Illustrative image (Photo: Internet) HCM City (VNS/VNA) - Vietnam has seen a digital wave in the finance-bankingindustry, with many lenders investing significantly in digitisation, expertshave said.
The COVID-19 pandemic might have had a severe effect on the economy, but it hashelped accelerate banks’ digitisation, they told.
With many people looking for new options to deal with their financial affairs,digitisation of services and e-payments are becoming crucial, and banks,seizing the trend, have been embarking on the use of technology 4.0 andmodernising their business models.
Digital technologies come with lower costs but offer wider coverage thantraditional models.
The development of internet banking, mobile banking, payment solutions using QRcodes, near-field communication technology (NFC), and advances in biometrictechnology using fingerprints and iris scanning has enabled banks to offer newand convenient products and services to customers, helping them achievesustainable growth thanks to an increase in revenues from services andgradually reduction in dependence on lending.
The Joint Stock Commercial Bank for Foreign Trade Vietnam (Vietcombank)launched its new digital bank service, VCB Digibank, last month integrating itsonline trading platforms.
Dao Minh Tuan, the lender’s general director, said digital transformation hasbeen identified as a key growth driver, and the bank is hastening the digitaltransformation process.
“We hope VCB Digibank will bring a new experience to and help millions of ourcustomers enjoy convenience in every transaction with Vietcombank.”
The service has been developed based on a combination of internet and mobilebanking platforms to provide a unified experience for customers.
The Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank) andHousing Development Bank (HDBank) are also investing a lot of money intodigitisation.
According to a survey last year by auditing firm PwC Vietnam, Vietnam was amongthe countries with the fastest rate of growth in mobile payments. The number ofusers had seen a sharp increase to 61 percent from just 37 percent the yearbefore.
The country now has 70 credit institutions and payment intermediaries likee-wallets providing payment services online and through phone apps.
But there are still obstacles like the Vietnamese habit of using cash.
This is biggest barrier to digital banking development and there is a need tochange people's mindsets, according to Pham Tien Dung, director of the StateBank of Vietnam’s payment department.
The central bank recently announced the electronic Know Your Customer, or eKYC,for opening accounts online.
Banks must improve the customer experience to make them satisfied with theirproducts and services, Dung said./.
The COVID-19 pandemic might have had a severe effect on the economy, but it hashelped accelerate banks’ digitisation, they told.
With many people looking for new options to deal with their financial affairs,digitisation of services and e-payments are becoming crucial, and banks,seizing the trend, have been embarking on the use of technology 4.0 andmodernising their business models.
Digital technologies come with lower costs but offer wider coverage thantraditional models.
The development of internet banking, mobile banking, payment solutions using QRcodes, near-field communication technology (NFC), and advances in biometrictechnology using fingerprints and iris scanning has enabled banks to offer newand convenient products and services to customers, helping them achievesustainable growth thanks to an increase in revenues from services andgradually reduction in dependence on lending.
The Joint Stock Commercial Bank for Foreign Trade Vietnam (Vietcombank)launched its new digital bank service, VCB Digibank, last month integrating itsonline trading platforms.
Dao Minh Tuan, the lender’s general director, said digital transformation hasbeen identified as a key growth driver, and the bank is hastening the digitaltransformation process.
“We hope VCB Digibank will bring a new experience to and help millions of ourcustomers enjoy convenience in every transaction with Vietcombank.”
The service has been developed based on a combination of internet and mobilebanking platforms to provide a unified experience for customers.
The Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank) andHousing Development Bank (HDBank) are also investing a lot of money intodigitisation.
According to a survey last year by auditing firm PwC Vietnam, Vietnam was amongthe countries with the fastest rate of growth in mobile payments. The number ofusers had seen a sharp increase to 61 percent from just 37 percent the yearbefore.
The country now has 70 credit institutions and payment intermediaries likee-wallets providing payment services online and through phone apps.
But there are still obstacles like the Vietnamese habit of using cash.
This is biggest barrier to digital banking development and there is a need tochange people's mindsets, according to Pham Tien Dung, director of the StateBank of Vietnam’s payment department.
The central bank recently announced the electronic Know Your Customer, or eKYC,for opening accounts online.
Banks must improve the customer experience to make them satisfied with theirproducts and services, Dung said./.
VNA
