Non-Cash Payment

The mobile carrier is set to provide the service at 600 stores and distributors in the first phase, with the view of expanding to 10,000 dealers during two years of pilot implementation.

The move is part of a national strategy to promote non-cash payment in Vietnam in the 2021-2025 period.

Vietnam aims to create a breakthrough in its ranking and join the top 50 countries in terms of open data and e-participation.

The State Bank of Vietnam aims to keep the inflation rate below 4% this year to ensure the stability of the monetary and foreign exchange markets.

Alliex, a fintech company, has cooperated with banks to develop the non-cash payment system nationwide.

Many listed banks witnessed weak performance of fee income growth in the first six months of the year due to the Covid-19 pandemic.

Foreign ownership limit could affect the attraction of foreign direct investment (FDI) in the field of intermediary payment services in particular and fintech in general.

Vietnam must grasp opportunities from the internet economy, which is estimated to have a combined value of US$100 billion in Southeast Asia, and is on track to increase by three-fold in the next five years, said a government official.

As of present, just 40% of citizens in Vietnam have bank accounts. However, 90% of daily transactions are conducted in cash, while the rate goes up to 99% for transaction worth under VND100,000 (US$4.34).