New Delhi, May 29 (IANS). A major step has been taken towards strengthening digital payments and financial innovation between India and Vietnam. The Reserve Bank of India (RBI) and the State Bank of Vietnam (SBV) signed an important Memorandum of Understanding (MoU) on May 5, 2026, which aims to enhance digital payment systems, financial innovation and cross-border payment cooperation between the two countries, an official statement said on Friday.
According to the official statement, this agreement was implemented after receiving the approval of the Union Cabinet, under which India and Vietnam will work towards connecting QR code-based merchant payment system, which will make transactions between the two countries easier and faster.
This agreement between RBI and SBV will create a comprehensive framework for cooperation in the field of financial innovation and digital payments. Under this, information related to new technologies, digital payment systems, regulatory framework and emerging market trends will be shared between the two countries.
The agreement also provides for possible joint projects and programmes. This will especially focus on developing cross-border QR code-based payment system, so that the payment process between India and Vietnam can be made more convenient.
This initiative is also expected to provide major benefits to trade and tourism between the two countries. The government believes that after the implementation of the new system, cross border payments will be more transparent, faster and less expensive than before.
While making payment through this, customers will get information about the charges in advance and will also get the facility of real-time transaction. This can provide new export opportunities to Indian businessmen and the economic relations between the two countries will be further strengthened.
This agreement is also considered important towards establishing India as a global fintech hub. RBI says that increasing digital payment connectivity will give new recognition to India’s technical capability and digital financial services at the international level.
The agreement was signed by the Deputy Governor of RBI and the Deputy Governor of State Bank of Vietnam.
According to the government, this MoU is primarily a regulatory cooperation framework, the objective of which is to ensure fast and secure financial transactions between the two countries. Under this, arrangements for cooperation and information exchange will be made in areas like fast payment system, messaging system and card switch network.
–IANS
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