The Banking Supervision Agency under the central bank has been upgraded to a general department, with more duties and rights as of August 1, according to a newly issued decision.

Currently, the agency is operating as a central bank's department.

Under Decision 35/2014/QD-TTg on the organisational structure and operations of the banking supervision agency issued last week, the new general department will include 11 affiliated departments and offices.

The new body will advise and assist the Governor of the State Bank of Vietnam (SBV) in carrying out the State management of the credit institutions and foreign bank branches, inspecting activities, resolution of complaints and denunciations, anti-corruption, anti-money laundering and deposit insurance; conducting administrative, specialised and banking supervision in the areas under the SBV management; and implementing anti-money laundering and anti-terrorist financing in line with law and as assigned by the SBV Governor.

The general department will also carry out the duty of submitting to the Governor drafted laws, strategies, programmes and projects on renovating and developing credit institutions before receiving approval from the Prime Minister.

In addition, the Government has recently issued a decree in a move to ensure banking supervision is carried out consecutively and more effectively.

The decree, which has taken effect since June 1, stipulates that the banking supervisors have the authority to ask the supervised banks to hire independent auditing companies to audit one, several or all the areas related to operational organisation and finance, if required.-VNA