Banking institutions, Bank of Korea and State Bank of Vietnam, sign a new Memorandum of Understanding to foster collaboration.
The State Bank of Vietnam and the Bank of Korea have strengthened their financial cooperation with the signing of a revised Memorandum of Understanding (MoU) on August 11, 2025. This update replaces the original agreement from 2004 and significantly expands their collaboration [1][2].
The new MoU specifies areas of cooperation in greater detail, covering key central banking responsibilities such as monetary policy, financial stability, payment and settlement systems, and currency issuance. It also broadens the modes of cooperation to include working-level meetings, in addition to existing workshops and seminars [1][2].
This revision is significant as it reflects the advancement of financial cooperation between the two central banks. It aims to deepen strategic cooperation between South Korea and Vietnam, an ASEAN economy with high growth potential. The incorporation of working-level meetings enhances practical coordination between the two central banks [1][2].
The revised MoU contributes to financial cooperation by detailing vital central banking functions for collaboration, adding new forms of engagement, and reinforcing the strategic partnership to support regional economic resilience and integration amid global financial uncertainties [1][2].
Meanwhile, South Korean venture capital firms are shifting their investment focus in Vietnam to tap into emerging digitalisation trends. Eddy Hong, founder and CEO of Nextrans, shared insights on this evolving investment appetite [3].
The Vietnamese Minister of Construction, Tran Hong Minh, had a meeting on May 20 to discuss future cooperation opportunities with South Korean Ambassador Choi Youngsam in Hanoi [4]. This meeting underscores the potential for further collaboration between the two nations.
The new MoU lays the groundwork for more substantive collaboration, reflecting the growing importance of financial cooperation between Vietnam and South Korea. It is expected to contribute to enhancing strategic cooperation with Vietnam [1][2].
References:
[1] State Bank of Vietnam. (2025). Press Release: Revised MoU between State Bank of Vietnam and Bank of Korea. Retrieved from https://www.sbv.gov.vn/web/guest/home/-/media/Files/Press-Room/Press-Releases/2025/08/11/Revised-MoU-between-State-Bank-of-Vietnam-and-Bank-of-Korea.pdf
[2] Bank of Korea. (2025). Press Release: Revised MoU between State Bank of Vietnam and Bank of Korea. Retrieved from https://www.bok.or.kr/contents.do?menuId=100000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000
The revised Memorandum of Understanding (MoU) expands collaboration between the two central banks in areas such as industry, finance, and business, by detailing vital central banking functions and adding new forms of engagement.
The growing importance of financial cooperation between Vietnam and South Korea, as reflected in the revised MoU, is anticipated to deepen strategic partnerships and promote business growth in sectors like industry and finance.
