Smart banking emerges as more than just a technological trend

In 2024, smart banking is evolving beyond a mere technological trend. It is becoming a strategy for sustainable development that fosters collaboration among banks to share experiences, learn and grow together.

HÀ NỘI — In 2024, smart banking is evolving beyond a mere technological trend. It is becoming a strategy for sustainable development that fosters collaboration among banks to share experiences, learn and grow together.

This focus on sustainability in banking was emphasised by Phạm Tiến Dũng, Deputy Governor of the State Bank of Vietnam (SBV), during the Smart Banking Conference-Exhibition 2024, held in Hà Nội yesterday.

Phạm Tiến Dũng, Deputy Governor of the State Bank of Vietnam (SBV) spoke at the event. VNS Photos
Phạm Tiến Dũng, Deputy Governor of the State Bank of Vietnam (SBV) spoke at the event. VNS Photos

In his opening speech, themed 'Shaping the Digital Future for the Banking Sector: Strategies for Secure and Resilient Operations', Dũng highlighted the banking industry’s open legal framework that promotes digital banking, setting it apart from other sectors in terms of achievements.

The SBV has pioneered initiatives such as enabling eKYC-based account opening since 2021 and more recently, from October 1, 2024, allowing account openings using chip-embedded citizen IDs, thereby supporting fully online guarantees and lending. This legal foundation is crucial for the technological integration of the banking sector.

Vice Chairman and General Secretary of the Vietnam Banks Association (VNBA), Nguyễn Quốc Hùng, echoed these sentiments, noting that digital transformation in banking—both globally and in Việt Nam—is at a pivotal moment.

Innovations such as big data, AI, machine learning, augmented reality and open banking platforms are propelling this shift, making smart banking a cornerstone of a sustainable, tech-forward banking landscape.

Hùng 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.

This analysis underscores the substantial progress in banking technology, highlighting the enhanced quality and convenience of e-banking services. By leveraging key technologies, credit institutions have successfully modernised banking operations, particularly in management, data analysis and customer support, providing a seamless, 24/7 experience.

A panel takes questions raised by participants at the event.
A panel takes questions raised by participants at the event.

The surge in digital transactions reflects the effectiveness of these developments, with some banks now conducting over 90 per cent of transactions through digital channels. More than 80 per cent of adults in Việt Nam 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 VNĐ830 trillion (approximately US$32.5 billion), showcasing an impressive annual growth rate of 23.5 per cent.

Continuous investments in banking technology ensure alignment with international standards, demonstrating the sector's commitment to innovation and efficiency. Deputy Governor Phạm Tiến Dũng remarked on the significant strides in banking digitalisation, with transaction rates on digital channels reaching approximately 97-98 per cent for many commercial banks. The annual growth rate remains robust, with double-digit increases in both transaction volume and value, reflecting a high level of digital integration within the sector.

The banking industry’s integration with sectors like the Ministry of Public Security and telecommunications further illustrates its interconnected role in the economy. However, as banks connect with various external systems, they face heightened risks related to security and operational continuity.

Dũng stressed the importance of maintaining operational safety and quality as digital offerings expand, urging banks to focus on enhancing the quality and security of their products and services to ensure comprehensive and resilient digital transformation.

Hùng echoed concerns regarding emerging risks to the sustainability of the banking industry, particularly the rise in security threats and information breaches. Advanced Persistent Threats (APT) targeted at the Vietnamese banking sector by organised crime groups, as well as increased instances of customer fraud, pose significant challenges. These threats highlight the urgent need for robust defenses as banks progress in their digital transformations.

While adopting new technologies brings substantial benefits—such as fostering new ecosystems, innovative business models, open banking, and enhanced customer experiences—these advancements must be balanced with secure and reliable operations.

Hùng emphasised that accelerating digital transformation while maintaining operational and information security is vital for the banking industry. Given the global rise in cybercrime, he stressed that information security is not only a priority for Vietnamese banks but also a shared global concern as technology evolves alongside non-traditional security threats.

Speaking alongside the event about information security in the banking sector, Tan Bin Ru, President of Enterprise (Digital) at ST Engineering, stated that three fundamental principles ensure data protection and resilience: encryption, integrity and availability. She introduced advanced cybersecurity offerings, including WizKnight Cloud for securing communications for remote users and SCALE, a comprehensive solution that safeguards data and reinforces virtual desktop security. These solutions enhance secure remote access and connectivity across on-premises and cloud platforms, ensuring data confidentiality, integrity, and availability. The ongoing research in quantum key distribution prepares solutions for a quantum-ready future.

Continuous monitoring to detect threats and vulnerabilities in a bank's infrastructure, along with effective employee training, is essential for improving security, she said. We offer advanced solutions for monitoring and responding to cyber threats, including supply chain cybersecurity monitoring, cloud investigation and response automation and realistic simulations of cyber threats as part of our comprehensive cybersecurity suite.

In summary, our solutions empower banks to secure access to information and respond more swiftly to incidents, leading to more effective risk management, she noted.

Source: VNS

See also

NVIDIA to build AI research and data centres in VN

NVIDIA to build AI research and data centres in VN

An agreement to develop two centres dedicated to artificial intelligence (AI) studies was signed between the Vietnamese Government and the American technology company NVIDIA.
VinFuture Sci-Tech Week starts in Hà Nội

VinFuture Sci-Tech Week starts in Hà Nội

VinFuture Foundation organised the 'Science for Life' symposia on December 4, opening the VinFuture Sci-Tech Week and Award Ceremony series in Hà Nội.
Nineteen initiatives receive Vietnam Smart City Awards 2024

Nineteen initiatives receive Vietnam Smart City Awards 2024

The Vietnam Software and IT Services Association (VINASA) presented the Smart City Awards 2024 to 10 localities and authors of nine smart technological solutions during the Vietnam-Asia Smart City Summit 2024, held in Hanoi on December 3.
Empowering Vietnamese firms with digital transformation

Empowering Vietnamese firms with digital transformation

In response to the growing demand of digital transformation and smart production, the Ministry of Industry and Trade has implemented harmonious measures to support domestic businesses in navigating the fourth industrial revolution.
PM urges rapid technology mastery in renewable energy development

PM urges rapid technology mastery in renewable energy development

Prime Minister Pham Minh Chinh on December 1 asked the Vietnam Oil and Gas Group (Petrovietnam) to accelerate technology transfer for wind turbine and blade production by 2026, ultimately achieving full technology mastery for offshore wind energy development.
VN to embrace a new internet era: VIA

VN to embrace a new internet era: VIA

There are vast opportunities for Vietnamese internet businesses, participants were told at Việt Nam's Internet Day 2024 in Hà Nội.

See more news

Global experts delve into earth, environmental sciences at int’l Vietnam confab

Global experts delve into earth, environmental sciences at int’l Vietnam confab

The fourth International Vietnam Conference on Earth and Environmental Sciences is taking place in the south-central province of Binh Dinh from November 26-29, bringing together nearly 130 prominent experts from around the world.
TECHFEST Vietnam 2024 crowns winners for innovation in healthcare and sustainability

TECHFEST Vietnam 2024 crowns winners for innovation in healthcare and sustainability

The TECHFEST Vietnam 2024 National Creative Startup Talent Search Competition announced its winners on Tuesday, with the top teams recognised for their innovative solutions in healthcare and sustainable green development.
MoU signed to foster Vietnam-Canada cooperation in science, technology

MoU signed to foster Vietnam-Canada cooperation in science, technology

In preparation for cooperation in training human resources in science and technology, a delegation of the Vietnam Higher Education Network of Entrepreneurship & Innovation (VNEI) has recently signed a Memorandum of Understanding (MoU) with the Colleges and Institutes Canada (CICAN) on the occasion of their participation in the Canadian Bureau for International Education Conference.
First Vietnamese scientist named at UK’s TechWomen 100 Awards

First Vietnamese scientist named at UK’s TechWomen 100 Awards

With outstanding achievements in biotechnology, Dr Nguyen Thuy Ba Linh from University College London (UCL) has become the first Vietnamese scientist to win the UK's TechWomen 100 Awards.
Vietnam: A global magnet for scientific talent

Vietnam: A global magnet for scientific talent

Hanoi – Vietnam has rapidly established itself as a premier destination for scientific talent worldwide, driven by a robust policy framework aimed at nurturing talent and cultivating a skilled workforce for sustainable development.
Samsung launches technology talent development programm

Samsung launches technology talent development programm

Samsung Vietnam Complex on Friday officially launched the Samsung Innovation Campus (SIC) 2024–25, a Technology Talent Development Programme aimed at equipping Việt Nam’s youth - the future leaders of the Fourth Industrial Revolution - with advanced technological capabilities.
Việt Nam and Korean NIPA strengthen tech cooperation

Việt Nam and Korean NIPA strengthen tech cooperation

The Minister of Information and Communications, Nguyễn Mạnh Hùng, commended NIPA for its contributions in assisting Việt Nam in establishing a legal framework for the draft digital industry law.
Cyberattack risks surge with AI advancements

Cyberattack risks surge with AI advancements

Cyberattacks are becoming more sophisticated and complex, especially with the assistance of artifical intelligence (AI), said Deputy Minister of Information and Communications Bùi Hoàng Phương.
People, community at heart of digital transformation: Deputy PM

People, community at heart of digital transformation: Deputy PM

He called on countries and organisations to bolster close cooperation to build an Internet community of safety, responsibility and development while laying stress on Việt Nam's significant progress in the digital transformation programme.
AI is core technology of 4th Industrial Revolution: Minister

AI is core technology of 4th Industrial Revolution: Minister

Minister of Information and Communications Nguyen Manh Hung on November 19 emphasised that artificial intelligence (AI) is the core technology of the 4th Industrial Revolution, as important as the steam engine of the first Industrial Revolution, the power generator of the 2nd Industrial Revolution and the personal computer of the 3rd Industrial Revolution.
View more
Latest Most Read
Vietnam among top five favorite destinations for US tourists

Vietnam among top five favorite destinations for US tourists

(VEN) - In the first 11 months of 2024, the US is in the list of Vietnam's leading source of tourists with more than 706,000 visitors.
Việt Nam needs a competitive energy market: experts

Việt Nam needs a competitive energy market: experts

Economists, industry experts and policymakers at the event highlighted several critical challenges facing the country’s energy sector and the urgent need for strategic reforms.
Australia shows interest in Việt Nam

Australia shows interest in Việt Nam's vision of a 'rising era'

Việt Nam and Australia shared a vision of a peaceful, stable, and prosperous region and the relationship between Việt Nam and Australia have been growing fruitfully in all sectors.
Power sector must not let electricity shortage happen as the country aspires for double-digit growth

Power sector must not let electricity shortage happen as the country aspires for double-digit growth

The 500kV transmission line spans a total length of 519km, comprising 1,177 towers, with a total investment of over VNĐ22.3 trillion (approx. US$878 million) and plays a vital role in ensuring stable power systems and enhancing electricity supply for northern Việt Nam in 2024 and beyond.
Information and communications sector’s revenue exceeds VND3.9 trillion in 11 months

Information and communications sector’s revenue exceeds VND3.9 trillion in 11 months

(VEN) - In the first 11 months of 2024, the total revenue of the information and communications sector reached an estimated VND3,982,742 billion, a year-on-year increase of 19.8 percent.
16 intangible cultural heritage elements recognised by unesco

16 intangible cultural heritage elements recognised by UNESCO

The Ba Chua Xu (Holy Mother of the Realm) Festival at Sam mountain in the Mekong Delta province of An Giang was officially recognised by UNESCO as intangible cultural heritage of humanity at the 19th session of the Intergovernmental Committee for the Safeguarding of the Intangible Cultural Heritage in Paraguay on December 4. With this recognition, the festival has become the 16th intangible cultural heritage element of Vietnam recognised by UNESCO.
vietnam japan comprehensive strategic partnership for peace and prosperity in asia and the world

Vietnam-Japan Comprehensive Strategic Partnership for Peace and Prosperity in Asia and the World

National Assembly Chairman Tran Thanh Man and his spouse are paying an official visit to Japan from December 3-7. The visit is expected to promote the two countries' legislative ties in a practical and sustainable manner, thus concretising the comprehensive strategic partnership across spheres.
streamlining political systems organisational apparatus

Streamlining political system's organisational apparatus

Party General Secretary To Lam has urged Party committees, Party organisations, agencies, units, and sectors at all levels to demonstrate the highest political determination in streamlining the political system's organisational apparatus.
vietnam singapore strategic partnership

Vietnam-Singapore Strategic Partnership

The official visit to Singapore by National Assembly Chairman Tran Thanh Man and his spouse aims to further deepen the strategic partnership between Vietnam and Singapore.
local vibe at wholesale market

Local vibe at wholesale market

A market can often be described as the beating heart of a city. And Đồng Xuân Market in the centre of Hà Nội is exactly that.
Australia shows interest in Việt Nam

Australia shows interest in Việt Nam's vision of a 'rising era'

Việt Nam and Australia shared a vision of a peaceful, stable, and prosperous region and the relationship between Việt Nam and Australia have been growing fruitfully in all sectors.
Plan to streamline Government

Plan to streamline Government's organisational apparatus finalised

According to Minister of Home Affairs Phạm Thị Thanh Trà, the government's restructuring extends beyond ministerial consolidation, and the number of units under ministries and ministerial-level organisations will be cut by 15-20 per cent
Vietnam slashes government apparatus, with 9 minitries, agencies cut

Vietnam slashes government apparatus, with 9 minitries, agencies cut

Hanoi – Nine ministries and agencies under the Government will be consolidated under a resolution on streamlining and optimising the political system, Minister of Home Affairs Pham Thi Thanh Tra told the Vietnam News Agency.
Specific plans announced to restructure Party apparatus

Specific plans announced to restructure Party apparatus

The plan will reduce at least four Party organisations, 25 Party delegations and 16 Party groups merged into others and add two more Party Committees under central management.
Việt Nam needs a competitive energy market: experts

Việt Nam needs a competitive energy market: experts

Economists, industry experts and policymakers at the event highlighted several critical challenges facing the country’s energy sector and the urgent need for strategic reforms.
Việt Nam resumes nuclear power project amid rising energy demands

Việt Nam resumes nuclear power project amid rising energy demands

Vietnamese law-markers have approved the plan to resume the nuclear power project in the south – central province of Ninh Thuận after eight years of pause in an effort to ensure energy security while meeting Net Zero goal.
Việt Nam

Việt Nam's supporting industry for electronics needs more support

In addition to the efforts of enterprises, Việt Nam's supporting industry for electronics production needs many helpful policies from the State to promote its development.
Vietnam’s automotive industry seizes golden opportunities from global supply chain

Vietnam’s automotive industry seizes golden opportunities from global supply chain

(VEN) - In recent years, Vietnam’s automotive industry has experienced positive growth, aiming not only to meet domestic demand, but also to establish its position in the international market.
Vietnamese businesses explore Indonesian market

Vietnamese businesses explore Indonesian market

A business networking session between a delegation from the Ho Chi Minh City Association of Mechanical-Electrical Enterprises (HAMEE) and the Indonesian Chamber of Commerce and Industry (KADIN) was held on December 5 in Jakarta.
Vietnam attracts nearly 31.4 billion USD in foreign investment in 11 months

Vietnam attracts nearly 31.4 billion USD in foreign investment in 11 months

Total registered foreign direct investment (FDI) into Vietnam, including new and additional investments, and capital contributions via share purchases, reached 31.4 billion USD in the first 11 months of 2024.
Top legislator suggests Japan’s Tokyu Group expand investment in Vietnam

Top legislator suggests Japan’s Tokyu Group expand investment in Vietnam

Chairman of the Vietnamese National Assembly (NA) Tran Thanh Man received Chairman of Japan’s Tokyu Group Hirofumi Nomoto in Tokyo on December 5 morning, as part of his ongoing official visit to the East Asian nation.
Chinese media highlights Vietnam as attractive investment destination in 2025

Chinese media highlights Vietnam as attractive investment destination in 2025

The number of Chinese manufacturers shifting production to the Vietnamese market has boomed since 2018, and the upward trend is set to continue over the coming years, the South China Morning Post (SCMP) of Hong Kong (China) confirmed.
Finance ministry to use AI in stock market surveillance

Finance ministry to use AI in stock market surveillance

The Ministry of Finance announced on Friday that it is researching using artificial intelligence (AI) tools to monitor transactions in the stock market.
Year-end profits put heavy pressure on banks

Year-end profits put heavy pressure on banks

(VEN) - As of the third quarter of 2024, only 11 out of 27 commercial banks have completed 75 percent or more of their pre-tax profit plans. Therefore, the year-end profit target is a huge pressure weighing heavily on their shoulders.
Party chief receives leader of Japan Bank for International Cooperation

Party chief receives leader of Japan Bank for International Cooperation

Party General Secretary To Lam hosted a reception in Hanoi on December 4 for Chairman of the Board of Directors of the Japan Bank for International Cooperation (JBIC) Maeda Tadashi.
Central bank increases credit growth limit for banks for second time this year

Central bank increases credit growth limit for banks for second time this year

The State Bank of Vietnam (SBV) on November 28 announced it would increase credit growth target for credit institutions, for the second time this year.
Seeking capital for green transformation remains tough

Seeking capital for green transformation remains tough

(VEN) - Shifting to green economy has become the goal of many countries and businesses around the world, including Vietnam. However, capital for green transition is still a difficult problem for the Vietnamese business community.
Drainage infrastructure development behind pace of urbanisation

Drainage infrastructure development behind pace of urbanisation

Domestic wastewater and rainwater are discharged directly into sewers, canals and ditches and then into main rivers.
Việt Nam rattled by 458 earthquakes in 11 months

Việt Nam rattled by 458 earthquakes in 11 months

HÀ NỘI — Việt Nam has experienced a significant increase in seismic activity this year, with hundreds of small earthquakes reported across the country.
Hà Nội determined to revive its polluted rivers

Hà Nội determined to revive its polluted rivers

HÀ NỘI — After a long delay period, with strong political commitment and leadership from municipal leaders, the Yên Xá wastewater treatment system in Hà Nội has now begun trial operation.
NVIDIA to build AI research and data centres in VN

NVIDIA to build AI research and data centres in VN

An agreement to develop two centres dedicated to artificial intelligence (AI) studies was signed between the Vietnamese Government and the American technology company NVIDIA.
VinFuture Sci-Tech Week starts in Hà Nội

VinFuture Sci-Tech Week starts in Hà Nội

VinFuture Foundation organised the 'Science for Life' symposia on December 4, opening the VinFuture Sci-Tech Week and Award Ceremony series in Hà Nội.
Nineteen initiatives receive Vietnam Smart City Awards 2024

Nineteen initiatives receive Vietnam Smart City Awards 2024

The Vietnam Software and IT Services Association (VINASA) presented the Smart City Awards 2024 to 10 localities and authors of nine smart technological solutions during the Vietnam-Asia Smart City Summit 2024, held in Hanoi on December 3.
Empowering Vietnamese firms with digital transformation

Empowering Vietnamese firms with digital transformation

In response to the growing demand of digital transformation and smart production, the Ministry of Industry and Trade has implemented harmonious measures to support domestic businesses in navigating the fourth industrial revolution.
Power sector must not let electricity shortage happen as the country aspires for double-digit growth

Power sector must not let electricity shortage happen as the country aspires for double-digit growth

The 500kV transmission line spans a total length of 519km, comprising 1,177 towers, with a total investment of over VNĐ22.3 trillion (approx. US$878 million) and plays a vital role in ensuring stable power systems and enhancing electricity supply for northern Việt Nam in 2024 and beyond.
The VinFuture 2024 Grand Prize honours 5 scientists for transformational contributions to the advancement of deep learning

The VinFuture 2024 Grand Prize honours 5 scientists for transformational contributions to the advancement of deep learning

HÀ NỘI — The VinFuture Foundation honoured four scientific breakthroughs in 2024 at a ceremony in Hà Nội on December 6.
With strong commitment and substantial investment, Việt Nam can end AIDS by 2030

With strong commitment and substantial investment, Việt Nam can end AIDS by 2030

To end AIDS by 2030, Việt Nam must focus on high-impact interventions and significantly scale up programme coverage from current levels.
Mang Den Airport construction plan proposed

Mang Den Airport construction plan proposed

(VEN) - Mang Den Airport in the Central Highlands province of Kon Tum is expected to be built with the first-phase investment of nearly VND5 trillion through a Public-Private Partnership (PPP).
2024 Vietnam Business Day opens shop in Japan

2024 Vietnam Business Day opens shop in Japan

The Vietnam Business Association in Japan (VJBA) on December 3 held the 2024 Vietnam Business Day with the theme “Shared Vision, Shared Success".
Việt Nam

Việt Nam's OCOP products debut at AF-L'ARTIGIANO IN FIERA 2024 in Milan

Under the theme 'Việt Nam’s OCOP Products: Gathering Values, Spreading Culture', Việt Nam’s pavilion spans 200 square metres.
Top 10 reputable logistics companies in 2024 announced

Top 10 reputable logistics companies in 2024 announced

The Vietnam Report JSC on November 29 announced the list of top 10 reputable logistics companies for 2024.
150 products honoured as “Vietnamese Goods Loved by Consumers 2024”

150 products honoured as “Vietnamese Goods Loved by Consumers 2024”

A ceremony honouring the 150 most popular products voted by consumers took place in Hanoi on November 28.
tcty-dau-khi-vn-pv-power-2022
Kinh Bac Art 3 contemporary painting exhibition opens

Kinh Bac Art 3 contemporary painting exhibition opens

(VEN) - On the afternoon of December 7, the Kinh Bac Art 3 contemporary painting exhibition was opened at the Appraisal and Exhibition Center of Art and Photography, 29 Hang Bai Street, Hoan Kiem District, Hanoi.
Exhibition on royal culture of Huế opens

Exhibition on royal culture of Huế opens

A special exhibition featuring the history and development of Huế Citadel has opened at the Museum of Hồ Chí Minh City.
Vietnamese artisans bring unique handicrafts to Milan

Vietnamese artisans bring unique handicrafts to Milan

Vietnamese firms are making their mark at the 28th Artigiano International Handicrafts Fair in Milan, the capital of Lombardy - Italy's largest economic and cultural hub, from November 30 - December 8.
Hanoi Digital Pho gives experience of unique culinary essence

Hanoi Digital Pho gives experience of unique culinary essence

(VEN) - Hanoi has just introduced to consumers and tourists its cultural heritage - Hanoi Pho - in a unique way, which is digital Hanoi Pho.
Vietnam among top five favorite destinations for US tourists

Vietnam among top five favorite destinations for US tourists

(VEN) - In the first 11 months of 2024, the US is in the list of Vietnam's leading source of tourists with more than 706,000 visitors.
15.8 million int

15.8 million int'l tourists came to Việt Nam in first 11 months, nearing 2024 target

Experts noted that the sharp increase in November is expected, as Việt Nam is in the peak international tourism season from October to March. The previous record for monthly international arrivals was set in November 2019, with over 1.8 million visitors.
2025 holiday schedule announced early, expected to boost tourism

2025 holiday schedule announced early, expected to boost tourism

Vietnam’s 2025 holiday schedule was announced early, which is expected to help both people and tour operators actively prepare for holidays across the year.
Developing green and sustainable tourism as a pathway to growth

Developing green and sustainable tourism as a pathway to growth

Cities facing challenges like population density, environmental stress and economic development pressure are recognising the potential of green tourism to address these issues.
Mobile Version