State Bank of Vietnam
The State Bank of Vietnam (Vietnamese: Ngân hàng Nhà nước Việt Nam) is the central bank of Vietnam.
History
When French Indochina was under French rule, the colonial government governed the Indochinese monetary system through Indochinese Bank, which also acted as a commercial bank in French Indochina. After the August Revolution in 1945, the government of the Democratic Republic of Vietnam gradually attempted to exercise a monetary system independent from France. On May 6, 1951, president Hồ Chí Minh signed decree 15/SL on establishment of National Bank of Vietnam (Ngân hàng Quốc gia Việt Nam). On 21 January 1960, the governnor of the bank signed an ordinance on behalf of the prime minister to rename the bank State Bank of Vietnam (Ngân hàng Nhà nước Việt Nam). After the fall of Saigon, the two Vietnams were united but not until July 1976 did the two countries’ administrations and institutions unite. In July 1976, the National Bank of Vietnam (the central bank of Republic of Vietnam) was merged into the State Bank of Vietnam. The incumbent prime minister, Nguyễn Tấn Dũng, was a governor when he held the post of senior deputy prime minister but he handed the governor’s post to Le Duc Thuy later. There have been some public criticisms on the bad printing quality of the new polymer đồng banknotes. There has been also a scandal in the deal of purchase of the state house by the governor Le Duc Thuy (in which he bought a house belonging to the bank for a price just 10 times less than the market value. However, the government annulled the deal when the press posted the news on the purchase). Nguyen Van Giau was named governor in August 2007
Functions and roles
The State Bank of Vietnam is a ministry-level body under the administration of the government; the bank governor is a member of the cabinet (equivalent to a minister in the cabinet). The governor is nominated by the prime minister subject to the approval of the National Assembly (Parliament). Vice governors are appointed by the prime minister on the recommendation of the governor. Both governor and vice governors serve a 5-year term. The State Bank of Vietnam defines its principal roles as [1]:
1. Promote monetary stability and formulate monetary policies.
2. Promote institutions’ stability and supervise financial institutions.
3. Provide banking facilities and recommend economic policies to the government.
4. Provide banking facilities for the financial institutions.
5. Manage the country’s international reserves.
6. Print and issue banknotes.
7. Supervise all commercial banks’ activities in Vietnam. Lend the state money to the commercial banks.
8. Issue government bonds, organize bond autions.
9. Be in charge of other roles in monetary management and foreign exchange rates
Sourced by en.wikipedia.org
Quoted from Nguyen Van Giau – Member of the Central Committee of the Communist Party of Vietnam – Governor of the State Bank of Vietnam
Over the past years, the SBV Website has gradually developed and become an important tool in diseeminating the directives, policies, and legal texts of the Communist Party and the State, and mechanisms and policies of the banking sector to the public. The SBV Website has been becoming an effective and useful channel of information on monetary and banking operations, thus contributing to disseminating knowledge, providing orientation and bringing about the full support of the society for banking operations, stabilizing the psychology of the people and investors from within and without in light of the movements of the domestic and world economy. The SBV Website is the SBV official channel of information on monetary policy and banking operations, published in Vietnamese and English, in timely service of domestic and foreign readers. Over the past years, the SBV Website has effectively been disseminating macro-economic policies, especially the interest rate subsidy policy in order to proactively prevent economic slowdown, stabilize macroeconomy, and ensure social protection, thereby positively contributing to the successful implementation of the tasks of the banking sector in particular and the national socio-economic development in general. I would like avail myself of this opportunity to commend the achivements of the SBV Website over the past years.
The fulfillment of the upgrading project and the opening of the Website’s new interface show the enormous efforts and determination of the SBV Office, the Website’s Editorial Board and the relevant entities in order to gradually improve and develop the SBV Website, hence meeting the higher and higher requirement of information and communication of monetary and banking operations in the new circumstances. This is also a favorable condition for the Editorial Board to further renovate the collecting and updating of information on monetary and banking operations, and to make the information speedy, accurate, timely and effective.
I do hope that in the coming time, the SBV Website will continue to bring into full play its obtained achievements, and to make more proactive and creative efforts to be worthy of an information bridge between the central bank and the public, thereby meeting the expectation of domestic and international readers who are interested in the SBV as well as banking operations in the economy.
Best regards,
