Vietnam's mobile money pilot program extended to end of 2025

THE HANOI TIMES — The Vietnamese government has extended until December 31, 2025 the pilot Mobile Money service that allows telecom accounts to pay for small-value transactions without requiring a bank account, smartphone, or internet connection. 

The extension aims to promote cashless payments and expand access to digital financial services for the unbanked groups, particularly in rural, mountainous, and island regions. 

The State Bank of Vietnam initially authorized the nationwide pilot in November 2021 for a two-year period, which was first extended to December 31, 2024 under Resolution No. 192. The latest extension gives the government more time to evaluate and prepare the regulatory framework for full implementation.

As of the end of the third quarter of 2024, the Mobile Money service had reached a total of 9.6 million users, including 72% living in rural and remote areas.

There are currently 275,960 locations across the country that accept Mobile Money payments that cover essential services such as electricity, water, education, telecommunications, and public administration. The total number of transactions, including deposits, withdrawals, money transfers, and payments, has exceeded 148 million, worth approximately VND5.4 trillion (US$213 million).

In May 2024, the government tasked the State Bank of Vietnam with coordinating relevant ministries and agencies to devise a regulatory framework for Mobile Money services to facilitate broader adoption for Vietnam's digital transformation and financial inclusion goals.

The extension also fits in with the government's cashless society target. According to a recent plan, Vietnam aims to reduce the share of cash transactions from 11.3% of total payments in 2019 to 8% by 2025.