VSS, World Bank target wider social insurance coverage in Vietnam

The world organisation hopes to aid Vietnam’s goal of a 60% coverage target by 2030.

The Vietnam Social Security (VSS) and the World Bank (WB) emphasised the importance of the amended Social Insurance Law 2024 in expanding coverage for informal workers. 

The WB will work with VSS on increasing government subsidies for voluntary social insurance and explore additional WB contribution subsidies to help meet the government’s 60% coverage target by 2030. 

Discussions will also focus on policy recommendations to encourage insurance participation amongst gig workers. 

The WB proposed a study tour for Egypt’s Social Insurance Authority on digital transformation and expanding informal sector coverage.  

Both entities held a working session in Hanoi on 13 February with a World Bank (WB) delegation led by Robert J. Palacios, senior pension economist, to discuss expanding social insurance coverage for informal workers and the revised Social Insurance Law.

Deputy Director General of VSS, Dao Viet Anh, highlighted the World Bank’s role as a key partner in improving social insurance policies, universal health insurance, and modernising the social security sector. 

The WB has provided technical assistance for revising the Social Insurance Law, expanding voluntary social insurance, conducting financial forecasts, and training staff on forecasting models.

Currently, social insurance coverage in Vietnam stands at 34%. Palacios suggested improving communication, providing pension calculation tools, and enhancing technology use in voluntary social insurance. 

VSS acknowledged the WB’s recommendations and requested support in finalising jointly developed products, capacity-building initiatives, data governance, and fund balance forecasts.