- South Korea plans to allow foreign credit cards for public transit payments by 2027
- The system lets tourists use Visa or Mastercard without buying local transit cards
- Seoul aims for full open-loop payment rollout for tourists by 2030 to ease travel
In a move aimed at enhancing the travel experience for tourists, South Korea is developing a system that will enable foreign visitors to pay for public transportation using credit cards issued outside the country. The initiative aims to eliminate the need for separate transit cards or tickets, making it easier for travellers to hop on buses, subways and potentially enjoy free transfers between them. According to The Straits Times, the Ministry of Land, Infrastructure and Transport has commissioned a study to explore the feasibility of this open-loop payment system, with the review expected to conclude by the end of 2026. If successful, implementation could begin as early as 2027.
What Is Open-Loop Payment System, And How Does It Help Travellers?
An open-loop payment system allows transactions to be processed across multiple entities, meaning travellers can use globally recognised credit cards - such as Visa or Mastercard - wherever the network is accepted. For visitors, this translates into seamless payments without the need for local transit cards or ticket purchases.
Currently, South Korea's public transport network does not support open-loop systems for major international card providers. The government's proposed study will explore the infrastructure, steps and budget required to integrate this technology nationwide, making travel more convenient for foreign tourists.
Phased Roll-Out And Compatibility With Free Transfers
If approved, the system is likely to be introduced in stages across different regions, in collaboration with local governments. A key consideration will be ensuring compatibility with South Korea's existing free transfer system, which allows passengers in areas such as Greater Seoul and Busan to switch between transport modes at no extra cost or at discounted rates.
Seoul's Parallel Plans For Tourists
The Seoul Metropolitan Government has already announced plans to gradually introduce an open-loop payment system for international visitors, aiming for full implementation by 2030. Industry experts expect the national ministry and Seoul authorities to work together to establish common standards for this new payment method.
Why It Matters For Travellers Going To South Korea
For tourists, this development could mean a hassle-free experience when navigating South Korea's extensive public transport network. No more queuing for local transit cards or worrying about topping up balances - visitors could simply tap their own credit cards to pay for rides.
This convenience is expected to make South Korea even more attractive for international travellers, especially those planning multi-city itineraries across Seoul, Busan and other regions.
