The remark was made by Nguyen Quoc Hung, Vice Chairman and General Secretary of the Vietnam Banks’ Association (VNBA) at the Smart Banking 2024 workshop and exhibition held in Hanoi on October 29.
Nguyen Quoc Hung, Vice Chairman and General Secretary of the Vietnam Banks’ Association, said the sector’s digital transformation is being driven by technologies such as big data, artificial intelligence, machine learning, augmented reality, and open banking platforms.
Hung pointed out that the Information Technology Development Strategy and the Digital Transformation Plan for the Banking Industry, along with regulatory frameworks like the Law on Credit Institutions 2024, the Decree on Non-Cash Payments and various circulars governing electronic account opening, guarantees, lending and information security, have collectively driven significant advancements in the sector's digital transformation efforts.
According to Deputy Governor of the State Bank of Vietnam Pham Tien Dung, digital transactions at many commercial banks have reached a rate of 97-98%, with the banking sector maintaining annual double-digit increases in both transaction volume and value.
Dung noted that a legal framework has been in place to facilitate the industry’s technological adoption.
Notably, from October 1, banks allow account openings using chip-enabled citizen ID cards and fully implement online lending and guarantees. This legal foundation is crucial for the technological integration of the banking sector, he said.
The surge in digital transactions reflects the effectiveness of these efforts, with some banks now conducting over 90% of transactions through digital channels. More than 80% of adults in Vietnam hold payment accounts.
Notably, the credit institution system has amassed around 200 million customer records, including 46.7 million biometric-verified accounts. The financial switching and clearing system processes over 20 million transactions daily, while the interbank electronic payment system handles an average daily transaction value exceeding 830 trillion VND (approximately 32.5 billion USD), showcasing an impressive annual growth rate of 23.5%.
The Smart Banking event aimed to connect top finance-banking leaders and experts, providing deep insights into the latest technologies and identifying breakthrough strategies for building a safe and sustainable digital future for the banking industry.
Highlighting the importance of safety measures and sustainable development strategies in the sector within the digital space, it featured specialised sessions, practical cybersecurity drills, and a 27-booth international exhibition.
