Development strategy of Vietnam banking sector to 2025 approved

Saturday, 2018-08-11 16:30:10
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NDO - The Development Strategy of the Vietnam Banking Sector to 2025, with a vision to 2030, has been approved by the Prime Minister in accordance with Decision No.986/QD-TTg.

The strategy aims to gradually increase the independence and accountability of the State Bank of Vietnam for the purpose of operating monetary policy and controlling inflation at an appropriate level consistent with the socio-economic development orientation in each period, and support macroeconomic stability and promote the goal of sustainable economic growth.

It also aims to strengthen the institutional capacity, effectiveness and efficiency of the banking inspection and supervision by the State Bank; expand the scope of inspection and supervision to financial corporations in the form of parent company - in which the parent company is a credit institution; by the end of 2025, banking supervision and supervision must follow most of the principles of effective banking supervision according to Basel.

The development of non-cash payments will be promoted and the ATM and POS network will be optimised. The ratio of cash in total liquidity is expected to be below 10% by the end of 2020 and reduced to 8% by the end of 2025.

The strategy also aims to raise the number of enterprises and people who can access financial and banking services provided by credit institutions and focus on developing appropriate types of services for groups with little or no access to traditional banking services in rural and remote areas.

The strategy also proposes a series of key tasks and solutions such as perfecting the monetary and banking legal framework on the basis of full compliance with market economy rules, in line with international practice and meeting integration requirements; renovating monetary policy framework and foreign exchange and gold management; and develop and monitor key payment systems in the economy among others.