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Resolution
Decree 95/2011/NDCP amending and supplementing
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Raising Awareness for Educational Forces Inside and Outside the School on Building Organizational Culture and Managing Organizational Culture Building -
Promote Propaganda, Promotion and Raising Community Awareness of Cultural Tourism. -
Raising Awareness for Cadres, Party Members and People of All Classes in Le Chan District About the Role of the Community in Organizing and Participating -
Continuously Raising Awareness of the Position, Role and Importance of Industry and Industrial Development in the Renovation Period. -
Raising Awareness and Encouraging Local Communities to Actively Participate in Tourism Activities:
Article of the Resolution
determine
204/2004/NDCP also provides for administrative sanctions for violations in the activities of receiving deposits, granting credit and providing payment services through accounts, but there are no regulations on handling acts of unfair competition in banking activities corresponding to the above mentioned banking activities. Therefore, we
I recommend adding more regulations on handling competitive behavior.
unhealthy banking activities of commercial banks in the Decree on administrative sanctions in the field of currency and banking activities. The Law on Handling of Administrative Violations 2012 has provisions in the direction of stipulating the maximum fine level differentiated by field. Accordingly, a fine of up to 100,000,000 VND for violations of "...protecting consumer rights..." (Point d Clause 1 Article 24 of the Law on Handling of Administrative Violations 2012); a fine of up to 1,000,000,000 VND for "...banking, credit..." (Point k Clause 1 Article 24 of the Law on Handling of Administrative Violations 2012). Regulations on the maximum fine level in
competition field in Decree 71/2014/NDCP dated July 21, 2014 of the Government
The Government's detailed regulations on the Competition Law on handling violations of the law in the field of competition have not yet specified the maximum framework for the field of consumer protection and the banking and finance sector as prescribed in the Law on Handling of Administrative Violations 2012.
Supplementing regulations on the coordination mechanism between the State Bank and the Competition Management Agency in investigating unfair competition cases in case of complaints about unfair competition in banking activities of commercial banks sent to the Competition Management Agency. Accordingly, the Competition Management Agency is obliged to provide information related to complaints requesting settlement of unfair competition cases in banking activities to the State Bank of Vietnam through the Banking Inspection and Supervision Agency. On that basis, the State Bank will coordinate in terms of expertise and banking operations with the Competition Management Agency.
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competition when investigating unfair competition cases in banking activities of commercial banks. Based on the investigation conclusion, the Competition Authority will issue a decision to resolve the case in accordance with the provisions of law.
4.3.2. Organizational solutions
law enforcement agency
anti-competitive
unhealthy banking operations of commercial banks
in Vietnam today
The organization of law enforcement plays an important role, acting as a “bridge” to ensure the feasibility of the law against unfair competition in banking activities. To ensure the organization of law enforcement against unfair competition in banking activities of commercial banks in Vietnam today, in our opinion, it is necessary to focus on the following main measures:
4.3.2.1. Raising awareness and practicing social responsibility of commercial banks towards society and consumers in banking activities
Commercial banks are business entities, so they also need to "live" to survive and conduct business activities to seek profits, meaning that the ethical actions of banks "must be compatible with making profits or at least must make enough profits to stand firm in the market and face competition" [50, p.276]. As financial intermediaries, commercial banks are important entities in the circulation of capital for the economy. Therefore, for banks, the risk of violating business ethics is very easy, stemming from the position and role of banks in the economy. Therefore, the essence of raising awareness of banks' responsibility to society is the process of harmoniously resolving the goal of maximizing business benefits with ensuring social interests, especially ensuring the implementation of national monetary policy, ensuring businesses' ability to access bank capital conveniently and at the lowest cost. To raise awareness of the bank's responsibility towards the social community, first of all, the bank must play a good role as a financial intermediary with the spirit of
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highest spirit, eliminating to the lowest level barriers to accessing social capital; joining hands with the state to solve difficulties, especially in the context of a volatile economy.
To effectively implement this solution, we recommend unifying the content.
social responsibility of commercial banks. Although there are still many concerns
different concepts about the content of corporate social responsibility, but according to
We, the social responsibility content of commercial banks includes the following contents:
1. Ensure the role of providing capital for the economy well. Performing the role of providing capital and payment needs for the economy well will be the basis for promoting the socio-economic development of the country.
2. Ensure access to capital sources to serve production and business needs and consumption needs of customers. That is, commercial banks are not allowed to issue or have other obstructive actions against customers when they
access to bank loans.
here is a problem
need clarification on
Theoretically, are commercial banks responsible for providing credit capital to those who have difficulty accessing capital such as poor households, borrowers without collateral, and co-financing capital for key national projects, because in our country, these activities are the functions of the Policy Bank and the Vietnam Development Bank?
Answering the above question, legally, we have separated policy credit and commercial credit in the Law amending and supplementing a number of articles of the Law on Credit Institutions in 2004. This separation is still reflected in the Law on Credit Institutions 2010. Therefore, in our opinion, this content, in the social responsibility contents of commercial banks and if commercial banks can within the permitted scope, the State encourages them to implement for the above subjects to access credit capital.
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3. Protect depositors' rights well through participating in deposit insurance and implementing regulations on ensuring safety of banking operations and the system of credit institutions.
4. Ensuring the safety of banking operations and the system of credit institutions. This is an important task that requires the joint participation of all commercial banks. This is both a legal responsibility stipulated by the Law on Credit Institutions and a responsibility of commercial banks towards depositors.
money, because if left
spillage
broken system
organization
credit institutions will
cause
seriously affect the socio-economic life of the country. To effectively implement this social responsibility of commercial banks requires the participation of the whole society to supervise, the determination of the State Bank to manage and supervise the compliance with regulations of commercial banks.
Thus, raising awareness and practicing social responsibility of banks
Commercial banks play a huge role in combating unfair competition in banking activities. This is demonstrated in the following aspects:
Firstly , when awareness of social responsibility is realized, commercial banks will gradually shift from the business goal of their own profit to the business goal of ensuring harmony of interests of the bank, consumers (customers) and competitors. To do this, it is necessary to quickly establish a foundation of banking business ethics including ethics of administrators, managers and bank staff built on the foundation of reasonable remuneration to limit corruption by greed, because the issue of responsibility is always related to human behavior whether at the global or national level, community or individual and it is a basic category of ethical philosophy [101, p.21].
Second , the social responsibility of banks will contribute to building a transparent, fair and healthy banking business culture. Studies on building
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Building a banking business culture in our country in the past has affirmed that banking business culture is a factor in sustainable development [65, p.1419], and is the secret to success [91, p.2938] of commercial banks, that is, when based on a solid foundation of business culture, commercial banks will eliminate "fake" things in business practices [2, p.8696]. To have the courage to overcome unfair, non-transparent, and unfair competitive behaviors, commercial banks need to rely on a solid foundation of banking business culture. Practice has proven that when establishing and practicing social responsibility, commercial banks stay away from and do not carry out illegal behaviors, customs, and business ethics, that is, do not carry out unfair competitive behaviors.
Third , the unique feature of competition among commercial banks is both cooperation and competition, only then can the system be stable. However, in the market, there are still phenomena of playing dirty tricks on each other, the phenomenon of spreading false rumors for personal gain still exists; the situation of major shareholders abusing their positions for personal gain, bank managers not being loyal to the bank's interests is still common... This phenomenon is due to the fact that commercial banks have not yet established a code of conduct, rules in business ethics, especially rules to resolve the relationship between managers and executives.
with neck
crowded, with employees, with competitors
competition, with the
official
rights..., meaning that it has not yet built a business environment based on the spirit of harmonious cooperation not only between competitors but also for customers and consumers who are at risk of being damaged by unfair competition.
In short, raising awareness and practicing social responsibility of commercial banks to combat unfair competition in banking activities is essentially orienting commercial banks to build core values.
in your business, emphasizing the element of self-regulation
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their behavior towards the business environment in a way that is consistent with human interests and happiness, with social progress and with sustainable development,
body
show the commercial bank's respect for its competitors
compete,
consumers as well as the whole society. It is necessary to consider the core values of commercial banks and their practical implementation as criteria for evaluating and classifying commercial banks in each period. The evaluation and classification of commercial banks are not only based on legal criteria but also on the foundation of social values created by the bank. That means, in planning development strategies, commercial banks must aim for long-term development goals, banks must link the services they provide with the country's development process, especially in times of capital difficulties, banks must be the leading force in solving those difficulties, only then will businesses not have to reduce production scale, limiting the increasing unemployment in society...
4.3.2.2. Establishing the foundation of banking ethics for commercial banks to combat unfair competition in banking activities.
First , on the levels of the Banking Code of Ethics and the relationship between the levels of the Banking Code of Ethics
Research on the experience of building the Banking Code of Ethics in other countries shows that there are two levels of regulation of the Banking Code of Ethics at the industry level through the Banking Association and at the level of each bank. The Banking Association's Code of Ethics is the expression of the common will of all members of the Association towards establishing common ethical standards in the entire industry, providing an orientation as a basis for member banks to concretize into ethical standards appropriate to the field and scope of banking activities allowed to perform. The Code of Ethics of each commercial bank needs to emphasize core values in order to establish
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difference,
value orientation
trademark
of banks on the market
school.
The focus of the Code of Business Ethics of commercial banks emphasizes the relationship between administrators, executives and shareholders; between banks, bank employees and customers and partners, which is expressed through the quality of
service quality, commitment to responsibility, level of diligence and honesty in operations
Business operations. The essence of the Code of Business Ethics of commercial banks is to determine the internal and external ethical relations of the bank.
Internal ethics is related to employee happiness and customer satisfaction such as wages, union performance, gender equality and the use of environmentally friendly products, cost reduction. External ethics is related to the products that the bank provides, it is closely related to the bank's network of operations. Generally banks do not want to expand the scope of external ethics policy. External ethics can be considered more important than internal ethics because the potential damage of internal ethics to society is very small while many bank fund companies have the potential to cause widespread damage [121].
Second , recommend building the content of the Code of Business Ethics in banking activities .
First, in terms of form, the Code of Ethics for the Banking Industry
is considered a written document that sets out the values, standards, and foundations that the bank wants to apply both inside and outside the bank, with the ability to encourage
encouraging or coercive
for banks in the market
school [50,
p.439]. When issued, the banking code of ethics is a regulatory tool between banks, employees and participants, meaning it becomes an effective tool to control and combat unfair competition. Experience from other countries has shown that the codification/legalization of ethical rules in businesses is important in building a business system.
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ethical. Therefore, the State Bank and the Banking Association play a leading role in developing and promulgating this Code of Conduct, and the standards stipulated in this Code of Conduct are the criteria for "scoring", evaluating, and classifying commercial banks in their operations.
Second, the content of the Banking Code of Ethics is developed by the Banking Association based on the discussion of its members. The main contents of the Banking Code of Ethics developed by the Banking Association include:
The mission of banking activities is to ensure the smooth circulation of capital in the economy, contributing to promoting socio-economic development.
Member banks and credit institutions must look after the common interests of the entire system; respect each other's interests and compete fairly.
Serving and providing customers with the best banking services is the central task of the members. The value of quality banking services is
one of the criteria for determining the level in the whole system.
development and value
of the bank
Bank managers must respect the interests of the entire system, not pursue their own local interests to the detriment of the interests of members and other banks and credit institutions in the market.
Bank employees must be dedicated and loyal to the bank. In their relationships with customers, bank employees must not violate established operational regulations for personal gain.
Third, regarding the content of the Code of Ethics of each bank and credit institution.
Currently, Vietnamese commercial banks have many business slogans expressing the core values of their banks in relation to society, customers and competitors. The key issue in building the content of the Code of Ethics of each bank and credit institution is specifically