News
First sale of GFG:UniCARD into Vietnam
August 2006
The Bank for Investment and Development of Vietnam has purchased GFG:UniCARD to spearhead its entry into Vietnam’s developing electronic banking market.
Bank for Investment and Development of Vietnam (BIDV) will initially use GFG:UniCARD to process Point of Sale transactions for cards issued by other institutions, including international institutions.
Phase two will see BIDV issue a Visa debit card with local and global acceptance. The card is a cross between an EFTPOS and a debit card – it will function similarly to a credit card but does not use bank funds. The POS terminals will be signature only – no PIN numbers.
The purchase of GFG:UniCARD is enabling BIDV to extend its service capabilities by becoming an acquirer of transactions. The bank already has a number of ATMs, but will now conduct its first major launch into electronic banking.
The move is indicative of a broader opening of the Vietnamese market, says GFG Chief Executive Anthony Howard.
“As income levels rise and the economy liberalizes, Vietnam’s major banks are looking to issue internationally branded cards and to develop POS and ATM networks for the domestic market. This contract represents the first sale of GFG:UniCARD into a fast developing market that has a population of 82 million and an emergent middle class,” he says.
GFG partner HiPT Group made the sale. HiPT Group is one of the leading information technology companies in Vietnam, employing more than 200 people to deliver services spanning software development, systems integration and after-sales service.
BIDV was the first to be established among the four largest State-owned Commercial Banks in Vietnam. As of 31st Dec, 2004, the bank’s total assets reached approximately USD$6.5 billion. BIDV functions as a universal commercial bank providing a full range of currency, credit , banking and non-banking services, and playing a leading role in development investment and project financing in Vietnam.
