Digital finance and funding pressure in Vietnamese banks

Purpose This study aims to examine whether reported CoreTech in bank annual reports provides a standalone resilience signal or contains conditional information about deposit-growth pressure during periods of stress. Design/methodology/approach Using an unbalanced panel of 25 publicly listed Vietnamese commercial banks from 2013 to 2025, the study constructs an auditable annual-report index of reported internal technology implementation. The index separates implementation evidence from digital ambition, customer-facing channels and generic disclosure. Regressions with bank and year fixed effects examine how lagged reported CoreTech relates to deposit-growth pressure across stress periods. Findings Banks with stronger lagged reported CoreTech experienced weaker deposit growth during the COVID stress window. This represents a relative deposit-growth shortfall rather than deposit outflows or realized liquidity distress. No statistically detectable association is found during 2022–2023 or for nonperforming-loan outcomes. Practical implications Supervisors, managers and analysts should interpret reported CoreTech alongside deposit growth, the current account and savings account ratio, loan-to-deposit ratios, liquidity buffers and bank business models. Originality/value The study provides an auditable disclosure-based measure of reported internal technology implementation and shows that its information content varies across stress environments.

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Publication Details

Journal
Journal of Financial Economic Policy
Published
2026-09-10
DOI
https://doi.org/10.1108/jfep-07-2026-0380
Primary Topic
Banking stability, regulation, efficiency
Type
article
Field-Weighted Citation Impact
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article

Digital finance and funding pressure in Vietnamese banks

Thong Trung Nguyen, Anh Quang Lê
Journal of Financial Economic Policy
Banking stability, regulation, efficiency
article

Digital finance and funding pressure in Vietnamese banks

Thong Trung Nguyen, Anh Quang Lê
article en

Abstract

Purpose This study aims to examine whether reported CoreTech in bank annual reports provides a standalone resilience signal or contains conditional information about deposit-growth pressure during periods of stress. Design/methodology/approach Using an unbalanced panel of 25 publicly listed Vietnamese commercial banks from 2013 to 2025, the study constructs an auditable annual-report index of reported internal technology implementation. The index separates implementation evidence from digital ambition, customer-facing channels and generic disclosure. Regressions with bank and year fixed effects examine how lagged reported CoreTech relates to deposit-growth pressure across stress periods. Findings Banks with stronger lagged reported CoreTech experienced weaker deposit growth during the COVID stress window. This represents a relative deposit-growth shortfall rather than deposit outflows or realized liquidity distress. No statistically detectable association is found during 2022–2023 or for nonperforming-loan outcomes. Practical implications Supervisors, managers and analysts should interpret reported CoreTech alongside deposit growth, the current account and savings account ratio, loan-to-deposit ratios, liquidity buffers and bank business models. Originality/value The study provides an auditable disclosure-based measure of reported internal technology implementation and shows that its information content varies across stress environments.

Journal of Financial Economic Policy
National Economics University (VN), Vietnam National University, Hanoi (VN), University of Economics Ho Chi Minh City (VN)
Openalex Percentile: Top 7%
Banking stability, regulation, efficiency
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