The Vietnam E – Payment Forum 2016 was hosted in Ha Noi on November 24, 2016 by the State Bank of Vietnam (SBV) and the local news site VnExpress. The Forum was attended by Deputy Prime Minister Mr. Vu Duc Dam, SBV Deputy Governor Nguyen Kim Anh and representatives from Ministries, the State bank of Vietnam (SBV), banking associations and enterprises, and the e – commerce and IT sectors.
Speaking at the Forum, Deputy Prime Minister Mr. Vu Duc Dam spoke about the importance of the topic and themes of the VEPF 2016 and commended it for its perfect cohesion with CEPF 2015 and the new concepts of VEPF 2016, which are attracting the interest of the wider public and financial community. He said that although the country's e-commerce market had developed rapidly in recent years, cash payments still made up 65% of total sales. “In other developed countries, e-payments account for 90% of the total which has boosted their gross domestic product (GDP) grow by an extra 1%,” Dam said, referring to the important role of e-payments in the economy.
Deputy Prime Minister Vu Duc Dam spoke at VEPF
VEPF focused on 3 main issues: an assessment of the first year of implementation of the cooperative agreement which was signed at VEPF 2015 between the SBV, Ministry of Finance (MOF) and Ministry of Industry and trade (MOIT); the acceleration of e – payments in the transport sector and the possibility of the interconnection of this sector with other payment services; and the opportunities and challenges that the 'fintech wave' presents to Vietnam's banking and financial system.
Mr Bui Quang Tien, General Director of Payment Department of the SBV had a presentation at the Forum
The Deputy Prime Minister emphasised the importance of effective collaboration between related ministries and entities in formulating policies and regulations to encourage the reduction of cash payments and the increase of e-payment systems, contributing to GDP growth. In addition, ministries are also required to inform and spread awareness of the various new e-payment systems in order to successfully carry out the set objectives of improving access to banking and financial services as stipulated in Decision No.1276/QĐ-TTg of the Prime Minister, dated September 5, 2016.
Mr Nguyen Toan Thang, General Secratery of Vietnam Banks Assosiation at Session 1
Assessing the results of the implementation of the cooperative agreement signed at VEPF 2015 between the SBV, MOF and MOIT, Deputy Governor Nguyen Kim Anh affirmed that the SBV had made great efforts to improve the infrastructure of a national e-payment system. In close collaboration with other ministries to implement the agreement, the SBV has issued a number of policies, regulations on payment activities and management; has proposed a range of solutions to boost e-payments in retail and electronic commerce; has actively collaborated with other ministries to implement electronic tax collection and proposed integrated methods for e-public administration services towards setting up an easy and safe inclusive banking services.
Mr Truong Gia Binh, Chairman of the Board of FPT at Session 2
Mr Dominic Scriven, Chairman of the Board of Dragon Capital at Session 3
Meanwhile, it is a fact that e-payments made up a mere 5% of the US$3 billion in online sales last year, although many more points-of-sale (POS) have been made available. Proposals and ideas were put forward at the Forum which mainly focused on legal regulation around e-payments, technical infrastructure and the necessity for more widely-available information in order to boost e-payments in Vietnam. Several speakers urged the Government to formulate regulations and create roadmaps to be compulsorily implemented for transportation fee collections and public transportation services in urban areas. It was also suggested that it would be necessary to formulate legal documents for the management of operations and create an favorable environment for 'fintech' companies and their development in order to accelerate the safe and stable development of the sector, and to protect the legal rights and benefits of customers. It was also proposed that the MOF, MOIT and SBV continue to push the implementation of the cooperative agreement signed at VEPF 2015, and to carry out the scheme for the calculation and collection of fees from public services such as tax, electricity, water, tuition fees and hospital bills via bank accounts.
Huong Vu