Merchantrade

Merchantrade Asia Sdn. Bhd. stands as a significant player in Malaysia's financial services landscape, particularly in the money services business (MSB) and digital payments sector. Founded in 1996 by Ramasamy K. Veeran, the company began its journey as a telecommunications equipment supplier. Inspired by his mother's entrepreneurial spirit, Ramasamy, who holds a degree in Business Administration, navigated the company through several strategic pivots. The initial business model focused on telecommunication services like VoIP and calling cards, which established an early connection with Malaysia's migrant worker community.

Recognizing the evolving market, Merchantrade transitioned into a Mobile Virtual Network Operator (MVNO) in 2007 through a partnership with Celcom Axiata Berhad and concurrently secured a license to operate as a non-bank remittance provider. This move solidified its focus on serving the financial needs of migrant workers, a segment it identified as underserved by traditional banks. Key milestones in its history include receiving strategic investments from Japan's Sumitomo Corporation in 2009 and Celcom Axiata in 2014, which fueled its expansion. Over the years, Merchantrade has evolved from a brick-and-mortar establishment to a digitally-focused financial technology company, a transformation accelerated by the launch of its online remittance portal, eRemit, in 2012.

The company's business model is centered on providing a comprehensive ecosystem of financial solutions. Revenue is generated from its core services: international money transfers, retail and wholesale foreign currency exchange, and digital payments. Its client base is diverse, initially concentrating on migrant workers from countries like Bangladesh, Indonesia, and Nepal, and now expanding to include individuals, SMEs, and large corporations. A key product is the Merchantrade Money e-wallet, a multi-currency Visa prepaid card that allows users to hold and transact in up to 20 different currencies, targeting travelers and online shoppers. The company has also ventured into micro-insurance and offers corporate expense management solutions through its Merchantrade Money Biz card. Its extensive physical network of over 94 branches and hundreds of agent locations complements its digital channels, including the eRemit mobile app, creating an omnichannel presence that ensures accessibility for its customers.

Keywords: money services business, remittance, foreign currency exchange, digital payments, e-wallet, financial inclusion, cross-border payments, mobile virtual network operator, fintech Malaysia, multi-currency card, payment gateway, micro-insurance, wholesale banknotes, Ramasamy K. Veeran, Celcom Axiata, Sumitomo Corporation, eRemit, Merchantrade Money, international money transfer, digital wage solutions, SME financial services, corporate prepaid card