BNZ announces strategic partnership with China UnionPay
Thursday 1 November 2007, 6:59PM
By BNZ
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Bank of New Zealand and China UnionPay (CUP), the only bank card association in China, today announced a strategic initiative whereby CUP cards can now be accepted through BNZ’s 420 ATMs and via EFTPOS at selected merchants.
With 1.3 billion cards, China UnionPay is comparable in size to global brands MasterCard and Visa. China offers one of the biggest potential markets for banking cards in the world.
“The partnership is the first of its kind for New Zealand, and the culmination of more than a year’s work,” says Blair Vernon, BNZ General Manager of Strategy and Marketing.
“By establishing a relationship with China UnionPay and opening our network to its customers, we’re offering greater flexibility and convenience for Chinese cardholders to access their funds and make purchases while in New Zealand.
“This service will appeal to those businesses that cater for Chinese tourists, students and business travellers.
“It’s early days, but feedback from our merchants with CUP card capability suggest that average purchases are up as much as 40 per cent with this card type. That’s an outstanding outcome and proof that there is demand for this service,” says Vernon.
Mr Jianbo Cai, First Executive President of China UnionPay says, “New Zealand has been one of the most popular destinations for Chinese tourists and overseas students. There were more than 100,000 inbound visitors from China in 2006, a 19 per cent increase on 2005. We believe that the strategic cooperation between China UnionPay and BNZ will provide greater ease of payment for hundreds of thousands of Chinese visitors and provide opportunities for local businesses in New Zealand” says Mr. Jianbo Cai.
About China UnionPay:
China UnionPay (CUP) is the only bank card association in the People’s Republic of China. Founded in 2002, via capital contribution from more than 80 financial institutions within China, CUP operates under a similar business model to the MasterCard and Visa schemes. CUP has 184 card issuing member banks. China UnionPay currently has 1.3 billion cards on issue (95% debit cards, 5% credit cards). CUP is now working to provide their cardholders with global access. Since 2004 CUP cards have gained access in 26 countries including the United States, Japan, Singapore, Malaysia, Thailand, Germany, France and Australia.