Digital transformation - the inevitable direction of the banking industry

Prime Minister Pham Minh Chinh emphasized: “Digital transformation is not a choice, but a mandatory path for the banking industry to survive and develop in the new context.”

Customers transact at LiveBank of Tien Phong Commercial Joint Stock Bank.

Reduce the number of customers scammed by 50%

Pursuant to Resolution No. 57-NQ/TU dated December 22, 2024 of the Politburo on breakthroughs in science, technology, innovation and national digital transformation; along with outstanding results in implementing the Government's Project on developing applications of population data, identification and electronic authentication to serve national digital transformation in the period of 2022-2025, with a vision to 2030 (Project 06), digital transformation is given special attention by the banking industry.

Director of the Information Technology Department (State Bank of Vietnam) Le Hoang Chinh Quang said that the banking industry is actively perfecting the legal framework, in which, in 2025 alone, it is expected to develop and issue 21 circulars and many other legal documents to promptly remove bottlenecks to serve the development of science , technology, innovation and digital transformation; at the same time, increase investment, improve infrastructure to promote digital transformation, pioneer the application of digital technology in business and management activities; develop digital banking and a cashless payment ecosystem...

The banking sector has achieved many positive results in developing applications of population data, identification and electronic authentication to serve national digital transformation in the period of 2022-2025, with a vision to 2030. Up to now, 96 credit institutions and payment intermediaries have deployed chip-embedded citizen identification card applications via phone applications; 63 credit institutions have deployed chip-embedded citizen identification card applications via devices at counters; 19 units have officially deployed VNeID applications in opening accounts and authenticating payment transactions.

In particular, after cleaning the customer database and applying the biometric information matching solution, the number of individual customers who were scammed and lost money decreased by 57%, the number of individual accounts receiving scammed money decreased by 47% compared to the same period in 2024. As of June 27, more than 119 million individual customer records were compared and updated with biometric information via chip-embedded citizen identification cards or the VNeID application, reaching 100% of the total number of individual accounts generating transactions on digital channels; more than 1.1 million organizational customer records were compared with biometric information, reaching more than 100% of the total number of payment accounts of organizational customers generating transactions on digital channels.

Constantly competing to apply digital technology

In recent years, banks have been constantly competing in applying digital technology, from smart payment systems, digital banking platforms to optimizing customer experience and simplifying business processes.

For example, the Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank) applies an online solution for businesses. VietinBank Deputy General Director Tran Cong Quynh Lan said that in addition to opening accounts using the eKYC method, VietinBank also provides online disbursement solutions through the VietinBank eFAST platform, helping to optimize the process and bring convenience to customers. In just nearly half a year, VietinBank has conducted more than 87,000 online disbursement transactions with a total value of over VND 270,000 billion, accounting for 36% of the total number of disbursement transactions.

Meanwhile, the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) has brought digital banking to users by designing an ecosystem that meets daily life needs from financial transactions, electricity and water payments to public service payments and personal financial management solutions advised by AI on the BIDV Smartbanking platform, serving more than 22 million customers...; Orient Commercial Joint Stock Bank (OCB) with the OCB OMNI multi-channel banking model has successfully established a digital ecosystem of more than 200 utilities, while linking with more than 6,000 retail stores, providing a variety of services and discounts exclusively for customers paying via this platform. Transaction processing time on OCB OMNI is only about 1-2 seconds, three times faster than before. Digital services such as opening eKYC accounts, international money transfers or issuing credit cards are all automated, helping to significantly reduce operating costs. Thanks to a strong digitalization strategy, in 2024, OCB's digital banking revenue increased by 21%, contributing 12% of total service revenue.

Recently, Saigon - Hanoi Commercial Joint Stock Bank (SHB) introduced the new generation digital banking application SHB SAHA with advanced technology, friendly interface and a series of smart utilities. Accordingly, customers will experience a smart Omni Channel banking platform with a series of complete digital services, meeting all basic daily financial needs without having to go to the counter. Accordingly, with just a few touches after successful registration, users can easily transfer money, receive money, deposit savings, pay bills... even open international cards, overdraft loans online 24/7...

Governor of the State Bank of Vietnam Nguyen Thi Hong affirmed that the banking industry has a high awareness and consensus on the role and importance of digital transformation. In the coming time, credit institutions and enterprises in the banking industry will continue to strongly promote the sharing of experiences in building and implementing the Digital Transformation Strategy...

Source: https://hanoimoi.vn/chuyen-doi-so-huong-di-tat-yeu-cua-nganh-ngan-hang-708860.html