Vietnam sees ebullient growth in digital banking, payment channel: UOB report

At the event to launch the “ASEAN Consumer Sentiment Study" on November 1

Every four among five consumers use e-wallet at least once a week and introduce the wallet to others. Momo was the most used e-wallet by Vietnamese, followed by ZaloPay and VNPay.

There is an increasing preference for digital banking and new payment modes such as mobile banking apps, e-wallets and QR code-based payments among Vietnamese consumers. (Photo: VNA)

Regarding the sentiment of the Vietnamese consumers, Paul Kim said strong economic growth has made them feel more upbeat about the current and future economic situation in the country.

Although rising inflation and increased expenses have fueled fears of an economic downturn across ASEAN, consumers in the region have given a warm welcome for a new era of digitalisation.

The UOB expert said Vietnamese consumers are more upbeat about the financial future than those in other countries. Some 76% of the respondents expect to be better off in June next year, while the figures in Indonesia and Thailand are 74% and 68%.

The report also said that eight out of 10 Vietnamese consumers are concerned about their finances. They are most worried about not being able to save, afford essential items, maintain their current lifestyle, and take care of their parents’ financial and healthcare needs. Therefore, they are more cautious about their investment.

Meanwhile, II Dong Kwon, the Vietnam lead at Boston Consulting Group, highlighted that with the boom of the Internet, Vietnam has posted a dramatic increase in online shopping and e-commerce which experience an annual growth of 41% in the past three years.

Online payment has surged as a result, he said, adding the trend will maintain and grow stronger in the time ahead.