#Tokyo #Digital Garage #Invoice Payment #BIPS

Digital Garage's Involvement in Invoice Card Payment Association

Digital Garage, a leading payment service provider in Japan, has recently announced its participation as a founding member of the Invoice Card Payment Association, established under the Cashless Promotion Council. This initiative embarks on the journey toward implementing guidelines that govern invoice card payment transactions (BIPS: Business Invoice Payment Service). With the growing adoption of cashless payment systems among businesses, Digital Garage's role aims to facilitate safe and efficient transactions, paving the way for developed business growth and digital transformation across various industries.

Background of the Guidelines and Association Formation

The introduction of invoice card payments allows buyers who wish to make cashless payments to connect with suppliers who have yet to adopt such payment methods. However, the absence of clear regulations governing this system has raised discussions regarding its qualifications under lending laws or foreign exchange regulations. The Financial Services Agency of Japan has indicated that discussions around this topic are ongoing, emphasizing the need for regulations to address specific service frameworks.

In light of these developments, industry stakeholders, including BIPS providers and payment companies, have collaborated since FY2023 to develop guidelines aimed at establishing a secure cashless environment. The newly announced guidelines outline compliance requirements for BIPS providers, acquiring payment service providers, and issuers offering cashless payment methods to buyers. These guidelines will officially take effect on June 26, 2026.

The association will actively pursue discussions among industry players to address challenges and enhance communication regarding invoice card payments.

The Business Invoice Payment Service (BIPS)

The invoice card payment service, also known as BIPS, facilitates the processing of payments through cashless methods based on invoices issued by suppliers. In this context, Digital Garage's B2B payment service,