(VEN) - Sponsored by the State Bank of Vietnam's Information Technology Department and the International Data Group (IDG), the Banking Vietnam 2010 recently took place in Ho Chi Minh City. The Vietnam Economic News' Hong Anh spoke with Le Manh Hung, the director of the Information Technology Department about information technology (IT)'s importance, and measures to promote the application of advanced technology in the banking sector. Could you speak about IT application in the Vietnamese finance and banking sector? The finance and banking sector is developing fast to satisfy the economy's demand for integrating into international communities. It is a pioneer in IT application. Banking services such as ATM (automated teller machine) have become increasingly popular and important. The banking sector has been applying the latest information and communication technologies like 3G and 4G based on the Viettel radio frequency to expand its operation to remote rural and island areas and to … [Read more...] about Applying Advanced Technology to Banking Sector
Bank sector news
Vietnam’s banking sector should seek measures to regulate cryptocurrency and other digital assets, and mitigate the ‘dark side’ of technological advances, Prime Minister Nguyen Xuan Phuc requested on Tuesday.During these times of fast technological development, local banks should put those tasks on top of their agenda, in addition to continuously cutting lending interest, controlling inflation and resolving bad debts, the premier said during a meeting to kick-start the banking sector’s 2018 action plan in Hanoi.“The Fourth Industrial Revolution has brought about new issues such as cryptocurrency, which in turn creates new challenges for monetary policymakers, so the banking sector should proactively address these problems,” PM Phuc underlined.He recommended that the banking sector should soon develop a set of measures to regulate bitcoin, a digital currency that uses cryptography for security, and other electronic currencies and assets.“Banks … [Read more...] about PM urges Vietnam banking sector to prioritize regulating bitcoin
VietNamNet Bridge - The number of Vietnamese commercial banks would decrease from 39 currently to 13-15 by 2017, according to Stoxplus, a finance information service firm. The 2013 merger and acquisition (M&A) released of the firm showed that unlike the previous years, most of the M&A deals in the banking sector in 2013 would be the investment deals on the minority shares to be made by foreign finance groups. In 2012 alone, the M&A market witnessed two biggest hostile takeover deals in the history relating to Sacombank, one of the biggest commercial banks in Vietnam and the Phuong Nam Bank, two domestic strategic investment deals (DOJI poured money into Tien Phong Bank and Viettel into Military Bank). There were also other big deals, in which Thien Thanh Group bought Trust Bank and BTMU bought the stakes of the equitized Vietinbank. In early 2013, PetroVietnam Finance Corporation (PVFC) announced the plan to merge the West Bank into it. In early March 2013, the … [Read more...] about M&A in banking sector: who will be next?
VietNamNet Bridge - The best thing of the 2012 is the stabilization of the dong/dollar exchange rate. The worst is the bad business performance of commercial banks. Bad debts on the rise … [Read more...] about The most outstanding features of the banking sector in 2012
VietNamNet Bridge - The reputation of Vietnam's banking system has been tarnished by the problems of rising bad debt, strained ties between banks and corporate borrowers and falling credit ratings, said Vietnam Report Joint Stock Co. According to these reports, local banks are struggling with a sudden increase in bad debt in the early months of 2012. "As of end-June, bad debts had amounted to some VND256 trillion, 10% of the total outstanding loans in Vietnam's banking system," said a statement of Vietnam Report. Meanwhile, the central bank's governor in a report delivered at the National Assembly sitting in August put the bad debt ratio at 8.6%, equivalent to VND202 trillion. In previous years, the bad debt ratio was very low, at 2.5% in 2009, 2.1% in 2010 and 3.3% in 2011. More worryingly, official sources do not agree on the exact figure of bad debt, making it difficult to quickly solve this problem. In addition, the reports described 2012 as a tough year for the banking … [Read more...] about Banking sector’s reputation shattered