State Bank of Vietnam commits to regulatory review as IFC and SECO launch a 2025–2030 supply chain finance programme

The State Bank of Vietnam announced that Deputy Governor Nguyen Ngoc Canh attended the signing of a cooperation agreement between the International Finance Corporation (IFC) and the Swiss State Secretariat for Economic Affairs (SECO) to promote the development of Vietnam’s supply chain finance (SCF) market, with a focus on improving access to working capital for micro, small and medium-sized enterprises. Building on the results of IFC’s phase 1 SCF programme (2019–2024), IFC and SECO plan to develop and implement a phase 2 programme (expected 2025–2030) that will support Vietnamese public authorities including the State Bank of Vietnam, the Ministry of Justice and the Supreme People’s Court, as well as build SCF capacity for banks, SCF transaction-platform companies and market participants. The central bank indicated it will continue working with IFC and SECO to review and adjust regulations to create a more enabling environment for SCF, including by reviewing rules on lending via electronic finance platforms and encouraging credit institutions to diversify products to improve SMEs’ access to credit. Phase 2 is expected to run from 2025 to 2030, with the State Bank of Vietnam looking to continue cooperating with IFC and SECO to mobilise resources and implement practical activities to further develop the SCF market.