Trang Chủ
This is a forum for member organizations to share knowledge and experience of deposit insurance and enhance international cooperation. A reporter from the Banking Times had an interview with Mr Dao QuocTinh –member of the Board of Directors, General Director of DIV.
What is the major theme of this year Conference, sir?
As usual, the theme of the International Conference has to attract attention from international and regional deposit insurance organizations, and it is essential that the hosting country make considerable contribution in terms of related knowledge and experience.
After studying the regional finance-banking system and comparing with the situation of Vietnam, DIV as the hosting country proposed the theme of the International Conference as “Small and medium-sized institutions - What we can do for them” and received high consensus.
In the Asia-Pacific region, small and medium-sized institutions are present in many jurisdictions such as India, Philippines, Indonesia, and Vietnam. It can be seen that the deposit insurancesemphasizetheir roles over small and medium-sized insured institutions in the clearest and fullest way through: granting certificates of deposit insurance, monitoring, supervision, early warning, receivership and settlement, payout, etc.
This is also a topicthrough which DIV can share certain experiences and initiatives, especially in case the Law amending and supplementing some articles of the Law on Credit Institutions was approved by the National Assembly and officially came into effect, increase the roles of DIV.
How do you think about theroles of deposit insurance over small and medium-sized insured institutions?
In Vietnam, small and medium-sized credit institutions can beregardedas People’s Credit Funds (PCFs) and microfinance institutions. Small and medium-sized credit institutions are important components of the banking system. Meanwhile, DIV generally indicates itsroles throughout the whole life cycle of public credit institutions.
For small and medium-sized credit institutions, firstly, the deposit insurance policy is a supporting mechanism for sustainableand safe development. Besides, the deposit insurance policy creates depositors' confidence in small and medium-sized insured institutions, helping these institutions compete equally with large credit institutions.
Finally, the design of the deposit insurance organization is suitable for supporting and resolving small and medium-sized institutions. It is because the resolution of big-sized and cross-border credit institutions requires more specific mechanisms.
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