PayNet Malaysia: All you need to know about Malaysia's payment network

Key takeaways:

• PayNet (Payments Network Malaysia Sdn Bhd) is Malaysia’s central payments infrastructure provider, responsible for powering nationwide systems like FPX, DuitNow, IBG, and more.
• Core services include real-time bank transfers (DuitNow), online payments (FPX), scheduled interbank GIRO (IBG), bill payments (JomPAY), debit card transactions (MyDebit), and cheque clearing (eSPICK).
• Benefits for businesses include secure and regulated transactions, nationwide acceptance, low fees, interoperability (via DuitNow QR), and support for Malaysia’s cashless agenda.
• PayNet is not a customer-facing gateway, but rather the infrastructure. Businesses need payment gateways like Billplz to connect to PayNet's services.
• Gateways simplify access to PayNet-powered services, offering features like flat fees, real-time dashboards, eCommerce integration, and split payments.
• As Malaysia advances toward a digital economy, adopting PayNet-enabled solutions through platforms like Billplz is vital for businesses aiming to stay competitive.

Introduction

Payments Network Malaysia Sdn Bhd (PayNet) is the national payments network and central infrastructure for Malaysia's financial markets. From online transactions to bill payments, instant transfers, and debit card usage, PayNet is the backbone behind trusted services like FPX, DuitNow, IBG, and more.

For businesses and consumers alike, understanding PayNet is essential. While you may never directly interact with PayNet, you benefit from it every time you pay with DuitNow QR, settle bills through JomPAY, or check out online using FPX.

What is PayNet Malaysia, and how does it work?

PayNet (Payments Network Malaysia Sdn Bhd) is the national provider of financial market utilities, responsible for building and maintaining an accessible and efficient payments and financial ecosystem.

It was formed from the merger of the Malaysian Electronic Payment System (MEPS) and Malaysian Electronic Clearing Corporation Sdn Bhd (MyClear) in 2017 (Source: MyClear, MEPS merge to form PayNet).

With a mission to modernise and standardise the nation’s payment infrastructure, the organisation ensures that both businesses and consumers benefit from secure, accessible, and seamless financial services. PayNet operates a wide range of services, including retail payments, real-time transfers, and cheque processing.

Is PayNet owned by Bank Negara?

Yes. PayNet is jointly owned by Bank Negara Malaysia (BNM), its single largest shareholder, and a consortium of eleven Malaysian financial institutions. These include major banks such as Maybank, CIMB, RHB, Public Bank, and Bank Islam.

What does PayNet Malaysia do: Key services

PayNet operates the key payment rails that form the backbone of Malaysia's digital payment landscape:

• FPX (Financial Process Exchange): A direct-to-bank online payment gateway that allows customers to make real-time payments using their online banking accounts. Commonly used in eCommerce, bill payments, and government portals, it’s the most trusted online payment method in Malaysia.
• DuitNow: An instant bank and e-wallet transfer service that allows individuals and businesses to send and receive funds using a DuitNow ID, mobile number, or NRIC. This includes DuitNow QR, a single, interoperable QR code that works across multiple banks and e-wallets.
• IBG (Interbank GIRO): A scheduled interbank fund transfer system used for bulk and individual credit transfers. Supports fund transfers across 42 banks.
• JomPAY: A nationwide bill payment platform where customers can pay any registered biller via internet or mobile banking.
• MyDebit: Malaysia’s domestic debit card system, allowing ATM cardholders to make point-of-sale transactions nationwide.
• Cheque Processing: The eSPICK system (Sistem Penjelasan Imej Cek Kebangsaan) is Malaysia's national cheque clearing house.

Benefits of PayNet services for Malaysian businesses

PayNet’s ecosystem provides significant benefits that drive business growth and enhance operational efficiency, with key advantages including:

• Gain nationwide acceptance: Services like FPX and DuitNow are linked with all major banks and e-wallets, providing a wide reach.
• Ensure security and regulation: As the national payments network, PayNet is backed and regulated by Bank Negara Malaysia, offering a high level of security and customer trust.
• Benefit from low transaction fees: Services like FPX and DuitNow often have low, flat-rate transaction fees, especially when compared to other payment options.
• Customer trust: PayNet services are widely recognised and used daily by the Malaysian public, instilling confidence in payment methods.
• Enhance interoperability: DuitNow QR provides a single, unified QR code, eliminating the need for businesses to display multiple QR codes from different providers.
• Support cashless adoption: By using PayNet-powered services, businesses can facilitate the shift from cash, which aligns with Bank Negara Malaysia’s cashless agenda.
• Provides secure, reliable, and regulated payment rails: Businesses rely on the established infrastructure for stable and trustworthy transactions.
• Facilitate financial inclusion: The broad access across banks and e-wallets makes digital payments accessible to a wider segment of the population.

How is PayNet different from payment gateways?

PayNet serves as the underlying payment infrastructure—the "highway" that connects financial institutions. It is not a customer-facing product.

Payment gateways, like Billplz, on the other hand, are the interface providers that connect businesses to the PayNet network. They are the "cars and toll booths" that enable businesses to use services like FPX and DuitNow.

A business needs a payment gateway to seamlessly integrate PayNet's services into its website or point-of-sale system.

How do businesses use PayNet services?

Businesses typically use PayNet's services indirectly through their payment gateway partners:

• Online transactions: Businesses use a gateway to integrate FPX, allowing customers to pay directly from their bank accounts.
• In-store & online: Businesses accept DuitNow QR payments in retail or e-commerce settings.
• Bill collection: Businesses leverage JomPAY for easy and widespread bill collection.
• Debit card acceptance: MyDebit facilitates secure and regulated debit card payments.

These services are often implemented via integration partners and payment gateways, which manage the technical setup and provide user-friendly dashboards.

Challenges and considerations with PayNet

Despite its strong infrastructure, PayNet's services can be affected by the reliability of individual banks. If a participating bank experiences downtime, services like FPX or DuitNow may be temporarily disrupted.

Additionally, not all PayNet services operate in real time. IBG and cheque processing, for example, are still subject to processing delays.

For small and medium businesses, the variety of available services may present a steep learning curve, especially without technical support. This is where integration partners or payment gateways play a crucial role. 

They offer simplified access, clear documentation, and ready-to-use tools to help businesses adopt and manage PayNet-powered payment solutions efficiently.

Billplz’s role in PayNet-powered solutions

Billplz helps businesses tap into the power of PayNet by offering easy, affordable access to services like FPX and DuitNow. With Billplz, businesses can accept secure payments without complex setups or high fees.

With Billplz, you can connect your system using clear API documentation. Our Payment Order leverages robust DuitNow Transfer infrastructure for secure, reliable payments with processing completed within minutes.

By acting as an integration partner, Billplz adds valuable features on top of PayNet's core infrastructure, including:

• Transparent flat fees and competitive pricing.
• Real-time dashboards for monitoring transactions and revenue.
• API and plugins for easy integration with e-commerce platforms.
• Features like automated split payments and team management.
• Enterprise-grade protection for every transaction.

To learn more about FPX payments, read:  FPX payment for business: How it works, guides & our solutions

Conclusion

As Malaysia pushes toward a digital-first economy, PayNet continues to play a central role in shaping the future of payments. Its reliable, scalable, and secure infrastructure enables real-time, low-cost payment options for both businesses and consumers.

For businesses looking to embrace digital transformation, adopting PayNet-powered solutions is essential for serving modern consumers.

By partnering with trusted gateways like Billplz, businesses can easily access these services and benefit from a modern, efficient, and secure payment experience.

Start using PayNet-powered solutions like FPX and DuitNow with Billplz today. New merchants receive MYR 25.00 in starter credit with code GROWTHPRO (valid until 31 December 2025).