Digital Banking Infrastructure in Place

EghtesadOnline: The minister of communications and information technology has announced that Iran's infrastructures are ready for the implementation of digital banking.

News ID: ۷۸۰۸۰۰

13 December 2017

“The Ministry of Communications and Information Technology is responsible for establishing the necessary infrastructure for the implementation of digital banking in the country such as data centers and national networks,” Mohammad Javad Azari Jahromi was also quoted as saying by ISNA.

However, as the minister underlined, only a part of the requisites can be provided by the Telecoms Ministry while the Central Bank of Iran is responsible for the other measures.

“Now we need to wait for CBI to announce the regulations for digital banking” and “banks without [physical] branches” to proceed with its implementation, Financial Tribune quoted him as saying.

This is while CBI has been closely monitoring the latest technological changes and incorporating the ideas of experts and banking officials to keep up with new developments and devise laws to match the new financial activities.

New mobile payment infrastructures have been set up in Iran to facilitate the use of new payment systems such as tap-and-go cards.

The Central Bank of Iran announced in May that it was developing new mobile payment systems so people may use their smartphones or watches for making purchases.

Tap-and-go cards, also known as wave-to-pay, tap-to-pay or contactless cards, contain a computer chip and antenna instead of the magnetic stripe on the back of traditional cards. The technology sends data wirelessly to a nearby terminal, completing purchases with a process called near-field communication.

Iran also boasts the widespread use of digital payments, as online shopping is gathering in popularity in the country.