O2 Czech Republic is working with German vendor Wirecard on a mobile point of sale system pitched at the country’s retailers, both large and small.

The operator will offer merchants a product called eKasa which will enable them to accept chip and PIN credit card payments using a tablet.

It argues the card reader and support system enables retailers to make the best of a new regulation introduced by the Czech government, which obliges retailers to complete payment transactions online. Payment details are forwarded to the country’s tax authorities where they are reviewed, a process which the government helps will deter fraud.

No launch date was given for the card reader.

“It’s a pleasure to work with Wirecard on this project to really draw an advantage for retailers out of this situation,” said Lubos Lukasik, Director, SMB segment and indirect sales at O2.

Supporters of mobile point of sale systems argue they cut costs for retailers while offering greater insight into the spending habits of shoppers.

Within the partnership, Wirecard will act as the acquirer and process payment transactions, as well as the technical service provider which enables O2 to use Wirecard’s mPOS Software Developing Kit (SDK).

The system is suitable for a range of enterprises, from large companies to the self-employed.