return icon Vietnamnet.vn

Vietnam sees surge in popularity of contactless payments

The popularity of contactless payments has rocketed in Vietnam over the last few years, with banks launching more options for customers to enjoy going cashless.

Vietnam sees surge in popularity of contactless payments hinh anh 1

The popularity of contactless payments rockets in Vietnam, with banks launching more options for customers to enjoy going cashless. (Photo: vtv.vn)

 

Contactless payments are a new technology that allow users to simply tap their card, smartphone, or wearable device against a POS terminal to pay, rather than swipe or insert a card.

They are gaining in favour among shoppers in Vietnam because they are a faster, more secure, and more convenient way to pay. The COVID-19 pandemic also appears to have further encouraged people to adopt contactless payments due to increasing concerns about hygiene and social distancing measures.

Data from the State Bank of Vietnam (SBV) shows that the number of domestic banking transactions grew 26.2 percent in the first four months of this year, with value rising 15.7 percent. Mobile payments increased sharply by 189 percent in number and 166 percent in value from a year earlier.

The latest Visa Consumer Payment Attitudes study found that 37 percent of respondents were using contactless payment cards, 42 percent of them made mobile contactless payments.

Of those already using contactless payment methods, 85 percent are doing so at least once a week, the study found.

It also revealed that four out of five consumers who have not used contactless payments are interested in doing so. More than 80 percent expressed an interest in biometric authentication technology, which uses fingerprints or facial or voice recognition to authenticate payments.

More domestic banks have converted their cards into contactless smart cards, such as Techcombank, BIDV, Vietcombank, Kienlongbank and TPBank, among others.

“Cashless transactions benefit both businesses and customers, and these benefits go both ways,” said Dang Tuyet Dung, Visa Country Manager for Vietnam and Laos. “When customers have a better experience, merchants will benefit from increased transactions and shopper loyalty, and when merchants are operating more efficiently and effectively, they can better serve customers.”

“It really is a win-win proposition,” she noted.

TPBank, Vietinbank, and Sacombank allow cash withdrawals using a QR Code at their ATMs, while customers can scan their fingerprints to receive cash at either the ATMs or transaction offices of Eximbank and VietBank without a debit card, an ID card, or a passport.

These technologies make money transfers, cash withdrawals, and payments easier and more secure as they reduce the possibility of card loss, card theft, or data theft, according to Dr Nguyen Tri Hieu, a banking and financial specialist.

When fintech firms began to appear a few years ago, banks viewed them as competitors, Chief Information Officer (CIO) at VietCapitalBank Phan Viet Hai said. Now, they view them as partners to together provide more convenient services for customers.

VietCapitalBank has worked with popular e-wallets such as ZaloPay and AirPay to enable its card holders to make cashless payments at convenience stores like 7-Eleven, Circle K, and others.

Hai also noted that the greatest challenges to the sustainable development of e-wallets and Mobile Money remain in identity verification and security.

Banks must abide by SBV and international rules regarding identity verification to prevent money laundering and protect users’ assets, he said, emphasising the need for a legal framework on identity verification and transaction safety and security./.VNA

Vietnamese Govt to keep pushing for cashless payment

Vietnamese Govt to keep pushing for cashless payment

Non-cash payments have increased sharply in recent time in Viet Nam, but more efforts are needed to increase their rate, experts said.  

Vietnamese shoppers prefer cashless payments

Vietnamese shoppers prefer cashless payments

Transactions via mobile devices recorded a year-on-year surge of 198% in volume and 210% in value last year.

MORE NEWS

Entertainment and cultural events of the week (August 15-21)

Upcoming entertainment and cultural events in Vietnam's major cities on August 15-21.

My, Nghi represent Việt Nam at Simone Asia Pacific Cup

Nguyen Thao My and Ngo Bao Nghi will battle it out for personal and team glory at the inaugural Simone Asia Pacific Cup in Indonesia later this month.

Vietnam stock market remains attractive to foreign investors

Foreign investors net purchased 14.8 million stocks, worth some VND80 billion ($3,42 million) during the week from August 8 – 12, showing that the Vietnamese securities market remained attractive to them.

Vietnamese fruits lose ground to imports, could lose home market

Dislodged from supermarkets, Vietnam’s fruits are being displayed at sidewalk shops and sold by street vendors.

VIETNAM BUSINESS NEWS AUGUST 14

2022 FDI report to focus on green growth, economic structure

First Vietnamese victim in Manchester fire identified through fingerprint

Partial human remains recovered from Bismark House Mill in the UK have been identified, through fingerprint analysis, as Nguyen Van Uoc, according to the Vietnamese Embassy in the UK, citing an announcement on August 12 by Greater Manchester Police.

Vietnam seeks foreign investment in medical devices production

The Vietnamese medical devices market, which is growing annually at more than 18%, relies heavily on imports, representing significant opportunities for foreign businesses, according to the Ho Chi Minh City Medical Equipment Association.

North-South express railway to seek Politburo’s approval

The Ministry of Transport will submit to the Politburo for consideration an investment policy for the construction of a North-South express rail link, which would cost up to 58.71 billion USD, this September.

VIETNAM NEWS HEADLINES AUGUST 14

Trains to increase during National Day holiday

Challenges for supermarket chains

The recent shutdown of multiple Bach Hoa Xanh (BHX) stores has been the talk of the town for the past few weeks. What prompted the leadership of this grocery store chain to come to such a decision despite the considerable growth in total revenue?

Re cakes: Phan Thiet’s specialty sweet treat

Re cake, a specialty of Phan Thiet City, Binh Thuan Province, tastes so delicious that no visitor can resist it.

A new move for open market operations

The State Bank of Vietnam (SBV) has recently made a new move regarding open market operations (OMO). Valuable papers are purchased at a competitive interest rate, instead of a fixed rate as before.

An insight into Vietnam’s indebtedness

National debt, or foreign debt, when reaching an excessive level, often leads to an economic crisis.

Nguyen eyes bigger competition after ASEAN Para Games wins

Tran Van Nguyen stands only 1.27m and has short arms and legs. But he has dominated the top podiums of many competitions.

Vietnam to have national marine spatial plan by 2030

A national marine spatial master plan is being developed, aiming to fuel the sustainable development of marine economic clusters and establish sea-based economic hubs by 2030.
back_to_top