The World Bank Commits to Support the Ministry of Finance of Vietnam in Developing Capital Markets

The World Bank is committed to continuing to closely and effectively cooperate with and support the Ministry of Finance of Vietnam in research and policy development; technical assistance on financial solutions and disaster risk insurance, as well as development of Vietnam's capital market.

On November 4, 2021, at the headquarters of the Ministry of Finance, Deputy Minister Nguyen Duc Chi received Ms. Carolyn Turk - World Bank Country Director for Vietnam.

Speaking at the meeting, Deputy Minister Nguyen Duc Chi highly appreciated the close and effective partnership between the Ministry of Finance and the WB over the past time; At the same time, he believes that under the leadership of Ms. Carolyn Turk, the partnership between the two sides will continue to be further tightened in the coming time.

According to Deputy Minister Nguyen Duc Chi, the Ministry of Finance highly appreciates the WB's support within the framework of the Technical Assistance Program on financial solutions and disaster risk insurance. The World Bank's support has contributed to perfecting the legal framework and strengthening public asset management capacity, building a financial strategy for disaster risk prevention, response and response, and disaster risk insurance.

The Deputy Minister suggested that the WB continue to share experiences and provide technical assistance in providing international experience on solutions to protect the state budget to perfect regulations on institutionalizing policy directions, to build an effective mechanism to prevent and limit natural disaster damage to public assets and infrastructure.

Deputy Minister of Finance Nguyen Duc Chi spoke at the meeting. Photo: Duc Minh

At the meeting, the Deputy Minister also proposed the WB to support in the field of capital market development, such as supporting the completion of the legal framework on the issuance of government bonds, corporate bonds and credit rating companies. voluntary supplementary pension fund; research and support the development of the domestic fund industry and solutions to strengthen the investment base, especially institutional investors.

Research and assist in making recommendations and guidance reports on the development of green/sustainable securities products and environmentally and socially responsible investment practices; continue to connect, deploy technical support activities to improve the capacity of the stock market.

Speaking at the meeting, Ms. Carolyn Turk congratulated the Ministry of Finance on its efforts in strengthening the operation of financial markets; At the same time, the WB will continue to provide technical support and share international experiences related to insurance solutions, as well as finance for sustainable disaster response.

Ms. Carolyn Turk - WB Country Director in Vietnam, informed about the cooperation between the two sides in the near future. Photo: Duc Minh

According to Ms. Carolyn Turk: "The World Bank has had a long-term relationship and effective cooperation with the Ministry of Finance of Vietnam over the years. We will support the Ministry of Finance with projects within the framework of the newly approved program. approved is a service program to support consulting and analysis. The program has two main pillars: finance and disaster risk and capital financial market development".

According to Ms. Carolyn Turk, these are the contents that play a central role in providing financial solutions to Vietnam's disasters, especially in the context of the Covid-19 epidemic as well as other natural disasters facing Vietnam. like climate change.

At the same time, the capital market and the development of the capital market play a very important role to reduce the dependence on banks to ensure an appropriate level of capital, especially the long-term capital market for financial services. economic recovery after the Covid-19 epidemic and development in general.

At the meeting, the two sides focused on updating the progress of phase 2 of the Technical Assistance Program on financial solutions and disaster risk insurance; the World Bank's support priorities for the Government of Vietnam within the framework of the Vietnam Financial Market Development Advisory and Analysis Program (P-ASA Program); Necessary guidelines and orientations for the implementation of technical assistance on public property insurance, agricultural insurance, Southeast Asia Disaster Risk Insurance Fund (SEADRIF), and development of the domestic insurance market , capital market.

Read the original article from Vietnam's Financial Times here.

Image Credit: Duc Minh