On November 23, 2018, in Vientiane, Capital of the Lao People's Democratic Republic (Lao P.D.R.), a Seminar on Fintech and Industrial Revolution 4.0 was co-organized by the Bank of the Lao P.D.R. (BOL) and the State Bank of Vietnam (SBV).
Deputy Governor Nguyen Thi Hong of the SBV and Deputy Governor Vathana Delaloy of the BOL co-chaired the Seminar. This was the first event within the framework of the 7th Professional and Cultural Exchange Program between the two central banks.
Also attending the Seminar were representatives from the entities of the two central banks; the Embassy of Vietnam in the Lao P.D.R.; Vietnam Payment Solutions Joint Stock Company (VNPAY) and several Vietnamese commercial banks and enterprises operating in the Lao P.D.R.
In her opening speech, Deputy Governor Nguyen Thi Hong affirmed that the cooperative relationship between the SBV and the BOL has been promoted with encouraging results, increasingly linked to the professional tasks as well as meeting the needs for capacity-building of the two sides, and the substances discussed at this Seminar could be a clear reflection.
An overview of the Seminar
The SBV Deputy Governor said that, recognizing the potential benefits of Fintech in promoting innovation and competition, increasing the utilities and improving customer experience, enhancing safety and security in the banking industry and promoting financial literacy in Vietnam, the SBV has taken a proactive approach to Fintech in the banking sector through the establishment of a Fintech Steering Committee in March 2017. This is aimed at improving the regulatory framework and the ecosystem for Fintech development in Vietnam, ensuring a prudent banking system as well as creating a favorable business environment for Fintech start-ups in line with the policies and orientations of the Government of Vietnam. In 2018, the SBV has coordinated with the Asian Development Bank (ADB) to organize the Fintech Challenge Vietnam (FCV) contest with the aim of encouraging innovations in the financial and banking services, promoting greater financial inclusion in Viet Nam.
Speaking at the Seminar, BOL Deputy Governor Vathana Delaloy stated that in the current process of economic development in the Lao P.D.R., it is necessary to facilitate the payments by the economic entities, especially in the banking sector. Regarding the development of the payment system, by the end of 2017, the President of the Lao P.D.R. promulgated a Resolution on the Law on Payments, which is the legal basis for the development, management and supervision of the payment activities in Laos. She hoped the development of Fintech would help promote non-cash payments, limit foreign currency use, encourage financial services and ensure financial and monetary stability. It is in line with the Lao P.D.R. strategy of developing the financial and monetary system.
Mr. Pham Tien Dung, Director General of Payment Department speaks at the Seminar
At the Seminar, presenters from the Lao P.D.R., the SBV, BIDV and VNPay discussed and shared information on the development of payment activities, plans for the implementation of Fintech in Vietnam and Laos; orientations for development of the digital banking services; the trends of cooperation between the banks and Fintech companies in Vietnam ...
Participant at the Seminar take a photo with Deputy Governors of the two central banks
The two Deputy Governors also expressed hopes that through this Seminar, the two central banks and the Lao Government’s ministries and agencies would have a clearer view of Fintech development trends in the world, the opportunities and challenges that Fintech has brought to the banking and finance industry, thereby gradually researching, applying and improving the mechanisms and policies to promote the development of Fintech and financial litereacy in the coming time.
Le Hang