THE CURRENT SITUATION OF DIGITAL TECHNOLOGY APPLICATION AT COMMERCIAL BANKS IN VIETNAM

Abstract

The process of applying digital technology in Vietnam's banking sector plays a crucial role in enhancing the efficiency of governance, operations, and business activities of commercial banks. Vietnamese commercial banks have implemented various digital technology solutions, such as artificial intelligence, machine learning, blockchain, and cloud computing. The digitalization process in the banking sector has achieved significant milestones, with certain core banking operations being fully digitized. Many banks report that over 90% of their transactions are conducted through digital channels. However, the application of digital technology in Vietnamese commercial banks faces several challenges. These include disparities in customers' technological proficiency, inadequacies in mechanisms and policies to meet evolving demands, and limited public awareness and understanding of digital transformation. Proposed solutions include developing comprehensive digital transformation strategies, enhancing customer awareness and digital literacy, improving the digital transformation capabilities of bank personnel, and integrating traditional and digital services to help customers gradually adapt to the changes. With the support of government agencies and ongoing technological advancements, the digital transformation in Vietnam's banking industry is expected to become more effective and sustainable. This will contribute to the growth of the digital economy and address the increasingly sophisticated needs of customers.