On June 21, 2024, the State Bank of Vietnam (SBV) organized a Conference to disseminate information of Decree No. 52/ND-CP dated May 15, 2024 of the Government on non-cash payment. The Conference was held in hybrid format and virtually connected with the SBV municipal and provincial branches.
Deputy Governor Pham Tien Dzung speaks at the Conference
The Conference was chaired by SBV Deputy Governor Pham Tien Dzung, with participants from the SBV entities, the SBV municipal and provincial branches, Vietnam’s Banking Association, payment service providers, etc.
Delivering his opening speech, Deputy Governor Pham Tien Dzung said that, on May 15, 2024, the Government had issued Decree No. 52/2024/ND-CP on non-cash payment. This Decree takes effect from July 1, 2024, and shall replace Decree No. 101/2012/ND-CP. The SBV Deputy Governor acknowledged and complimented the SBV Payment Department’s efforts and the close coordination of all relevant units in the formulation of this Decree.
The Deputy Governor emphasized that the Conference was a much needed opportunity to disseminate the contents of Decree No. 52/2024/ND-CP, ensuring that all subjects of application as stipulated in the Decree, including the payment service providers, payment intermediary service providers, organizations and individuals using payment services, etc. to understand the new contents in Decree No. 52/2024/ND-CP, contributing to ensure the transparency and the legality of non-cash payment operations.
Mr. Pham Anh Tuan, Director General of the SBV Payment Department, speaks at the Conference
Introducing the new contents in Decree No. 52/2024/ND-CP, Mr. Pham Anh Tuan, Director General of the SBV Payment Department shared that the Decree is structured with 7 Chapters, 38 Articles based on the principle of alignment with the Constitution, the provisions of laws, Vietnam’s international commitments, etc., including the certain regulations institutionalizing some new policies, specially as follows:
Supplementing additional regulations on e-money: the Decree supplements additional regulations on e-money, with new definition and clarifications of the nature of e-money (Article 3); the forms of e-money permitted to be used in payment activities, including e-wallets and prepaid cards (Article 6); e-money providers, including: banks, foreign bank branches, etc.
Supplementing additional regulations on international payment: The Decree supplements additional regulations clarifying the concept of international payment, international payment systems (Article 3); the SBV’s State management role related to international payment (Article 4),…
The regulations on international payment in Decree No. 52/2024/ND-CP aim to enhance the management role of the authorities in international payment activities, and to promote the cooperation models in providing cross-border payment services.
Revising and supplementing regulations on opening and using payment accounts (Articles 9-16): the new Decree revises and and supplements a number of related substances to be more suitable to the practical situation, including regulations on opening and using payment accounts; authorizing the use of payment accounts; blocking payment accounts, etc.
Supplementing additional regulations on the provision of payment services without using customers' payment accounts by public service providers (Articles 18-20): the new Decree supplements additional regulations on the provision of payment services without using customers' payment accounts in order to be aligned with the 2024 Law on Credit Institutions and the 2020 Law on Investment.
Revising and supplementing regulations on the provision of payment services: The new Decree revises and supplements a number of relevant regulations to ensure compatibility with the practical situation and to create favorable conditions for the payment service providers.
According to Mr. Pham Anh Tuan, in order to effectively implement Decree No. 52/2024/ND-CP, which takes effect from July 1, 2024, the SBV entities, the SBV municipal and provincial branches, the credit institutions, and the payment service providers need to implement the following solutions:
The SBV entities need to improve the legal framework to create more favorable conditions for the development of non-cash payment.
The payment service providers, the payment intermediary service providers need to urgently review their systems of internal regulations in order to ensure conformity with Decree No. 52/2024/ND-CP. It is also necessary to disseminate information to all of their staff and employees so that they can understand the new substances of Decree No. 52/2024/ND-CP.
The SBV municipal and provincial branches need to coordinate with the SBV, the payment service providers and payment intermediary service providers to organize communication programs to disseminate the information in the Decree to all businesses, organizations, individuals in their areas.
The participants at the Conference
Mr. Pham Anh Tuan believed that the implementation of Decree No. 52/2024/ND-CP would create more favorable conditions for the payment activities, and the banking system in Vietnam would continue to strengthen the achieved results over the past time, promote the digital transformation and non-cash payment in the context of rapid development of the information technology (IT) and the Fourth Industrial Revolution.
HY