Improving the operational efficiency of Vietnam Debt Trading Company (DATC) in a socialist-oriented market economy

12. Nguyen Quoc Hung, 2014. Some solutions and directions for handling bad debts in banks. Financial Inspectorate Magazine, No. 148.

13. Pham Huu Hong Thai, 2012. Experience in handling bad debt in some countries and implications for Vietnam. Finance Magazine, No. 11

14. Pham Thi Van Anh, 2013. Debt settlement, corporate restructuring: A look at the practice of Vietnamese debt trading companies, Finance Magazine, No. 2, pp. 48-51.

15. To Ngoc Hung, 2014. The current situation of bad debt handling in the Vietnamese banking industry in 2012-2013 and some policy recommendations. Banking Magazine, No. 3.

Maybe you are interested!

16. Vu Sy Cuong 2014. Buying and selling bad debt, restructuring enterprises: Looking from the market situation to the role of DATC. Finance Magazine, No. 9.

Text, documents

17. Ministry of Finance, 2011. Circular 79/2011/TT-BTC on promulgating the Charter of organization and operation of Vietnam Debt Trading Company Limited

18. Government, 2012. Project on Restructuring State-owned Enterprises under Decision 929/QD-TTg.

19. Government, 2013. Resolution No. 02/NQ-CP, dated January 7, 2013

20. Government, 2014. Resolution 79/NQ-CP dated November 3, 2014

21. Communist Party of Vietnam, 2011. Documents of the 11th National Congress, National Political Publishing House - Truth

22. Communist Party of Vietnam, 2013. Documents of the Party Congresses in the period of renovation and integration (Congresses VI, VII, VIII, IX, X, XI), National Political Publishing House - Truth.

23. Organization and Administration Department, 2014. Overview of DATC.

24. DATC Financial Accounting Department, 2012 – 2014. Annual financial reports.

25. Standing Committee of the National Assembly, 2014. Report on monitoring the implementation of economic restructuring in the fields of public investment, state-owned enterprises and the banking system according to Resolution No. 10/2011/QH13 of the National Assembly on the 5-year socio-economic development plan 2011 - 2015.

English

26. Ben Fung and Jason George, 2004. Public asset management companies in East Asia, Bank for International Settlement.

27. David Woo, 2000. Two approaches to resolving nonperforming assets during financial crisis. International Monetary Fun.

28. OECD (2003). Maximizing Value of Non-Performing Assets .Proceedings from the Third Forum for Asian Insolvency Reform

29. Paul Krugman, 2012. Macroeconomics. ISBN 9780716752288, Chapter 4.

30. Terada-Hagiwara and Gloria O.Pasadilla, 2004. Do Asset Management Companies Increase Moral Hazard .Experience of Crisis-Hit Asian Countries

Website

31. http://datc.vn/portal/Home/gioi-thieu/default.aspx

32. http://www.sbv.gov.vn/portal/faces/vi/pages/trangchu/tk/dntddvnkt?_afrLoop

=15192986094656863&_afrWindowMode=0&_afrWindowId=tr11b47ag_51

#%40%3F_afrWindowId%3Dtr11b47ag_51%26_afrLoop%3D15192986094 656863%26_afrWindowMode%3D0%26_adf.ctrl-state%3Dtr11b47ag _87

33. http://cafef.vn/tai-chinh-ngan-hang/buc-tranh-toan-dien-ve-xu-ly-no-xau-ngan-hang-tu-2010-August-2015-20150904084710834.chn

34. http://daihoi12.dangcongsan.vn/Modules/News/NewsDetail.aspx?co_id=3010 6&cn_id=404014

35. http://www.mof.gov.vn/webcenter/portal/vclvcstc/r/m/ncvtd/ncvtd_chitiet?dDocName=MOF150961&_afrLoop=12687120354064214#!%40%40%3F_afrLoop%3D12687120354064214%26dDocName%3DMOF150961%26_adf.ctrl-state%3Dw7jiobz6s_4 .

36. http://www.ncseif.gov.vn/sites/vie/Pages/boicanhlanhtethegioi-nd-16707.html

37. http://www.ncseif.gov.vn/sites/vie/Pages/dubaomotsochitieu-nd-16720.html

38. http://ndh.vn/buc-tranh-loi-nhuan-ngan-hang-nam-2015-noi-len-dieu-gi--20160218030422110p149c165.news

APPENDIX 1

SUMMARY OF SURVEY PROCESS

Summary of survey implementation process

From the debt trading company model in the world, most of the countries have market economies.

 Outline a suitable model for DATC in Vietnam.

Research design:

Questionnaire design => Test interview => Edit questionnaire Sample selection: Number, sample grouping

Conduct research:

Send questionnaire, summarize by keyword, analyze => results.

Problem:

DATC needs to improve operational efficiency, introduce a model for DATC that is suitable for the socialist-oriented market economy.

Provide a model that can be introduced to DATC

Sample size

Sampling method: Non-random sampling by convenience sampling and incubation. Non-random sampling method by

Convenience sampling is a non-probability sampling method in which the researcher accesses the sample elements by means of convenience, meaning the researcher can choose which elements they can access.

The reason for choosing the non-random sampling method by convenience sampling and incubation is because the qualitative research method and the content of the topic make it very difficult to determine the research subjects,

For this case study, the sample size was estimated to be between 90-100 for the formal survey form.

How to do it:

Step 1: Distribute official survey forms to the identified subjects.

from the list, selected by convenience and incubation methods.

Step 2: Receive the results, and ask directly, if the subject is able to answer in detail, shows interest and agrees, conduct a survey using sample 1 for the subject.

Step 3: Enter the results obtained into the summary table.

Step 4: Use the results to answer the research questions.

Survey results report

A total of 110 questionnaires were distributed, surveying financial professionals. A total of 105 questionnaires were collected. After checking, 5 unqualified questionnaires were eliminated (mainly due to incomplete information).

Thus, the total number of questionnaires included in the analysis and processing is 100 with complete answer options.

APPENDIX 2

SURVEY FORM (Form 1)

Part 1: Introduction

Hello Sir/Madam, my name is Hoang Truc Giang, a Master's student of Political Economy, course 23, University of Economics, Ho Chi Minh City. I would like to send you this interview questionnaire to find out your opinions on the issue of building a centralized AMC model for the Vietnam Debt Trading Company (DATC) in the market economy of Vietnam.

The issue I want to research is whether the centralized AMC model that is being successfully applied in developed countries in Asia such as Korea, Thailand, Malaysia, China, etc. can be successfully applied to the case of DATC in Vietnam? If we want to be successful, how should we apply it? Is the protection for DATC (using large capital sources, having special powers, etc.) consistent with the laws of the market economy? How can banks proactively seek out DATC to sell debt in accordance with the laws of the market economy?

The contents collected in this questionnaire will be kept completely confidential, only serving the purpose of synthesizing information according to the keywords of the qualitative research method to complete the thesis. There will be no verbatim quotations with the expert's name re-quoted for use in any other written work without the consent of that expert.

Part 2: Questions

Question 1: First of all, experts, please let us know what your area of expertise is?

Finance Bank Debt trading Economic and political research

 Other ……................................................................................................................

Question 2: The working time in the professional field of the expert is:

From 5 to 10 years From 10 to 15 years From 15 to 20 years Over 20 years

Question 3: When thinking about the solution to bad debts of banks and bad debts of state-owned enterprises, you

Which company/unit does the expert think of first? Why?

................................................................................................................................................................

Question 4: According to you, Experts, does Vietnam need a centralized (national) AMC to handle this problem?

bad debt management? Why? How is that centralized AMC envisioned?

................................................................................................................................................................

Question 5: According to you, Experts, is Vietnam Debt Trading Company Limited (DATC) a centralized AMC (National Debt Management Company)? Or is it similar to a centralized AMC? Why?

................................................................................................................................................................

Question 6: Experts, please evaluate DATC's ability to buy bad debt (potential)

financial strength, debt purchase price, debt settlement quality, etc.).

................................................................................................................................................................

Question 7: How do you evaluate the role of DATC in recent times?

................................................................................................................................................................

According to AMC theories, two factors that clearly demonstrate the model of a centralized AMC are a strong source of capital from the Government (capable of handling bad debts with large value in a short time) and a special operating mechanism (method of transferring, handling debts, collateral; transparency) along with a team of competent and honest staff. So,

Question 8: According to experts, is direct funding from the budget to handle bad debt in accordance with the law and in line with the market economy?

................................................................................................................................................................

Question 9: According to the experts, is DATC buying debt with cash (buying the debt outright) right?

better than buying debt with convertible bonds?

................................................................................................................................................................

Question 10: Currently, DATC's charter capital is 6,000 billion VND. According to experts, does DATC need to increase capital? What is the basis for calculation?

................................................................................................................................................................

Question 11: Is the protection for DATC (including the use of budget capital, corporate income tax exemption, separate legal corridor for handling secured assets, priority debt purchase rights, debt sale to foreign partners, creation of debt trading market...) necessary for experts on a quarterly basis? Is it in line with the laws of the market economy?

................................................................................................................................................................

Question 12: Can the banks accept the requirement that banks with group 5 debts must sell their debts to DATC? Is it consistent with the laws of the market economy? Should the debt buying and selling price be negotiated or controlled by a percentage?

................................................................................................................................................................

Question 13: Given that DATC is a special-class state-owned enterprise, what kind of appropriate talent compensation policy does DATC need (salary, bonus, regulations on buying shares in debt-handled units, etc.)?

................................................................................................................................................................

Improving the operational efficiency of Vietnam Debt Trading Company (DATC) in a socialist-oriented market economy - 11

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