Attending the workshop were Mr. Nguyen Thanh Son - Director of VNBA Training Center; Mr. Chen Peretz, Economic & Commercial Counselor of Israel; Guest speakers were representatives from leading Israeli technology companies in the fields of anti-money laundering, fraud, compliance and digital platforms; and representatives of credit institutions that are members of VNBA.
Mr. Nguyen Thanh Son - Director of VNBA's Training Center
In his opening speech, Mr. Nguyen Thanh Son - Director of VNBA Training Center said that this is the second time in 2024 that VNBA and the Embassy of Israel have organized a workshop on this topic. Because this topic is a hot topic, highly topical, of interest to the State Bank of Vietnam, credit institutions and the whole society. Because Vietnam is resolutely implementing synchronous solutions to combat fraudulent acts and fraudulent activities in online payment activities.
According to Mr. Son, the digital transformation process in Vietnam is taking place strongly in the banking sector, bringing more convenience and convenient transactions to people, contributing to creating new changes and breakthroughs for the banking industry. However, the biggest difficulty and challenge of digital transformation in the payment sector is ensuring safety and security for payment transactions.
The development of new technologies such as blockchain, big data, AI (artificial intelligence) requires banks to change their management models and safety corridors against incidents of network security and customer information security in the digital age. In particular, with the development of digital technology, there is an increase in security vulnerabilities, creating conditions for high-tech criminals to operate more and more frequently.
Accordingly, in the payment sector, high-tech crimes, card payments via POS, and electronic payments have recently become more complex with new and more sophisticated behaviors and tricks, leading to a fear of using the service. Especially for people in rural areas, remote areas, and areas with limited knowledge of information technology.
Mr. Son said that in the report of the Ministry of Information and Communications, Vietnam is among the countries most severely damaged by digital payment fraud. In particular, the rate of damage caused by digital fraud in Vietnam is up to 3.6% of GDP, higher than the global average (1.1%). Common forms of digital payment fraud in Vietnam include cyber attacks (malware, phishing, man-in-the-middle attacks), impersonation, non-technical fraud, refund policy abuse, first-party fraud, etc.
In the report of the Global Anti-Fraud Alliance (GASA) in 2023, it was said that Vietnamese people are struggling with scams at an alarming frequency, with a staggering 70% saying they encountered scams at least once a month.
According to statistics from the Department of Cyber Security and High-Tech Crime Prevention, Ministry of Public Security, in 2023, there were nearly 16,000 reports of online fraud, nearly 10,000 billion VND was appropriated. Therefore, to ensure security and safety for electronic payment activities, protect customers from fraud threats as well as ensure the integrity of digital banking services, the banking industry has implemented many drastic solutions.
Specifically, the State Bank has issued 03 Circulars on Internet banking services, information system security, and equipment for bank card payments. At the same time, there are also 03 Directives on digital transformation and ensuring information security and safety.
In addition, there are 03 decisions on information security solutions and strategies for information technology development, along with 14 directives from 2021 to present on security and safety for operations, such as: preventing fraud and cheating in the payment sector; preventing and combating counterfeiting of domain names, mobile applications, and messages of credit institutions.
In addition, the State Bank also issued 03 Decisions to implement Project 06 of the Prime Minister. The most recent is Decision 2345, effective from July 1, 2024, which emphasizes the need for strong security measures in banking operations, especially focusing on fraud prevention and customer data protection.
Accordingly, credit institutions have also deployed many solutions on processes and technologies in preventing money laundering and fraud, including: Cleaning customer data and unregistered accounts through the national population database; Deploying strong authentication solutions (such as biometric authentication, multi-factor authentication in online transactions such as OTP, FIDO, digital signature); Strengthening protection measures, especially applying new technology solutions such as AI, Blockchain, etc.
In particular, credit institutions also deploy information systems to support management, monitoring and prevention of fraud risks in payment activities.
Mr. Chen Peretz - Economic & Commercial Counselor of Israel
Speaking at the workshop, Mr. Chen Peretz - Economic & Commercial Counselor of Israel, thanked VNBA, the speakers and all delegates for taking the time to attend this workshop. At the same time, he said that the Economic and Commercial Office of the Embassy of Israel in Vietnam has the role of seeking opportunities and potential cooperation between the two countries, to bring benefits to Vietnam and Israeli technology companies.
In particular, in the field of security and financial technology, Israel is one of the leading countries and has many technologies with great potential for cooperation between Vietnam and Israel, with 5 leading Israeli technology companies: BioCatch, Easy Send, AU10TIX, WonderNet and CyberInt, focusing on solutions related to fraud prevention.
These are 5 Israeli technology companies focusing on anti-money laundering technology and technologies related to digital transformation. Therefore, Mr. Chen Peretz wishes to connect credit institutions in Vietnam with Israeli technologies. At the same time, he committed to continue to support connections or arrange separate, more in-depth seminars in case credit institutions in Vietnam are interested in learning more about these Israeli technologies.
At the seminar, speakers from leading Israeli technology companies gave presentations and shared many contents, such as: Behavioral biometric technology applying AI to prevent fraud, promote digital transformation and business growth; Platform for Initiating and optimizing digital journeys in the financial services and insurance industry; Electronic signature tool, part of EasySend's digital transformation solution suite, has the ability to integrate two-way and expand with existing CRM systems;
Identity authentication platform with modular solutions using machine learning, biometrics and digital forensics, helping to minimize the risk of fraud, money laundering and counterfeiting; Digital signature, electronic document & electronic transaction solutions with high authenticity, anti-counterfeiting and security using WonderNet's exclusive authentication server;
A platform to display and mitigate risks to prevent, detect, investigate and fix fraud, ransomware, brand abuse, data leakage, external vulnerabilities, etc.
Thereby, member credit institutions have grasped a lot of useful information about the experience and solutions to prevent money laundering and fraud from Israel, and at the same time exchanged to seek cooperation opportunities in developing solutions to ensure security, safety and security at banks.
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