Covid-19 outbreak urges cashless payment development

15-Feb-2020 Intellasia | Nguoi lao dong | 6:02 AM Print This Post

The new strain of coronavirus (Covid-19) caused acute respiratory infection spread through normal contact, so cash could become a source of infection if someone was infected and transmitted the virus to cash through contact, most were with the habit of using cash up to 90 percent of the population in Vietnam today.

Eat at home, pay online

Over the past week, since the time Mai Thanh’s two daughters (living in District 9, HCM City) were absent from school at home to avoid epidemics, her family prioritised playing around the house, limiting travel outside so they should receive food delivery, online shopping more.

From food for the whole family, toys, and story books for children to handwashing water, masks, most of them were ordered online. After ordering, Mai Thanh chose to pay via account or e-wallet. She did not go to crowded places, nor use cash, so not to worry about getting infected, Mai Thanh said.

Similarly, because of the fear of crowded people who might be infected with Covid-19, N. (working in District Three, Hochiminh City) switched to ordering via the app instead of going out for lunch. Not only did she restrict going out, but colleagues and agencies all went home to eat or order food, N. said.

As noted, this season, urban consumers also tended to increase online shopping on e-commerce websites with many items from medical masks, handwashing liquid to household appliances, essential equipment, and so on. Some office workers were also racing to install e-wallets or applications of Moblie Banking, Internet Banking to limit contact and limit cash use.

According to a quick survey from GoViet, the number of customers coming to restaurants had dropped sharply from 30 percent to 50 percent in the past two weeks, especially in restaurants near the school area. In return, within just one week (from February 2 to February 9), a total of more than 650,000 orders were placed through GoFood with the number of orders increasing steadily every day.

Grab’s representative also noted steady growth in all online services in the Vietnam market since the government announced the Covid-19 epidemic. To prevent disease, Grab regularly recommended to its restaurant partners some additional measures to ensure safety when preparing and delivering food to help customers feel secure when ordering through the app.

Encourage online payment

Nguyen Ba Diep, vice President, co-founder of MoMo wallet, recommended that users should turn to electronic transactions to limit direct contact with objects containing viruses such as cash. MoMo wallet had now integrated a series of services to meet the payment fully need of 24/7 for daily utilities.

The statistics of MoMo wallet since the Lunar New Year so far showed that the transfer of money (excluding lucky money programme) via wallets increased by two times; payment transactions at the counter (scan the payment code) also increased by 100 percent compared to the time before Tet.

Many commercial banks also encouraged customers to pay electronically, promoted payment channels through digital banks to prevent Covid-19. The representative of Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) said that with digital banking services, customers could make all transactions with only one electronic device connected to the network. All operations could be done online such as balance inquiry, bank transfer, deposit transaction or payment of family bills. Digital bank users who needed to stay home could still access financial services such as savings, loans, etc.

In addition to equipping a medical mask, disinfectant hand sanitiser at all transaction points to prevent diseases also encouraged customers to use utilities on electronic banking products to do transactions ( Open Banking, Internet Banking, Mobile Banking, and so on). The representative of this bank emphasized that using electronic banking services would help customers to transact anytime, anywhere, 24/7 without using banks, contributing to limit Covid-19 spread.

According to Nguyen Minh Tam, deputy general director of Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank), since the Tet holiday to date, payment at the counter had been slower than the same period due to the influence of Covid-19. Meanwhile, payment through non-cash channels such as ATM, Internet Banking, Mobile Banking, Sacombank Pay, increased by about 50 percent over the same period when the demand for personal payment was on the rise.

Online payment via electronic banking channels was more and more popular, more convenient, so users preferred to respond to Covid-19, Nguyen Minh Tam commented. When customers did not want to contact crowded places, prevent spread, but the transactions with banks, payment of goods and services were still taking place, which was an opportunity for electronic payment to the throne.

Economic experts also recommended that people should gradually switch to digital payment mode, e-commerce to minimise the risk of exposure to germs during the complicated stage of the Covid-19 epidemic. To encourage customers to do online transactions, some banks continued to maintain the policy of no registration fee, service maintenance fee via Moblie Banking, Internet Banking, etc.


Category: Finance, Vietnam

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