By Diplomacy Journal Kayla Lee 

The Seoul Metropolitan Government (SMG) will gradually introduce an EMV-based open-loop transit payment system to improve convenience for international tourists using public transportation.

This system will allow travelers to ride buses and subways in Seoul directly with their overseas credit cards without purchasing or reloading a separate transit card.

Following the pandemic, the number of international tourists to Seoul has surged. In 2024, the figure reached 16.36 million, and this year’s total is expected to exceed 20 million. However, travelers have continued to face inconvenience as they must still purchase and reload their transit cards with cash, with no option to pay using overseas credit cards.

To address this, the city began discussions in 2023 with transit agencies, international card companies, and government ministries, recognizing that improving transit accessibility to global standards is key to enhancing Seoul’s appeal as a tourist city.

Transitioning to open-loop payment requires a step-by-step approach, as early replacement of domestic PayOn terminals would create sunk costs and could inconvenience citizens during the change in payment system. The city will pursue a strategy that balances short-term improvements with long-term infrastructure upgrades.

Replacing current PayOn terminals nationwide with EMV certified devices is expected to cost at least ₩50 billion in the Seoul metropolitan area, and a new settlement system is required to support EMV standards and transfer discounts.

The city is also working to allow reload their overseas cards using Tmoney via Apple Pay for iPhone users within this year. This will let international tourists use and recharge their transit cards without currency exchange. Currently, Android (Galaxy) users can already reload their transit cards using overseas cards using Tmoney’s Korea Tour Card app.