique at retailers, eateries, excitement settings, and taxi
administrations.

EZ-Connection CARD

Propelled in 2001, this is the favoured put away esteem smartcard for
open transport utilize. It is issued by EZ-Connection, an auxiliary of
the Land Transport Specialist.

Be that as it may, it doesn't work at numerous carpark gantries, which

are commanded by the Nets Money Card.

A plan consequently reloads the estimation of the Ez-interface cards,

yet each reload accompanies a 25 penny "comfort expense" charge. The
comfort expense, be that as it may, is deferred for individuals who
connect a DBS/POSB or Citibank Visa to the auto top-up plot.

E-WALLET Administrations

Propelled a year ago, e-wallet applications like Apple Pay, Android Pay
and Samsung Pay utilize the remote Close Field Correspondence
(NFC) innovation to transmit information between the cell phone and
a contactless peruser - like how the ez-connect card functions.

Clients of more up to date NFC-bolstered handsets can agree to accept

these administrations by sparing an encoded rendition of their credit or
platinum cards to their telephones.
Qualified cards incorporate those issued by significant banks - POSB,
DBS Bank, OCBC Bank, UOB, Standard Sanctioned Bank and
Citibank. Together, they represent around 12 million cards, or 80 for
every penny of the Visa and Mastercard credit and charge cards issued
in Singapore.

Clients can tap and pay for merchandise and ventures at in excess of
50,000 Visa pay Wave and Mastercard Pay Pass contactless payment
terminals, including those at fast-food chain McDonald's, and Icy
Stockpiling and FairPrice grocery stores.

A 3 for every penny exchange charge is forced on traders for tolerating

Visa and Mastercard pays. A similar charge applies when they
acknowledge versatile wallets, for example, Apple Pay, Android Pay
and Samsung Pay - which tap the current Mastercard foundation.

Their utilization at most retail focuses is free for customers. Be that as

it may, taxi rides paid with a Visa draw in a 10 for each penny
additional charge. Likewise, online ticket booking at Brilliant Town's
site accompanies an "accommodation expense" of $1.50.

PAYNOW

Pay Now is another moment support exchange framework, propelled

on July 10, that does not expect clients to enter financial balance
numbers - a bogeyman for those utilizing e-payments. It gives clients a
chance to exchange cash by entering the beneficiary's cell phone or
character card number in any bank's application, for example, DBS
PayLah, UOB Relentless and OCBC Pay Anybody. The administration
is free for the time being.

The Money related Expert of Singapore intends to dispatch a typical

QR code, which Pay Now can ride on, before the year's over.

Its true objective is for vendors to show only one QR code, which can
be checked by any bank application for complain free, moment finance
exchanges.

With a QR code, clients likewise require not approach traders for their
portable or personality card number for a Compensation Now
exchange.

EZ-LINK CARD
This graph shows the percentage of males and females who filled the
questionnaire 60% are males and 40% are females.

IMPACT OF USAGE OF E-PAYMENTS ON LOCALITES,

NRI’S, VISITORS AND OTHER PEOPLE LIVING IN
SINGAPORE –

From paper to plastic

In the close term, it is normal that the use of payment cards –
particularly Mastercards – will proceed to rise and gradually substitute
money for day by day exchanges. Reviewed shoppers show an
inclination for these sorts of payments as they are advantageous and
offer motivators for utilize. This is in accordance with worldwide
patterns.

Moving to account-based ticketing

This could prompt trading the utilization of SVF's for transport

payments with account-based options that could build the proficiency
and perceivability of transport expenses to buyers.

Ascent of cell phones

With the most astounding managed an account populace, access to cell

phones, and remote broadband rates in Southeast Asia, Singapore
shows innovative status for versatile payments.

Getting Speedier
Coordinating worldwide patterns, the greater part of payments esteems
(regarding dollars) are moving to electronic stages through direct
charge and credit exchanges.

Customer request, security, and speed of settlement are basic to

organizations

The acknowledgment or use of a specific technique for installment

changes enormously over the scene. Business are tested to take care of
buyer demand while keeping up low expenses and large amounts of
security.

DATA ANALYSIS –

Distinguishing and conquering obstructions on the voyage to

enhancing the installment frameworks -
The installments biological system in Singapore is described by:

• Dug in propensities, practices, and states of mind of customers and

organizations

• An administrative structure situated around chance alleviation that

has made a payment environment that is sheltered, sound, and secure

• De-unified administration and coordination of foundation activities

Which has prompted the accompanying issues:

Wasteful procedures and restricted trust and dependence on certain

electronic payment instruments.

An administrative system needing upgraded center around buyer

assurance, rivalry and advancement, and institutionalization.

Frameworks which are not completely interoperable bringing about

conflicting client encounters.

All things considered, these outcome in challenges for the national

economy:

• Restricted selection of electronic and inventive payment• Problematic

business forms attributable to the proceeded with dependence on
money and checks by customers and organizations.

• Moderately high cost of payme to the economy.

GOVERNMENT Activities AND Sources of info –

Comprehensive Administration – A Payment Gathering

Second key system: we will set up a comprehensive administration

structure that unites diverse partners to control the improvement of
Singapore's payment scene reasonably.
In particular, MAS is thinking about the arrangement of a wide based
payments Gathering that will incorporate senior portrayal from the two
suppliers and clients of payments frameworks.

The Board will adjust activities to national procedures and open

intrigue. In particular, this way to:

• develop basic foundation;

• promote open access and between basic arrangements;

• enhance the nature of payment frameworks through the reception

of pertinent measures and best practices; and

• make electronic payments available to all.

Discoveries

Upgrade the appropriation of electronic payments

Under the expert of the payments Chamber, set out on a progression of

measures to drive changes in the payments scene. These
communitarian endeavours are gone for additionally decreasing
dependence on paper-based instruments and encouraging the
development to more effective and straightforward electronic strategies
in the close term crosswise over market portions.

FINDINGS-

Improve the reception of electronic payments.

Under the specialist of the payments Gathering, leave on a

progression of measures to drive changes in the payments scene.
These community oriented endeavours are gone for additionally
lessening dependence on paper-based instruments and
encouraging the development to more proficient and
straightforward electronic strategies in the close term crosswise
over market portions.

MAXIMISE POTENTIAL

S$150mn

Potential yearly funds to the economy by making payments

cashless at vendor focuses and in taxis.

REDUCE COSTS

0.52%
Cost of cash and cheques to GDP

LOWER BARRIERS

#1

The #1 barrier to consumers using payment cards for taxis is

surcharging
RECOMMENDATIONS –

Being a Savvy Country implies embracing complex innovation, as well

as utilizing it to astutely address challenges and reveal brilliant new
open doors – from social insurance arrangements that use mechanical
autonomy and computerization to supporting Singapore's developing
elderly populace, to improved open information accumulation and
examination to enhance transportation when space is constrained.

Payments are a key field through which Singapore's Brilliant Country

drive is being acknowledged; and organizations that investigate the
eventual fate of payments today will be best ready to catch new open
door tomorrow.

The eventual fate of cashless payments in Singapore's Keen Country

will be substantially less demanding on the wallet; in any event as far
as weight. Cashless is lord; as e-wallets, contactless cards and versatile
payments turn out to be increasingly prominent among buyers, and
progressively acknowledged among dealers. Also, now that customers
have encountered the speed and simplicity of a cashless shopping trip,
they are approaching shippers and the business to grow considerably
more approaches to pay without money.

Singapore, a world pioneer in innovation and development, is

enchanted to answer their call. For instance, shoppers in Singapore
would now be able to perform distributed direct store exchanges with
seven banks utilizing only a cell phone number1; on account of the new
PayNow benefit propelled this July by the Relationship of Banks in
Singapore. It's normal that by one year from now, the administration
will likewise empower less demanding payments amongst buyers and
retailers, and also government-related exchanges.

Payments will have a vital part to play, as online business can't prevail
without a consistent, secure and basic approach to pay. Similarly as
individuals in Singapore now anticipate that the capacity will stroll into
a shop and make a cashless payment with a flood of their hand, so will
they similarly expect a brisk and simple payment encounter when they
shop on the web.

CONCLUSION –

Directing the dynamic and regularly changing payments industry is a

long way from a simple undertaking. Payments controllers confront
the convincing need to create modern measures that adjust an extensive
variety of approach objectives, including wrongdoing control,
purchaser assurance and fiscal security, while empowering
advancement and rivalry in the Payments business. Universal
harmonization of payments directions has likewise turned into a key
worry because of the prominence of cross-outskirt and Web based
exchanges. Given the many-sided quality of the difficulties and
contemplations looked by payments controllers, industry coordinated
effort may assume a basic part in the improvement of inventive and
viable administrative reports. As we proceed along our path towards
becoming an e-payments society, the way we live and work will
change.

• Diners will pay for supper consistently and safely with a cell
phone.

• Parents will send take cash to their youngsters by means of an

application.

• Young couples will make the up the front payment for their HDB
pads on their tablets utilizing FAST.

• SMEs will utilize electronic stock administration stages to make and

get payments.

An e-payments society will be inclusive, innovative, and perhaps, even

inspiring.
REFERENCES / BIBLIOGRAPHY –

 PRIMARY SOURCES

Yong Ying-I, Chief Executive Officer, IDA Singapore - Speech

First Roundtable Forum on e-Payments
Singapore, 4 October 2001

 SECONDARY SOURCES

1. Torreja, M. L. (2001). The payment and settlement systems

in the SEACEN countries (Vol.2, p. 297). Kuala Lumpur:
South-East Asian Central Banks, Research and Training
Centre. Call no.: RBUS 332.0959 TOR.

2. Soh, T. K. (1993, January 21). Nets rings up record $1.14b

in consumer spending The Business Times, p. 2. Retrieved
from NewspaperSG.
 3. fintechnews.sg/16897/fintech/singapore-guidelines-
protect-users-electronic-payment.

4. www.mas.gov.sg/News.../Guidelines-to-Protect-Users-of-
Electronic-Payments.aspx

THANK YOU !