HCMC to implement EMV open-loop payment on city buses

The EMV Open-loop payment system allows passengers to use existing payment methods such as bank cards or e-wallets to pay for bus fares without the need for cash or specifically designed cards/tickets for the bus system as before.

This modern payment method meets the needs of both residents and tourists using public bus services in Ho Chi Minh City, and has been widely implemented in many countries worldwide, such as the United Kingdom, Singapore, Australia, the United States, and more.

VietBank launches the EMV Open-loop payment system to be implemented on city buses. Photo by VietBank

Since 2019, with the permission of the Ho Chi Minh City People’s Committee, Vietbank has been conducting a pilot project for automated payment in public bus transportation. For this initiative, Vietbank has partnered with Vidiva Technology Joint Stock Company and Mastercard, the leading global payment technology company to transform the bus commuting experience for city residents.

The project will continue to be implemented without using state funds. The participating parties expect that the project will attract more people to use public transport, hence reduce traffic congestion and accidents in the city.

They also expect this deployment to help the city collect relevant data and complete technical framework for a common smart ticketing system for the entire city.

In the initial phase of the project, passengers can pay for bus fares using Mastercard virtual card on Ting e-wallet of Vidiva.

Passengers eligible for fare concessions such as students only need to register once with the Public Transport Management Center’s application, and can receive direct fare reductions when making payments using the Ting e-wallet.

Customer tries EMV Open Loop payment. Photo by Vidiva

Subsequently, the project will be expanded to accept all Mastercard cards issued by banks in Vietnam and overseas.

This innovative payment system eliminates the need for carrying cash or visiting bus ticket stations, thus saving time and enhancing the overall experience of using public buses.

Vietbank and Vidiva are implementing this new payment system on selected bus routes with high student traffic, the primary users of buses.

The new payment system is expected to be in operation within the next three months for 200 buses.

This solution is part of the strategic collaboration agreement between Hoa Lam Group and Mastercard, signed in November 2022, in the field of payment technology, aiming to promote comprehensive digital payment adoption and a cashless economy.

At the ceremony to launch the project, Vidiva announced to contribute VND100 million to the scholarship fund of the HCMC districts with participating bus routes.