Continuing the working schedule of the World Bank (WB) mission in Vietnam, within the framework of the “Vietnam: Strengthening Banking Sector Soundness and Development” Project financed by the Swiss State Secretariat for Economic Affairs (SECO) and administered by the World Bank (WB), on July 14, 2023, the Banking Supervision Agency (BSA) under the State Bank of Vietnam (SBV), in coordination with the SBV International Cooperation Department and the World Bank (WB), organized a Workshop to share and discuss about the early intervention framework related to the revised Law on Credit Institutions.
Workshop on the Early intervention framework
During the four years’ implementation of the Project and from the practical requirements for the management and supervision to ensure a safe and sound banking sector, the BSA had proposed that the WB provide support for the formulation of an early intervention framework related to the revision of the 2010 Law on Credit Institutions, and for the development of orientations for a guiding Circular on early intervention in the future. Through this activity, the WB specialists could understand more clearly about the orientations for the early intervention framework in the revised Law on Credit Institutions, thereby, giving specific and effective support and consultancy to the BSA in the implementation of the framework in practice (after the official enactment of the revised Law on Credit Institutions). During the next step, the WB’s support can include consultancy for the development of by-law documents providing guidance for the processes and procedures for the early intervention techniques.
In light of that purpose, at this Workshop, the BSA presented about the current early intervention framework in the 2010 Law on Credit Institutions, and the orientations for the revision of this framework in the revised Law on Credit Institutions. On the WB’s side, the specialists shared their recommendations for Vietnam regarding the contents and the techniques of early intervention to be considered for being integrated into the revised Law on Credit Institutions.
Le Hang