Vietbank to revolutionise Ho Chi Minh City bus payments
Vietbank to revolutionise Ho Chi Minh City bus payments
Vietbank, in partnership with Vidiva Technology JSC and Mastercard, unveiled its strategy to expand the EMV Open-Loop payment system for city buses in Ho Chi Minh City on June 5, signifying an intention to enhance the experience of the city's public transportation for passengers
The EMV Open-Loop payment system allows passengers to conveniently use their existing bank cards or e-wallets to pay for bus fares, eliminating the need for cash or specialised cards or tickets designed solely for the bus system.
This flexible and modern payment method meets the demands of both the residents and tourists who use public bus services in Ho Chi Minh City. It has already been successfully implemented in numerous countries worldwide, including the United Kingdom, Singapore, Australia, and the United States.
Since 2019, Vietbank has been conducting a pilot project for automated payment on public buses with the authorisation of the Ho Chi Minh City People's Committee. In collaboration with Vidiva Technology JSC and Mastercard, Vietbank is aiming to revolutionise the commuting experience for the cities' residents.
The project will be implemented without utilising state funds, and the participating parties anticipate that it will incentivise passengers to use public transport, thereby reducing traffic congestion and accidents. Additionally, this deployment will serve as a foundation for the city to gather pertinent data and establish a comprehensive smart card ticketing system for the entire urban area.
In the initial phase of the project, passengers can pay for bus fares using the Mastercard virtual card on the Ting e-wallet provided by Vidiva. Passengers eligible for fare concessions, such as students, only need to register once with the Public Transport Management Center's application to receive direct fare reductions when making payments using the Ting e-wallet.
Subsequently, the project will expand to accept all Mastercard cards issued by banks in the local market and internationally.
This innovative payment system eliminates the necessity of carrying cash or visiting bus ticketing points, resulting in time savings and an enhanced overall experience for public bus users. Moreover, it assists public transportation operators in optimising their operations and improving fleet management.
Vietbank and Vidiva are actively implementing this new payment system on selected bus routes, with a particular focus on routes with a high volume of student traffic, as students are the primary users. The new payment system is expected to be operational within the next three months for 200 buses.
This solution is part of a strategic collaboration agreement between Hoa Lam Group and Mastercard, signed in November last year, aiming to implement new projects in payment technology, with the objective of promoting comprehensive digital payment adoption and progressing towards a cashless economy in Vietnam.
Winnie Wong, country manager of Vietnam, Laos, and Cambodia for Mastercard, said, "Passengers can now easily make non-cash payments with their Mastercard cards on their Ting e-wallet when commuting on public buses, eliminating the need to carry cash or visit ticketing points. Mastercard aspires to further encourage the transition to cashless payments in Vietnam."
To commemorate the announcement ceremony, Vidiva has pledged a contribution of VND100 million ($4,250) to the scholarship fund of the districts in Ho Chi Minh City encompassing the participating bus routes.
