Author
Dr Nguyen Hai Yen
Organisation/Institution
Hanoi Law University
Country
VIETNAM
Panel
Banking and Finance
Title
TOWARDS SUSTAINABLE FINANCE IN ASIA: ESG REGULATION IN THE VIETNAMESE BANKING SECTOR
Abstract
As Asia accelerates its transition towards sustainable finance, Vietnam’s banking sector has become a key channel for embedding Environmental, Social, and Governance (ESG) considerations into financial intermediation. This paper offers a doctrinal and comparative analysis of the emerging legal and regulatory framework governing ESG in Vietnam’s banking system, with particular emphasis on the supervisory and standard-setting role of the State Bank of Vietnam. It traces the evolution, structure, and internal coherence of ESG-related laws, regulations, guidelines, and policy documents, and examines how these instruments shape core banking activities, including green credit allocation, risk management, disclosure, and prudential supervision. The study assesses the extent to which Vietnam’s framework aligns with leading international ESG reporting frameworks and standards, such as the Global Reporting Initiative (GRI), the Task Force on Climate-related Financial Disclosures (TCFD), and the Sustainability Accounting Standards Board (SASB), and benchmarks it against selected regulatory approaches in other Asian jurisdictions. On this basis, the paper identifies areas where legal guidance is relatively robust, alongside normative, institutional, and enforcement gaps that may hinder effective implementation and harmonization with global best practices. The findings generate policy insights to enhance legal clarity and coherence, strengthen supervisory capacity, and promote closer alignment with international standards, thereby enabling Vietnam’s banking sector to contribute more effectively to a sustainable and resilient financial ecosystem in Asia.
Biography
Nguyen Hai Yen is a lecturer at the Department of Financial and Banking Law, Faculty of Economic Law, Hanoi Law University, Vietnam. She holds an LLD and an LLM from the Graduate School of Law in Kyushu University, Japan, as well as an LLM and an LLB from Hanoi Law University. Her previous experience includes working as a legal consultant for law firms. Her research has focused on financial law, banking law, securities law, with a particular emphasis on fintech law. Her current publications include Fintech in Vietnam and its regulatory approach, in Fenwick, Uytsel and Ying eds. Regulating fintech in Asia: global context, local perspectives (Springer, 2020); Regulating Peer-to-Peer lending in Vietnam: A Comparative and Economics Perspective (Springer, 2025)
