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BNM monitoring Wirecard MY’s operations

03 Jul 2020 / 14:42 H.

PETALING JAYA: Bank Negara Malaysia (BNM) is closely monitoring the operations of Wirecard Payment Solutions Malaysia Sdn Bhd (Wirecard MY) to ensure that it will continue to fully meet its settlement obligations to merchants in Malaysia.

BNM said funds due to merchants are held in segregated bank accounts with licensed banking institutions in Malaysia which are not commingled with Wirecard MY’s own operational funds.

“Wirecard MY has also been required to take measures in coordination with card network operators to ensure uninterrupted settlement of payments to merchants and to facilitate the smooth transfer of payment services to alternate providers should the need arise,” BNM said in a statement today.

It said Wirecard Malaysia’s primary activities in Malaysia is to process card payment for merchants as it is a registered entity that carries out merchant acquiring services under section 17 of the Financial Services Act 2013.

While Wirecard MY’s parent Wirecard AG has filed for insolvency proceedings in Germany, Wirecard MY is currently assessing its position and business operations in light of the developments at its parent company.

The central bank assured the public that the payment system remains safe and sound, and that it continues to function smoothly.

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