Banking Restructuring in 2014- acceleration turn for 2015

Abstract

As one of the three basic components of the comprehensive economic reform program namely investment reform with main focus on public investment, financial reform focused on commercial banks and corporate reform with main focus on state-own enterprises and after three years of implementation of the Decision No. 254/QD-TTg dated March 1, 2012 of the Prime Minister approving the Bank Restructuring Plan for period of 2011-2015 (Plan 254), the banking restructruring has been implementing boldly, uniquely and actively by the State Bank of Vietnam from “stress testing” to recognizing “actual scale” of each bank and developing legal corridor for necessary changes toward having a robust, transparent and healthy banking system. The Article reviews the spotlights in the implementation of the banking restructuring in 2014 and highlights the challenges and difficutlties that lie ahead.