Vietnam Law & Legal Forum Magazine is your gateway to the law of Vietnam

Official Gazette

Thursday, March 23, 2023

Plan on digital transformation of banking sector by 2025 approved

Updated: 08:54’ - 24/05/2021
With a view to comprehensively renovating the management mechanism of the State Bank of Vietnam (SBV) toward modernity based on effective application and utilization of achievements of the fourth industrial revolution, the SBV on May 11 approved a plan on digital transformation of the banking sector by 2025, with a vision toward 2030.

The launching ceremony of Cake - a digital bank developed by Be Group and VPBank__Photo: My Phuong/VNA

Under the SBV Governor’s Decision 810/QD-NHNN, the plan is expected to fully meet the Government-promulgated digital transformation criteria and indicators, develop digital banking models and improve banking services to meet customers’ expectation.

Accordingly, all of the SBV’s public services will be upgraded to level 4 by 2025, while all of level-4 public services will be provided via the national public service portal and 90 percent of work and service records at the SBV will be digitally processed and stored.

At least half of the SBV’s inspection and supervision activities will be carried out in the digital environment and via its information technology system.

Credit institutions and foreign bank branches will have at least half of their banking operations allowing customers to perform completely online. In particular, the plan also sets targets of at least half of adults using electronic payment services and at least 70 percent of customer transactions made through digital channels.

At the same time, the SBV expects at least 60 percent of credit institutions to earn more than 30 percent of their revenues from digital channels.

At least half of decisions on disbursement and lending of commercial banks and finance companies for small loans and consumer loans of individual customers will be made digitally and automatically while at least 70 percent of work and service records at credit institutions will be processed and stored digitally.

By 2030, at least 70 percent of the SBV’s inspection and supervision activities will be carried out in the digital environment and via its information technology system, and at least 70 percent of its banking operations will be performed completely digitally by customers.

To implement this strategy, the SBV has proposed a plan to promote communication activities, modernize payment infrastructure, and propose amendments and supplements to relevant legal documents to create favorable conditions for banking digital transformation.

Specifically, it will study and revise regulations allowing the application of digital technology in foreign exchange transactions. During 2021-2022, it will propose enactment of a decree to replace the current documents on cashless payments and on management and supervision of payment and cross-border payments activities.

It will also propose or review regulations on lending activities in order to facilitate digitalization and automation of the entire lending process of credit institutions.

In addition, the SBV will develop and issue data standards and technical standards of the banking sector to serve the connection, sharing and mining of data within the sector and between the banking sector and other sectors.- (VLLF)


Send Us Your Comments:

See also:


Vietnam Law & Legal Forum