return icon Vietnamnet.vn

The picture of Vietnam's banking sector in 2019

The BIDV’s sale of shares to South Korean investor, the technology upgrading race among banks and a series of moves taken by the central bank are the highlights of 2019.

BIDV’s deal

In November, BIDV completed the sale of 15 percent of its shares to KEB Hana Bank. The deal brought the net revenue of VND20.2 trillion to the Vietnamese bank and helped raised its charter capital to VND40.22 trillion.

 

{keywords}



After three years long of preparation, BIDV has successfully fulfilled the plan to increase capital to satisfy the requirements on capital adequacy ratio for credit institutions.

18 banks meet Basel II standards

These include two foreign banks, Shinhan Vietnam and Standard Chartered Vietnam, and 16 Vietnamese banks.

Vietcombank and VIB were the first two banks that got approval to apply Basel II standards, followed by OCB. The other banks include ACB, VPBank, MB, Techcombank, Maritime Bank, HDBank, TPBank, SeABank, Viet Capital Bank, VietBank, LienVietPostBank, NamABank and BIDV most recently.

No bank enters bourse in 2019

Unlike 2017 and 2018, when a lot of banks began listing shares on the official bourses, 2019 saw all the banks immovable. VietBank was the only bank that put its shares in transactions on UpCom.

Most recently, Maritime Bank has taken steps to prepare for listing shares at the HCM City Stock Exchange. Meanwhile, the Securities Depository Center has granted the registration certificate to Viet Capital Bank with the code BVB.

Under the PM’s request, all joint stock banks will have to list shares and 2020 is the deadline.

SBV tightens lending, slashes prime interest rates

Under the roadmap set by SBV, the proportion of short-term capital which can be used for long-term lending will gradually decrease from 40 percent currently to 30 percent. The process will last 3 years.

In September 2019, SBV cut the refinancing interest rate from 6.25 percent to 6 percent per annum and the re-discount interest rate from 4.25 percent to 4 percent.

In November 2019, SBV slashed the ceiling deposit interest rate from 1 percent to 0.8 percent applied to less-than-1-month deposit, and from 5.5 percent to 5 percent for 1-6-month deposits.

Dong stays stable despite fluctuations in the world

Vietnam dong was one of a few currencies which has the value stable in comparison with the greenback.

The dong once saw the depreciation in late April and early May. However, the buying price quoted by commercial banks at that time increased only by 0.84 percentage point compared with late 2018, at VND23,360 per dollar.

The digital banking race

Banks rushed to apply high technologies into their operations and credit activities. The conversion of magnetic into chip cards, the development of mobile applications and movement towards cashless payments were the most noteworthy activities.

Kim Chi 

 

First bank in Vietnam complete Basel II three pillars

First bank in Vietnam complete Basel II three pillars

Vietnam International Bank (VIB) has become the first bank in Viet Nam to complete the three pillars of Basel II, which are minimum capital, supervisory review and market discipline.  

Eighth bank cleared all bad debts at VAMC

Eighth bank cleared all bad debts at VAMC

Kien Long Bank has become the eighth bank to clear all bad debts they had previously sold to the Viet Nam Asset Management Company (VAMC) before the maturity date, VAMC announced on Tuesday.  

MORE NEWS

VIETNAM NEWS HEADLINES OCTOBER 2

Investigations on corruption cases to expand: official

Rock tales in Ganh Yen

Ganh Yen is located along the fishing village of Thanh Thuy in Binh Hai Commune, Binh Son District, Quang Ngai Province.

VIETNAM BUSINESS NEWS OCTOBER 2

GDP growth to hit 8% this year in base-case scenario: Official

Doan Thien An crowned Miss Grand Vietnam 2022

Doan Thien An, 22-year-old beauty from the Mekong Delta province of Long An, was crowned Miss Grand Vietnam 2022 after surpassing 49 other contestants at the pageant finale in Ho Chi Minh City on October 1.

Vietnam’s GDP growth to be among the highest in SE as int’l organisations forecast

Vietnam’s GDP growth in 2022 and 2023 will be among the highest in Southeast Asian as shown in many international organisations’ forecasts and assessments on the Vietnamese economic outlook.

Amid global unrest, VN billionaires incur huge losses

Despite good news about the economy, including high growth rate and low inflation, stock prices have been sliding all over the globe.

Vietnam needs to expand airport network to relieve pressure on infrastructure

Vietnam ranks No.1 on the list of the 25 countries with the fastest post-pandemic recovery of the domestic aviation market.

Binh Duong lures foreign investors with special care

The southern province of Binh Duong has taken the lead for foreign direct investment (FDI) attraction thanks to its methods of taking care of investors.

Securities under pressure from external risks

Although the US Federal Reserve (FED) raised the interest rate in the hope of reducing inflationary pressure, it has come as a shock to see a rise in the core US inflation data, despite falling oil prices.

Unemployment rate falls, workers' incomes increase

According to the General Statistics Office's Report, the labor and employment situation in the third quarter of 2022 continued to recover.

The most expensive birds in Vietnam

Red-whiskered bulbs (Pycnonotus jocosus) with original colors are priced at VND500 million and tiny chickens with original colors sell for thousands of USD.

Drinks from dracontomelon: A popular heat-relieving drink in Hanoi

Sweet drinks made from ‘sau’, a fruit which is known scientifically as Dracontomelon, are a popular heat-relieving drink in Hanoi during the hot summer.

1,000 authors with doctoral degree or higher compiled textbooks for new academic year

As many as 1,574 authorities participated in compiling textbooks for six grades in accordance with the new general education program issued in 2018.

Expectations positive for growth trajectory

The Vietnamese economy has been gradually bouncing back thanks to the government’s major efforts to curb the pandemic and remove obstructions to progress for enterprises.

Law on Pharmacy needs to be amended

The lack of medicine at public hospitals has caused concern among the public. The Prime Minister has instructed the Ministry of Finance (MOF) and relevant ministries to find solutions to resolve the problem.
back_to_top