Mobile money services will be promoted in Vietnam, with priority given to regions where the prevalence of banking services is still low.

Vietnam strives to gain 80% of its population having an e-payment account and attain the rate of e-commerce payments of 50% by 2025.

These are the targets set out in the Prime Minister's Draft Decision on the National Strategy for Digital Economy and Society Development to 2025, with a vision to 2030 which is under public consultation.

QR Code is one of the popular cashless payment methods to be used among Vietnamese people. Photo: Napas

This draft decision is aimed at developing digital infrastructure, digital data, digital identity, digital payment, digital skills, digital human resources, creating the foundation for the development of the digital economy and digital society.

According to the draft, 75% of electricity and water payment will be cashless and 90% of the points of sale will apply non-cash payment methods.  

The draft also targets 90% of Vietnam’s population who will buy goods on e-commerce platforms. Those who are capable of using basic digital skills will make up about 70%. At least 50% of farmers are trained in basic digital skills. Meanwhile, 100% of high-school students and students are equipped with digital skills. 

By 2025, 70% of the population will have a digital identity for use in all digital services.  Each digital identity will be used on average 100 times per year.

The draft sets out the development of 5G and next-generation mobile network infrastructure, commercialize 5G mobile networks, and universalize smartphones by 100%. The rate of universalization of 4G/5G mobile broadband network services will reach 100% and fiber optic broadband network infrastructure will cover 100% of households.

To achieve the goals, the Ministry of Information and Communications proposed to review and amend financial regulations and policies, fees, and charges in the direction of eliminating cashless payment barriers in order to encourage people to make cashless transactions.

The ministry will submit to the Prime Minister for approval and carry out the Cashless Payment Development Program in Vietnam in the 2021-2025 period.

A program to promote mobile money services will be implemented, with priority given to regions where the prevalence of banking services is still low. 

According to the State Bank of Vietnam, in the first quarter of 2021, the country recorded 156.2 million internet transactions with VND8.1 trillion (US$355.3 million), rising 28.4% in value. 

In the same period, 395 million transactions were carried out via mobile phone with a total value of more than VND4.6 trillion ($201.8 million), an increase of 103% and 5.3 million transactions through QR code with nearly VND4.5 trillion ($197.5 million), up 146% in value.

Reference: http://hanoitimes.vn/vietnam-to-open-e-payment-for-80-of-population-by-2025-318297.html