Boost ewallet has decided to extend the merchant discount rate for its business partners beyond the March 31 deadline earlier announced.
The service provider issued a notice to all merchant partners stating the extension but did not furnish details on when the waiver will be till. Boost previously informed selected merchants the waiver will be from January 1 till the end-March, but it added that due to the economic climate and as a goodwill gesture, the Axiata owned platform will continue with subsidy.
ewallet providers charge 1-2 percent on transactions as means to subscribe to the service, however, most providers have been waiving the fees as part of their growth strategy. While the Gross Transaction Value is used as a metric to measure their success, these companies continue to make a loss due to fee waivers and rebates on purchases. Platforms have also added more features into the app to drive GTV, like insurance and microloans.
As part of its initiative to assist businesses, Boost is also offering financing of RM20,000 to business owners who can apply within the app and get approval in 10 minutes.
