The Vietnam Bank Card Association, in collaboration with the National Payment Corporation of Vietnam (NAPAS) and 7 commercial banks, launched the first domestic chip cards on May 28.

Illustrative image (Source: internet)

The 7 banks involved in the scheme are Vietcombank, Vietinbank, BIDV, Agribank, Sacombank, TPBank and ABBank. 

Deputy Governor of the State Bank of Vietnam Nguyen Kim Anh said the switch from magnetic strip cards to chip cards is one of the key solutions to promote non-cash payment. 

He noted that this is also an inevitable trend in the region and the world in the context of rising hi-tech crimes.

Vietnam currently has about 76 million cards issued by 48 banks. The chip cards are believed to help reduce risks on card-related crimes and increase payment safety for customers. 

The SBV plans to have at least 30 percent of active cards in the country meeting the domestic chip card standards by the end of 2020. The number will rise to 60 percent by the end of 2021 and 100 percent by the end of 2022.