From November 11 to 15, 2018, the Deposit Insurance of Vietnam (DIV) delegation, led by Mr. Nguyen Quang Huy, Chairman of the Board of Directors, paid a working visit to the Philippine Deposit Insurance Corporation (PDIC) in Manila, the Philippines. On this occasion, the DIV signed a Memorandum of Understanding (MOU) with the PDIC and learnt about the PDIC’s core operations. Besides, the delegation also paid a courtesy visit to senior officers of the Central Bank of Philippines.
The PDIC, established in 1963, is the first deposit insurer in the region and operates independently with a “pay box plus” mandate. Its core operations include payout, examination, receivership and liquidation. In particular, the PDIC has extensive experiences in bank liquidation and depositor reimbursement. In the last 5 years, the number of closed banks liquidated by the PDIC is 76.
Mr. Nguyen Quang Huy, Chairman of DIV’s BoD and Mr. Roberto B.Tan, President and CEO of PDIC exchanged the MOU
The MOU signing ceremony between the DIV and the PDIC on November 12 laid the foundation for comprehensive cooperation as well as sharing of knowledge and experience in order to strengthen the two deposit insurance systems. Both sides agreed to exchange experience on issues of mutual concern such as legal framework, receivership and liquidation, reimbursement, risk management, premium assessment, capital investment, and public awareness. Moreover, the two sides will share their information on the implementation of international standards, cross-border issues, and other issues through bilateral meetings as well as joint activities within the framework of the International Association of Deposit Insurers (IADI).
Speaking at the MOU signing ceremony, Mr. Nguyen Quang Huy stated that, in order to meet public policy objectives of deposit insurance fully and effectively and comply with international standards, the DIV will focus on improving its performance, especially its core operations such as supervision, examination and early warning, strengthening financial capacity, enhancing public awareness of deposit insurance, participating in the banking restructuring, and reimbursing depositors in an accurate and timely manner.
In addition to the MOU signing ceremony, bilateral working sessions were held to discuss some issues of mutual interest including legal framework, resolution, liquidation, reimbursement, and public awareness.