Trang Chủ
The deposit insurance development strategy to 2025, with orientation to 2030 has clearly outlined the overall goal for the development of the deposit insurance system in Vietnam, which is: “Protecting the legitimate rights and interests of depositors, contributing to maintaining the stability of the system of credit institutions and foreign bank branches, ensuring the safe and healthy development of banking activities. Improve quality and efficiency in deposit insurance activities, including granting deposit insurance certification, reporting information, monitoring, examination, participation in special control, early detection and warning of potential risks for insured institutions, participate effectively in restructuring weak credit institutions; calculating and collecting deposit insurance fees, managing capital and investment, disseminating deposit insurance policies, and reimbursing the deposit insurance in accordance with international practices and the provisions of Vietnamese law. Strengthen the financial capacity of the deposit insurer to affirm the State's commitment and enhance depositors' confidence in the deposit insurance policy.
The strategy also clearly indicates the role of the deposit insurer in general and deposit insurance activities in particular, which is to protect the legitimate rights and interests of depositors, and to contribute to maintaining the stability of the system of credit institutions, foreign bank branches, ensureing the safe and healthy development of banking activities, participating effectively in restructuring weak credit institutions. The role of the deposit insurer in dealing with a weak credit institution is not only defined in the deposit insurance development strategy, but also in the strategy for development of the banking industry in Vietnam to 2025, with a vision to 2030, that is: DIV participate effectively in restructuring credit institutions.
Over the past time, DIV has actively done research, developed and completed the system of administrative and operating documents on special control. The Board of Directors of DIV has issued the Regulation on participation in the special control process for organizations participating in the deposit insurance together with Decision No. 2371/QD-BHTG; Regulations on participation in assessing the feasibility of the plan to restore people's credit funds, microfinance institutions, and financial companies approved by the Special Control Board together with Decision No. 2370/QD-BHTG; Special lending regulations for credit institutions subject to special control together with Decision No.858/QD-BHTG.
At the same time, the General Director of DIV also issued Guidance No. 1465/HD-BHTG guiding the implementation of the Regulation on participation in the special control process for organizations participating in the deposit insurance; Decision No. 768/QD-BHTG on promulgating the professional notebook to participate in revaluating the feasibility of the DIV recovery plan for people's credit funds, microfinance institutions, financial companies..., which is the basis for the DIV in general and DIV staff to join the Special Control Board in particular to perform the assigned tasks.
During the participation in the special control process, DIV discovered and recommended to promptly handle violations of the law on deposit insurance at people's credit funds in order to limit fraud and profiteering from insurance, towards the goal of protecting the legitimate rights and interests of depositors.
With the task of participating in the special control process for insured institutions according to the regulations of the State Bank of Vietnam, DIV has cooperated well in the process of implementing and assigning the special control tasks; promptly give opinions directly or in writing on issues arising in the process of special control; exempting deposit insurance fee for participating organization under special supervision; appointing staff to join the Special control board.
Regarding the content of appointing personnel to participate in the Special control board, DIV has appointed experienced, capable and qualified staff to join the board. In general, the staffs who participate in the Special control board throughout the system have performed well their tasks during the process of participating in the special control. On the basis of the assignment and duties of the Head of the Special control board and the guidance documents of the DIV, the members of the DIV participating in the Special control board have to monitor the operation situation, assess the current status and implement the plan to strengthen and reorganize the people’s credit funds. Especially, monitoring detailed data, changes in assets of the people’s credit funds, deposit balance, insured deposits, debt classification, debt recovery ability of the PCFs to assess the ability to pay due deposits.
The DIV staff also check and compare the list of depositors, develops a payment plan as a basis for DIV to reimburse when payment obligations arise, make a list of cases that need to be verified and further compared on deposits and depositors, as well as a list of cases with signs of law violation in depositing to propose to the SBV in accordance with the Law on Deposit Insurance; make reports on the insured deposit balance and the expected payment amount following SBV request.
For the group of specially controlled PCFs, which are implementing the plan of commercial banks participating in resolution, make a list of depositors, communicate to stabilize depositors' psychology and support payment activities. DIV in general, and branches of DIV in particular have actively coordinated with the Special control board, branches of the SBV in provinces and cities to participate in assessing the feasibility of the restoration plan and giving opinions on the project to restructure some PCFs when required.
For special lending activities, although no special loans have been issued to credit institutions under special control, but every year, DIV has proactively established a special loan provision for credit institutions approved by SBV. The reserve capital level is adjusted every 6 months to ensure that DIV always has sufficient financial resources and is ready to lend, especially to credit institutions with special control.
DIV has participated in the special control process progressively and actively in order to contribute to helping PCFs return to normal operations, or proposing appropriate resolution plans, thereby ensuring the safety of banking operations, protecting the rights and interests of depositors, enhancing the position of the deposit insurer in participating in resolution and restructuring weak PCFs. However, there are still certain difficulties in the process of DIV participating in the special control.
Therefore, in order to improve the effectiveness of special control activities and participation in restructuring weak insured institutions, in the coming time, DIV need to study and propose amendments and supplements to the Law on Deposit Insurance compatible with the law governing other fields in banking and finance activities, especially to clearly define the powers and responsibilities of the DIV in special control activities.
Along with that, closely coordinate with the SBV in the process of participating in special control to ensure the interests of depositors; build up the financial resources of the DIV to grow stronger by increasing charter capital, diversifying forms of temporarily idle capital investment on the basis of ensuring capital adequacy and minimizing risks; modernize technology, streamline and digitally transform administrative and operating processes throughout the system. At the same time, improve the qualifications of staff, especially those involved in special control.
