NGUYEN HONG VAN OPENING THE MARKET FOR BANKING SERVICES IN LINE WITH THE COMMITMENTS MADE BY VIETNAM ON ITS WTO ACCESSION SUPERVISORS: Prof. Christina Moёll Dr. Bui Ngoc Cuong |
Executive Summary Vietnam was officially recognized as the 150th member of the World Trade Organization (WTO) on 11th January 2007. This event marked a new stage in the process of integrating Vietnam into the international economy in general and the banking sector in particular. However, faced with the need to implement the commitment undertaken as part of the integration process, Vietnamese banking services regulations were found to contain many weakness. These regulations contain many contradiction, Vietnamese financial ability is generally weak, the management mechanism for banking activities has not caught up with modernization nor conformed to international practices and standards and many forms of banking services have no adequate legal framework… These shortcomings make it hard for Vietnam to implement its commitments effectively and to make full use of the advantages that integration brings. A series of questions arise. What was the real situation of the law on banking services in Vietnam when it joined the WTO? What problems were identified when implementing the commitments? How can Vietnam overcome these shortcomings?... All of these problems need to be studied carefully and then resolved both in theory and in practice. The purpose of this thesis is to clarify the theory and practice of modifying the law on banking services in accordance with Vietnam’s commitments on WTO accession and with international practice in general. This involves the following tasks: - Clarify the concept of banking service according to international practices (the WTO agreement) and the particular requirements of member countries wishing to open up their banking service market. - Clarify Vietnam’s commitments on opening up the banking service market in the framework of the WTO agreement. - Clarify the situation of Vietnamese Law when linked to its international commitments within the WTO framework. Such an analysis is the scientific foundation needed to help reform the law in the direction of opening up the banking service market. The thesis will focus on the commitments on opening up banking services market undertaken following WTO accession and on how Vietnam is in fact implementing these commitments. However, because the regulations on opening up the banking services market are based on the law of banking services in general, this research needs to be seen against the background of a study of regulations of Vietnamese and WTO regulations of banking services in the light of 4 of the commitments undertaken: (i) commitment on licensing foreign credit institutions to supply banking services in Vietnam, (ii) commitment on regulating the form of financial companies licensed to operate in Vietnam (iii) commitment on regulating the form of financial services that can be provided in Vietnam, (iv) commitment on regulating the capital ratio of foreign bank ownership of a Vietnamese bank. This thesis combines the analyzing, comparing and synthesizing methods. The analyzing method is used to evaluate the current state of the law on banking services in Vietnam. The comparing method is used to compare Vietnamese regulations with the WTO regulations as well as international practice. The synthesizing method is used to evaluate and draw conclusions on each matter studied and give recommendations for improvement. Moreover, to strengthen our argument, we provide illustrative statistics where necessary. Base on this research, the thesis hope to give an overview of the theory and practice of the current law on banking services in Vietnam and makes some proposals aimed at effectively implementing the commitments made on WTO accession and strengthening the competitive capacity of the banking service sector. |
- Attachments
- Nguyen Hong Van.pdf
- You don't have permission to download attachments.
- (280 Kb) Downloaded 32 times