The Government has just issued Resolution No. 100/NQ-CP dated September 6, 2021 approving the proposal to develop a Decree on a mechanism for controlled testing of financial technology (Fintech) activities in the banking sector.

The Government has just issued Resolution No. 100/NQ-CP dated September 6, 2021 accepts the proposal to develop a Decree on a mechanism for controlled testing of financial technology (Fintech) activities in the banking sector.

Financial technology (Fintech for short) is the application of innovative, creative and modern technologies to the financial-banking sector such as payment services, money transfer, peer-to-peer lending, financial management products…, in order to provide customers with transparent, efficient and convenient financial services at a lower cost than traditional financial services.

Financial technology (Fintech for short) is the application of innovative, creative and modern technologies to the financial-banking sector such as payment services, money transfer, peer-to-peer lending, financial management products…, in order to provide customers with transparent, efficient and convenient financial services at a lower cost than traditional financial services.

Therefore, the task posed to the management agencies is to ensure; at the same time, the goal is to support the promotion of innovation while maintaining the stability and safety of financial markets and supporting economic growth.

In Vietnam, the company\’s activities providing Fintech solutions, peer-to-peer lending (P2P lending), new payment models, cross-border money transfers, sharing user data through an open application programming interface (Open APIs),… have no specific legal regulations to regulate.

The examples from the case of Uber and Grab in the transportation market in the past time are lessons for the banking industry in responding to rapid changes in technology. Without a timely legal corridor, there will be many embarrassments when Fintech companies expand their operations.

Deriving from the development practice of the Fintech Ecosystem in Vietnam and the management practices of the Fintech sector in the world, in the immediate future, the establishment of a controlled testing mechanism for Fintech activities in the banking sector in Vietnam. It is very urgent and necessary to approve the promulgation of the Decree, especially in light of the great policy of the Party and State on the development of “Government and the digital economy” in the new era of the Second Industrial Revolution. 4th.

Thùy Liên