On August 9th 2018, at the headquarters of the State Bank of Vietnam (SBV), Deputy Governor Nguyen Kim Anh had a working session with the delegation of South Korean Shinhan Bank led by Mr. Cho Jae Hee - Vice President - Executive Officer & Managing Director of Risk Management Group.
Also attending the meeting were representatives of the SBV units: the Banking Supervision Agency, the Department for Banking Operation Safety Policies (Department V), the Human Resources Department, the International Cooperation Department and other relevant units. The Shinhan Bank’s delegation was led by Mr. Cho Jae Hee - Vice President, Executive Officer & Managing Director of Risk Management Group, together with several leaders of Shinhan Bank Vietnam.
Deputy Governor Nguyen Kim Anh chairs the meeting
On behalf of the SBV Board of Management, Deputy Governor Nguyen Kim Anh welcomed the delegation of Shinhan Bank of Korea to visit and work in Vietnam. The Deputy Governor stressed that the SBV attaches great importance and highly appreciates that Shinhan Bank of Korea has established a 100% foreign-owned bank in Vietnam (Shinhan Bank Vietnam). In addition, Shinhan Bank of Korea is one of the top banks in Korea, having pioneered in the adoption of international standards for risk management. Therefore, the State Bank of Vietnam highly appreciates the cooperation of Shinhan Bank of Korea in supporting the training of the SBV’s officials on the application of the international standards on risk management in the banking activities – a priority issue that receives a lot of attention and efforts by the SBV in the current period.
At the meeting, the representatives of both sides reported to Deputy Governor Nguyen Kim Anh the results of the cooperation between the SBV and Shinhan Bank. In recent years, Shinhan Bank has cooperated with the SBV to organize many practical activities to support the training of the SBV’s staff in Basel II application through seminars, training courses. The SBV staff who have gone through the training all highly evaluated and appreciated the opportunities to visit and study about the organization and the risk management work at Shinhan Bank of Korea.
According to Mr. Le Trung Kien - Deputy Director of the Department for Banking Operation Safety Policies, the SBV is currently working on a centralized database solution on Basel II implementation to create a database and information infrastructure for Basel II inspection and supervision of the SBV and to facilitate Basel II implementation within the whole banking system. The SBV has also issued circulars to create a comprehensive legal framework for the internal control and risk management (including Internal Capital Adequacy Assessment Process – ICAAP under Pillar 2 of Basel II), the internal audits of credit institutions (CIs) in accordance with the international standards and practices, which helps prevent and warn about risks in the banking operations.
Mr. Cho Jae Hee - Vice President of Shinhan Bank of Korea speaks at the meeting.
Vice President Cho Jae Hee of Shinhan Bank praised the positive results achieved in the cooperation between the SBV and Shinhan Bank of Korea. Mr. Cho emphasized that Shinhan Bank of Korea is ready to share its experience in implementing Basel II with the SBV, assisting in understanding the international practices in risk management and building up the data infrastructure in the banking operations. In addition, Shinhan Bank always puts the best efforts to facilitate the connection between the SBV's (the Banking Supervision Agency) and the South Korean Financial Supervisory Service (FSS), as well as to support the training and development of the human resources.
Discussing about the orientations of Shinhan Bank's operations in Vietnam, Vice President Cho Jae Hee emphasized that Vietnam is one of the key investment markets for the Bank. He also said that in the near future, besides supporting Korean enterprises operating in Vietnam, Shinhan Bank will also participate in promoting the development of the retail market; expand the customer base to Vietnamese individuals and businesses.
SBV Deputy Governor Nguyen Kim Anh assigned the Banking Supervision Agency to coordinate with Shinhan Bank Vietnam to develop more forms of cooperation to improve the effectiveness of the cooperation activities between the two parties. In the coming time, the SBV would like Shinhan Bank to continue to implement the cooperation activities that have been agreed upon. In addition, Deputy Governor Nguyen Kim Anh also suggested Shinhan Bank continue to maintain the annual training program and the training courses.
On behalf of the SBV’s Board of Management, Deputy Governor Nguyen Kim Anh hoped that the cooperation between the SBV and Shinhan Bank would continue to develop. The SBV Deputy Governor wished Shinhan Bank of Korea as well as Shinhan Bank of Vietnam continuous growth and effective business operations in the future.
VA