The Strategy on deposit insurance development to 2025, with orientation to 2030 is the basis for Deposit Insurance of Vietnam (DIV) to well implement its task of protecting the legitimate rights and interests of depositors, contributing to maintaining the stability of the credit institution system, ensuring the safe and healthy development of banking activities.
Accordingly, the overall development goal of deposit insurance policy to 2025, with orientation to 2030 mentions three issues:
Firstly, protect the legitimate rights and interests of depositors, actively contribute to maintaining the stability of the credit institution system and foreign bank branches, ensure the safe and sound development of banking operations.
Secondly, improve the quality and efficiency in deposit insurance activities, including granting certification of deposit insurance participation, reporting information, supervision, examination, participation in special control, detection, early warning of potential risks to public institutions; effective participation in restructuring weak public institutions; calculation and collection of deposit insurance premiums, capital management and investment, dissemination of deposit insurance policy, reimbursement in accordance with international practices and provisions of Vietnamese legal regulations.
Thirdly, strengthen the financial capacity of the deposit insurance to affirm the commitment of the State and improve depositors' confidence in the deposit insurance policy.
Specifically, strive to raise the ratio of fully insured depositors to total insured depositors to 92-95 percent, ensure the compliance with international practices.
Strive to shorten the actual payment time from the time of arising the insurance payment obligation to 30 working days by 2025 and 15 working days by 2030, in order to help depositors early access their deposits when the institute institution is resolved.
Strive to achieve the goal to make 45 percent of depositors grasp the core contents of the deposit insurance policy by 2025 and raise the rate to 50 percent by 2030.
In order to realize the set goals, the Strategy on deposit insurance development to 2025, with orientation to 2030 also specifies that the deposit insurance needs to perform the following 4 groups of tasks and solutions:
Firstly, continue to improve the legal basis, specifically amending and supplementing the Law on Deposit Insurance and the system of guiding documents for the implementation of the Law on Deposit Insurance and the Law on Credit Institutions; completing regulations on the financial regime of the deposit insurance organization.
Secondly, complete the deposit insurance policy. well, it is necessary to periodically review and evaluate the suitability and propose to adjust the insurance coverage limit in order to reach the ratio of fully insured depositors out of total insured depositors reaching 92 to 95 percent, ensuring the compliance with international practices; research and evaluate the actual conditions of Vietnam and propose an appropriate time to develop and deploy deposit insurance premiums on the basis of assessment and classification of public institutions.
Thirdly, regarding deposit insurance activities, it is necessary to improve the legal framework and procedure for issuing, revoking and managing certificates of deposit insurance participation; improve the efficiency of examination, supervision and early warning activities. It is necessary to improve the efficiency and strengthen the application of information technology in the calculation and collection of deposit insurance premiums; participating in special control, resolving weak public institutions; improve efficiency of deposit insurance reimbursement and asset liquidation...
Fourthly, regarding the deposit insurance organization, it is necessary to improve its financial capacity, complete the organizational structure model towards being streamlined, highly specialized, efficient and synchronous in governance, develop a human resource development project in line with the Strategy on deposit insurance development; focusing priority to in-depth training for the core team of professional expertise and capable leadership team. In addition, it is vital to regularly review and perfect the documentary system and governance mechanism, renew human resources; proposes a plan to improve the financial regime and ensure the financial resources to effectively participate in the restructuring process of the public institutions, while ensuring the financial resources to reimburse the public depositors in the event of a payment obligation arising; develop an information technology development project in line with the Strategy on deposit insurance development.
For more details, please log on:
http://www.div.gov.vn
For more information, please contact:
Mr. Nguyen Hoang Nam – Director of Communication Department
Phone: 024 3974 2886 (ext. 8368); Email: nguyen-hoang.nam@div.gov.vn