State Bank assigned to research national digital currency

The Government has just issued Decision No. 1813/QD-TTg approving the project to develop non-cash payments in Vietnam for the period 2021-2025.

According to the project, the State Bank of Vietnam (SBV) was assigned by the Prime Minister to preside over research and propose mechanisms and policies on national digital currency during this period. The Ministry of Justice and relevant ministries and branches will coordinate with the State Bank.

In addition, the State Bank of Vietnam is also assigned to complete the construction of a controlled testing mechanism for financial technology (Fintech) activities in the banking sector.

Headquarters of the State Bank in Hanoi.

According to the decision, perfecting the legal framework, mechanisms and policies is one of the solutions to develop non-cash payments. In addition to amending and supplementing provisions in current laws, research and proposal of mechanisms for national digital currency are also proposed.

To promote modern payment services, the Government's decision states that it is necessary to develop new payment products and services, and types of mobile payments such as QR Code, mobile payments, contactless payments, and e-wallets.

Along with that, payment services using telecommunication accounts (mobile money) are also considered a solution to help take advantage of infrastructure, data, and telecommunication networks to expand cashless payments to remote, border, and island areas.

According to the government's decision, the Ministry of Information and Communications is assigned to preside over reviewing, proposing amendments and supplements to the Law on Electronic Transactions and guiding documents, including regulations on ensuring security and safety in electronic transactions; as well as developing regulations on electronic identification and authentication.

Currently, Vietnam still does not have an official concept of national digital currency, also known as central bank digital currency (CBDC). In the world, a number of countries have researched and tested the digital version of fiat money, issued by central banks, including China, Sweden, Russia, France...

According to VOV