Financial Inclusion and Economic Empowerment for the Low-Income Population and Women
Although 72 per cent of Vietnamese adults have smart phones, many don’t use them for digital financial transactions. Cash transactions remain a popular payment method. To help improve affordable mobile banking access for Vietnam’s low-income communities, a BPP partnership between the Australian Government, Mastercard, The Asia Foundation and The Vietnam Bank for Social Policies (VBSP) is digitising essetential banking services and growing VBSP’s customer base.
The partnership’s phase one ran from 2016 – 2018, while phase two commenced in 2019 and will continue until 2021. Phase one exceeded planned targets, reaching 5.1 million clients (51 per cent of whom were women) across 63 VBSP branches with SMS banking notifications. Notifications included alerts for services like repayment schedules and monthly account balances.
The partnership continues to retain a strong focus on women’s empowerment. With the introduction of new mobile banking technologies and SMS notifications, female clients reported being able to better manage their household finances and their businesses. The partnership is now developing a mobile banking platform and prioritizing female access and financial literacy training. It is expected that more than 2,000 people will adopt the mobile banking platform by the end of 2021, while 51,000 people will benefit from the financial literacy training.
Read more insights and results in the Vietnam Impact Report.