Cyber trading on the cards - Brief Article

Business Asia, Feb 11, 2000

Electronic cash is about to make its debut in South Korea.

The government has announced that Korea-Cash will be available on a limited scale starting in March.

Initially, K-Cash will be used at convenience stores, restaurants, subways, pay phones and vending machines in the Yoksam-dong district.

After a six-month trial period, use will be expanded on a gradual basis.

The ultimate aim is that the cards will facilitate more e-commerce transactions such as cyber trading and Internet banking.

Bank officials anticipate K-Cash will be used nationwide starting in 2001, saying domestic financial institutions would voluntarily expand its use once the trial run is proved to be successful.

A Bank of Korea official said the government would build a one-card system through the integration of the functions of credit cards, cash cards and electronic currency in the long run.

The cards are rechargable through PC-linked cash readers.