On February 22, , in Hanoi, the State Bank of Vietnam (SBV) and the Ministry of Public Security jointly organized a Conference on the application of the population database, the personal identification and eKYC in the banking operations. Attending the Conference, on the SBV’s side, there was Governor Nguyen Thi Hong, Deputy Governor Pham Tien Dzung, and other representatives from the SBV entities, as well as the commercial banks. On the side of the Ministry of Public Security, there was Lieutenant General Nguyen Duy Ngoc, Deputy Minister, together with other representatives of the relevant entities.
Speaking at the Conference, Governor Nguyen Thi Hong emphasized that digital transformation is an inevitable trend in the current era. For the banking sector, the digital transformation process has helped change the structure of the financial services, bringing various channels of providing new and modern financial products and services, thereby facilitating the people’s access to finance and banking services.
Over the past time, the banking sector has actively coordinated with the Ministry of Public Security and has obtained several initial encouraging results: (i) the SBV is one of the Ministries that have successfully implemented a public service system, ensuring safe connection with the National Population Database; (ii) having been steadily clearing/verifying the database on customers’ credit information; (iii) having completed the pilot provision of several solutions on eKYC via the chip-based ID cards when making transactions at the banks; etc.
Lieutenant General Nguyen Duy Ngoc speaks at the Conference
Also at the Conference, Lieutenant General Nguyen Duy Ngoc, Deputy Minister of the Ministry of Public Security, stated that the connection between the National Population Database and the entities in the banking sector, as well as with the businesses would contribute to enhancing the digital economy, helping the banking sector to develop its specialized operations, improving the efficiency in the transactions between the banks and their customers, ensuring safe and sound banking operations, and controlling crimes in the areas of banking.
Therefore, the entities of the SBV and the Ministry of Public Security should closely coordinate with one another in order to ensure the safety and security of the banking activities, and the safety of the National Population Database; formulate cooperation processes and improve the legal frameworks for the effective implementation.
SBV Deputy Governor Pham Tien Dzung speaks at the Conference
In addition, the participants at the Conference also discussed and exchanged their views on the implementation of public services connected with the National Population Database in the banking sector; the data clearing/verification; the connection and sharing with the National Population Database; the application of eKYC via chip-based ID cards for a number of operations performed by the commercial banks; opening personal bank accounts via the mobile banking apps through the use of chip-based ID cards; the connection of the citizens’ VNeID accounts for payment of social benefits; etc.
An overview of the Conference
In order to further strengthen the use of the population database in the banking operations, Governor Nguyen Thi Hong proposed that the entities of the SBV and the Ministry of Public Security should coordinate closely with one another in order to accelerate the improvement of the legal frameworks, and create favorable conditions for their implementation; formulate a formal process for the clearing/verification of the customers’ database; build an accurate customer authentication process, preventing cases of document falsification and frauds, the opening of impersonating accounts or defrauding customers into gaining access to digital banking services in the provision of digital banking services in the cyber environment; connect the data sources from the National Population Database used for customer authentication, and verifying the relevant information to assess their debt repayment capacity, thereby speeding up the lending procedures, contributing to reducing black credit in the society, etc.
Le Hang