The initiative aims to make cross-border transactions faster, more transparent and cost-efficient, and assure benefits and obligations of consumers.
The State Bank of Vietnam on August 25 signed a Memorandum of Understanding (MoU) with the central banks of five other ASEAN nations to join the Regional Payment Connectivity (RPC) initiative.
Pham Thanh Ha, Deputy Governor of the State Bank of Vietnam (third, right), at the Regional Payment Connectivity signing ceremony on August 25. Photo: The Hanoi Times |
The signing ceremony was part of the 10th Meeting of the ASEAN Finance Ministers and Central Bank Governors (AFMGM) held in Jakarta, Indonesia.
The five other ASEAN central banks that created the initiative are Thailand, Indonesia, Malaysia, Singapore, and the Philippines. Vietnam is the sixth member state of the initiative.
Their agreement was reached on November 14, 2022, on the sideline of the G20 Summit in Bali, Indonesia.
The initiative aims to make cross-border transactions faster, more transparent and cost-efficient, and assure benefits and obligations of consumers.
Under the MoU, central banks will foster the regional payment network through the use of QR codes, quick payment and other tools.
The central banks will also cooperate in developing a proper risk-hedging mechanism through talks, discussions and information exchanges.
Up to now, the member states of the initiative have established nine bilateral agreements in using QR codes for cross-border transactions. They are working to develop 10 more.
In wire transfer, the regional nations have operated three connections and are working on five new ones.
Deputy Governor Pham Thanh Ha said the State Bank of Vietnam commits to deeper regional integration and cooperation in electronic payment, which suits the idea of the Vietnamese Government to foster cross-border payment associations.
The initiative will mean a big step forward for the ASEAN nations to strengthen their presence in the global financial market.
Current member states of the initiative will encourage other nations to join them, to not only bolster the regional payment network but also tap into other markets in the world.
The RPC initiative will also enhance Vietnam’s international trade and economic cooperation, thus hastening its socio-economic growth in the post-pandemic stage.
Other News
- 3,400 taels of gold purchased at the first-in-11-year auction
- HoSE to launch KRX-developed transaction system in early May
- Central bank moves gold auction to tomorrow
- Vietnam’s c.bank sells USD to stabilize exchange rate
- Central bank to auction gold to calm domestic market
- Vietnam's Central Bank ready to steady foreign exchange market
- Finance ministry clears bottlenecks to pave way for stock market upgrade
- Over 60% of Vietnamese use QR codes to pay
- Casinos contribute US$370 million to state budget over 5 years
- Standard Chartered and IATA partner to launch IATA Pay in Vietnam
Trending
-
Hanoi flowers on postage stamps
-
Hanoi Times Podcast - Apr. 27
-
Cooperation and investment: key to effective tourism promotion in Vietnam
-
Affordable, quality tours offered at Hanoi Tourism Festival 2024
-
Introduction of community tourism area in Hanoi herb kingdom
-
Capital Law revision helps Hanoi promote role as nation’s socio-economic hub
-
IT training urged to focus on semiconductors
-
Voluntary social security should cover larger part of informal sector: Experts
-
ASEAN Future Forum 2024: Promoting regional centrality