Vietnam’s central bank, the State Bank of Vietnam (SBV), has moved to tighten rules on artificial intelligence (AI) in the banking sector, requiring financial institutions and e-wallet providers to notify customers in advance when AI systems are used, local media Vietnam News reported.
The proposal was reportedly included in a draft circular on safety, risk management and conditions for the introduction of AI in banking activities.
The draft law would require banks and payment intermediary service providers to notify customers before introducing AI-powered tools such as virtual assistants, automated hotlines and chatbots to communicate with customers.
Additionally, when AI is applied to emotional recognition or biometric classification, agencies must notify users, and content generated by AI, such as images, audio, and video, must be clearly disclosed.
According to a report in Vietnam News, the draft law would prohibit banks from using AI to sell high-risk financial products by exploiting customer vulnerabilities related to age, disability or financial hardship, customers would have the right to complain about decisions influenced by AI, and banks would be required to appoint someone to review such cases.
According to reports, the central bank said the stricter framework is aimed at managing risk, ensuring fair treatment of customers and protecting vulnerable groups, against the backdrop of the rapidly expanding use of AI across banks.
The new regulation is scheduled to take effect from March this year, and AI systems operating before then will have until September 2027 to comply.
Vietnam strengthens its AI strategy
This updated banking regulation comes at a time of increased focus on AI in Vietnam and across the region.
At the end of January, Tran Cam Thu, Standing Committee Member of the Vietnam Party’s Central Secretariat, signed Directive No. 57, which sets out strict measures to strengthen cybersecurity, protect data, and protect information integrity throughout the country’s political system.
To counter growing concerns over the rise of AI deepfakes and fraud, one of the directive’s main provisions will require identity verification for all online activity in Vietnam, with Mr Tran reportedly calling for a “wipe out” of “garbage SIMs”, fake accounts and anonymous users. This requirement applies to all Vietnamese citizens, social media users, telecommunications subscribers and digital asset owners.
Additionally, social media platforms operating in the country will now be required to implement mandatory background checks and age restrictions to protect minors.
Meanwhile, neighboring Laos has recently strengthened its AI readiness, and in January announced a national artificial intelligence strategy formed based on UNESCO’s AI Ethics Readiness Assessment Methodology (RAM).
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