Vietnam: on its way to enabling…

Last year, Vietnam released a decree on microfinance institutions that would allow both deposit and non-deposit taking MFIs to operate. In this featured essay, Doan Anh Tuan addresses the development of this regulatory framework and its expected impact on the industry.

This essay offers the history of the development of the current microfinance regulatory framework in Vietnam, outlining different positions various stakeholders offered during the course of the writing and passage of the Microfinance Decree. In addition, the author provides opinions on the effect this regulatory framework will have on the future of the sector and offers recommendations for actions needing to be taken by policy makers and practitioners alike.