Transaction limits for e-wallets should be set at appropriate levels to encourage cashless payment amidst an anticipated boom of e-commerce in Vietnam, experts have said.

Under a draft circular about intermediary payment services the State Bank of Vietnam recently made public, e-wallet daily transaction limits were set at 20 million VND (850 USD) for individuals and 100 million VND for organisations. The monthly transaction limits were set at 100 million VND and 500 million VND, respectively.

Experts said that setting daily and monthly transaction limits for e-wallets aimed to prevent them being used for illegal purposes like tax evasion or money laundering.

However, economists argued setting inappropriate monthly transaction limits would hinder the development of e-payment, adding that the limit for individuals should be increased to 150 million-200 million VND.

E-payment has significant potential in Vietnam, given the country’s young population, high rate of smartphone users (55 percent) and rapidly growing e-commerce segment./.