Citi is expected to receive an in-principle official Letter of Acceptance from State Bank of Vietnam Governor Nguyen Van Binh for the bank’s plans to set up a local subsidiary in Vietnam at a signing ceremony at the US Chamber of Commerce, Washington D.C. on July 8.

The bank’s acceptance of the letter comes at the time when Vietnam and the US are marking the 20th anniversary of the normalisation of diplomatic relations and on the occasion of the visit of Vietnam’s General Secretary Nguyen Phu Trong to the US.

Commenting on the acceptance, Natasha Ansell, Citi Vietnam’s country officer, said that the US based global bank with operations in over 100 countries had expressed its intention to the State Bank to seek a license to operate as a wholly-owned subsidiary in the country in light of the country’s economic progress.

“Vietnam’s economy has grown significantly over the past few years and is expected to continue its growth in the coming years. Citi wishes to be a part of the country’s continued success.

“We believe that the new structure we apply for will foster Citi’s contribution and development to Vietnam’s banking industry as well as consolidate and strengthen our operational platform to further support local and international clients of Citi in Vietnam,” she said.

The bank plans in due course to submit the relevant requests for approval to regulators – including the required approval from regulators in the US. Any transaction will also need to be submitted to Citibank, N.A. Board of Directors.

Citi operated in Vietnam as First National City Bank in 1972-1975 and resumed its business in 1993 with a representative office in Hanoi.

The bank was the first US bank licensed to open a branch with full services in Hanoi in 1994, followed by a second one in Ho Chi Minh City in 1998.

With more than 700 employees, Citi offers a wide range of banking services including corporate and investment banking, treasury and trade services, market and securities services, consumer and commercial banking.

VIR