Hanoi (VNA) - Deputy Prime Minister Nguyen Van Thang has signed a decision approving a comprehensive reform plan for Vietnam's financial market, laying the groundwork for a modern, integrated financial system to support high and sustained economic growth through 2045.
The plan seeks to develop a balanced and modern financial market that is closely integrated with regional and global markets, strengthens the mobilisation and allocation of domestic and foreign capital, and enhances the market’s role as a key provider of medium- and long-term capital for the economy and as a major driver of sustained high economic growth.
By 2045, Vietnam aims to establish a high-standard financial market operating on market principles, with internationally aligned institutions, infrastructure, financial products, investors and regulatory mechanisms.
The stock market needs to become the core capital market, with a safe banking sector, an expanding insurance market, and Vietnam International Financial Centre (IFC) connecting regional capital flows, financial services, and financial institutions.
The plan also targets a more balanced and integrated financial market, with stronger linkages among its segments. It prioritises expanding transparent capital and securities markets to enhance medium- and long-term financing for businesses and the economy, promote public equity and bond offerings, and improve the performance of securities firms and other financial intermediaries.
A sustainable investor base is another priority, with greater emphasis on institutional investors such as investment funds, pension funds and insurers. By 2030, foreign investors' assets in Vietnam's capital market are expected to reach around 15% of GDP, while net assets of securities investment funds should equal 5% of GDP. Pension fund assets are targeted to grow by an average of 11.5% annually during 2026-2030.
The scheme will also pay attention to modernising the banking system, improving credit quality, expanding digital banking and financial inclusion while safeguarding the stability and safety of credit institutions. It further aims to develop a comprehensive, safe and sustainable insurance market that contributes to financial stability, social security and long-term investment.
The plan also prioritises developing financial infrastructure and promoting digital transformation. Vietnam aims to establish a modern and autonomous payment system connected to regional and global payment networks by 2028; introduce a central counterparty clearing mechanism for the stock market in 2027; develop a shared financial market database during 2030-2035; effectively operate new products and markets, alongside issuing breakthrough policies to strengthen the capital market's scale and liquidity.
To achieve these objectives, the plan outlines groups of policy measures, focusing on reviewing and amending financial legislation, studying the introduction of a law on financial market supervision, and updating development strategies for banking, securities, insurance and the IFC.
The plan also calls for diversifying financial products, including green equities, green corporate bonds, ESG investment funds and digital assets, while developing green stock indices and expanding the Government bond market with products such as green, sustainable and inflation-linked bonds.
Other measures focus on restructuring institutional investors, simplifying market access for foreign investors, strengthening financial intermediaries, and encouraging banks to adopt Basel III standards. Other areas include accelerating bad debt resolution, modernising payment infrastructure, promoting risk-based financial supervision, upgrading the stock market, expanding international financial integration, and developing a highly skilled financial workforce./.
