Indonesia’s largest operator, Telkomsel, launched an NFC-based payment service called TCash Tap that can be used at more than 1,000 merchant outlets in greater Jakarta at launch.

The operator said the new service supports the Indonesian government’s National Movement of Non-Cash as well as improving financial inclusion in the country.

Working in collaboration with the National Team to Accelerate Poverty (TNP2K), Telkomsel will study the feasibility of using NFC technology as an alternative distribution mechanism for government grants and subsidies.

Bambang Widianto, TNP2K’s executive secretary, said: “The government needs a breakthrough so that the distribution of social assistance and subsidies happens more effectively and efficiently, so as to be able to reach the beneficiaries with the right amount, in a short time and with minimal distribution costs.”

Retailer partners for TCash Tap include Coffee Bean, Baskin Robbins, Wendy’s, McDonald’s, Bami GM, 7eleven, Indomaret and Cinema XXI. So far, the service is enabled at more than 1,000 merchant outlets in Jakarta. In the future, the plan is to expand TCash Tap nationally. The aim is also to increase the range of services that can be paid for with TCap to include public transport, taxis, parking and more financial services.