Author
Ms To Nhat Mai
Organisation/Institution
Saigon-Hanoi Commercial Joint Stock Bank
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
To Nhat Mai is a law graduate and early-career researcher based in Hanoi, Vietnam. She holds a Bachelor of Laws (LL.B.) from University of Law – Vietnam National University, Hanoi and a Bachelor’s degree in English Language from University of Languages and International Studies – Vietnam National University, Hanoi. Her research interests include corporate law, commercial law, regulatory governance, and emerging issues in environmental, social, and governance (ESG) regulation, particularly in relation to enterprises and financial institutions. She previously conducted research in intellectual property law, including a study titled “Legal Rules on Patent Exploitation and Management for Innovation in Vietnamese Universities.” She currently works in the compliance field in the banking sector, engaging with regulatory frameworks and internal governance systems.
