Bank card market sees strong growth

Khanh Hoa (VNA) - The bank card market in Vietnam has seen remarkable development in all activities of issuance, payment, card usage, and network growth over the past few years.

The Vietnam Bank Card Association (VBCA) told the annual bank card conference 2016 held in the southern Khanh Hoa Province last week that domestic cards always accounted for 90 percent of the total issuance in the market.

By the end of last year, the market has 40 out of a total 51 banks in the country issuing more than 81.85 million cards of which most were credit cards. The number of prepaid credit cards issued by 14 banks was over two million. More than 256,000 local credit cards were also issued in the market.

More than 9.24 million of international debit cards were issued last year, posting 16.23 percent from the previous year.

The card payment turnover has also seen continuous development. In 2015, the turnover was 1.68 quadrillion VND, increasing 88 percent from that of 724 trillion VND in 2011.

The transactions through ATM cards saw slight increase as banks have focused on installing Point of Sale (POS).

By the end of 2015, the market had 16,573 ATMs and 217,470 POS, posting an increase of 23 percent and 181 percent respectively in comparison with those of 2011.

Speaking at the ceremony, Dao Minh Tuan, VBCA Chairman said over the past 20 years of development, the association has supported its members while limiting unhealthy competition, contributing to the sustainable development of commercial banks. In addition, the association has contributed to the development of non-cash payments according to the government and the State Bank of Vietnams rules.-VNA