Improving credit risk management capacity at Vietnam Bank for Agriculture and Rural Development in the context of international integration

CONCLUSION OF CHAPTER 3

In chapter 3, the thesis continued to analyze and study the Vietnam Bank for Agriculture and Rural Development as a foundation, combining with the general theories presented in chapter 1, along with research on the current status of operations and credit risk management capacity of the bank, the author proposed a number of solutions to improve the credit risk management capacity of the Bank. Specifically, chapter 3 of the thesis has implemented the following contents:

- The thesis analyzes SWOT in depth on Strengths, Weaknesses, Opportunities and Challenges of Vietnam Bank for Agriculture and Rural Development.

- Next, the thesis also studies, analyzes and evaluates the economic situation in current and future trends, the goals and development orientations of the Vietnam Bank for Agriculture and Rural Development.

- The thesis also provides requirements and principles of improvement as a basis and factor for considering and proposing solutions to improve credit risk management capacity at Vietnam Bank for Agriculture and Rural Development to ensure effectiveness and feasibility.

- The most important content, the thesis has proposed a number of solutions to improve the credit risk management capacity at the Vietnam Bank for Agriculture and Rural Development based on the general theory that has been researched and presented and the current situation that the thesis has studied. Using theory to examine the current situation and using the current situation to verify the theory. Along with the dialectical materialism of Marxism - Leninism, the author has proposed a number of solutions to improve the credit risk management capacity at the bank on the basis of fully meeting the requirements and principles of perfection that have been proposed.

- At the same time, in order for the proposed solutions to be implemented and achieve the highest efficiency, the thesis also proposes a number of conditions for implementing the solutions on the part of both the government and the State Bank of Vietnam.

CONCLUDE

Nowadays, the banking system of countries in the world in general and Vietnam in particular has always affirmed its extremely important role in maintaining economic stability and development. Therefore, the development of the banking system in each country is a factor that partly reflects the development of the national economy. In addition, any fluctuations in the banking system will affect the economy because this is a very sensitive field of operation, and one of the most influential fluctuations is the risk in banks.

Therefore, risk management activities in banking are always of special concern in each bank. Risks for banking operations are extremely diverse and rich, but can be summarized into three main types of risks: credit risk, market risk and operational risk. Of the three types of risks above, credit risk is the type of risk that has the most profound and serious impact on the banking system. Because credit activities are the main, primary activity and also the main source of profit for banks, but it is also the activity that brings the greatest losses to banks. In the current period of economic fluctuations, risk management activities and capacity, especially credit risk, need special attention.

By using a synthesis of research methods based on theory and practice, the thesis has solved the following problems:

Firstly, the thesis has outlined the basic theories of credit risk and credit risk management in current banks. At the same time, the thesis also conducts research on risk management experiences of some domestic and international banks, thereby providing lessons on risk management in banks in Vietnam in general;

Second, based on theory, the thesis delves into the current situation of credit risk management activities at the Bank for Agriculture and Rural Development of Vietnam. On that basis, it provides an overview of the credit risk management capacity at the Bank for Agriculture and Rural Development of Vietnam. Also starting from the study of this current situation, the thesis uses generalized theory to examine the current situation of activities and credit risk management capacity at the Bank for Agriculture and Rural Development of Vietnam.

Third, the thesis analyzes opportunities, challenges, strengths, and weaknesses (SWOT analysis) based on assessments of the operations and risk management capacity of the Bank for Agriculture and Rural Development of Vietnam and the main causes mentioned to propose solutions to improve the credit risk management capacity of the Bank for Agriculture and Rural Development of Vietnam.

The author hopes that with the above results, the Thesis will contribute to improving the credit risk management capacity of the Bank for Agriculture and Rural Development of Vietnam, building a comprehensive overview as a premise for the bank to implement solutions so that its risk management system can meet the requirements of the Basel Committee on banking supervision.

LIST OF PUBLISHED WORKS OF THE AUTHOR

1. MSc. Ta Dinh Long (2012), "Gold price fluctuations in recent times - Causes and forecasts" , National Treasury Management No. 122 (August 2012);

2. Master Ta Dinh Long (2012), "Improving the Credit Efficiency of Commercial Banks" , Journal of Financial and Accounting Research No. 8 (108) 2012;

3. MSc. Ta Dinh Long (2014), "To minimize credit risks at commercial banks" , Economics and Forecast No. 23 (December 2014);

4. Master Ta Dinh Long (2014), "Experience in credit risk management in the world and lessons for Agribank in the current context" , Journal of Information and Economic - Social Forecast No. 108 (December 2014);

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