vietnam banking

Update news vietnam banking

VN banks start to reduce deposit interest rate

By early May, commercial banks have started to reduce deposit interest rates. With this the average deposit interest rate that had peaked in January at 9 percent per year for a 6-month term decreased to around 7.5 percent per year.

Bank, insurance company officers have highest incomes: survey

The news that 60 percent of workers in the banking and insurance sectors are not satisfied about their incomes has surprised HR directors, because they are considered to be the best paid business fields in the national economy.

Banking sector invests big in digital transformation

Vietnam's banking sector has invested over VND15,000 trillion in digital transformation by the end of 2022, according to the State Bank of Vietnam (SBV).

Banks stay afloat in spite of bad debts

Even as the biggest real estate businesses struggle with debts and bankruptcy, banks continue to stay afloat and tackle the bad debt situation over a period of time. This ability of banks helps bank stocks not fall too low, despite overdue payments.

Direction clearer in weak bank overhaul

Decisive action taken by Vietnam’s central bank on restructuring failing banks signifies a considerable stride towards revamping and fostering a sound financial landscape.

Credit growth and rate cuts

Since early this year, many banks have made deep deposit rate cuts, with the rate for tenures shorter than six months reduced by 0.5 percentage point and that for longer tenures slashed by 1.5 to 2.0 points.

Charter capital of banks to increase sharply in 2023

Many banks plan to increase their charter capital in 2023 in order to ensure operational safety and have more resources for business development.

Banks cut workforce, raise salaries and allowances

Banks’ financial reports show that as of March 31, 286,000 employees were working at 34 domestic commercial banks. Eleven commercial banks cut staff in the first quarter of 2023, but most gave a pay rise to their workers.

SBV to inspect share transfers among credit institutions

The State Bank of Vietnam (SBV), the central bank, will focus on inspecting share transfers among credit institutions this year to prevent cross ownership in the banking sector.

Many banks planning move to Ho Chi Minh City Stock Exchange

Banks, including VietBank (VBB) and Viet Capital Bank (BVB), are expected to transfer from UpCOM exchange to the Ho Chi Minh City Stock Exchange (HoSE).

Four weak banks to be taken over: central bank

The State Bank of Viet Nam (SBV) plans to seize four weak commercial banks in a move aimed at strengthening the country's banking system.

SBV to handle banks put under special control

The State Bank of Vietnam (SBV) received approval on how to deal with banks put under special control, including three banks taken over by the central bank for zero dong.

Banks make big profits, but cautious about 2023 business plans

After the shareholders’ meeting season, MBBank, VPBank, HDBank, NamABank, Sacombank and ACB have emerged as the banks which have promised high remunerations and bonuses for leadership, including the boards of directors and supervisory boards in 2023.

Lenders to benefit in SBV debt reposition

The State Bank of Vietnam’s fresh set of policies are anticipated to ameliorate the financial strain faced by both creditors and debtors, as well as establish a robust legal framework for debt restructuring to be allocated over a two-year period.

Businesses hoping for flexibility with lending conditions

Businesses are still up against it when it comes to applying for bank loans, even though Vietnam’s central bank has cut interest rates several times already this year.

Life insurers report jump in profits thanks to bancassurance

Prudential and Manulife saw sudden increases in profits in 2022, while Dai-ichi, AIA and Bao Viet Life reported multi-trillion dong in profits last year.

Divestment deal at PGBank wraps up after one decade

The divestment of PGBank from Petrolimex is coming to an end. The secret buyer will be made public soon.

Foreign ownership at some local banks may rise to 49%

The State Bank of Vietnam (SBV) has proposed increasing the foreign ownership cap at some commercial banks from 30% to 49%.

Vietnam vows to control cross ownership in banks

The tightening of control over cross ownership aims to stop crises at banks.

Foreign investors expand consumer finance business in Vietnam

Large foreign financial groups have actively penetrated the Vietnamese consumer finance market, which has significantly helped accelerate the digitalisation of the country’s financial services.