return icon Vietnamnet.vn

Finance, banking sector under pressure to undergo digital conversion

The technical breakdown at the HCMC Stock Exchange (HOSE) in late January shows that the finance and banking sector in Vietnam urgently needs to undergo digital conversion, analysts have said.

VietNamNet Bridge - The technical breakdown at the HCM City Stock Exchange (HOSE) in late January shows that the finance and banking sector in Vietnam urgently needs to undergo digital conversion, analysts have said.


{keywords}

Banks is witnessing the fastest digitalization process in Vietnam



Trading orders could not be entered into the system on January 22 due to a software flaw. Vietnam's largest stock exchange had to close for two days to fix the technical problems.

In a press release, Le Hai Tra from HOSE’s management board said the transaction system used at HOSE is good with high stability. It was once used at the Chicago Stock Exchange and Thailand Stock Exchange. 

He said the system has been undergoing periodic maintenance and has been upgraded several times. At the time when the breakdown occurred, the number of orders the system was dealing with were just 25 percent of the system’s capability.

However, analysts said that incidents caused by software flaws are unacceptable.

Banks in digitalization race

Banking is witnessing the fastest digitalization process in Vietnam. Most Vietnamese banks are using the most advanced technologies, from Mobilization to Big Data.

TP Bank has launched Livebank, an autobank service which allows clients to use banking services 24 hours a day. The bank has installed next-generation ATMs in large cities.

The technology allows the bank to cut costs opening branches and transaction offices and allows clients to make transactions at a time convenient to them.

The technical breakdown at the HCM City Stock Exchange (HOSE) in late January shows that the finance and banking sector in Vietnam urgently needs to undergo digital conversion

Meanwhile, other banks are using new technologies such as artificial intelligence and big data analysis to answer customers’ inquiries automatically and to research customer behavior so as to provide suitable services to different groups of clients.

Experts predict that business activities based on digital platforms will make up 44 percent of banks’ total revenue this year, compared with the 32 percent proportion in 2014. Digital technology is expected to change the face of Vietnam’s banking sector.

Blockchain 

Blockchain technology has been introduced by cloud computing service providers in Vietnam by IBM, Microsoft and Oracle.

Vu Manh Hoang from IBM Vietnam said it is a simple and easy way to access technology, and the cost is reasonable. At first, businesses can use the technology on a small scale, for 5-7 officers, and can expand the scale later, depending on demand. 

IBM believes that from now to 2020, blockchain will be one of 10 leading technologies in the world, including Vietnam. Many more Vietnamese enterprises will use the technology this year.


RELATED NEWS

Traditional to digital: New wave in retail banking

‘Wave-to-pay’ technology now more common


Mai Thanh

MORE NEWS

Amid global unrest, VN billionaires incur huge losses

Despite good news about the economy, including high growth rate and low inflation, stock prices have been sliding all over the globe.

Vietnam needs to expand airport network to relieve pressure on infrastructure

Vietnam ranks No.1 on the list of the 25 countries with the fastest post-pandemic recovery of the domestic aviation market.

Binh Duong lures foreign investors with special care

The southern province of Binh Duong has taken the lead for foreign direct investment (FDI) attraction thanks to its methods of taking care of investors.

Securities under pressure from external risks

Although the US Federal Reserve (FED) raised the interest rate in the hope of reducing inflationary pressure, it has come as a shock to see a rise in the core US inflation data, despite falling oil prices.

Unemployment rate falls, workers' incomes increase

According to the General Statistics Office's Report, the labor and employment situation in the third quarter of 2022 continued to recover.

The most expensive birds in Vietnam

Red-whiskered bulbs (Pycnonotus jocosus) with original colors are priced at VND500 million and tiny chickens with original colors sell for thousands of USD.

Drinks from dracontomelon: A popular heat-relieving drink in Hanoi

Sweet drinks made from ‘sau’, a fruit which is known scientifically as Dracontomelon, are a popular heat-relieving drink in Hanoi during the hot summer.

1,000 authors with doctoral degree or higher compiled textbooks for new academic year

As many as 1,574 authorities participated in compiling textbooks for six grades in accordance with the new general education program issued in 2018.

Expectations positive for growth trajectory

The Vietnamese economy has been gradually bouncing back thanks to the government’s major efforts to curb the pandemic and remove obstructions to progress for enterprises.

Law on Pharmacy needs to be amended

The lack of medicine at public hospitals has caused concern among the public. The Prime Minister has instructed the Ministry of Finance (MOF) and relevant ministries to find solutions to resolve the problem.

FIEs seek streamlined workforce policy

The human resources of Vietnam are improving to meet the demand of foreign-invested enterprises. However, they may require stronger policies on visas to enhance performance and transfer high technologies to Vietnam

US investors display confidence in Vietnam

Vietnam and the United States are seeking ways to increase their investment and trade ties, with the latter pledging to support the latter in education, training, and the energy transition.

Entrepreneurs blaze a trail in the city

Die-hard entrepreneurs are re-inventing themselves to solve business problems and find their niches in Ho Chi Minh City.

VN ranks 48th in Global Innovation Index 2022

Vietnam ranked 48th among the 132 economies featured in the Global Innovation Index 2022 (GII 2022).

Outstanding policies take effect in October 2022

A string of new policies on higher vehicle registration fee, termination of compulsory unemployment insurance premium, electronic identification and authentication and cybersecurity come into effect in October 2022.
back_to_top