Implementing Resolution No. 124/2020/QH14 dated November 11, 2020 of the National Assembly on the socio-economic development in 2021, Resolution No. 01/NQ-CP dated January 1, 2021 of the Government on the key tasks and measures of implementing the socio-economic development plan and the state budget estimates in 2021, Resolution No.02/NQ-CP dated January 1, 2021 of the Government on continuing to implement the key tasks and measures of improving the business environment and enhancing the national competitiveness in 2021, the SBV has requested all of the SBV entities, the credit institutions and the foreign bank branches (hereinafter called as credit institutions) to follow closely the Government's motto in 2021, which is "Solidarity, Discipline, Innovation, Creativity, Aspirations for Development", in order to successfully implement the measures on the management of the monetary policy and the banking operations in 2021, aiming to control the inflation, maintain the macro-economic stability, and support a reasonable economic growth.
The overall goals and tasks of the banking sector in 2021 specified in the Directive are as follows:
(i) Managing the monetary policy in a proactive, flexible, and prudent manner, in coordination with the fiscal and the macro-economic policies, in order to control the inflation in line with the set-out target of about 4% for 2021; supporting the macro-economic stability, contributing to the economic recovery, maintaining the stability of the money and the forex markets. In 2021, the total liquidity is expected to increase by 12%; the credit growth is expected to reach about 12% and will be adjusted in accordance with the actual situation. The credit growth will be maintained at a reasonable level in close association with the improvement of the credit quality, focusing on production and priority areas; controlling strongly credit growth for areas with potential risks; Continuing to remove difficulties in credit access for the people and businesses affected by natural disasters and the pandemic.
Synchronously implementing measures on foreign exchange management with a view to maintaining the stability of the forex and the gold markets, gradually transforming into capital sources for production and business operations, keeping the macro-economic stability; increasing the State foreign exchange reserves when the market conditions are favorable.
(ii) Continuing to implement the solutions to restructure the credit institution system, especially those weak credit institutions; Actively implementing the measures to resolve bad debts, control and limit arising bad debts; Strengthening, consolidating and reorganizing the system of People's Credit Funds (PCFs), ensuring that these PCFs operate in accordance with the set-out principles and purposes; Strengthening the inspection and supervision of the credit institutions' operations, especially in areas with potential risks, ensuring the safety and full compliance with the legal regulations.
(iii) Promoting non-cash payments and digital transformation in banking operations, renovating and upgrading the information technology infrastructure, expanding the digital ecosystem to develop banking products and services; Monitoring the payment systems to ensure operational safety and high performance; supervising the operations of the payment intermediary services to ensure full compliance with the applicable laws; enhancing the security and safety in electronic payments and card payments; Continuing to improve the legal framework, mechanisms and policies on payments to ensure the consistency, responding to rapid technological changes and the development of new payment models and services.
(iv) Focusing on effective implementation of the administrative reform to create a more open business environment in general, and in the monetary and banking sector in particular, supporting the production and business development; improving the effectiveness and efficiency of the state management and the capacity of the state officials and public employees, ensuring the discipline, the respect and the rule of law.
(v) Continuing to implement the Strategy of Vietnam Banking Industry Development towards 2025, Vision to 2030; the National Financial Inclusion Strategy to 2025 with orientations to 2030; as well as the other Programs/Action Plans and Schemes of the banking sector.
In order to successfully implement the above overall goals and tasks, the SBV Governor has requested the SBV entities located at the headquarters to advise the Governor, proactively implement the solutions in line with their functions and tasks, in which the focus should be placed on the following: Improving the legal framework in the monetary and banking operations; Managing effectively the monetary, credit, foreign exchange and gold policies; Restructuring the credit institutions in association with NPL resolution; strengthening the banking inspection and supervision; preventing and combating against law violations in the banking sector; strengthening the operations of the PCF system, resolving the weak PCFs and enhancing the management and supervision over the microfinance institutions; promoting non-cash payments and digital transformation in the banking operations; ensuring the security and safety of information technology, electronic and card payments; accelerating the administrative procedure reform; promoting the discipline and integrity in the banking sector, etc.
The Directive also clarifies a number of other key tasks of the SBV entities located at the headquarters, such as: Proactively and strongly engaging in international cooperation and integration, promoting the bilateral and multilateral cooperation in the banking sector; Strengthening the partnerships, actively participating in the policy-making, initiatives to enhance the position and the voice of Vietnam and the SBV at the international and regional financial and monetary institutions and other international platforms; Strengthening the mobilization and effective implementation of programs, projects, consultancy and technical assistance from the international partners for Vietnam and the banking sector.
Implementing the communication in a professional and effective manner, improving the information transparency, meeting the SBV’s requirements of information dissemination and complying with the international commitments; Proactively implementing the appropriate and effective communication plans, strengthening the coordination of communication before, during, and after the issuance of new mechanisms and policies in order to create high public consensus and acceptance; Implementing effectively the SBV’s regulations on information dissemination; Continuing to formulate and select creative forms to implement financial education programs, contributing to improving the people’s knowledge about finance and banking; Enhancing the state management over the communication activities in the banking sector, creating the consistency and the uniformity from the SBV to the SBV municipal and provincial branches, between the SBV and the credit institutions, the finance companies and the media agencies engaged in the banking industry. The media agencies in the banking sector are also requested to closely follow the directions of the SBV, enhance the communication on the policies and key aspects of the banking sector, in order to assist in solving the arising problems.
For SBV municipal and provincial branches, the SBV Governor has requested them to arrange the implementation of the SBV's monetary, credit and forex policies in their areas; restructure the credit institutions in association with NPL resolution; enhance the banking inspection and supervision; prevent and combat against law violations in the banking sector; strengthen the management of the PCFs’ operations in their areas; promote non-cash payments; ensure the IT security for payment operations in their areas; strengthen the communication and provide prompt and timely information on the SBV’s mechanisms and policies, as well as the banking results; concentrate on communicating the policies, especially the new mechanisms and policies on monetary and banking operations with a view to generating a high consensus among the businesses and the people in their respective areas; etc.
For the credit institutions: the SBV Governor has requested the CIs to follow and implement the SBV's measures for monetary, credit and forex management; conduct the restructuring plans in association with NPL resolution; enhance the inspection and internal audits; improve the capabilities of governance, administration and risk management; prevent and combat against law violations in the banking sector; develop modern payment services; enhance the digital banking transformation; ensure the IT security and safety for the payment systems; enhance the communication and provide prompt and timely information on the mechanisms and policies in the banking sector; take responsibilities for implementing the programs on financial education in order to improve the public’s knowledge about monetary and banking operations, as well as banking products and services; etc.
The SBV Governor has also requested the heads of the SBV entities located at the headquarters and the Directors of the SBV municipal and provincial branches, the Chairpersons of the Boards of Directors/Boards of Members, and the General Directors/CEOs of the credit institutions and the foreign bank branches to take responsibility for the implementation of this Directive.