AsemconnectVietnam - In 9 months of 2023, Sacombank (STB) achieved over VND6,840 billion profit and MB reached VND20,000 billion profit, OCB reaches nearly VND4,000 billion pre-tax profit; SHB completed 80% of the year's profit plan and Vietbank (VBB) reached nearly VND419 billion profit before tax. In Q3/2023, Eximbank (EIB) reached nearly VND307 billion in pre-tax profit. BIDV's total consolidated assets reached over VND2.13 million billion. KienlongBank (KLB): The third quarter remains stable, expected to achieve the year-end plan target.

Sacombank (STB)
Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank, code STB) has just announced its consolidated financial report for the third quarter of 2023, pre-tax profit for the first 9 months of 2023 increased by 54% over the same period, thanks to a strong increase in main revenue sources and reduce provisioning.
Specifically, in the first 9 months of 2023, main activities grew strongly by 48% over the same period, recording more than VND16,439 billion in net interest income. On the contrary, non-interest income decreased. Profit from services decreased by 53%, profit from other activities decreased by 94%. Profit from foreign exchange trading increased by 6%, investment securities trading activities changed from loss to profit.
Meanwhile, Sacombank only set aside more than VND3,144 billion to reserve for credit risks in the first 9 months of 2023, a decrease of 43%. As a result, the Bank recorded a pre-tax profit of more than VND6,840 billion, an increase of 54% over the same period.
Thus, compared to the plan of VND9,500 billion profit before tax set for the whole year, Sacombank has achieved 72% of the target after 9 months.
Sacombank's total assets as of the end of the third quarter of 2023 expanded by 10% compared to the beginning of the year, reaching VND651,288 billion. Of which, customer loans increased by 8%; Customer deposits increased by 12%. Sacombank's total bad debt as of September 30, 2023 is VND10,387 billion, 2.4 times higher than the beginning of the year. The ratio of bad debt to outstanding loans increased from 0.98% at the beginning of the year to 2.2%.
The Bank's consolidated pre-tax profit in 2023 is estimated to reach more than VND9,500 billion, an increase of 50% over the previous year and reaching 100% of the plan. The General Meeting of Shareholders assigned.
According to Sacombank, in the context of a global economic slowdown, stability and sustainability have become the goals of many businesses. In line with market trends, the Bank has devoted many resources to promoting core business areas and constantly improving products and services to diversify revenue sources.
Thanks to that, by the end of 2023, total assets are estimated to reach nearly VND664,000 billion, of which profitable assets account for 90.3%. Total mobilization is estimated at more than VND574,000 billion; Loans are estimated at more than VND487,000 billion and Sacombank's consolidated pre-tax profit in 2023 is estimated at more than VND9,500 billion, an increase of 50% compared to the previous year and reaching 100% of the plan assigned by the General Meeting of Shareholders. The bad debt ratio is controlled at 2%.
Debt collection and settlement work has been drastically implemented. It is estimated that nearly VND7,000 billion of bad debts and outstanding assets have been successfully handled, bringing the total accumulated recovery to nearly VND95,000 billion.
Operational safety ratios and financial indicators are balanced between safety and efficiency goals: CAR ratio is estimated at 9.45%, LDR ratio is estimated at 83%, NIM ratio is estimated at 3.88 %, the ROA and ROE indicators are estimated at 1.21% and 18.03%, respectively, an increase of 0.3 and 4.2%. Sacombank has made a 100% provision for the entire remaining outstanding debt and assets portfolio that has not been processed, thereby approaching the completion of financial obligations under the Project.
BIDV (BID)
Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV, code BID - HOSE) has just announced its financial report for the third quarter of 2023.
By the end of the third quarter of 2023, BIDV's total consolidated assets reached over VND2.13 million billion, continuing to maintain its position as the bank with the largest total assets in the market.
Mobilizing capital to meet capital needs, ensuring system liquidity safety. By September 30, 2023, customer deposits and valuable paper issuance reached nearly VND1.75 million billion, an increase of 7% compared to the beginning of the year. Capital mobilization grew well in retail and wholesale segments, increasing efficiency and stability of the capital base.
Outstanding credit balance focuses on the production sector, priority areas and growth drivers according to the Government's policy and direction of the State Bank. By September 30, 2023, outstanding credit balance increased by 8.4% compared to compared to the beginning of the year, of which customer loans reached VND1.65 million billion, an increase of 8.6%. Credit balance grew steadily in both retail (8.6%) and wholesale (8.3%) segments, contributing to supporting business and consumption activities of businesses and people.
Credit quality is controlled within limits, bad debt ratio according to Circular 11/2021/TT-NHNN dated September 30, 2023 is controlled according to orientation (≤1.4%). BIDV makes full risk provisions according to regulations. Operational safety indicators are guaranteed according to State regulations.
The consolidated revenue and expenditure gap reached VND35,173 billion. Consolidated pre-tax profit reached VND19,763 billion, up 11.8% over the same period last year.
On September 3, BIDV's Core Banking Profile core banking system officially went into operation, fully integrating more than 100 applications into the core banking system, ensuring safety and accuracy of information.
The successful implementation of Core Banking Profile is expected to open a new page in the Bank's development history, bringing comprehensive breakthroughs, especially in orientation, business development strategy, and development thinking. Developing products and services, organizational models, management models, operational processes..., contributing to improving the quality of products and services, increasing customer satisfaction, thereby strengthen the bank's position in the future.
In the coming time, BIDV will continue to closely monitor the system situation, manage business activities in the direction of safe and effective credit growth, focus on increasing non-interest revenue sources, and enhancing e-banking services, maximizing revenue sources and controlling costs, striving to complete the set business plan goals.
MB
Military Commercial Joint Stock Bank (MB, stock code MBB) has just announced business results for the third quarter of 2023 and the first three quarters of the year. Accordingly, MB maintains a positive growth rate, effectively manages operating costs, and continues to affirm its leading position in the race to digitally transform the banking industry.
Strong digitalization, targeting 30 million customers celebrating 30 years of establishment 1994-2024
In the first 9 months of 2023, MB successfully attracted nearly 4 million new customers, cumulatively reaching 25 million customers. The bank aims to conquer 30 million customers before celebrating MB's 30th birthday in 2024.
"For us, the definition of MB is now not simply a bank, but MB wants to become a digital enterprise" is the affirmation of Mr. Luu Trung Thai, Chairman of the Board of Directors of MB at a recent forum organized by Forbes. That determination of MB is clearly demonstrated in the bank's investment strategy in technology and platforms as well as the unique digital products MB brings to the market.
MB maintains the development of a digital ecosystem on two platforms: App MBBank (individual customers) and BIZ MBBank (business customers). By the end of September 2023, MB recorded 1.5 billion transactions on digital channels with a transaction value of VND7 million billion. The transaction scale on the digital platform remains high at 96%, equivalent to top Asian banks. At the same time, MB is one of the top banks in applications with more than 10 million active accounts in Vietnam.
Also according to the head of MB, the bank has the ability to join hands with more than 200 partners through the mini-app model, directly providing services to 25 million customers. This is considered a useful and friendly model for both users and businesses and technology partners.
In early October 2023, MB was honored to win the "Asia Excellence Enterprise" award for the fourth consecutive time and had four solutions win the "Vietnam Digital Transformation 2023" award thanks to its high technology content and friendliness, satisfy customer experience.
Completed 20% dividend payment in cash and stocks
Always focusing on harmonizing the interests of the bank, customers, shareholders and investors, MB has completed paying cash dividends at a rate of 5% and stock dividends at a rate of 15% in the third quarter of 2023 in accordance with the resolution approved by shareholders.
In addition, the plan to increase charter capital approved at the Annual General Meeting of Shareholders is still being actively implemented by MB. Specifically, the total charter capital is expected to increase in 2023 from VND45,340 billion (December 31, 2022) to VND52,141 billion. The additional capital will mainly be used for investment to increase capacity, including investment in systems, technology solutions, and investment in headquarters in Ho Chi Minh City and key areas..., at the same time supplement business investment capital.
Maintain stable growth momentum
In the first 9 months of 2023, MB's consolidated pre-tax profit reached more than VND20,000 billion, up 10% over the same period in 2023. Of which, the bank alone reported a profit of VND18,866 billion, up 15% compared to the third quarter last year, showing steady growth in the bank's business activities.
The bank recorded positive credit growth with the total outstanding debt of the entire group reaching nearly VND577,000 billion, equivalent to an increase of nearly 14% compared to 2022. This is also a higher growth rate than the average level of the entire banking industry. In addition, MB's customer deposit size also grew by 8.1% compared to the previous year, reaching VND479,733 billion.
The bank's own net interest margin (NIM) decreased slightly by 0.08% compared to 2022. MB representative said that this comes from MB focusing on reducing lending interest rates to support businesses in a difficult business context, in accordance with the policies of the Government and the State Bank.
In a challenging economic context, from the beginning of the year, MB has focused on ensuring safety indicators, optimizing operational efficiency as well as cost management. In addition to improving customers' service experience, the digitalization process has been helping MB significantly reduce operating costs, improve operational efficiency, and better manage risks according to international ESG standards. Thanks to that, the CIR ratio (operating costs/total income) of the entire group has been significantly improved, optimally by 2% compared to the same period in 2022; Of which, the bank's own CIR decreased to 28.5%.
In the last three months of the year as well as the following years, MB will continue to invest methodically and strongly in digital transformation, continuously developing and refining key digital platforms to bring the most convenient experience to customers.
"We determine that digital platforms will contribute about 50% of the bank's revenue within the next 4 years," shared Mr. Luu Trung Thai, Chairman of the Board of Directors of MB. That will be the "leverage" for MB to realize the strategic goal of becoming a digital enterprise and a leading financial group set for the period 2022-2026.
OCB
Orient Commercial Joint Stock Bank (OCB) has just announced business results for the first 9 months of 2023 with pre-tax profit of VND3,915 billion, an increase of 47.8% over the same period.
Specifically, at the end of the first 9 months of 2023, OCB recorded total net revenue of VND6,921 billion, an increase of 17.6% over the same period last year. The driving force comes from core business segments such as retail, corporate customers, card services, OCB OMNI digital bank...
Of which, interest income reached VND5,434 billion, maintaining a positive growth rate in the context of the economy showing many signs of recovery. Notably, non-interest income continued to be the highlight of OCB's growth when it increased by 94.6% to VND1,487 billion and contributed significantly 21% to total net revenue.
Operating costs were well controlled when OCB's cost/revenue ratio (CIR) decreased to 32.1% while the same period in 2022 was at 39.4%. Thus, after 9 months, OCB recorded pre-tax profit of VND3,915 billion, an impressive growth of 47.8% over the same period in 2022.
As of September 30, 2023, OCB's total assets reached VND216,755 billion, an increase of 11.7% compared to the beginning of the year. In particular, outstanding debt in market 1 also increased by 10.8% compared to the end of 2022, reaching VND136,105 billion, completing 92% of the 2023 plan thanks to actively implementing a series of loan packages with preferential interest rates and simple procedures.
Recently, OCB has focused on promoting businesses that benefit from public investment, household businesses and retail lending. These are industries and fields that are being prioritized by the state to promote economic growth.
OCB's total production and business disbursement in the first 9 months of the year reached 235% of the accumulated plan, the production and business balance increased by 119% over the same period in 2022. Focusing on the right customer segment and appropriate business segment have helped OCB maintain positive credit growth compared to the industry average.
The scale of mobilization continues to grow clearly when mobilization in market 1 reached 155,664, an increase of 13.3% compared to the end of 2022, completing 90% of the year's plan although mobilization interest rates in the market tend to decrease from the second quarter of 2023.
In addition, related indicators of risk management such as capital adequacy ratio (CAR), short-term capital ratio for medium and long-term loans, loan-to-deposit ratio (LDR), are always maintained at a safe level by OCB. Bad debt ratio is controlled at 1.94%, meeting all regulations of the State Bank. Stable liquidity index, adequate liquid asset buffer.
Compared to the beginning of 2023, up to the current period, OCB's new disbursement interest rate has decreased from 2 to 6%. With the need to borrow capital for production, business or consumption such as buying a house, real estate, car... customers will enjoy preferential interest rates from only 6.5%/year at OCB.
Deploying a credit package for businesses from only 6.79%/year, some specific businesses in the fields of Logistics, Healthcare, FMCG (fast-moving consumer goods), education, import-export, FDI... will receive Additional support of 0.2% annual interest rate and many other incentives.
KienlongBank (KLB)
Kien Long Commercial Joint Stock Bank (KienlongBank, UPCoM: KLB) has just released its consolidated financial report for the third quarter of 2023, showing a positive business situation, creating a premise for sustainable growth.
Business results with many positive indicators
In the third quarter of 2023, KienlongBank's pre-tax profit reached VND237.2 billion. Accumulated for 9 months, pre-tax profit reached VND639 billion, recorded positively compared to the same period in 2022 due to increased scale. Total consolidated assets and total capital mobilization reached VND85,553 billion and VND75,439 billion, respectively.
Outstanding credit balance as of the end of the quarter reached more than VND48,660 billion, which mainly focuses on priority areas such as agriculture, forestry, fisheries or activities that produce physical products and household self-consumption services. The bad debt ratio of the entire bank is maintained at a low level of 2%, ensuring compliance with regulations of the State Bank (SBV).
KienlongBank's net profit from service activities, foreign exchange trading, and securities trading recorded an impressive increase, contributing to maintaining stable growth momentum in the quarter. In addition, the Bank has also further promoted providing multi-utility experiences to customers through products and services on digital platforms based on the new Core Bank and Core Card platforms along with the planned target business model transformation strategy.
Marking the 28-year journey of Digital Vitality, creating breakthrough momentum with multi-utility digital products
With the goal of becoming a modern, comprehensive and friendly Digital Bank by 2025, every step of KienlongBank is aimed at leaving a mark on a modern Bank, with new thinking, breakthrough solutions and a team full of Digital Vitality in the journey of serving customers. The bank has continuously improved service quality, developed more products, found solution groups and deployed technology applications and digital transformation throughout the system effectively and in the right direction.
One of the highlights that has contributed significantly to KienlongBank's positive business results in recent times is the Store Financial Management solution set - MyShop, with more than 12,000 new Shops opened in the quarter. Not only does it provide store owners with a safe, fast, and secure solution, with MyShop, customers can also experience a financial management solution and smart sales cash flow tracking.
Not only MyShop, KienlongBank has also launched a payment solution for businesses - KienlongBank Pay with collection and payment features such as tuition collection, salary payment... This promises to be one of the solutions. Supporting businesses in implementing income and expenditure on behalf of customers and clearing payments online, thereby helping to increase the efficiency of management and capital use, improving the competitiveness of businesses.
Building a business culture associated with community development
In addition to providing diverse and professional banking products and services with the orientation of developing Digital Banking, in order to bring added value to customers, partners and shareholders, the mission that KienlongBank always guides is Comes ready to share values for the benefit of community development and business prosperity. Throughout the 28-year journey of formation and development (October 27, 1995 - October 27, 2023), based on its internal capabilities, KienlongBank has proactively optimized processes, reduced operating costs, strive to provide solutions with the goal of accompanying and supporting businesses, thereby contributing to stability and supporting economic growth.
Accordingly, KienlongBank deploys many suitable solutions, supporting both individual customers (KHCN) and corporate customers (KHDN). The Bank has advocated the direction of focusing and shifting capital flows into the production and business sectors, especially priority sectors according to Government regulations such as rural agriculture, export, small and medium enterprises... comes with the implementation of 7 consecutive loan interest rate reductions to support businesses.
In addition to business objectives, KienlongBank always considers responsibility to the community as one of the priorities in the Bank's long-term development strategy. Recognizing its efforts and responsibility for society, willingness to share difficulties, and always accompany people and businesses, KienlongBank was honored in the Asia-Pacific "Inspirational Brand" category Asia Pacific Enterprise Awards 2023.
Eximbank (EIB)
Eximbank (Code: EIB) has just released its financial report with pre-tax profit in the third quarter of 2023 reaching VND306.9 billion, down 76% over the same period, due to a decrease in revenue from main activities.
Specifically, in the third quarter of 2023, Eximbank's main source of revenue decreased by 42% to nearly VND869 billion. Meanwhile, non-interest income sources grew, such as profit from services increased by 10%, trading of investment securities changed from loss to profit, profit from other activities increased by 43%.
The main source of revenue dropped sharply, causing net profit from business activities to decrease by 51%, to only nearly VND477 billion. In addition, this quarter Eximbank switched from reversing VND296 billion to setting up provisions of more than VND170 billion, so the Bank only had pre-tax profit of nearly VND307 billion, down 76% over the same period.
Accumulated in the first 9 months of 2023, Eximbank's net interest income decreased by 23%, to nearly VND3,200 billion. Profit before tax for 9 months reached more than VND1,712 billion, down 46% over the same period. Thus, compared to the plan of VND5,000 billion pre-tax profit in 2023, Eximbank has only achieved 34% of the target after the first 3 quarters of this year.
As of the end of September 2023, Eximbank's total assets reached VND191,337 billion, an increase of 3.4% compared to the beginning of the year. Lending and customer deposit activities both increased at a slower rate than most banks that reported results for the third quarter of 2023. Of which, loans increased by 4.2% compared to the beginning of the year, reaching nearly VND136,000 billion.
By the end of the third quarter of 2023, Eximbank's bad debt ratio showed signs of improvement compared to the second quarter, decreasing from VND3,625 billion to VND3,593 billion, corresponding to a bad debt ratio of 2.64% compared to 1.8% at the beginning of the year.
SHB
Saigon - Hanoi Commercial Joint Stock Bank (SHB) has just announced its consolidated financial report for the third quarter of 2023 with pre-tax profit for the first 9 months of the year completing 80% of the plan assigned by the General Meeting of Shareholders.
Specifically, in the third quarter of 2023, SHB achieved consolidated pre-tax profit of VND2,425.3 billion, cumulative 9 months reached VND8,509.5 billion.
At this congress, SHB presented shareholders with two business plans for 2023, corresponding to two credit growth limits of 10% and 14%. Specifically, option 1 with a credit growth limit of 10%, the Bank targets pre-tax profit to increase by 6.15% to VND10,285 billion. Option 2 with a credit growth limit of 14%, the Bank targets pre-tax profit to increase by 9.67%, reaching VND10,626 billion. However, in both options, the Bank's Board of Directors aims to pay dividends in 2023 at a rate of 15%.
Thus, by the end of the first 9 months of 2023, SHB has completed 80% of the year's plan.
Total assets as of September 30, 2023 reached VND596,000 billion, an increase of 8.13% compared to the beginning of the year; Capital mobilization in market 1 reached nearly VND475,000 billion; Equity capital according to Basel II reached VND67,801 billion.
As of September 30, 2023, SHB's outstanding credit balance reached VND430,000 billion, an increase of 10% compared to the end of 2022. In the third quarter of 2023, SHB issued more than 552 million shares to pay dividends in 2022. in shares at a rate of 18%, thereby increasing charter capital to VND36,194 billion, ranking in the Top 4 largest private commercial banks in the system.
SHB's safety, liquidity, and risk management indicators all comply with and are better than the State Bank's regulations. SHB has fully complied with the 3 pillars of Basel II standards and from the beginning of 2023 SHB has applied Basel III standards in liquidity risk management.
It is known that in 2023, SHB will expand its network by 5 more branches and 25 transaction offices, bringing the total number of domestic and international transaction points to 569 transaction points. Traditional business locations such as branches and transaction offices will help SHB increase brand recognition and banking facilities, contributing to reaching a large number of customers.
In addition, these business locations will provide modern banking facilities closer to customers not only in urban areas but also in rural areas, where banking services are still limited.
Always accompanying businesses and people, SHB has implemented many credit programs such as reducing loan interest rates from 1% - 3%, preferential limits, shortening procedures and credit granting processes...
Vietbank (VBB)
Vietnam Thuong Tin Commercial Joint Stock Bank (Vietbank, stock code: VBB) has just announced business results for the third quarter and the first 9 months of 2023.
Specifically, cumulatively in the first 9 months of the year, the Bank's net interest income decreased by 4% compared to the same period last year, to just over VND1,276 billion, mainly due to a decrease in loan interest income and a decrease in interest income from debt securities business.
Non-interest income sources also decreased, such as profits from services down 5%, profits from foreign exchange trading down 8%, profits from investment securities down 32%. Profit from other activities decreased by 52%, to just over VND95 billion, because income from real estate transfer deposits was only VND8.6 billion, a decrease of 91%.
Although Vietbank reduced its credit risk provision costs by 58%, only deducting nearly VND89 billion, but because net profit from business activities decreased by 32%, to more than VND507 billion, this bank made a profit first. Tax is nearly VND419 billion, down 22% over the same period last year.
In particular, in the third quarter of 2023 alone, Vietbank's pre-tax profit was nearly VND50 billion, down 67% because most revenue sources decreased over the same period.
Thus, compared to the plan of VND960 billion in pre-tax profit set for the whole year, Vietbank has only achieved nearly 44% after the first 9 months of this year.
By the end of the third quarter of 2023, the Bank's total assets increased by 10% compared to the beginning of the year, to VND125,079 billion. Of which, customer loans increased by 12%; Customer deposits increased by 13% compared to the beginning of the year.
Vietbank's total bad debt as of September 30, 2023 is nearly VND2,891 billion, an increase of 24% compared to the beginning of the year. Among them, the sharpest increase was in sub-standard debt. The ratio of bad debt to outstanding loans increased from 3.65% at the beginning of the year to 4.06%.
HDBank (HDB)
On December 6, 2023, HDBank announced its decision to continue selling shares of an airline according to its plan to focus on main business activities and reduce investment outside the industry.
According to information published on the Stock Exchange Ho Chi Minh City (HOSE), HDBank plans to sell 3,267,920 shares of Vietjet Aviation Joint Stock Company (code VJC). The transaction is expected to be carried out by agreement and order matching method, from December 11, 2023 to January 9, 2024.
Recently, HDBank was rated B1 by Moody's credit rating agency with a better profitability assessment than the industry average, low bad debt ratio and other guaranteed safety ratios.
In the third quarter of 2023, HDBank recorded credit growth of over 11.3%, deposits increased by over 51% compared to the beginning of the year. Net profit margin on equity (ROE) reached 22.4% and capital adequacy ratio reached 12.3%, among the top 5 banks with the best capital adequacy index (CAR).
Nam A Bank (NAB)
Recently, the Ho Chi Minh City Stock Exchange decided to approve the listing of NAB shares of Nam A Commercial Joint Stock Bank (Nam A Bank, UPCoM: NAB).
Accordingly, HOSE approved the listing registration for more than 1 billion NAB shares. The value of listed shares is more than VND10,580 billion calculated at par value.
In recent years, many banks trading on UPCoM have planned to move their listing to HOSE or HNX. In early 2023, this plan will continue to be presented at the General Meeting of Shareholders. At this point, 2023 is almost over, Nam A Bank is the only bank in the system approved to change floors.
The HOSE listing marks a turning point, helping Nam A Bank attract investors, especially foreign investor groups. At the same time, continuing to affirm transparent and stable business operations, helping the Bank soon realize its goal of becoming the leading retail joint stock commercial bank in Vietnam, providing the best financial solutions for customers.
By the end of the third quarter of 2023, Nam A Bank's total assets reached nearly VND207 trillion, an increase of nearly 19% over the same period, completing 100.9% of the year's plan. Thereby, Nam A Bank joined the group of 20 banks with the largest total assets in the system.
Meanwhile, pre-tax profit grew steadily, reaching more than VND2,000 billion (up 10.3% over the same period). Total capital mobilization and credit balance successfully completed the year's plan, reaching more than VND164 trillion and more than VND132 trillion, respectively. The bad debt ratio is strictly controlled according to regulations of the State Bank.
To achieve the above results, Nam A Bank has proactively deployed a series of solutions to strengthen its solid foundation. Pioneering comprehensive digitalization, focusing on developing green credit early, constantly strengthening management capabilities to ensure outstanding efficiency and sustainability are the ways that Nam A Bank builds a brand for sustainable development, building trust in customers, investors and partners.
Nam A Bank's digital banking ecosystem is continuously being improved, enhancing features to give customers a seamless, fast, secure and different experience. Being a leader in digital transformation has helped the number of individual customers of Nam A Bank increase sharply in recent years. At the same time, it is also a solution to the problem of expanding the network while still ensuring reduction in operating costs.
The volume and value of Nam A Bank's electronic banking transactions have increased 11.8 times compared to 2021. By November 2023, it will increase 1.55 times compared to the end of 2022. Number of customers’ active growth doubles compared to 2022.
Promoting business with a good risk management system and pioneering the application of international standards has been one of the top priorities of banks in recent years to attract customers, investors as well as flexible response to market challenges.
In 2023, the Bank announced the completion of implementing the credit risk component according to the Basel II - FIRB internal credit rating method and continued to complete the development of methodologies and tools according to Basel III standards. – Reforms.
Previously, Nam A Bank was one of the first four Vietnamese banks to announce completion of Basel III risk management standards. At the same time, Nam A Bank and Ernst & Young Vietnam held a handover ceremony for the project implementing IFRS international financial reporting standards, marking an important milestone in pioneering the application of the international finance management standards.
By further consolidating the most advanced components of Basel as well as international financial reporting standards, Nam A Bank continues to affirm its transparency and operate safely and effectively in the face of many challenging economic contexts like nowadays. The proof is that in recent years, Nam A Bank has continuously been trusted and approved by the State Bank to expand its branches and transaction offices
Up to this point, Nam A Bank has nearly 250 business locations nationwide, including nearly 150 traditional business locations (branches, transaction offices) and 100 ONEBANK locations, meeting the transaction needs of millions customers. On December 15, the State Bank also issued documents approving Nam A Bank to establish 5 branches and 3 transaction offices.
Nam A Bank's positive changes in finance and risk management in 2023 also positively reflect on the bank's stock performance. Nam A Bank's investment performance outperforms the VN Index and the average of banking industry stocks.
Following the above achievements, Nam A Bank's listing of shares on HOSE - the largest stock exchange with the highest standards in Vietnam is the next big step in the bank's development process. New challenges and pressures when listing will also be conditions for Nam A Bank to continue sustainable growth, seizing new business and cooperation opportunities to bring more benefits to shareholders.
UOB Vietnam Bank
UOB Vietnam Bank has increased its charter capital from VND5,000 billion to VND8,000 billion through capital injection from parent bank UOB in Singapore.
This charter capital increase has been approved by the State Bank of Vietnam according to Official Dispatch No. 9150/NHNN-TTGSNH dated November 28, 2023.
This is the second charter capital increase in the past 3 years of UOB Vietnam Bank, demonstrating the Bank's strong commitment to investing for long-term growth in Vietnam and contributing to development of the economy. This capital increase will also contribute to helping the Bank achieve its strategic goals over the next five years, with a specific focus on promoting retail banking business in addition to wholesale banking services.
Mr. Victor Ngo, General Director of UOB Vietnam, said: "Vietnam is a strategic market for UOB in ASEAN. The decision to increase capital is a testament to our long-term commitment to Vietnam's prosperous development as well as our belief in the country's great potential. With this additional capital, we are better able to support the growth of our retail business as well as drive sustainable development and continue to deliver outstanding value to our customers. This will help us realize our ambition of becoming one of the leading retail and foreign banks in Vietnam."
2023 marks UOB's 30th year of presence in Vietnam. The Bank has grown from a representative office of only 3 employees to a 100% foreign-owned subsidiary bank with more than 1,300 employees and 5 branches in Ho Chi Minh City and Hanoi. Despite the challenges caused by the pandemic, UOB Vietnam Bank still maintains a stable growth rate, with total assets reaching a growth rate of over 30% over the past 5 years (2018-2022).
In March 2023, UOB completed the acquisition of Citigroup's retail banking business in Vietnam, thereby doubling outstanding loans and deposits, tripling the Bank's retail customer base. This strategic deal also helps the Bank provide a comprehensive set of unsecured lending products to customers, including credit cards and personal unsecured loans, in addition to existing secured loans such as home loans and car loans. The bank also expanded its partnerships globally to deliver enhanced benefits to a broader customer base across the region.
This increase in charter capital will help UOB Vietnam accelerate growth in the retail segment, expand its customer base and increase market share. In addition, the capital increase will also create favorable conditions to promote business activities in the wholesale segment, supporting business customers throughout their supply chain to capture business opportunities as well as as promoting their sustainable development goals.
Since signing a Memorandum of Understanding (MOU) with the Foreign Investment Agency, Ministry of Planning and Investment of Vietnam in April 2015, UOB's Foreign Direct Investment Advisory (FDIA) unit has supported More than 290 companies invested in Vietnam, contributing an estimated investment of about 6.3 billion Singapore dollars (equivalent to VND113,866 billion) and creating conditions to create about 57,000 job opportunities in Vietnam.
In the coming time, UOB Vietnam Bank said it will continue to support foreign investment businesses and local businesses, to create favorable conditions for the growing flow of commercial capital and investment into Vietnam. Recently, UOB extended the MOU with the Foreign Investment Agency, focusing on attracting high-quality FDI capital into Vietnam, promoting job creation, especially in the fields of high technology, digitalization, green and sustainable growth, new energy, semiconductors and finance.
With Vietnam's commitment to achieving net zero emissions by 2050, UOB aims to support green projects, accelerating the transformation of the domestic economy. By providing green financial solutions and accelerating the transition to a circular economy, UOB aims to contribute to helping Vietnam achieve its net zero emissions target by 2050.
UOB Vietnam Bank is committed to contributing to the community while focusing on developing business activities in Vietnam over the past 30 years and beyond.
N.Nga
Source: VITIC/Tinnhanhchungkhoan