Payments Soon Set to Shift to PIN and QR Code Transactions

Belizeans will soon see a new way of doing business, as everyday transactions move toward the use of simple personal identifiers, like a PIN or QR code, when making payments online.  That transformation was a small part of the Central Bank’s announcements on the project to advance digital finance.  The new platform is expected to make sending and receiving money faster and more convenient, allowing users to complete transactions in seconds without needing lengthy bank details. Instead, payments can be made using easy identifiers such as a phone number, PIN, or QR code.  Central Bank Governor Kareem Michael explained that the initiative is part of a broader push to modernize Belize’s financial system and make digital payments more accessible to the public.

Kareem Michaels, Governor of the Central Bank: “The current experience, digital payments often requires detailed bank information and account numbers to make payments creating friction for users. IPS will allow payments using features as QR codes and alias proxies identifiers, reducing effort and errors. Payments can be made using simple identifiers. Again, these are alias and proxy identifiers, such as phone numbers or email addresses rather than full account details. For example, instead of asking someone for their bank account information you can enter their phone number and the transaction amount and send the payment. Everyday transfers will be quick, safe, and error-free. QR code payments, most of us would have experienced QR codes in other jurisdictions. This will enable faster and lower costs between customers and businesses, particularly benefiting small merchants and informal sellers. When purchasing food from a vendor, for example, small shops or paying a taxi you can scan a QR code with your phone, confirm the amount, and the payment is completed instantly. The request to pay functionality will enable secure and transparent payment requests while keeping control firmly on the pair. For example, a small business can send you an invoice digitally on your phone. You review the details and choose whether to proceed with the payment. If it is not approved, then you do not proceed. The control always stays with the person making the payment. These capabilities are designed to make digital payments practical, accessible, and secure for everyday use.”

In terms of how the system would work for those who don’t have a bank account, Governor Michael says it would be based on mobile wallets.

Kareem Michaels, Governor of the Central Bank: “And let’s say I work on a banana field. What my employer can do is then immediately or easily create a wallet, whether Digi Wallet or Belize Bank Wallet, for on behalf of that person. And his weekly salary then, once that wallet is created, goes to that person. He then gets control of his wallet and begins to interact with the space. So that’s how this thing is supposed to really work. And that’s an easy thing. That’s not too far-fetched. I mean that banana worker goes and sits with his boss, this is where your payment is gonna go. You’re no longer gonna get cash. Here’s your wallet account, move on.”

According to the Governor, the full rollout of the system is expected within the next eighteen months, which will include a testing phase to ensure the platform operates smoothly and securely before it is widely adopted.