Cashless payment activities and the digital transformation of the banking sector is continuing to achieve positive results.

It is an urgent need to strengthen security for online transactions amidst burgeoning cashless payments, an official from the central bank has said, referring to biometric authentication to be mandatory from July 1.

The Government’s policy of promoting cashless payment has triggered the spread of online payments in Vietnam as well as the race of new technologies, contributing to boosting the digital economy.

The Hanoi authorities on October 7 held an event to promote cashless payments in Hoan Kiem district.

The Ministry of Industry and Trade (MoIT) has set a target to increase the cashless payment ratio in e-commerce, especially e-payments through payment intermediaries or applications, to 50% by 2025.

Prime Minister Pham Minh Chinh chaired the 6th meeting of the National Committee on Digital Transformation and a conference on digital transformation tasks in Hanoi on July 12.

With emerging technologies such as AI and blockchain, Vietnam has the ability to leverage data connectivity to create ‘an integrated payment ecosystem’ to promote cashless payments, experts said at a recent meeting in HCM City.

Cashless payments are developing rapidly in Vietnam, especially after the COVID-19 pandemic, with transactions via banks averaging US$40 billion per day, according to Pham Anh Tuan, Director of the State Bank of Vietnam (SBV)’s Payment Department.

The State Bank of Vietnam (SBV) has requested banks, branches of foreign banks, and providers of intermediary payment services to take steps to continue promoting cashless payment and the implementation of the national digital transformation programme.

The State Bank of Vietnam (SBV) has issued a decision on digital transformation plan in 2022, under which all of the administrative procedures are to be handled online.