Trang Chủ
In the 1990s, during the early stage of Vietnam's economic reform, the country witnessed positive transformations as it opened and gradually transitioned toward a socialist-oriented market economy. This propelled growth across multiple economic sectors, particularly the banking industry. The banking system evolved from a single - tier to a two - tier one, with commercial banks’ expansion in both scale and quality and gradually integrating into the international financial market.
Globally, the 1997 Asian Financial Crisis sparked widespread economic disruptions, leaving profound and lasting impacts on the world economy. Although Vietnam's economy was not directly affected due to its limited global integration at the time, it still faces potential risks, necessitating preparedness for future challenges. The collapses of numerous domestic credit cooperatives eroded public trust in the credit institution system. In such circumstances, the establishment of a state financial institution to protect depositors' legitimate rights and interests and bolster public confidence in the financial system became crucial for the economy and especially, the banking system.
On September 1, 1999, the Government issued Decree No. 89/1999/ND-CP, establishing the legal basis for deposit insurance policy to secure depositors' legitimate rights and interests in Vietnam. shortly afterward, on November 9, 1999, the Prime Minister issued Decision No. 218/1999/QD-TTg, officially establishing the Deposit Insurance of Vietnam to implement deposit insurance policy.
At the very beginning, the Deposit Insurance of Vietnam began to develop policies, the organizational structure and infrastructure while promptly reimbursing depositors of failed people’s credit funds. These efforts underscored the Deposit Insurance of Vietnam’s role in strengthening public confidence and ensuring social stability and security in affected regions.
Over the past 25 years, under the close guidance of the State Bank of Vietnam and with unity, determination, proactiveness, and innovation, the Deposit Insurance of Vietnam has fulfilled its mandates of protecting depositors' legitimate rights and interests, contributing to the stability of the credit institution system, and ensure the safety and sound development of the banking industry.
Through core operations aligned with the lifecycle of financial institutions - such as supervision, examination of compliance with deposit insurance regulations, in-depth examinations under the direction of the State Bank of Vietnam, participation in Special Control Boards for troubled credit institutions, reimbursement, and public relations promotion - the Deposit Insurance of Vietnam is instrumental in maintaining the stability of the banking system and enhancing public trust.
As of today, the Deposit Insurance of Vietnam has built an operational network of the headquarters in Hanoi and eight regional branches in key economic areas across the country, with dedicated and competent staff. From 01 trillion dongs initially provided by the Government, the accumulated capital of the Deposit Insurance of Vietnam has now increased to more than 120 trillion dongs, including over 5 trillion dongs of charter capital and over 115 trillion dongs of the Operational Provision Fund.
Additionally, the organization has prioritized training and developing a high-quality workforce, fostering international cooperation, embracing modern technologies, encouraging innovation, and hurriedly digital transformation to evolve into an efficient and internationally aligned deposit insurance. These achievements have laid a solid foundation for the Deposit Insurance of Vietnam’s next stage of development.
However, although the Law on Deposit Insurance has created a strong legal framework, it has shown limitations in adapting to the actual situation of the banking sector after more than a decade of implementation, particularly following the adoption of the 2024 Law on Credit Institutions. The Deposit Insurance of Vietnam’s financial capacity, though significantly improved, remains modest compared to the total deposited deposits in the banking system. Certain operations still need to catch up to international standards, and staff capabilities slightly trail behind the rapid advancements in the banking industry and upcoming bestowed responsibilities.
As the organization has entered a new phase of development, under the leadership of the Government and the State Bank of Vietnam, the Deposit Insurance of Vietnam is committed to leveraging past achievements, addressing limitations , and fulfill its responsibilities to secure depositors' legitimate rights and interests and contribute to the safety and soundness of the credit institution system.
To achieve these goals, the organization will focus on researching and advising the State Bank of Vietnam on proposed legislative amendments and supplements to align the Law on Deposit Insurance with the Law on Credit Institutions, thereby solidifying the legal basis to facilitate the implementation of the Deposit Insurance of Vietnam's duties, including participation in the restructuring of credit institutions, and investment to strengthen the financial capacity.
The Deposit Insurance of Vietnam will also enhance its human resource development programs, advance the application of information technology and digital transformation, and foster innovation to meet future challenges and requirements.
The Deposit Insurance of Vietnam's achievements over the years can be attributed to the close guidance and support of the Government, the State Bank of Vietnam, and other relevant agencies, as well as the relentless efforts of generations of its leadership and staff. As the organization has embarked on a new chapter, the leaders and staff of the Deposit Insurance of Vietnam are united to build a modern deposit insurance in line with international practices, as directed by the State Bank of Vietnam and outlined in the Development Strategy for Deposit Insurance to 2025 and Vision to 2030 approved by the Prime Minister.
Pham Bao Lam
Chairman of the Board of Directors
Deposit Insurance of Vietnam
