Vietnam’s banks urged to go hi-technology
HANOI: Speaking at the opening ceremony of Vietnam 2010 Banking conference and exhibition in Ho Chi Minh City, Nguyen Van Giau, Governor of the State Bank of Vietnam (SBV), said: "Developing more useful banking services, widening the use of the new Point of Sale (POS) for plastic money, and seeking more idle capital in rural areas are new trends in the banking industry."
Other experts spoke on ways to push up non-cash payment in Viet Nam, encouraging Vietnamese consumers to adopt the new POS plastic money system for shopping.
In a recent survey carried out by the State Bank of Vietnam's HCM City branch, 70 per cent of banks said they needed better technology infrastructure for linking the POS machine with other partners. "The success of POS would depend mainly on the service owners, especially if they don't want banks to have records of their sales transactions so as to avoid paying more taxes," said Bui Quang Tien, director of SBV's Payment Department.
High POS fees between banks and the cost of promoting the service were also slowing the uptake of transactions using the machines. "Vietnam's high growth rate, deeper financial integration, high ratio of youth population, and improved living standards as well as the high ability to use technology will boost POS use in the near future," Tien said. The nation's banking sector took one major stop towards promoting non-cash payments by connecting the POS system between banks in Ho Chi Minh City yesterday. Hanoi had established a similar link in September.
Representatives of several banks said they were paying attention to developing other non-cash payment services like mobile banking, internet banking and home banking. -PB News