Visa and DealMe have partnered to introduce cross-border card instalment payment services, providing greater payment flexibility to Vietnamese and international consumers. Vietnamese cardholders with locally issued Visa credit cards will soon access real-time instalment offers at leading merchants in South Korea, including duty-free shops, department stores, and medical institutions. The service allows international consumers to use their Visa cards for instalment payments at participating merchants, a previously unavailable option. Eligible cardholders can choose instalment durations and complete payments seamlessly. DealMe will pilot the service in South Korea, before expanding to markets such as Vietnam, the United States, Australia, Japan, and…
Author: Fintech News Vietnam
Vietnam’s Techcombank has announced strong financial results for the fiscal year 2024, with notable growth in profits, customer deposits, and digital innovations. The bank reported a pre-tax profit of VND 27.5 trillion, representing a 20.3% increase year-on-year. Total operating income reached VND 47.0 trillion, up 17.3% compared to the previous year. The robust performance was attributed to successful data-driven offerings such as Auto-earning, Techcombank Rewards, and new merchant solutions. These initiatives helped drive a 27% increase in the bank’s CASA (Current Account Savings Account) balance, reaching an all-time high of nearly VND 231 trillion, with a CASA ratio of 40.9%.…
The Vietnamese central bank has directed two of the country’s leading commercial banks – VPBank and HDBank – to take over their weaker rivals, in a move to fortify the nation’s financial stability. This move is part of a broader effort to overhaul the banking system and address the issue of bad debt, a move deemed crucial for maintaining political and social stability. According to Reuters, Vietnam Prosperity Joint Stock Commercial Bank (VPBank) has been tasked with absorbing GPBank. Similarly, Ho Chi Minh City Development Bank (HDBank) will take over DongA Bank, as confirmed in an official statement from the…
Vietnam’s An Binh Commercial Joint Stock Bank (ABBANK) has launched a new digital banking platform, ABBANK Business, powered by Backbase. The platform aims to enhance banking services for small and medium-sized enterprises (SMEs) in Vietnam, offering a seamless, user-friendly digital experience. Developed using Backbase’s Engagement Banking Platform, ABBANK Business equips SMEs with essential tools for managing finances securely and efficiently. ABBANK successfully migrated 100% of its business banking clients to the new platform within three months, ensuring a seamless transition without disrupting services. Since the launch, 88% of the most active customers have adopted the app as their primary banking…
Vietnam and Laos have officially launched a new framework for settling payments in their local currencies and a cross-border QR code payment system. The initiative, announced at the 47th meeting of the Vietnam-Laos Intergovernmental Committee, aims to boost bilateral trade, investment, and tourism. Vietnamese Prime Minister Pham Minh Chinh and Lao Prime Minister Sonexay Siphandone were present at the launch. The framework, developed jointly by the State Bank of Vietnam and the Bank of the Lao P.D.R., allows businesses and individuals to conduct transactions in Vietnamese Dong or Lao Kip, reducing reliance on foreign currencies and lowering transaction costs. This…
AEON Financial Service, part of Japan’s AEON Group, has acquired Vietnam’s Post and Telecommunication Finance Company (PTF) from SeABank for appoximately US$170 million, DealStreetAsia reported. The deal, valued at 4.3 trillion Vietnamese dong, received approval from the State Bank of Vietnam (SBV), making AEON Financial the sole owner of PTF. The acquisition, finalised over a year after the agreement was signed, aligns with SeABank’s strategy to restructure its capital base. The bank aims to strengthen its financial capacity, invest in technology, and expand its operations following the sale. Established in 1998 as part of the state-owned VNPT, PTF was one…
The financial industry is standing on the brink of a profound transformation. For decades, banks have innovated around functionality—streamlining transactions, expanding access, and introducing digital tools. But the rules of the game have changed. Today, it’s no longer enough to be digital or omnichannel. In this hyper-connected customer-centric era, dominated by Spotify-like immediacy and Netflix-style personalisation, the question is: How deeply do you engage with your customers? Techcombank, Vietnam’s fifth-largest bank in asset size and second-largest private bank, has answered that call with clarity and conviction. In just a few years, they’ve redefined not only their institution but also what…
Payment giant Visa and FPT Corporation, a Vietnamese technology firm, have signed a Memorandum of Understanding (MOU) to advance digital transformation within the government sector. The partnership focuses on modernising government services and improving accessibility, particularly for small and medium-sized enterprises (SMEs). Under the agreement, Visa and FPT will collaborate to enhance the national e-marketplace for procurement, encourage greater SME participation, and improve payment systems. The partnership will also explore innovative ways to digitise municipal services, including initiatives to expand access to finance and equip SMEs with business credit cards for more effective cash flow management. The collaboration aims to…
Cake has become the first digital-only bank in Vietnam to achieve profitability, reaching this milestone 3.5 years after its launch. The digital bank attributes its success to strong growth, with revenue per user increasing threefold since 2023, reaching US$12 in 2024. Cake now serves nearly 5 million customers and processes an average of 400,000 credit applications each month. It has focused on sustainable growth by meeting the needs of its target audience with a wide range of accessible financial products and services. Cake leverages technology, particularly AI, to personalise its offerings and streamline operations. This approach has contributed to a…
Maritime Commercial Joint Stock Bank (MSB) has chosen Backbase’s Engagement Banking Platform to modernise its digital banking services. The bank will work with Backbase and its partner, SmartOSC, to implement the platform and create a unified, customer-centric experience for its 5.4 million retail and 100,000 enterprise customers. This move is part of MSB’s ongoing digital transformation strategy to streamline its offerings and enhance customer service. The Backbase platform will allow MSB to consolidate its in-house applications and provide a seamless digital journey. This includes simplifying onboarding, daily transactions, and product bundling, ultimately enhancing customer engagement and simplifying product management. By…
Cake by VPBank, a Vietnamese digital bank, has collaborated with Visa to launch a cloud-based card management system (CMS). The system, built on Google Cloud infrastructure and using Visa Cloud Connect, integrates with Visa’s global payment network. The CMS aims to enhance payment processing in Vietnam by leveraging cloud infrastructure, allowing for secure and streamlined operations. Visa Cloud Connect enables financial institutions to connect to Visa’s network through the cloud, offering improved scalability, reduced operational costs, and faster market access. Cake is the first issuing bank globally to adopt Visa Cloud Connect on Google Cloud. The platform supports multiple card…
UnionPay International (UPI) and the National Payment Corporation of Vietnam (NAPAS) will enhance their collaboration on cross-border QR code payment interoperability. The partnership will allow Vietnamese bank apps and e-wallets to use UnionPay’s QR payment system on each other’s networks, facilitating seamless transactions across both countries. This partnership is expected to improve payment convenience for Vietnamese travelers in mainland China, enabling them to scan UnionPay QR codes for payments. It also strengthens UnionPay’s service capability for both inbound and outbound payments, benefiting users from both countries. The collaboration follows an earlier MOU, signed in August 2024, between the central banks…
Digital banking software provider Backbase recently concluded its ENGAGE Asia 2024 event in Ho Chi Minh City. The ENGAGE Asia 2024 event focused on the evolving role of AI in banking and customer-centric innovations aimed at driving return on equity (ROE) and advancing the next phase of Banking 4.0. The event highlighted Backbase’s growing presence in Asia, marked by the launch of a global AI Centre of Excellence in Ho Chi Minh City. It also highlighted success stories from banks like Techcombank, EastWest Bank, ABBANK, OCB, and HDFC Bank, showcasing how they are using Backbase’s platform to improve customer engagement…
Commonwealth Bank of Australia (CBA) has announced the sale of approximately 5% of its shares in Vietnam International Commercial Joint Stock Bank (VIB). The transaction, executed on 24 September 2024, is expected to generate gross proceeds of approximately A$160 million (US$ 109.5 million) for CBA. CBA has been a shareholder in VIB since 2010, contributing to its development as a joint-stock commercial bank in Vietnam. While CBA believes in VIB’s further growth potential, the partial divestment aligns with the group’s strategy to focus on its core banking operations in Australia and New Zealand. The sale is expected to marginally improve…
Zalopay, the financial arm of Vietnamese tech giant VNG, is pivoting from an e-wallet to become an open payment platform model, according to DealStreetAsia. This shift will enable Zalopay to offer a wider array of financial services, including lending and investment products, as the e-wallet landscape faces growing competition from mobile banking apps and the VietQR system. With an emphasis on expanding its financial product suite, Zalopay is set to introduce installment payments and quick loans by Q3 2024. CEO Le Lan Chi shared that the platform’s lending portfolio, which includes a Buy Now, Pay Later (BNPL) option in partnership…
The State Bank of Vietnam (SBV) has recently alerted the public about a series of phishing scams involving imposters posing as the central bank. Fraudsters are impersonating the SBV via email, attempting to trick individuals into clicking on phishing links under the guise of updating their biometric information for banking purposes. These deceptive emails often cite the SBV’s Decision No. 2345/QD-NHNN to appear legitimate and urge recipients to update their information before 30 August 2024. They even include a fake email address, “no-reply@sbvgov.site”, and attach the full text of the decision to further enhance their credibility. The SBV has confirmed…
A new report by Reputa, an online reputation monitoring system provided by Viettel, Vietnam’s state-owned telecommunications giant, offers an analysis of the country’s fintech sector and provides rankings of the most reputable fintech companies in Vietnam based on their online reputation and reach. Released on July 16, 2024, the report examines key trends, developments, and prominent players in Vietnam’s fintech industry, drawing on extensive data collected from social media interactions and covering 46 fintech companies. This analysis includes 54,976 discussions from June 1 to June 30, 2024, to provide a robust picture of user sentiments and industry trends for June…
Vietnam’s HDBank has launched its fully digital bank, Vikki Digital Bank, powered by Thought Machine’s Vault Core technology. The new digital bank has already onboarded over 15,000 active users and processes US$50 million in monthly transactions. Vikki Digital Bank, developed by Galaxy FinX in partnership with HDBank, involved collaboration with leading industry partners such as Thought Machine, HyperVerge, Amazon Web Services (AWS), Mastercard, and Genesys. The bank offers a wide range of services including daily banking (current and savings account, debit cards, QR payments, bill payments, term deposits), lending (credit cards, overdrafts), and rewards programmes like Vikki Deals and Vikki…
Digital banking software provider Backbase has launched its first global Center of Excellence (COE) for Artificial Intelligence (AI) in Ho Chi Minh City, Vietnam. The COE, led by Backbase’s Head of AI Chris Shayan, will focus on developing AI solutions to enhance customer engagement and business outcomes in the banking sector. Located near Saigon Center in District 1, the COE will host a team of engineers specialising in web, mobile, backend, AI, and machine learning, and large language models (LLM). This initiative reflects Backbase’s focus on Asia, utilising Vietnam’s growing digital landscape and skilled workforce. Under Shayan’s leadership, the COE…
Vietnam’s Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) has announced a partnership with OpenWay, a payment technology provider, to replace its existing card management and payment systems. This initiative is a significant step in BIDV’s comprehensive digital transformation strategy. OpenWay’s Way4 digital payment software platform will be at the forefront of this upgrade, aimed at enhancing BIDV’s infrastructure and streamlining its operations. The bank plans to overhaul its legacy systems, which are currently bogged down by fragmentation and the complexities of managing various ancillary applications. With the introduction of the Way4 platform, BIDV intends to expedite…