Attending the seminar, on behalf of the Vietnam Banking Association were Dr. Nguyen Quoc Hung - Vice President and General Secretary of the Vietnam Banking Association; and Mr. Le Thanh Tung - Head of the Risk Committee and member of the Board of Directors of VietinBank.

Representing the State Bank of Vietnam were Mr. Do Anh Quan - Deputy Chief Inspector; along with representatives from the Department of System Safety of Credit Institutions, the Legal Department, and the Department of Credit for Economic Sectors.

On behalf of VietinBank were Ms. Dang Viet Ha - Deputy General Director; and Mr. Nguyen Van Thu - Director of the Risk Management Division. The seminar also saw the participation of numerous representatives and risk management officers from member organizations.

VNBA Vice Chairman cum Secretary General Nguyen Quoc Hung
From industry dialogue to transformation imperative

At a seminar organized by the Vietnam Banks Association, with participation from VietinBank and other commercial banks, experts emphasized that Circular 83 should not be treated merely as a compliance obligation, but as a catalyst for comprehensive institutional transformation.

This shift reflects a broader trend in modern banking, where risk is no longer viewed solely as a control factor, but as a strategic variable embedded across all business activities.

Mr. Le Thanh Tung - Head of the Risk Committee and member of the Board of Directors of VietinBank.
Aligning internal control with global standards

Issued by the State Bank of Vietnam and effective from July 1, 2026, Circular 83 establishes a new regulatory framework for internal control systems across banks and foreign bank branches.

At its core is the adoption of the Three lines of defense model:

  • First line: business and operational units managing risks directly;
  • Second line: independent risk management and compliance functions;
  • Third line: internal audit providing ultimate assurance.

The Circular also expands risk governance into a comprehensive framework covering credit, market, operational, liquidity, interest rate risk in the banking book, and model risk.

Advanced requirements such as stress testing, risk data governance, and model risk management are phased in through 2028, allowing institutions time to build capacity.

From compliance to competitive advantage

One of the most significant shifts introduced by Circular 83 is the transition from a “compliance mindset” to “value-driven governance.”

Internal control is no longer seen as a cost center but as:

  • A tool for optimizing capital allocation;
  • A foundation for business efficiency;
  • A driver of long-term competitive advantage.

Leading banks have begun embedding risk management into strategic decision-making, leveraging data for real-time insights rather than reactive responses.

Key challenges ahead

Despite its potential, implementation poses significant challenges:

Technology and data infrastructure
Meeting regulatory expectations requires integrated, real-time, and high-quality data systems.

Risk culture transformation
Embedding risk governance into organizational DNA demands a deep cultural shift.

Talent constraints
A shortage of skilled professionals in risk management, internal audit, and data analytics remains a critical bottleneck.

A foundation for integration and sustainable growth

In the long run, Circular 83 is expected to act as a regulatory bridge, aligning Vietnam’s banking system with international standards such as Basel.

Successful implementation will not only strengthen individual institutions but also enhance systemic stability, boost market confidence, and support sustainable economic growth.

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