VCB provides interest rate support for customers of more than 5,800 billion VND
On the morning of January 6, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank – VCB) organized a conference to summarize Party work and business activities in 2023, deploying tasks in 2024.
VCB’s business results show that in 2023 the bank mobilizes market capital I to reach approximately 1.41 million billion VND, an increase of 12.1% compared to 2022. Outstanding credit debt reaches 1.27 million billion VND VND, up 10.6% compared to the end of 2022.
Debt quality is controlled according to the target: group 2 debt ratio is approximately 0.42%; bad debt ratio 0.97%. Risk reserve fund balance is 34,338 billion VND, bad debt provision ratio reached 185%.
Vietcombank’s growth rate is kept stable as its customer base continues to expand. The market share of international payments – trade finance reached 19.2%. Payment turnover and card usage increased by 24.3% and 20.5% respectively compared to 2022. Regarding customer development, the development of customers with TDQT/GNQT cards increased by 12.3%, respectively 102% compared to 2022. Credit customer development Wholesale and retail both grow compared to 2022.
The Bank’s 2023 operating results, off-balance sheet debt collection results, will reach approximately VND 2,088 billion. Profit before tax completed the yearly plan. ROAA and ROAE indexes remained high, 1.78% and 21.68% respectively.
Conference summarizing Party work and business activities in 2023, implementing Vietcombank’s 2024 tasks
VCB General Director Nguyen Thanh Tung said that in 2023, the world economy will be covered by geopolitical conflicts, inflation, and rapidly increasing interest rates. These problems pushed the world economy into a gloomy year.
Right from the beginning of the year, VCB has reduced interest rates by 0.5%/year for all customers with existing outstanding loans. At the same time, VCB has accompanied borrowers through simultaneously and continuously reducing many interest rate programs. With many campaigns to reduce loan interest rates throughout 2023, VCB has reduced more than 5,800 billion VND for nearly 290,000 customers with outstanding loan size of more than 1.1 million billion VND.
VCB also expanded the unit structure and personnel with 5 new branches coming into operation, with business efficiency within 6 months of operation. Newly established Legal & Compliance Division, Capital & Market Division. Recruit and appoint a number of personnel, including highly qualified foreign personnel, to important positions serving digital transformation activities and improving management capacity.
Continue to receive forced transfers from weak credit institutions
According to VCB General Director Nguyen Thanh Tung, the world economic picture in the second half of 2024 may be more optimistic, because expected growth in consumption, investment, and employment demand will be the driving force for world economic growth. better world. Although a “soft landing” is forecast because deceleration risks still overwhelm growth momentum, businesses are still concerned about expanding production and business due to existing interest rate risks and cadastral tensions continuing to erode. international trade erosion.
Protectionist barriers restricting the import and export of essential goods also distort international trade. Forecasts of world organizations about the economic growth of major countries all slow down compared to 2023.
General Director of Vietcombank Nguyen Thanh Tung.
But specifically for the Vietnamese economy, VCB leaders appear optimistic compared to the world economic outlook thanks to the Government’s timely management efforts. Economic growth targeted at 6% – 6.5% is possible thanks to public investment pillars, the FDI sector, national key projects, and increased purchasing power in 2024. Turnover Import and export are expected to grow again thanks to FDI sectors, agriculture,…
In 2024, VCB aims to increase total assets by at least 8%; Profit before tax is targeted to grow at 10% or more. Lowest LDRTT22 control at 80%. Credit increased by at least 12% and within the limit assigned by the State Bank. At the same time, the bad debt ratio was controlled at less than 1.5%.
Notably, VCB leaders affirmed that they will continue to drastically implement the work of receiving a forced transfer of a weak credit institution, and at the request of state management agencies to complete the Transfer Acceptance Plan. obligatory. Deploy support measures on schedule when the Compulsory Transfer Plan is approved.
