South Korea will transfer its knowhow of developing and operating an advanced national health insurance system to Vietnam.

South Korea's National Health Insurance Corporation and its Vietnamese counterpart announced that they signed a memorandum of understanding on boosting exchange and cooperation, and advancing Vietnam's health insurance system.

Under the agreement, the South Korean corporation will assist in revising laws, related training and other trial projects in Vietnam. The Southeast Asian nation is aiming to ease its income disparity and raise the quality of life by adopting a national health insurance.

The Hanoi government is seeking to implement health insurance coverage for the entire public by 2014.