How Visa supports the local economy amid coronavirus downturn

Hong Kong's economy is hit by the coronavirus outbreak, and local SMEs have been the first to bear the brunt. As a ray of hope to local businesses, a recent survey found that Hong Kong people are more likely to shop at local retailers, with the intention to help local SMEs over this challenging time.
In a recent interview with EJ Insight, Gavin Ho, Head of Merchant Sales & Acquiring, Visa Hong Kong & Macau, said that Visa is committed to supporting the local economy and local retailers, in ways such as introducing digital payment technology and offering merchant discounts.
"A lot of Hong Kong people choose to shop at local retailers to support SMEs recovering from the epidemic," Ho quoted the results of a YouGov survey commissioned by Visa in July this year, which found 68 percent of the 1,000 consumers surveyed would choose to shop at a local retailer over an international retailer if they are selling similar products at similar prices.
The survey also found 75 percent of respondents agree it is important for retailers to accept digital payments, as more and more consumers are switching to digital payments. And 67 percent of respondents agree it is important for retailers to have an online presence.
“In fact, about seven out of every 10 physical transactions made through Visa in Hong Kong today are made using near-field-communication (NFC)," Ho said. In recent months, Visa has partnered with multiple Hong Kong fintech companies, as it launched two initiatives – Visa Digital Transformation Toolkit, and Visa eCommerce Starter Package, with an aim to help SMEs optimize working capital management, develop new revenue streams, while offering discounts to merchants on advertisement placing through the Visa Business Card.
In addition, Visa has partnered with Hong Kong startup Boutir to offer discounts for businesses using Boutir’s platform to launch their e-commerce business.
To address the issue of SMEs' difficulties in opening bank accounts in Hong Kong, Ho said Visa has partnered with FinTech unicorn Airwallex, to develop the Airwallex Borderless Card, a virtual card that allows users to make cross-border B2B payments.
Visa has also worked with Neat, a Hong Kong-based FinTech startup offering financial solutions to SMEs and startups, to allow merchants to open digital multi-currency accounts online.
The launch of debit cards for SMEs in Hong Kong is part of Visa's direction to reach out to the under-banked businesses and individuals in Hong Kong," said Ho, adding that the challenge in applying for a credit card is a pain point that has long been there for SMEs.
Visa has partnered with Hong Kong-based virtual bank ZA Bank, to launch a payment solution this year, Ho said, with more new projects with other virtual banks in the pipeline.
-- Contact us at [email protected]
-
Epidemic and 40-year-high inflation stalk HK migrants in UK Mark O'Neill
The website of the Trinity Church in Sutton, southwest London, is written in English and traditional Chinese – 歡迎香港人, Welcome Hong Kong people. “The middle of a pandemic is not an easy time to arrive
-
The privilege of shorter quarantine Ben Kwok
The nightmare of staying in a hotel for three full weeks might hopefully be over. Yesterday the National Health Commission announced to shorten the hotel quarantine period for people arriving in the
-
3D maps enhance disaster prevention and rescue Dr. Winnie Tang
Abnormal and even extreme weather has become more frequent. The Observatory forecasts that tropical cyclone incidence and total rainfall this year will be "normal to high". To be well-prepared, the
-
Ignoble ease Neville Sarony
There is no shortage of commentators, both lawyers and lay people, who feel entitled to criticize Hong Kong’s legal community for what these observers assert is a failure to stand up for the liberal
-
An imminent private housing supply chasm and its solutions Ryan Ip Man-ki, Jason Leung Yeuk Ho
As the 5th wave of Covid-19 gradually subsides, waves of new private housing projects are now under the spotlight. Intensifying competition among developers became the talk of the town after a