HCMC – The board of local low-cost carrier Vietjet has approved the establishment of an e-wallet subsidiary with a charter capital of VND50 billion, in which Vietjet will hold a 51% stake.

The board also tasked Vietjet’s vice general director and chief financial officer Ho Ngoc Yen Phuong with implementing essential procedures for the capital contribution in order to set up the new business. In 2019, an estimated US$2.5 billion of Vietjet's revenue was earned through non-cash payment. Moreover, 99.99% of transactions conducted in the Vietjet ecosystem were cashless, stated Nguyen Thi Thuy Binh, vice general director of Vietjet, at a recent seminar on cashless payment held by Tuoi Tre newspaper. When the coronavirus pandemic was at its peak in the country, the carrier discovered new business opportunities based on the shopping habits of customers, who can use Vietjet’s platforms to not only book flight tickets but to also hire vehicles, book hotel rooms and other services needed while taking trips. Envisioning a cashless society, the carrier decided to set up the e-wallet business and will team up with other partners to offer more methods of payment to consumers, Binh added.