The WB working group is researching and supporting the SBV and relevant agencies to assess the effectiveness and implementation status of the Financial Inclusion Strategy Phase 1 (2021-2025) and propose orientations and recommendations for developing the Financial Inclusion Strategy Phase 2 (2026-2030). They are exploring the reasons why Vietnamemse comsumers prefer cashless payments, why small or micro businesses accept digital payments.
View of the discussion
Dr. Nguyen Quoc Hung has welcomed WB delegation visit and discussed that non-cash payments in Vietnam have recently developed rapidly in terms of technology infrastructure, product diversification, legal framework, safety, convenience, etc. According to NAPAS's report on Vietnam's payment market in 2023: i) The number of non-cash payment transactions reached about 3.5 million billion transactions with a total value of up to 66 million billion VND. ii) Online payment transactions (Ecom) reached about 210 million transactions, an increase of 15% compared to 2022 with a total transaction value of about 150 thousand billion VND. iii) The number of transactions via QR Code will reach about 183 million, an increase of 170% compared to 2022. The total value of transactions via QR Code will reach about 116 trillion VND, an increase of 74% compared to 2022. iv) The number of cards in circulation will be about 146 million cards with total payment turnover in 2023 reaching more than 1.8 million billion VND, an increase of 18% compared to 2022. Also according to a recent survey report by VISA (the world's leading digital payment technology company), about 88% of Vietnamese consumers make cashless payments. The most important reasons attracting Vietnamese consumers to make cashless payments are safety, security of personal information, integration of diverse convenient services and low costs. In short, convenient and fast payment anytime, anywhere, safe and secure, limiting theft, losing money, no need to count money, no risk of counterfeit money, no time wasted looking for money to return, no need to carry a lot of cash; Low cost (save travel costs, transaction time, enjoy promotions, vouchers, refunds, and points); Integrate a variety of convenient services: just use one application to pay for many different services integrated in it. With the Mobile Banking application, consumers can use online payment cards to book movie tickets, pay bills, shop online, book hotel rooms, etc. This also helps them better manage their expenses through a single application...
Reagarding to the participation in digital payments of small or micro businesses entities, Dr. Hung stressed that the implementing digital payment helps business enterprises easily manage, increase sales and ensure high security. According to a recent survey by Visa, 62% of women-owned micro, small and medium-sized enterprises confirmed that their sales increased after accepting digital payment methods; nearly 3/4 of businesses participating in the survey said they accepted digital payment methods, of which 42% allowed card payments. Otherwise, digital payments bring convenience, transaction speed and the ability to easily track payments, creating conditions for businesses to promote cross-border business, thereby significantly expanding the customer base. Digital payments help build business brands on platforms and bring benefits to both businesses and consumers. Digital applications provide new access to capital for small and micro businesses. A typical example is that SmartPay has been providing cashless payment solutions such as SmartQR, SmartPOS, business management solutions such as SmartShop, integrating OPOS sales management software on SmartPOS devices. SmartPay also helps to provide capital for sellers in the form of business loans or promote sales with buy-now-pay-later products, further perfecting the operating process for sellers with SmartBox products.
Talking to the role of VNBA in developing the next phase of the Financial Inclusion Strategy, Dr. Hung stated that in the State Bank's Action Plan on implementing the Comprehensive Financial Strategy, VNBA is assigned the task: "Supporting the improvement of the capacity of credit institutions in risk management, product design and business development to enhance financial resources and human resources to serve the restructuring and transformation of the agricultural sector, focusing on diversifying the income of agricultural producers". In 2024, VNBA has coordinated with international organizations IFC, VINASA to implement activities related to the programs of Green Credit and Sustainable Development such as:
+ In March 2024, VNBA coordinated with IFC to successfully organize the "Green Finance" training program. The training program takes place in a direct format with the participation of managers, professional staff on credit policy, credit appraisal and approval, risk management, corporate finance, and human resource planning of Member Organizations.
+ In May 2024, VNBA coordinated with VINASA to organize the workshop "Green Finance for Sustainable Development". The workshop took place in a direct format with the participation of 102 trainees who are managers, professional staff on credit policy, credit appraisal and approval, risk management, corporate finance, and human resource planning of Member Organizations.
+ VNBA has implemented the e-learning training program "Green Finance" for Techcombank (March - April 2024) with the participation of 485 students and for MB (June - July 2024) with 500 students who are managers, professional staff on credit policy, credit appraisal and approval, risk management, KHDN, KHDNNL. - Plan in the coming time: VNBA will coordinate with WWF to implement activities under the project "Vietnam Industry Sustainable Development Initiative towards the goal of bringing Net Emissions to "0" by 2050 (VISION)". In addition, VNBA will coordinate with IFC to continue implementing "Green Credit and Sustainable Development".
The two-side discussion has also refered to other issues as cross-border payment, open banking and one-way remittance, e-signature...
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