The government of Vietnam has initiated changes to the financial aid distribution system, marking a significant shift to cashless payments for recipients of social welfare benefits. While this move has been framed as a modernization effort intended to improve efficiency and security, feedback from citizens highlights substantial challenges, particularly for elderly and rural recipients.
Since late 2024, the Ministry of Labor, Invalids and Social Affairs (MOLISA) has been at the forefront of implementing cashless payments for welfare benefits, as stated by sources close to the ministry. Currently, every province is reported to have adopted this method, with Khánh Hòa and Bình Phước leading the way by facilitating over 215 billion VND and 250 billion VND, respectively, through bank accounts for benefit recipients.
Despite these figures, the transition to cashless payments has not been without its obstacles. Many recipients, particularly the elderly, have voiced concerns. "Many people have to hire motorbikes to go to distant centers or rely on relatives to withdraw money," reported local citizens fed up with the logistical hurdles posed by new requirements.
The government's initiative aims to replace cash transactions with digital alternatives, ostensibly to streamline operations and safeguard welfare distributions. Yet, this has led to unforeseen complications for numerous beneficiaries. The fear and uncertainty surrounding the use of bank accounts for receiving social support are palpable. Often, individuals from rural areas lack constant internet access or familiarity with banking apps, making this transition even more cumbersome.
Official responses to these complaints have been both acknowledging and proactive. MOLISA indicated they are aware of the struggles faced by older generations, which often shy away from technology. They noted, "The system must not result in cumbersome procedures or change how benefits are processed," committed to ensuring all individuals receive their aid efficiently and without additional stress.
A significant factor contributing to the difficulties is the transportation costs required for those who do not have easy access to banking facilities. Such expenses are especially burdensome for individuals reliant on public transport or necessitating assistance from family members. They have urged the government to evaluate the payment methods according to their region's characteristics and needs.
To address these challenges, MOLISA has proposed enhancing local infrastructure around banking and digital payments. They stated, "The government is particularly focused on addressing the needs of vulnerable population sectors during this transition." This includes ensuring the availability of bank services and addressing tech barriers to facilitate easier and immediate access to benefits.
There are also efforts underway to educate recipients about the cashless systems being implemented. This involves encouraging them to open bank accounts through various support systems, including offering incentives and reducing fees associated with banking services. A supportive approach is also suggested for those unable to access electronic banking, proposing alternatives for direct payments through trusted community organizations.
Critics have noted, though, the potential for disparate impacts among the population. The digitally-oriented payment system seems particularly detrimental to seniors, and many within MOLISA warning against overlooking these voices. "Moving forward, it is important to feel compassion for those struggling, and we must continue consulting local leaders and listening to feedback from residents to forge practical paths for the future," remarked ministry officials.
While cashless payments signify progress for Vietnam's administrative infrastructure, it is the people’s experience with these payments which will determine the success of this initiative. Striking the right balance between modern efficiency and accessibility for all, particularly the most vulnerable, remains the challenge. The government’s commitment to ensuring timely and complete assistance to all deserving recipients must stand firm throughout this shift.