return icon Vietnamnet.vn

Banks likely to enjoy big fat earnings again this year

Though the fiscal year 2019 is yet to end, early reports suggest major commercial banks in Vietnam will enjoy big fat earnings this year.

{keywords}

At an office of Vietcombank

 

 

In the latest announcement, Sacombank said it expects to earn nearly 3.2 trillion VND (138.32 million USD) in profit before tax in 2019, 20 percent higher than the yearly goal. The private bank has a total asset of 457 trillion VND while its total deposits and outstanding loans amounted to 413 trillion VND and 296 trillion VND, respectively. The non-performing loan (NPL) ratio dropped to 1.75 percent.

The Vietnam International Bank (VIB) also reported its profit hits a record high of over 4 trillion VND this year, a 1.5-fold increase from 2018 and 5.6 times higher than 2016. The bank’s total asset reached 180 trillion VND, up 30 percent against the end of last year.

Agribank generated 10.35 trillion VND in profit before tax in the first 10 months of the year, surging past its target for the full year at 10 trillion VND. The State-owned bank expects its profit to reach at least 11 trillion VND by the end of this year. As of October’s beginning, its total asset valued at 1.4 quadrillion VND while the deposits totalled 1.28 quadrillion VND.

In the first three quarters of 2019, Vietcombank announced profit before tax of 17.25 trillion VND, up 51.9 percent year on year and equal to 85.4 percent of the year’s plan. Though the final figure has yet to be released, it is likely that the bank will continue leading the banking sector in profit this year, at 22 trillion VND, higher than the yearly plan of 20 trillion VND.

This year, Vietinbank aims for profit before tax of 9.5 trillion VND, a year-on-year 41 percent growth, with the total asset expanding about 2 – 5 percent. At a recent meeting with the Bank of Tokyo Mitsubishi UFJ (MUFG Bank) from Japan, Vietinbank Chairman Le Duc Tho predicted the bank’s profit will exceed the year’s plan. By the end of September, it gained over 8.45 trillion VND in profit before tax, up 11 percent from a year earlier and equivalent to 89 percent of the yearly goal.

The commercial banks’ impressive earnings are attributable to their efforts to improve net interest margin (NIM) and reduce bad debts, according to an expert from SSI Securities Corporation. In the third quarter, 12 listed banks, surveyed by the SSI Securities, had a combined profit before tax of 27 trillion VND, a year-on-year surge of 42.1 percent, largely owing to good control of operating costs and provision expenses./.VNA

Banks report handsome profits

Banks report handsome profits

Many local banks have released impressive business results, with many of them being confident that their pretax profits would exceed their targets for 2019.  

VN banks join hands with fintech to develop mobile banking apps

VN banks join hands with fintech to develop mobile banking apps

Allowing the "embedding" of fintech solutions into the ebanking app, banks may join the race to become "all-in-one" apps.

MORE NEWS

What is the future of Phu Quoc?

Phu Quoc is known as a resort tourism paradise but in the future, the city island will be not only a destination for tourists but also an economic and financial center in the region and the world.

Time for major realtors to buy land

Cash flow to the real estate market has been tightened. Now is the time for major realtors to buy land.

Son Tung MTP's younger sibling sparked controversy following his debut

Nguyen Viet Hoang, younger brother of Vietnamese pop sensation Son Tung MTP, made his debut as a singer under the moniker 'MONO', sparking widespread criticism for his lackluster vocals and questionable fashion sense.

First district to prohibit single-use plastic next month

Co To island district in the northern province of Quang Ninh will officially ban visitors from bringing plastic bottles and bags to the island from September 1 in a bid to spur sustainable tourism.

VIETNAM NEWS HEADLINES AUGUST 16

First district to prohibit single-use plastic next month

India becomes Vietnam’s biggest meat seller in H1

Vietnam imported over 79,700 tons of meat and meat products worth US$250.9 million from India in the first half of 2022, making the latter the former’s largest meat supplier, according to the Import-Export Department.

VIETNAM BUSINESS NEWS AUGUST 16

Remittances to HCMC declines by 13% in H1

Defense Ministry approves of long-planned cargo airline

The Ministry of National Defense has thrown its support behind a plan to issue an air transport license to IPP Air Cargo JSC, whose chairman is billionaire Johnathan Hanh Nguyen, according to a dispatch recently sent to the Government Office.

Income per capita in 2030 expected to be equal to Malaysia in 2007

Vietnam’s GDP per capita, calculated in accordance with current prices, has increased year after year. However, the figure is lower than other regional countries.

Ministry warns of increasing serious COVID-19 cases

The Ministry of Health has warned of an increase in the number of new COVID-19 infections as well as critical cases.

New sub-variants of Omicron strain detected in Vietnam

The number of COVID-19 cases is currently increasing both globally and in the country due to the recent rapid spread of the Omicron variant, according to information given by the General Department of Preventive Medicine.

Vietnam able to become new tiger in Asia: economist

Vietnam has the potential to become a new tiger in Asia, economist Brian Lee Shun Rong at Maybank - Malaysia's largest financial services group and the leading banking group in South East Asia – has reportedly said.

Vietnamese exporters urged to expand in the EU through retail distribution system

Approaching the retail distribution system is an important way to expand exports to the European Union market, where Vietnamese goods still have significant room for growth provided by the EU – Vietnam Free Trade Agreement (EVFTA).

Regulations on auto localization ratio to be rescinded

The regulations on the automobile localization ratio will be abolished on October 10, after they have been in force for almost 20 years.

Hot TikTokers bridge ethnic cultures

Several Tiktokers from the mountainous areas of Vietnam have attracted an increasing number of followers with short videos featuring their daily lives and unique ethnic cultures.
back_to_top