Sabah State Green Lights Merchantrade for Digital Wage Payments.

[Summary] - Merchantrade Asia has been approved as a Designated Payment Instrument issuer for Sabah, expanding its earlier approval in Peninsular Malaysia in effect since August 2024. Starting 1 December 2025, all employers in Sabah can now use Merchantrade’s payroll portal and e-wallet service to pay foreign workers digitally and conveniently and comply with Malaysia's labour laws. Merchantrade enables secure salary payments directly in user's Merchantrade Money e-wallet for convenient remittance transfers, mobile credits reloads, local QR payments and ATM access via VISA cards.

Merchantrade Asia Sdn. Bhd. (Merchantrade), a leading e-wallet and money services business operator in Malaysia, has been officially recognized as an Approved Issuer of a Designated Payment Instrument (DPI) for the state of Sabah.

This significant approval, formalized by the Minister of Human Resources under the Labour Ordinance of Sabah, complements Merchantrade’s existing approval for Peninsular Malaysia since 1st August 2024.

This new mandate for Sabah state, effective 1st December 2025, allows employers in Sabah to utilize Merchantrade’s innovative solutions, such as their payroll portal and Merchantrade Money e-wallet, to manage wage payments for their foreign employees in full compliance with Malaysian labour laws. Recognizing the challenges faced by employers in managing traditional payroll for foreign workers, Merchantrade provides a one-stop solution for both employers and employees in an integrated ecosystem.

The Sabah approval is particularly critical given the state’s vast geographic and economic structure. Sabah spans 7.4 million hectares, with approximately 1.7 million consisting of plantations, presenting a real logistical challenge. Due to Sabah’s magnitude, both workers and employers traditionally rely on cash for salary disbursement; workers often travel extremely long distances to open a bank account, so most employers, in turn, choose to use cash. This poses a significant security risk for both parties. The Merchantrade e-wallet is the ultimate digital answer, enabling direct salary disbursements, instant remittance and improved security for everyday transactions. Additionally, workers can still access cash via ATMs using their paired VISA cards, ensuring flexibility and inclusiveness.

Ramasamy K. Veeran, Founder and Managing Director of Merchantrade said "This authorization for Sabah is a monumental step, strengthening Merchantrade as a leading service provider driving the digital wage revolution supported with solutions that are inclusive, and equipped with the right ecosystem of physical touchpoints to deliver our transformative solution seamlessly across Sabah".

"This authorization for Sabah is a monumental step, strengthening Merchantrade as a leading service provider driving the digital wage revolution supported with solutions that are inclusive, and equipped with the right ecosystem of physical touchpoints to deliver our transformative solution seamlessly across Sabah"
- Ramasamy K. Veeran

The transition to digital wages brings transparency to wage payments, coupled with how closely Merchantrade works with PERKESO to deliver social security protection payments direct to employees ensuring faster and better financial transparency.

The Merchantrade Money e-wallet is a robust suite of features, including remittances, mobile top-ups, micro-insurance, and QR payments, catering specifically to the needs of the unbanked and migrant worker community.