IFC, a member of the World Bank, has just signed an agreement with the Vietnamese Ministry of Justice to start the second phase of technical assistance that will target further reforms in the legal framework.
The second phase aims to help the ministry’s National Registration Agency of Secured Transactions increase access to finance in Viet Nam through improved, secured lending.
The phase focuses on reforms in the legal framework for the secured transactions registry and supports the procurement, set-up, and management of the nation’s first web-based registry system. The project will run from this August to December 2009.
“This project is very important,” Ms. Nguyen Thuy Hien, director of the National Registration Agency of Secured Transactions, said in an announcement.
“It helps our agency support the Ministry of Justice with its management of secured transactions registration and related legal documents, and facilitates the establishment of the most modern web-based registry system in the Southeast Asia,” she added.
IFC, or the International Finance Corporation, through its MPDF advisory services program, has helped the Vietnamese Government expand the range of assets to be used as collateral, and helped simplify procedures for creating security interests.
During the first phase, IFC MPDF analyzed Viet Nam’s lending environment through a baseline survey of the country’s financial sector. The findings enabled the Ministry of Justice to better understand the concerns of the country’s lending institutions, as well as the issues facing the private sector in accessing credit.