The State Bank of Vietnam held talks between Governor Nguyen Thi Hong and World Bank East Asia and Pacific Vice President Carlos Felipe Jaramillo, focusing on cooperation and policy priorities for Vietnam’s financial sector, including strengthening supervision, progressing toward fuller adoption of Basel standards, and advancing sustainable banking. Discussions referenced two newly published World Bank reports, “Vietnam 2045 – Institutional Breakthroughs for a High-Income Future” and “Vietnam 2045 – Greener Growth: Pathways towards a Sustainable and Climate Resilient Future”, with themes including investment in people and digital infrastructure, improving the effectiveness of public investment, reinforcing financial sector oversight to reduce systemic risk, supporting the green transition, developing human capital, and accelerating institutional reforms. The World Bank noted Vietnam’s fiscal space and highlighted infrastructure investment and capital market development as levers to support long-term investment and reduce pressure on monetary policy, while cautioning about risks from excessively rapid credit expansion. The Governor referenced amendments to the 2024 Law on Credit Institutions aimed at strengthening safety and resilience and described ongoing work to embed Basel standards through updates to capital adequacy rules, internal control systems, and Pillar-based disclosures, alongside coordination with the Ministry of Agriculture and Environment to develop criteria for assessing green projects and integrating environmental and social considerations into credit decisions, aligned with Vietnam’s net-zero 2050 commitment. The central bank indicated it will continue working with the World Bank’s Vietnam office and the World Bank’s East Asia and Pacific regional hub in Singapore to mobilise resources and support policy implementation.

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