New Delhi, May 29: A significant step has been taken to strengthen digital payments and financial innovation between India and Vietnam. An official statement released on Friday announced that the Reserve Bank of India (RBI) and the State Bank of Vietnam (SBV) signed a crucial Memorandum of Understanding (MoU) on May 5, 2026. This agreement aims to enhance digital payment systems, financial innovation, and cross-border payment cooperation between the two countries.
According to the official statement, the agreement was implemented after receiving approval from the central cabinet. It focuses on connecting QR code-based merchant payment systems, making transactions between India and Vietnam easier and faster.
The MoU establishes a comprehensive framework for collaboration in financial innovation and digital payments. It includes sharing information related to new technologies, digital payment systems, regulatory frameworks, and emerging market trends between the two nations.
The agreement also outlines potential joint projects and programs, particularly focusing on developing a cross-border QR code-based payment system to streamline the payment process between India and Vietnam.
This initiative is expected to significantly benefit trade and tourism between the two countries. The government believes that once the new system is implemented, cross-border payments will be more transparent, faster, and cost-effective than before.
Customers will receive upfront information about fees during transactions, along with real-time transaction capabilities. This could open new export opportunities for Indian businesses and strengthen economic ties between the two nations.
The agreement is also seen as a vital step towards establishing India as a global fintech hub. The RBI asserts that increased digital payment connectivity will enhance India’s technological capabilities and give international recognition to its digital financial services.
The MoU was signed by the Deputy Governor of the RBI and the Deputy Governor of the State Bank of Vietnam.
According to the government, this MoU primarily serves as a regulatory cooperation framework aimed at ensuring fast and secure financial transactions between the two countries. It will facilitate collaboration and information exchange in areas such as fast payment systems, messaging systems, and card switch networks.
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