The fast food giant, McDonald’s has announced it is to team with Japan’s largest mobile operator, NTT DoCoMo to offer mobile payments in its outlets.

The payment service will be used to run special promotions in some of the company's fast-food restaurants in the region, in a joint project starting in July at a cost of £1.6 million (¥300 million yen).

The deal will allow McDonald’s customers to use mobile phones fitted with electronic chips that are becoming increasingly popular in the region to swipe the handsets over a special reader and take advantage of the promotions or make small-value, contactless payments.

The two companies yesterday said McDonald’s will hold a 70% stake in the new venture, with DoCoMo owning the remainder.