2:14:04 PM | 8/7/2026
Recently, in Hanoi, Shinhan Bank Vietnam Limited (Shinhan Bank) successfully hosted a knowledge-sharing workshop titled "Experience Sharing on the Implementation of the Internal Ratings-Based (IRB) Approach in accordance with Circular No. 14/2026/TT-NHNN", with the participation of representatives from the State Bank of Vietnam (SBV), the National Credit Information Centre of Vietnam (CIC), the Embassy of the Republic of Korea in Vietnam, the Financial Supervisory Service (FSS) of Korea, as well as leading consulting firms and industry experts.
The workshop was held as Vietnam's banking sector continues to strengthen its risk management framework, enhance financial resilience, and improve capital efficiency. The issuance of Circular No. 14 by the SBV, which establishes the regulatory framework for credit institutions to register for and adopt the IRB Approach, marks a significant milestone in the country's gradual alignment with international risk management standards under the Basel framework. Nevertheless, successful IRB implementation requires comprehensive historical data, a robust methodological framework, accurate model calibration, an independent validation mechanism, and ongoing monitoring and governance processes.
Drawing on Korea's extensive experience in the approval, supervisory review, and ongoing validation of IRB systems, the workshop aimed to provide practical insights and valuable references for Vietnamese regulatory authorities. The agenda focused on key aspects of IRB implementation, including the preparation of IRB application dossiers, the design of internal rating systems, the estimation of risk parameters, model validation criteria, post-approval review processes, and supervisory practices based on practical experience.
In addition to the technical sessions, the workshop facilitated in-depth discussions on potential challenges that may arise during IRB implementation, the importance of close collaboration between regulators and credit institutions, and the key prerequisites for ensuring the effective, prudent, and market-appropriate adoption of the IRB Approach in Vietnam.
Mr. Lee Jong Hyuck, Deputy General Director of Shinhan Bank stated: "Transitioning to an advanced risk management framework is a complex and long-term journey that requires sustained investment in data, technology, talent, and governance capabilities. Through this event, we hope to share Korea's practical experience while contributing valuable perspectives to support the research, regulatory guidance, and implementation of the IRB Approach in Vietnam."
Looking ahead, Shinhan Bank will continue to leverage its international expertise, technical capabilities, and strong partnerships with Korean regulatory authorities and financial institutions to contribute to the modernization of risk management practices and the sustainable development of Vietnam's banking sector.
Anh Mai (Vietnam Business Forum)
