State Bank Governor talks about foreign exchange policy for the International Financial Center

(NLDO) – The State Bank will assess the impact of the policy applied to the International Financial Center in managing monetary and foreign exchange policies...

At the conference announcing the Government's Resolution promulgating the Action Plan to implement the Politburo 's Conclusion on building a regional and international financial center in Vietnam on the morning of January 4, State Bank Governor Nguyen Thi Hong said that building, consolidating and promoting competitive advantages to form a center poses many challenges for Vietnam.

If successful, Vietnam will connect with the global financial market, attract foreign financial institutions, create new investment resources, promote an effective financial market; enhance the role, position, prestige and influence of Vietnam in the international arena...

Prime Minister Pham Minh Chinh attends conference announcing the establishment of the Financial Center

According to the Governor of the State Bank, experience shows that capital development together with the money market and banking activities are one of the fundamental components for developing the financial market in general and the financial center in particular.

However, developing capital and money markets in emerging financial centers is a difficult and complicated task due to much competition from developed financial centers.

"It is necessary to identify challenges such as fierce competition from long-established financial centers that have affirmed their positions such as Singapore, Hong Kong, and Shanghai. Besides, there is the difficulty in having high-quality human resources with knowledge in the financial and monetary fields. In addition, it is necessary to develop infrastructure and high technology capable of meeting the operational requirements of the center" - Governor Nguyen Thi Hong analyzed.

State Bank Governor Nguyen Thi Hong speaks at the conference

In any case, ensuring national financial and monetary security is always the top priority. Attracting foreign investment must go hand in hand with ensuring national financial safety and security. Therefore, there needs to be close policy coordination between ministries, departments and branches throughout the entire process of policy analysis, formulation and implementation.

Ms. Nguyen Thi Hong said that the State Bank is researching to implement policies and roadmaps for foreign exchange activities, developing the monetary market, banking... in the financial center to attract foreign investment; aiming to develop a financial center that both meets international standards and is suitable for Vietnamese reality.

"It is necessary to carefully analyze and evaluate the impact of preferential policy solutions, measures, and management methods applied to financial centers on the management of monetary and foreign exchange policies and banking activities; as well as macro balances to have appropriate management and operation methods to ensure national financial and monetary security" - Governor Nguyen Thi Hong emphasized.

Overview of the conference on the morning of January 4

Regarding the mechanism for monitoring and ensuring national financial security and safety, in the Conclusion Notice No. 47-TB/TW, the Politburo directed the establishment of agencies to manage financial centers, including: Management and operation agencies; supervisory agencies; dispute resolution agencies according to international regulations and practices, suitable to Vietnam's conditions.

The State Bank will closely coordinate with National Assembly agencies, ministries and branches to research, propose and recommend to the National Assembly, the Government and the Prime Minister in accordance with the direction of the Politburo.

Source: https://nld.com.vn/thong-doc-ngan-hang-nha-nuoc-noi-ve-chinh-sach-ngoai-hoi-cho-trung-tam-tai-chinh-quoc-te-196250104114556602.htm