Vietnam FIs Study | Fraud prevention trends
Combatting escalating fraud in a digital world
Download our report to find out how financial institutions in Vietnam are safeguarding their digital products and channels in an age of increased digital adoption.
79%
of FIs expect an increase in malware in 2022
61%
of FIs reported identity verification as the topmost challenge in growing digital transactions
42%
of FIs indicated increased compliance costs as their topmost concern in growing online products
58% of Vietnam financial institutes have invested in one platform to interexchange application data and transaction data, higher than regional peers.
In this report, we analyse emerging trends in Vietnam’s financial institutes (FIs), their digitalisation priorities and existing gaps in fraud control and mitigation.
The study gauges the digitalisation priorities of FIs, assessing key fraud and security challenges, as well as evaluating the existing gaps that need to be overcome to mitigate fraud in a rapidly digitalising world.
Findings
Digitalisation is expected to scale further with digital transactions projected to increase in the next 3 years. Increased regulatory impetus alongside growth in digital banking and digital transformation initiatives are propelling this growth.
Past regulations have posed a challenge for FIs, with two-thirds struggling to comply. Regulatory penalties emerged as the biggest fraud-related loss, with increased compliance costs the topmost concern in growing online products.
Inadequate data standardisation and fragmented data are the main bottlenecks faced by almost half of FIs; more FIs than the regional average are investing in platforms to interchange application data and transaction data.
Proactive initiatives are being undertaken, with Vietnam ahead of regional peers in continually upgrading staff capabilities to meet evolving needs.
Organisational integration of insights across compliance, fraud and cybersecurity is still lacking in over one-third of FIs in Vietnam, higher than the regional average.
Machine learning usage is being expanded and FIs in Vietnam are investing in new threat detection initiatives. New endpoint detection solutions form the biggest component of investment against fraud.