The IFRS 9 solution developed by FPT IS attains a 5-star Sao Khue rating
Recently at 2023 Sao Khue Awards (Vietnam ICT Excellence), FPT.IFRS9 has been honored to be ranked 5-star for its uniqueness, efficiency, and impressive market scalability. Being developed since 2020 by FPT Information System Corporation (FPT IS), the solution has been solving many “pain points” of financial institutions and banks.
The only IFRS 9 standard-setting solution in Vietnam
Participating for the first time at 2023 Sao Khue Awards, FPT.IFRS9, the International financial reporting standard 9 system, has been ranked 5-star, thereby affirming the quality of the pioneering solution to address major problems of finance and banking enterprises.
Currently, FPT.IFRS9 is the first and only system in Vietnam to help financial institutions and banks in applying the International Financial Reporting Standards (IFRS). Using the solution, enterprises can easily disclose information in compliance with IFRS, contributing to the building of a transparent finance market in Vietnam. The solution also equips financial institutions and banks with the solid premise for their journey to reach out to the international market.
Mr. Dao Hong Giang – Director of Finance & Banking Sector, FPT IS – receives the 5-star Sao Khue certificate for FPT.IFRS9.
IFRS includes accounting standards issued by the International Accounting Standards Board with the aim of setting common rules for financial reports to be consistent, transparent, and comparable across the world. In particular, IFRS 9, issued in 2014, regulates the preparation and presentation of important information such as value, credit loss, risk reserves, etc. of financial instruments and is considered the backbone standard for the entire data of banks and credit institutions.
Previously, banks and credit institutions in Vietnam that wanted to apply IFRS 9 had to purchase solutions from foreign vendors (Oracle, SAS…). The solutions are costly and have low compatibility with the Vietnamese market, leading to the budget consumption without delivering the expected effectiveness. Meanwhile, according to the Vietnam Ministry of Finance and the State Bank of Vietnam, from 2025, it is required for finance and banking organizations to comply with IFRS 9 standard.
“In that market context, with its unique quality and current position, FPT.IFRS9 has the potential for strong growth and expansion in the future, becoming a powerful utility in the journey of standardizing processes for financial institutions and banks. The Sao Khue Awards therefore is the great recognition of the efforts of FPT IS in researching and developing the system, thereby affirming the prestige and quality of a “Make in Vietnam” solution regarding standardization of international processes”, said Mr. Dao Hong Giang – Director of Finance & Banking Sector, FPT IS.
FPT.IFRS9 demonstrates wide applicability
Being the most highly rated solution in FPT Corporation’s digital transformation initiative contest in 2022 and honored at 2023 Sao Khue Awards, FPT.IFRS9 has increasingly affirmed its effectiveness, value, and wide applicability.
The solution is highly compatible with systems of financial institutions and banks in Vietnam, ensuring complete calculation of all required metrics according to the international accounting standards while fully complying with domestic accounting standards. The system includes the key functions: classifying financial instruments; calculating the current value of the bank’s asset items, reflecting market fluctuations; estimating projected credit loss value to help banks determine the level of risk reserves and policy directions; and preparing and presenting disclosures as required by standards…
Currently, FPT IS is focusing on deploying FPT.IFRS9 for banks and organizations in Vietnam, such as Vietnam Securities Depository, Hanoi Stock Exchange, Deposit Insurance of Vietnam, Joint Stock Commercial Bank for Foreign Trade of Vietnam, and many others. In addition, the company is also planning to expand to foreign bank branches and finance companies in Vietnam and commercial banks in Laos and Cambodia.
As the leading bank in Vietnam, in addition to secure and effective business operations, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) has always been pioneering in transformation and adoption of international standards and best governance practices. Collaborating with FPT IS to apply IFRS 9 is part of the roadmap to approach international practices and standards for finance accounting and risk management.
Since its implementation in 2020, FPT.IFRS9 has supported Vietcombank in preparing and presenting financial statements in accordance with international standards for four consecutive years (2018–2021) and will continue to be chosen for the subsequent years.
Vietcombank has partnered with FPT IS to implement FPT.IFRS9 since 2020.
With its pioneering position in addressing problems specific to the finance sector, FPT.IFRS9 is expected to be the most optimal utility for organizations in the process of business process standardization, laying an important foundation for businesses to reach out to the world.
At 2023 Sao Khue Awards, FPT IS has also been honored with four solutions, i.e., the Anti-fraud solution for digital identity verification – FPT.IDCheck (Top 10 Sao Khue), International financial reporting standard 9 system – FPT.IFRS9 and Utop LoyaltyOS (5-star rating), and Human resources & payroll management system – FPT.iHRP. FPT IS is the leading member of FPT Corporation in terms of award quality and has become one of the companies with the most impressive achievements at Sao Khue Awards this year.
