Use of personal digital signatures promoted to ensure online payment

MIC Deputy Minister Nguyen Huy Dung said that Vietnam has identified three pillars of national digital transformation - digital government, digital economy and digital society. All the three pillars are not possible without digital citizens. He said that forming digital citizens and a digital society needs basic characteristics. Particularly, each household has fibre-optic broadband, while each citizen needs to have a smartphone, e-ID, a digital payment account, an online public service account, and basic information security software.

Besides, digital citizens need to be equipped with basic digital skills to use services in the digital environment, and have their personal digital signature to perform digital transactions, Dung said, emphasising that a personal digital signature is the final “piece of the puzzle” to complete a basic version of digital citizenship in the cyber environment.

Digital signatures are a solution with its legality recognised by many countries around the world including Vietnam.

That is a technology solution in online transactions, especially in the finance and e-banking areas, he said, adding that the Law on Electronic Transaction 2023 with regulations on digital signatures, that will take effect from July next year, will facilitate the applicaiton of digital signatures in the cyber environment.

Vice Chairman and General Secretary of the Vietnam Banks Association Nguyen Quoc Hung said that in Vietnam, digital signatures are mainly used in intra-bank transactions or transactions of businesses, and yet to be applied to individual customers.

According to Hung, individual customers are in the group that takes the majority of transactions in the banking industry.

Preliminary reports from banks in Vietnam showed that only 5% of total customers own and are using digital signatures, mostly because of the high cost of personal digital signatures, Hung said.

To develop digital signatures, service providers need to enhance safety and security in online payments and bank card payments. Promoting online payments, converting all direct payment activities to the cyber environment, and increasing communications about the Law on Electronic Transactions 2023 are also needed, heard the workshop.