State Bank of Vietnam urges Co-opBank to raise capital and strengthen oversight of the People’s Credit Fund system

The State Bank of Vietnam published remarks by Deputy Governor Doan Thai Son at the 30th anniversary of Vietnam Cooperative Bank (Co-opBank), calling for the bank to further modernise its operating model and improve the quality of its activities to reinforce its role as the system linkage institution supporting the network of People’s Credit Funds (PCFs). Key priorities included completing an increase in Co-opBank’s charter capital, upgrading staff capability and professional ethics, investing in modern technology and information security for digital transformation, and updating the bank’s charter and internal regulations to align with the 2024 Law on Credit Institutions and related legal requirements. The Deputy Governor also highlighted the need to strengthen internal controls and implement restructuring and non-performing loan resolution measures for 2021–2025 and subsequent periods, while stepping up support to PCFs on governance, internal control and internal audit, and developing products and services for PCF members, particularly households and small and micro enterprises in rural and remote areas. The agenda also covered tighter inspection, supervision and internal audit of PCFs, and closer coordination with the State Bank of Vietnam’s central and regional units, Deposit Insurance of Vietnam and local authorities to detect and address weak PCFs. Co-opBank reported that, as of 31 December 2024, it had nearly VND 62 trillion in total assets, over VND 55 trillion in deposits and nearly VND 37 trillion in loans. At the event, the State Bank of Vietnam Governor awarded commendations to Co-opBank and 14 units, and Co-opBank recognised 50 member PCFs for effective system cooperation and digital transformation.