Implementing the Prime Minister’s Directive in Official Telegram No. 159/CĐ-TTg dated September 7, 2025 on the orientation for fiscal and monetary policy management, and Resolution No. 273/NQ-CP dated September 9, 2025 of the Government’s August 2025 regular meeting, the State Bank of Vietnam (SBV) held a conference late last week on internal control, internal audit, and inspection of credit institutions in 2025. The event aimed to enhance the effectiveness of supervisory boards, internal audit units and internal inspection functions within credit institutions.
In recent years, in order to ensure the banking system operates safely, sustainably, and in compliance with the law, the SBV through its monitoring, inspection, and supervisory activities has regularly issued notices and warnings, requiring credit institutions to strictly observe legal regulations, SBV guidelines and directives from the competent authorities.
SBV Governor Nguyen Thi Hong delivered the closing remarks at the Conference
Generally, the credit structure has followed the orientations and directives of the Government, the Prime Minister, and the SBV. The operations of supervisory boards, internal audit units, and compliance monitoring departments at credit institutions have shown positive improvements. Many credit institutions now pay greater attention to internal control, strengthen the independence of internal audits, and some have developed models suited to their scale of operations, applying data technology and process automation to enhance transparency and objectivity.
At the Conference, the SBV emphasized, instructed, and required credit institutions to strictly comply with regulations related to the directives of the Prime Minister and the SBV, ensuring that the system operates safely and sustainably, thereby contributing to maintaining macroeconomic stability, controlling inflation, and safeguarding major economic balances.
SBV Deputy Governor Pham Quang Dung delivered the opening remarks at the Conference
Specifically, regarding credit activities, the SBV requested credit institutions to continue closely following and actively, strictly implementing the directives of the Government, the Prime Minister, and the SBV Governor as stated in Directive No. 01/CT-NHNN dated January 20, 2025; Notification No. 233/TB-NHNN dated July 22, 2025 on the Governor’s conclusions at the mid-year banking review and task-setting conference for the second half of 2025; and other guiding documents on credit policies and sectoral lending. These efforts aim to improve capital access and support economic growth targets set by the National Assembly, the Government, and the Prime Minister.
In particular, credit institutions should continue to cut costs, simplify administrative procedures, and accelerate digital transformation to create room for lowering lending interest rates. Credit should be directed toward production and business sectors, priority areas, and traditional growth drivers of the economy (investment, exports, consumption), as well as new growth drivers such as science and technology, innovation, the digital economy, the green economy, and the circular economy…
Leaders of the SBV together with heads of several departments and units under the SBV chaired the Conference.
In addition, the SBV emphasized implementing the directives set out in Official Letters No. 747/NHNN-TD and No. 748/NHNN-TD dated August 20, 2025, to carry out the Prime Minister’s Directive No. 21/CT-TTg and Decision No. 212/QĐ-TTg on urgent measures to prevent and address environmental pollution, as well as on environmental criteria for certifying green-classified investment projects. The SBV also requested continued review and improvement of internal regulations on environmental risk management for credit activities in accordance with Circular No. 17/2022/TT-NHNN.
Overview of the Conference
In addition, credit flows to sectors with potential risks must be strictly controlled. When extending credit, credit institutions should ensure safe and efficient operations in line with the SBV’s annual Directive No. 01/CT-NHNN and Official Letter No. 6550/NHNN-TD dated July 29, 2025.
At the same time, they should review and verify statistical reporting to ensure that data on industries, sectors, and priority areas is accurate, complete, and reflects the actual credit results of the banking sector, consistent with market developments and the directives of the Government and the Prime Minister.
In the coming period, credit institutions are encouraged to remain proactive and attentive in considering funding for key projects that are feasible and effective, as well as in implementing credit programs for social housing, infrastructure investment, digital technology, and for supporting the production, processing, and consumption of high-quality rice.
Regarding internal control, internal audit, and compliance inspection, the Board of Directors, Executive Board, and Supervisory Board must fully recognize the importance and role of these functions, ensuring strict adherence to Circular No. 13/2018/TT-NHNN (as amended and supplemented), as well as other relevant legal regulations, and regard them as essential tools in the risk management of credit institutions. They should review, issue, and promptly revise internal regulations to ensure legal compliance and eliminate overlapping or inadequate provisions.
At the same time, the quality of internal audit must be strengthened: develop risk-based audit plans focusing on key areas such as large credit exposures, non-performing loans, financial investments, insurance, corporate bonds, and information technology; add personnel to Internal Audit, the Supervisory Board, and compliance units; and enhance specialized training in risk management, data analytics, financial technology, anti-money laundering, and cybersecurity.
Technology adoption should also be increased: promote the use of big-data analytics, artificial intelligence (AI), and process automation to enable continuous auditing, real-time monitoring, and early risk warning.
Credit institutions are likewise required to continue strict compliance with directives from the Government and the SBV under Notice No. 61/TB-VPCP dated February 25, 2025; Directive No. 01/CT-NHNN dated January 20, 2025; Notice No. 400/TB-NHNN dated November 15, 2024; and other relevant instructions to ensure safe, sustainable, and law-compliant operations.
The Banking Times
