Vietnam a strategic market for Mastercard in Asia Pacific: exec

Vietnam, known for its rapid progress in expanding financial access and digital payment, is a strategic market for Mastercard in the Asia-Pacific region.

Timothy Murphy, the company's vice chairman, made the statement at a Wednesday meeting with State Bank of Vietnam (SBV) Deputy Governor Pham Tien Dung in Hanoi.

Murphy highlighted four areas of future cooperation. First, payment security: achieving 100% tokenization and authorization in Vietnam’s card market by 2030.

Second, real-time payments: sharing global expertise in fraud prevention for account-to-account transactions. Third, cross-border data flows: collaborating with regulators to ensure effective fraud prevention while complying with Vietnam’s cybersecurity framework.

Fourth, technological innovation: supporting adoption of ISO 20022, digital assets integration, AI-powered payment solutions, and next-generation real-time payment systems.

Mastercard also proposed a co-branded e-wallet-card solution enabling seamless payments for both international tourists in Vietnam and Vietnamese travelers abroad - a step toward deeper financial connectivity.

In response, Deputy Governor Pham Tien Dung expressed his appreciation for Mastercard’s long-standing partnership with the SBV, especially in supporting the National Non-Cash Payment Scheme and the Financial Inclusion Strategy.

He noted that people are at the center of the SBV’s payment system development, with a focus on accessibility, affordability, and safety for all, including vulnerable groups.

Vietnam has made significant progress in financial inclusion with adult account ownership having surged from 30% to 87%. Policies enabling e-wallets and bank cards through electronic Know-Your-Customer (eKYC) have been pivotal.

To further safeguard users, Vietnam introduced biometric authentication for high-value transactions in 2024 and continues to align security standards with global best practices.

Dung emphasized the SBV’s cautious but forward-looking approach to innovative financial models, balancing innovation with stability and compliance with global anti-money laundering and counter-terrorism standards.

He noted the establishment of Vietnam’s International Financial Center (IFC) as a milestone for positioning the country as a competitive regional hub.

Murphy expressed strong confidence in the potential of Vietnam’s 100-million-strong market and pledged Mastercard’s continued investment in building a secure, inclusive, and innovative payment ecosystem.