Mobile transactions in Vietnam are predicted to grow fast in the near future (Photo: CellphoneS)

The report also noted that 25 percent of banks in Vietnam will actively pursue modern digital core platforms, while the top eight banks will use intelligent automation in account origination, with 50 percent growth in new accounts.

Riddhi Dutta, Regional Sales Head for ASEAN & India at Backbase, said that banks in Vietnam are pouring capital into digital platforms to boost growth.

Small banks, he predicted, will gain more success in digital banking.

The State Bank of Vietnam has played an important role in the development of fintech companies and the digital banking sector, with the number of fintech firms increasing from 40 to 150 over the past four years.

Dutta said the central bank has built a specific plan of action to carry out the banking development strategy by 2025, which focuses on intensifying non-cash payments.

He also hailed the bank’s efforts to improve the quality of human resources in the banking sector.

Backbase provides the leading digital-first banking platform that empowers banks and other financial institutions to accelerate their digital transformation.

Mobile money project to be submitted to the Government this month

Telecommunications providers like VNPT, Viettel and MobiFone will join in the payment market.

Vietnam soon implementing mobile money

The State Bank of Vietnam is is urgently working with relevant ministries to finalise the pilot programme of utilising telephone subscription accounts to make small payments, or mobile money.