Improve management efficiency and promote stock market upgrading

On November 7, the National Assembly discussed in the hall the draft Law amending and supplementing a number of articles of the Securities Law, the Accounting Law, the Independent Audit Law, the State Budget Law, the Law on Management and Use of Public Assets, the Tax Administration Law and the Law on National Reserves. Delegates said that in the context of the securities market playing an increasingly important role in the Vietnamese economy, amending and supplementing the Securities Law is an urgent issue to perfect the legal framework, improve management efficiency and promote investor confidence.

Delegate Pham Duc An speaks at the Hall

Delegate Pham Duc An (Hanoi) said that recent incidents in the stock market have clearly exposed legal loopholes. Without amendments, it will be difficult to maintain investor confidence and develop a sustainable market. Sharing the same view, delegate Nguyen Cong Long (Dong Nai) emphasized: "The Securities Law needs to be amended to suit reality, ensure transparency and enhance the competitiveness of the Vietnamese market in the context of international integration".

Early detection and timely handling of market manipulation

Market manipulation is a serious issue that needs to be thoroughly addressed. Delegate Pham Duc An proposed that modern monitoring tools such as artificial intelligence (AI) and big data should be applied to detect and promptly handle manipulation. At the same time, a close coordination mechanism between management agencies should be established to ensure effectiveness.

Sharing the view that market manipulation must be severely punished, delegate Nguyen Cong Long warned that copying criminal elements from the Penal Code to the Securities Law could limit administrative handling. The law needs to expand the prohibitions to promptly handle acts showing signs of violations, avoiding serious consequences.

The reality of recent times shows that the role of auditing organizations in ensuring financial transparency is still limited. Delegate Pham Duc An frankly stated that the incidents at FLC, Van Thinh Phat and a number of other public companies have shown the weakness of some auditing organizations. This not only reduces confidence but also causes great losses for investors. He proposed tightening auditing standards and applying stronger sanctions to organizations that violate.

Delegate Doan Thi Le An (Cao Bang) said that the statute of limitations and fines for violations of auditing standards should be increased. However, it is necessary to calculate the appropriate level so as not to put too much pressure on businesses.

Delegate Trieu Quang Huy (Lang Son) also added that it is necessary to have more specific regulations on the responsibility of information disclosure of auditing organizations to ensure transparency and minimize risks to the market.

Accelerating the market upgrade process

The goal of upgrading Vietnam's stock market from "frontier" to "emerging" by 2025 is of interest to many delegates. Delegate Pham Duc An said: "In addition to amending the law in accordance with international practices, it is necessary to focus on improving technological infrastructure, especially the trading, payment and depository systems. At the same time, information transparency is a decisive factor in attracting international investors."

Delegate Duong Van Phuoc (Quang Nam) suggested that it is necessary to add more criteria to upgrade the market; at the same time, these criteria need to be clarified and have a specific roadmap for management agencies, businesses, and investors to agree on implementation.

Regarding the coordination mechanism between management agencies, delegates commented that the current coordination between management agencies is still limited. Delegate Pham Duc An suggested that a clearer coordination mechanism should be established to ensure effective management and minimize risks. Sharing the same view, delegate Trieu Quang Huy suggested that specialized departments should be established to support the investigation and handling of violations in the market, ensuring transparency and fairness.

Many delegates said that the capacity of regulatory agencies, especially the State Securities Commission, needs to be improved to meet the requirements of market development. We need to strengthen human resources and technology so that regulatory agencies can effectively monitor and ensure transparency in the market. Capacity building should not only focus on human resources but also improve the monitoring process, ensuring proactiveness and transparency in all activities.

Some opinions are still controversial, such as expanding the scope of audits. Delegate Bui Thi Quynh Tho (Ha Tinh) said that large-scale audits could create a heavy burden for small and medium-sized enterprises. Careful consideration is needed to avoid wasting resources and affecting business operations.

In addition, the issue of determining when a company becomes a public company also caused many conflicting opinions. Some delegates said that it needed to be clarified to avoid confusion for businesses and management agencies.

Source: https://thoibaonganhang.vn/nang-cao-hieu-qua-quan-ly-va-thuc-day-nang-hang-thi-truong-chung-khoan-157563.html