BIDV Review 22

A Newsletter of Bank for Investment and Development of Vietnam JSC

VRB 10 YEARS Stable outlook

for banking sector in

2017

Issue No. 22

|

Nov 2016

Fansipan mountain in Vietnam, the highest in Indochina

ABOUT BIDV Established in 1957, BIDV has grown to become one of the leading commercial banks in Vietnam. The bank boasts subsidiaries in finance, banking, securities and insurance. BIDV has expanded its business to the international markets including Lao PDR, Cambodia, Myanmar, Czech Republic, Russia Federation and Taiwan (China). BIDV stock (BID) is listed on the Ho Chi Minh City Stock Exchange (HOSE). For more information, please visit www.bidv.com.vn

EXECUTIVE PRODUCER Bank for Investment and Development of Vietnam JSC

QUACH HUNG HIEP Senior Executive Vice President EDITORIAL BOARD BRANDING AND PUBLIC RELATIONS DEPARTMENT HEAD OFFICE: BIDV Tower, 35 Hang Voi str., Hoan Kiem dist., Hanoi, Vietnam Tel: (+84) 4 22205544 Fax: (+84) 4 22225316 Contact center: 19009247 – (+84) 4 22200588 Email: bidvreview@bidv.com.vn BIDVbankvietnam License No. 03/GP-XBBT dated 4 January 2016 by the Ministry of Information and Communications Printed at Vietnam Book Printing Joint Stock Company

Editor’s Letter

A

Dear readers, s we approach the end of the calendar year, BIDV reviews the significant milestones of its branches which have helped shape the strong and prestigious image the bank holds today.

Formed from the partnership between BIDV and Russia’s VTB in 2006, Vietnam – Russia Bank (VRB) celebrated its tenth anniversary this year, the perfect occasion to reflect upon a decade of development and express gratitude to customers and partners for their long-term companionship and support.

In the south of the country, BIDV Ho Chi Minh city and BIDV Gia Lai commemorated their 40th anniversaries, with the inception of both dating back to the first days of the country’s liberation. With a willingness to adapt to changes, the two branches have affirmed their positions as leading bank branches in the locality and flagships in the BIDV system.

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Research and training are amongst the areas receiving special attention.

BIDV held its annual seminar on analysing and forecasting the business environment for 2017, providing a picture of both the global and local economy and proposing ways for the bank to tap the business environment.

From another angle, in its latest report on the Vietnamese banking system Fitch Ratings emphasised that major catalysts support the stable outlook for the Vietnamese banking sector in 2017. According to Fitch, the Vietnamese banking system saw improvements in terms of total assets, equity and charter capital.

To close, vivid pictures of autumn around the world are brought to you in our photo feature and the colourful traditions of the Ok Om Bok festival in the southern province of Tra Vinh provide a cultural diversion from the business environment

contents

OVERSEAS OPERATIONS 4. Strong foundation in overseas markets

10. Reaping the benefits of a decade of dedication

11. Five years of companionship

BIDV HIGHLIGHTS 6. Belarusian working visit to boost trade 7. VRB: a decade of development

12. A beacon branch in the highlands

13. New transaction office at border gate 8. Preparedness for business development

PARTNERS 14. BIDV enables tile company to flourish 16. Cooperating in diversified projects

9. Standing tall in the southern hub

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contents

MARKET MOVEMENTS 17. Local banking system to see steady growth 18. Vietnam sees surge in trade surplus

26. Safety net for corporate managers 27. Incentives for auto dealers and customers

20. Lending rate cuts to support businesses 22. Russian economy sees growth LIFESTYLE 28. Vivid pictures of autumn

24. Exchange rates hit record high PRODUCTS & SERVICES 25. MU gifts for early bird customers 30. Worshipping the moon

CSR 31. Building bridges for economic connection 32. Homes for disadvantaged farmers

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overseas operations

Strong foundation in overseas markets BIDV is the most active Vietnamese bank to invest in overseas markets - a position that brings challenges as well as opportunities. Nikkei Asian Review talked to BIDV CEO Phan Duc Tu about the bank’s overseas activities and development strategy, particularly in ASEAN.

In 1992, BIDV partnered with Public Bank Berhard Malaysia to establish VID Public Bank with headquarters in Hanoi, Vietnam.

BIDV became one of the first Vietnamese commercial banks to have a joint venture with a foreign partner.

In 1999, to foster trade relations between Vietnam and Laos, BIDV and Banque Pour Le Commerce Exterieur Lao (BCEL) established Lao Viet Joint Venture Bank (LaoVietBank). After 17 years of operation, LaoVietBank is the top bank in Laos by charter capital (equivalent to USD100 million), ranking fourth by total assets, credits and deposits. The bank now has 13 branches/transaction offices applying the most modern IT platform in Laos and has received prestigious awards related to technology.

Please summarise BIDV’s position both in Vietnam and abroad, especially in the ASEAN region.

BIDV’s total assets had increased 11.5 percent year-todate, reaching approximately USD42.8 billion, the highest in the Vietnamese banking system.

BIDV currently has 190 branches, 815 transaction offices, around 2,000 ATMs and 31,390 POS. The bank’s customer base has increased to nearly nine million including both individuals and corporate customers.

BIDV has five subsidiaries, five joint ventures in Vietnam and 13 jointventures and commercial presences in foreign countries. BIDV provides diverse products and services to both foreign and domestic clients.

As of 30 September 2016, the bank’s total deposits stood at over USD39.7 billion, of which capital mobilised from economic organisations and individuals reached USD33.7 billion. Deposits from

BIDV CEO Mr. Phan Duc Tu

residents reached more than USD19.1 billion, representing 57 percent of total deposits. Total credit and investment scale reached over USD40.8 billion, of which outstanding loans were over USD31.2 billion. The bank’s credit market share accounted for 13.6 percent, up 0.4 percent year-on-year.

Profit before tax reached USD251.6 million, up 6.9 percent compared with the same period last year, of which net service income was USD120.1 million, up 13.3 percent year-on-year.

When did BIDV start expanding into other countries?

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How far do BIDV’s presences extend in overseas markets, especially in ASEAN? BIDV has established commercial presences in six countries and territories including Lao DPR, Cambodia, Myanmar, the Czech Republic, Russian and Taiwan, specifically: - In Lao DPR: Lao-Viet Joint Venture Bank (LVB); Lao-Viet Insurance Joint Venture Co. (LVI) - In Cambodia: Cambodian Investment & Development Co., Ltd. (IDCC); Bank

overseas operations

for Investment and Development of Cambodia Plc (BIDC); Cambodia – Vietnam Insurance (CVI), Cambodia – Vietnam Securities (CVS)

Beside staff recruited in Vietnam, BIDV always focuses on recruiting, training and appointing local employees to suitable positions.

will continue to promote our business strategy in overseas markets, especially in ASEAN given the establishment of the ASEAN Economic Community (AEC).

- In Myanmar: BIDV Myanmar Finance Company Ltd., (BMF), BIDV’s Representative Office in Myanmar, BIDV Yangon Branch – the first and only Vietnamese bank branch established in Myanmar so far.

In overseas commercial presences, total local employees accounted for 80-90 percent of total staff. BIDV views them as an important workforce for the bank’s development strategy in overseas markets. Through providing high-quality human resources, BIDV has been expanding its network to serve foreign customers. In Laos, LaoVietBank has 13 branches/transaction offices in the Vientiane capital and other major provinces such as Khammouan, Oudomxay, Champasak, Attapeu, Xiengkhouang and Luang Prabang. In Cambodia, besides the headquarters in the capital Phnom Penh, seven branches of BIDC are present in Siem Reap, Kampong Cham, Daun Penh, Mean Chey, Toul Kork and Steung Meanchey.

In Myanmar, BIDV Yangon Branch has been open since early July 2016, with 22 employees, six of whom are from Myanmar.

BIDV’s overseas commercial presences not only operate effectively and contribute to BIDV’s overall business, but also contribute to effectively promote and create favourable conditions for Vietnamese enterprises to invest in these countries. This will help BIDV build a friendly, cooperative, supportive brand for the business community in Vietnam and other countries.

- In other countries, BIDV established IDCC Europe Finance Co. (IDCE), BIDV’s Representative Office in the Czech Republic, Russian Federation and Taiwan (China).

BIDV is currently the president of the Association of Vietnamese investors in Laos (AVIL), in Cambodia (AVIC) and in Myanmar (AVIM). As the association president, BIDV has made important contributions and acted as an effective bridge for Vietnamese enterprises to conduct business overseas, contributing to economic cooperation and fostering friendly relations between Vietnam and these countries.

In expanding its network, how has BIDV ensured it offers the best retail/ corporate banking services and staff in neighboring countries?

What are the business targets of BIDV in the regional market in the future?

Together with domestic business development, in the coming time we

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How does BIDV differ from other Vietnamese banks in the way it has expanded in the region?

Firstly, BIDV entered into regional markets very early, with the establishment of its commercial presence in Lao DPR in 1999, Cambodia in 2009 and Myanmar in 2010 and 2016.

Secondly, BIDV offers both banking and insurance products and services.

Thirdly, BIDV always applies the most advanced technology, providing modern products and high quality services to the markets. Last but not least, BIDV always prioritises the recruitment and training of local employees.

BIDV Highlights

Thao Linh

A meeting between VRB and the Belarusian Deputy Prime Minister V. Semashko and his delegation in November 2016 in Hanoi

Belarusian working visit

to boost trade O

n 26 October a delegation from the government of the Republic of Belarus headed by the Deputy Prime Minister V. Semashko paid a working visit to Vietnam-Russia Joint Venture Bank (VRB).

The Belarusian Deputy Prime Minister discussed economic cooperation programmes between the two countries for the period 2016-2018 with key staff from the bank. Vietnam and Belarus will continue to promote cooperation in the fields of trade and investment, industry, transport, education and training. In particular,

the two countries will focus on the effective implementation of the Free Trade Agreement between Vietnam and the Eurasian Economic Union as well as the inter-governmental protocol on the manufacturing of motor vehicles in Vietnam which took effect on 5 October this year.

Currently exports and imports between Vietnam and Belarus are relatively low, with Vietnam’s exports averaging USD15 million. The meeting was an important milestone, marking the beginning of Belarusian enterprises investing in Vietnam.

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Backed by a wide network of parent banks including VTB Group and BIDV, VRB acts as a bridge and is the leading bank to provide banking and financial services, capital and payment services between Vietnam and Belarus.

VRB regarded the visit as an opportunity for long-term cooperation based on the advantages of VRB in the Eastern European market, especially the bilateral payment channel between Vietnamese dong and Russian ruble and the preferential policies for importers and exporters investing in Vietnam.

BIDV Highlights

Thu Huye n

VRB: a decade of development On 18 November Vietnam – Russia Joint Venture Bank (VRB) celebrated its tenth anniversary, looking back on a decade of development and expressing gratitude to customers and partners for their long-term companionship and support.

M

r. Konstantin V. Vnukov, ambassador of the Russian Federation to Vietnam, representatives of the Embassy of the Russian Federation, the Embassy of Belarus in Vietnam, BIDV representatives, former leaders of the VRB, and customers and partners of the bank were in attendance.

Founded in 2006 with the aim of being the financial bridge between Vietnam and the Russian Federation, VRB is a symbol for the potential of economic cooperation and development between the two countries. Despite some ups and downs, with close direction and significant support from parent banks BIDV and VTB, regulators, partners, customers and the bank-wide system, VRB has met its business targets.

According to VRB chief executive officer Doan Minh Tien, VRB has achieved impressive results over its ten years of operation. The number of bank staff has increased from 26 people at its inception to over 400 current employees; total assets to date reached VND15,000 billion (USD670 million); total outstanding loans reached VND10,000 billion (USD446 million); and deposits mobilised

Leaders of BIDV, VTB and VRB put hands on the ball to celebrate the anniversary

from individuals and economic organisations reached VND12,000 billion (USD536 million). The bank’s network numbers 16 branches and transaction offices, serving more than 70 thousand customers.

VRB is also honoured to receive a congratulatory letter from Mr. Skobelkin D.G, deputy governor of the Central Bank of Russia. The deputy governor noted his appreciation of the role of VRB in the financial trade links between Vietnam and Russia, recognising the bank’s position in Vietnam’s banking sector, especially the role in the bilateral payment channel in local currencies of the two countries. The deputy governor confirmed that VRB would continue to act as a bridge to support the successful implementation of joint projects, contributing to the improved financial sustainability as well as

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the development of comprehensive strategic relations between Vietnam and Russia.

VRB aims to become the leading bank in serving small and medium enterprises and individual customers, particularly those in the Eurasia Economic Bloc investing in Vietnam and Vietnam’s investment projects into Russia. VRB also strives to become the pioneering bank in the application of digital technology.

Vietnam-Russia Bank is a joint venture between BIDV and Russia’s VTB. VRB is headquartered in Hanoi and officially opened on 19 November 2006. The bank was honoured to receive the Vietnamese President Nguyen Minh Triet and Russian President Vladimir Putin at its launch.

BIDV Highlights

Nhat Nam

BIDV's seminar on analysing and forecasting the business environment for 2017 in Hanoi

Preparedness for business development This year’s annual seminar on analysing and forecasting the business environment for 2017 and proposing solutions for BIDV was held on 8 November, providing a picture of both the global and local economy and suggesting ways for the bank to tap the business environment.

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ccording to Dr. Vo Tri Thanh, former director of the Central Institute for Economic Management, the world economy in the period 2010-2015 was slow, with little prospect of recovery for the period 2016-2017. In Vietnam, the macroeconomic situation improved with significantly decreased inflation (from 20 percent in 2011 to below 1 percent in 2015 and less than 5 percent expected in 2016), a trade balance surplus, increased foreign exchange reserves and no exchange

rate fluctuations. However volatility risks remained with high budget deficits, increasing public debt at the end of 2015.

Vietnam’s GDP in 2017 is forecast to be around 6.5 percent, with inflation around 4-5 percent. Dr. Thanh also analysed the implications, opportunities and challenges of the free trade agreements on Vietnam. He concluded that competition pressure will be increasingly high in Vietnam for local enterprises, particularly in the period 2017 - 2018. He surmised that if Vietnam does not create dynamic advantages in the long term, the country will fall into the “wage trap/ low-cost labour trap”.

Sharing the same points of view, Dr. Can Van Luc, director of BIDV Training School, saw some positive aspects for Vietnam’s economy in 2016-2017, specifically that inflation is likely to meet the target (about 5 percent), exports at

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8-9 percent, credit and FDI disbursed significantly, the rising stock market, stable real estate market, and strong international integration. However, there remain risks and challenges in terms of growth quality, higher bad debts, increasing public debts and a slow corporate bond market.

Against that backdrop, the speakers, bank leaders and officers held open discussions. Many questions raised were answered satisfactorily, unleashing ideas for business decisions in the coming year.

Besides the informed forecasts for 2017, experts also outlined a number of solutions for BIDV to proactively design its business strategy in line with the developments of the global and local economic environment, serving the bank’s governance and management, developing appropriate business solutions, and enhancing the professionalism of the bank’s officers.

BIDV Highlights

L e Huy

Standing tall

in the southern hub Always willing to adapt to change in the name of development, BIDV Ho Chi Minh City branch has constantly grown over the past 40 years, affirming its leading position in the dynamic economic hub.

After transforming from centralised capital allocation to providing commercial loans, the branch provided credit for infrastructure construction and key projects of Ho Chi Minh City. These included industrial parks such as Tan Tao, Tan Binh; the Hydropower plants of Thac Mo, Ham Thuan - Da Mi and Tri An; the North-South power lines; Thu Thiem New Urban Area; Nhieu Loc-Thi Nghe canal; and light industrial projects in the fields of textiles, footwear, printing.

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ver the past four decades the branch’s leaders and employees have devoted themselves to building a strong branch, contributing to the socioeconomic development of the country as well as of Ho Chi Minh City and the wider BIDV system.

As soon as Vietnam was completely liberated the Ho Chi Minh City branch gradually built infrastructure with its 55 officers and seven operational units, developing human resources and operational processes.

A series of key economic projects were shaped with funds provided by the branch. These projects included the Thong Nhat Railway; the North – South Road; the Saigon - Long Xuyen high voltage power lines; the Hoa Binh Theatre and other large projects.

With relentless efforts, Ho Chi Minh City branch has maintained its position as a strong bank branch in the city and a flagship in the BIDV system. The branch’s total assets have reached nearly VND24,000 billion (USD1.1 billion), outstanding loans stand Headquarters of BIDV Ho Chi Minh City at over VND18,200 billion (USD812.5 million), deposits are at over VND22,000 billion From the sole provision of credit (USD982 million). according to the state’s plan, the branch developed more new products All this success has been attained and services to meet the needs of thanks to the wisdom, knowledge the market, such as loans to multiand enthusiasm of the branch staff economic sectors, international together with sound governance payments, financial leasing, electronic methodology and good relationships banking, correspondent banking and established with customers. entrustment services.

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BIDV Highlights

Thuy Trang

Phu My Port, Ba Ria - Vung Tau, Vietnam

Reaping the benefits of a decade of dedication Following a decade of continuous effort and significant changes, BIDV Phu My has celebrated its 10th anniversary. BIDV Review talked to branch director Mr. Nguyen Xuan Hong about the branch’s development path.

The establishment and development of BIDV Phu My has faced many challenges, due to being formed during a period of complicated economic and financial fluctuations. How has the branch overcome these difficulties?

Ten years ago, BIDV Phu My was established together with 20 other branches in the system. At that time our branch was small in scale, with only 30 staff, and lacking in modern infrastructure and equipment. We also had to rent our headquarters in installments.

Over the following years, both the global and Vietnamese economy suffered shocks, leading to a turbulent financial and banking sector. In addition, fierce competition from local credit institutions and high demand from customers in relation to service

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and product quality put increasing pressure on the bank.

In that situation, beside developments in terms of scale and service quality, the branch identified priority aims including boosting retail activities and attempting to dominate the retail market share in Tan Thanh district, Ba Ria Vung Tau province. These provinces have a large number of individual customers working in the industrial parks. Through effort and solidarity, the bank successfully completed its year-plan business targets and cemented its position in the area.

BIDV Highlights

T r a n Loa n

BIDV Cho Lon branch receives recognition from BIDV

Five years of companionship What are the main successes of the bank to date?

After ten years, the branch has expanded its deposits from VND102 billion to VND2,650 billion (USD118.8 million).

Total outstanding loans increased from VND215 billion to VND2,160 billion (USD96.7 million). Net service income grew impressively, from VND369 million to VND14 billion (USD628,000). These are attributes of the branch’s pretax profit increase from VND3.5 billion in 2006 to VND78 billion in 2016 (USD3.5 million). The growth of the branch’s business target in the last ten years jumped 20 to 30-fold while personnel only increased threefold, implying an effective operation system.

Of your 30 years working for BIDV and ten years with BIDV Phu My, which are the most memorable to you?

Having worked with BIDV more than half of my life, what has impressed me most is the corporate culture of BIDV. The bank respects people and its employees work enthusiastically. The solidarity of BIDV management and staff of different generations brings success to the bank.

Ten years is not a particularly long period but it has marked development milestones of the branch. The most notable is the construction of the new headquarters, which began operating in March. The new headquarters meet the branch’s need for spacious and modern headquarters located in a prime location in the area.

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n 11 November BIDV Cho Lon Branch held its fifth anniversary celebrations, expressing gratitude to its customers for accompanying the branch over the past five years.

BIDV Cho Lon has been operating successfully, seeing significant growth and demonstrating effective, safe and sustainable operation. By October 2016, the branch’s total assets reached over VND6,200 billion (USD278 million) - a fourfold increase since its inception.

The branch’s success can be attributed to the continuous effort of the bank staff, as well as the close cooperation of its customers, who have accompanied the bank in both business activities and social welfare programmes.

At the anniversary ceremony, Ms. Nguyen Thi Dung, director of BIDV Cho Lon, extended thanks on behalf of the branch management to their customers for their continual support. The branch management and customers also granted a fund to contribute towards poverty reduction at the University of Medicine and Pharmacy in Ho Chi Minh City.

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BIDV Highlights

A beacon branch in the highlands BIDV Gia Lai has long been a leading light in the province of Gia Lai and with grand plans for future growth it looks set to build on its status.

Footprints Starting with only four operational units and 15 officers in 1976, the branch utilised all resources to effectively manage the budget-sourced capital for investment in important projects, forming a solid basis for the reconstruction of the province of Gia Lai - Kon Tum. In the period 1990-1991, the branch was tasked with piloting the mobilisation of medium and long-term capital for production and business projects. The branch successfully implemented longterm deposit products, such as gold value-guaranteed savings, bank bonds denominated in both VND and foreign currency, laying the first solid foundations to gain the trust of enterprises and individual customers.

With continued efforts, the branch successfully completed the tasks of managing and allocating budgetsourced capital and ensured the loans were used for the right purpose, contributing to the formation of national key projects such as Ialy hydropower plant with a capacity of 720 MW, plus the Ayun Irrigation Project which provided water for 13,500 hectares of paddy fields in the

Pleiku City, Gia Lai Province

south of Gia Lai province.

Steps forward BIDV Gia Lai entered into a new development stage since 1995. By 2000 the branch had six operational units, two transaction offices, a computing team and two savings kiosks with a total of 90 employees. The branch continued to expand its market share and customer base, establishing the leading position among other bank branches in Gia Lai province.

Through the restructuring plan, the branch has evolved significantly, operating under the one-stop shop model, employing an online payment platform and a centralised information management system. BIDV Gia Lai was

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the first bank in the central highlands to apply the quality management system in accordance with ISO 90012000 international standard, ensuring quality products to meet the increasing needs of customers.

By the end of the third quarter of 2016 the branch had maintained sustainable and effective growth with outstanding loans of over VND11,000 billion (USD493.3 billion) and deposits of nearly VND5,000 billion (USD224.2 million).

BIDV Gia Lai has set ambitious targets for the period 2016 – 2020, specifically: deposit growth of 20-25 percent; credit growth of 15-20 percent; net fee income growth of 30 percent; maintaining its position of a beacon branch in the central highlands region.

BIDV Highlights

The inauguration ceremony of LaoVietBank Densavanh transaction office

New transaction office at

border gate

On 28 October LaoVietBank Savannakhet branch inaugurated its transaction office in Densavanh village in Savannakhet province.

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r. Ha Duc Thanh, director of LaoVietBank Savannakhet branch, said the Densavanh transaction office would contribute to the expansion of the bank as well as promoting economic activity at the border gates Densavanh (Laos) and Lao Bao (Vietnam), contributing to the economic development of the locality.

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The Densavanh transaction office provides product bundles including deposits, domestic and international money transfers, forex trading and other banking services. The opening of the transaction office is the bank’s commitment to the long-term socioeconomic development of the locality.

To mark the opening of the transaction office, LaoVietBank launched a lucky draw programme worth LAK100,000 in cash for customers conducting transactions at the office.

partners

Ngu y en Tran

BIDV enables tile company to flourish

Mr. Nguyen Quang Huy, Chairman and CEO of CMC

BIDV Phu Tho has accompanied CMC Joint Stock Company in its development for the past 20 years, providing the requisite funds to enable the company to recover and grow.

Hard times In November BIDV visited the company headquarters to talk with leaders of CMC Company. Outside, trucks were busy loading goods. As one of the first ceramic tile factories in Vietnam, CMC

has experienced ups and downs, at times being on the brink of closure due to business losses, stagnant workers, and declining prestige.

Back in the early days the management mechanism lacked efficiency, resources were not optimised, and the enterprise was unable to effectively tackle bottlenecks. The factory was designed to produce 5 million m2 of tiles yet only 3 million m2 were sold. Workers and operational costs were inefficient, damaging the reputation of the factory which had been the flagship of the Song Hong Construction Corporation.

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The factory was equitized in 2006 with debts of VND130 billion and a loss of VND30 billion as well as significant issues which needed to be resolved.

The requirement for capital to continue operating the factory was paramount, yet banks would not provide loans because the factory had nothing to secure loan repayments. Partners and customers of the company also refused to continue supplying raw materials due to poor late payments.

Showing huge determination and faith in their company, the company leaders pledged their own house ownership certificates with the bank and borrowed VND5 billion to save the company.

With this money the company was renovated, and new manufacturing technology was brought in that helped make significant financial savings. The company once again made profits and escaped from the mire of debt, rising

partners

a combined capacity of roughly 450 million m2 of tiles per year.

In 2011, the construction material market fell, with large inventories of building materials. The ceramic tiles market was sluggish and faced fierce competition from Chinese companies.

However, CMC continued to flourish.

A production line of CMC

up to sit among the most prestigious ceramic tile manufacturers in Vietnam.

Standing firm Following equitisation - a milestone on the company’s development path charter capital increased from VND40 billion to VND190 billion (USD8.5 million).

The success of the company is thanks partly to banks who provided loans, particularly BIDV. BIDV Phu Tho and CMC established credit relations nearly 20 years ago, with hundreds of billions of VND being provided annually by BIDV Phu Tho to CMC for factory expansion and production line upgrading.

The credit relations between BIDV Phu Tho and CMC have also seen ups and downs, yet have strengthened over time. BIDV Phu Tho has acted as an

accompanying partner, meeting the requirements for banking products, services and payments, and provided timely support for the company's operations. Payment sales have improved over the years, with VND650 billion (USD29.1 million) in 2015 and more than VND700 billion (USD31.4 million) in the first ten months of 2016.

The loans from BIDV Phu Tho helped the company to carry out renovation and upgrading of production lines in 2007. In 2011, CMC invested in a second factory of high quality granite tiles with a capacity of 5 million m2 of tiles per year in Thuy Van Industrial Zone, Viet Tri City, Phu Tho province.

In September 2014, CMC built another production line with a capacity of 5 million m2 of tiles per year.

Currently there are about 60 ceramic tile manufacturers in Vietnam with

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Recognising the positive outlook for the building materials industry, CMC has scaled up the factories and applied innovation to meet the tastes of consumers in order to expand its customer base and market share, and become the first choice for customers and partners at home and abroad.

The strong cooperation between BIDV Phu Tho and CMC is testament to the efforts of the two sides for mutual development, contributing to the socioeconomic development of both Phu Tho province and the entire country.

CMC was established in 1958 and equitised in 2006. The company was listed on Hanoi Stock Exchange (HNX) in 2009 with code CVT. The company has a total area of 255.000m2, with a capacity of more than 15 million m2 of tiles per year and is planning to build phase 3 of the second factory with capacity of 10 million m2 of tiles per year.

partners

Pham Hung

Cooperating

in diversified projects The success of Duc Long Gia Lai Group could be attributed to BIDV Gia Lai’s support right from the latter’s inception.

I

n 2005, Duc Long Gia Lai Group (DLG), headquartered in Pleiku City, Gia Lai Province, secured a loan for the construction of Duc Long Gia Lai intercity bus station, with total area of 25,000-square metres.

Thanks to this capital and timely disbursement, the bus station began operating in early 2006. The station has operated effectively, serving the need of passengers, and reporting stable revenue and continuous development.

This is the first project of DLG and BIDV, laying the foundations for further strategic cooperation between the two.

BIDV Gia Lai assesses and analyses the operational status of enterprises to understand the financial capacity as well as sustainable development of their customers in order to adopt suitable funding policies. DLG has a transparent financial statement, specialised business plan and stable, professional operation. Because of this, even in the midst of the economic crisis, the group was financed by BIDV Gia Lai for different projects including construction, real estate, agriculture, infrastructure, mining and minerals, and hydropower. The branch recently

A hydro-power plant of DLG

funded a production project for electronic components at High-Tech Park, District 9, Ho Chi Minh City.

With a strong cooperation platform, preferential interest rates and maximum support given to enterprises, BIDV Gia Lai and DLG will continue to cooperate, contributing to the development of Gia Lai province as well as the national economy.

DLG is one of the leading private corporations in Vietnam. Listed on the stock market, the group has established over 30 companies and four affiliates with multi-sector

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operations and investments. The group has five member companies with headquarters in China, Hong Kong, South Korea and the United States.

According to the consolidated financial statements for the first nine months of 2016 recently published by DLG, DLG’s revenue has grown impressively, reaching over VND1,803 billion (USD80.7 million), up almost 50 percent over the same period in 2015. Profits reached nearly VND94 billion (USD4.2 million), an increase of over 76 percent over the same period last year.

market movements

Ngu y en Quang

Vietnamese banking system saw improvement in total assets, equity and charter capital

Local banking system to see steady growth In its latest report on the Vietnamese banking system, Fitch Ratings emphasised that major catalysts support the stable outlook for the Vietnamese banking sector in 2017.

T

hese catalysts include a steadily improving macroeconomic environment with a stable currency and benign inflation that should counteract structural systemic weaknesses.

Fitch expects asset quality, funding, and liquidity to remain stable as the economy grows steadily.

Based on figures from the State Bank

of Vietnam, by the end of September 2016 the capital adequacy ratio of the whole system reached 12.73 percent, a slight reduction month-on-month but still higher than the State Bank’s minimum requirement of 9 percent.

Short-term financing of the long-term loans ratio at the end of September reached 33.48 percent, showing the system’s liquidity surplus.

In addition, the Vietnamese banking system also saw improvement in terms of total assets, equity and charter capital.

The State Bank’s updated statistics revealed that by the end of the third quarter, Vietnam banking system’s total assets reached VND8,091 trillion (USD362 billion), up 10.55 percent

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compared with the end of 2015.

Bank owners’ equity also increased to VND617 trillion (USD27.6 billion), an increase of 6.84 percent year-todate. Total charter capital witnessed significant growth of 60 percent month-on-month, reaching VND4,778 trillion (USD213.8 billion).

However, structural systemic weaknesses remain including a large NPL stock and weak profitability.

According to Fitch, the NPLs will take time to be resolved, due to various legal impediments. In addition, capital buffers will remain under pressure as Basel II is being phased in at a time when internal capital generation remains lethargic.

market movements

Hu ng Nam

Vietnam sees surge in

trade surplus In the first eleven months of 2016, Vietnam posted a trade surplus of USD2.84 billion, with the domestic sector seeing a trade deficit of USD18.4 billion while the foreign invested sector hit a surplus of USD21.24 billion.

D

ata from Vietnam’s General Statistics Office (GSO) revealed that export turnover in November was estimated at USD15.6 billion, up 1.3 percent compared to the previous month. In the first eleven months of 2016 export turnover was estimated at USD159.5 billion, up 7.5 percent compared to the same period last year. Trade from the domestic sector reached USD45.4 billion, up 4.8 percent; with the foreign invested sector (including crude oil) reaching USD114.1 billion, an increase of 8.7 percent.

According to GSO, in general the Galaxy Note 7 incident did not significantly impact exports in this commodity group. Vietnam’s export of phones and phone components was estimated at USD3 billion, up 5.8 percent against the previous month and up 7.8 percent compared to the same period last year.

Some agricultural products and raw materials saw a decrease in export turnover including rice (USD2.1 billion, down 20.1 percent); crude oil (USD2.1 billion, down 39.7 percent); cassava and cassava products (USD892 million, down 25.2 percent).

The GSO also reported that the United

States remained Vietnam’s largest export market in the first eleven months of this year, with a trade value

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of USD34.7 billion, up 14 percent compared with the same period in 2015. Other top markets were the

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exports reached USD15.7 billion, down 6.6 percent.

Import turnover in November was estimated at USD16 billion, up 1 percent from the previous month, of which the domestic sector was USD6.45 billion, up 1.9 percent; and the foreign invested sector reached USD9.55 billion, up 0.4 percent.

Overall, in the first eleven months of 2016 import turnover reached USD156.6 billion, up 3.5 percent compared to the same period last year, of which the domestic sector accounted for USD63.8 billion, an increase of 3.4 percent; and the foreign invested sector accounted for USD92.8 billion, up 3.6 percent.

China remained Vietnam’s largest import market, with import value at USD44.6 billion, down 1 percent against the same period last year. It was followed by the Republic of Korea (USD28.9 billion, up 13.2 percent), ASEAN (USD21.2 billion, down 1.9 percent), Japan (USD13.6 billion, up 3.5 percent), European Union (USD10.1 billion, up 7 percent) and the United States (USD7.8 billion, up 8.7 percent).

In the first 11 months of 2016, Vietnam posted a trade surplus of USD2.84 billion

European Union (USD30.5 billion, up 8.3 percent), China (USD19.6 billion, up 26.7 percent), Japan (USD13.2 billion,

up 2.9 percent) and the Republic of Korea (USD10.4 billion, up 27.6 percent). For ASEAN alone, Vietnam’s

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The trade balance realised in October saw a trade deficit of USD445 million.

The trade deficit in November is estimated at USD400 million. In the first eleven months of 2016, Vietnam posted a trade surplus of USD2.84 billion, with the domestic sector seeing a trade deficit of USD18.4 billion while the foreign invested sector hit a surplus of USD21.24 billion.

market movements

Tr a ng Trinh

Lending rate cuts to support businesses Large banks have slashed their rates, promising a lower rate level at the year-end.

to the State Bank of Vietnam, banks have decreased deposits with term of less than 1 year by 0.3-0.5 percent, with the maximum for this term standing at around 5.5 percent per year. Pioneers in the group include BIDV, Vietcombank and VietinBank.

A necessary base On 17 October BIDV announced a short-term lending rate cut of 1 percent and maximum lending rates of 6 percent per year for some prioritized sectors. The bank also introduced credit packages with lending rates from 4.5 percent - 6.0 percent per year for importers and exporters to and from Russia, Myanmar, Laos, Cambodia and countries joining the Eurasian Customs Union.

Vietcombank had previously reduced its lending rate to 6 percent per year, down 1 percent. Further rate cuts to as low as 5 percent could be applied for firms showing strong business efficiency. "Liquidity at other banks is strong, and a lending rate reduction is feasible,� said Vietcombank chairman Nghiem Xuan Thanh.

At commercial banks such as HDBank, loans for individual customers are currently subject to lower rates, down to 10.5 from 11.5 percent per year.

On 10 October, LienVietPostBank also reduced its lending rate by 1-1.5 percent for new short-term loans, rural households and businesses, as well as small and medium enterprises.

At the end of September, large-scale banks and other commercial banks reduced their deposit rates. According

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The State Bank of Vietnam said the downward adjustment of deposit rates will facilitate the Government’s macroeconomic management. The reduction of costs for banks will create the conditions to further reduce lending rates, thereby supporting businesses’ operations as well as the general economy.

According to the National Financial Supervisory Commission of Vietnam (NFSC), the liquidity of the banking system has remained stable, providing the foundation for banks to reduce lending rates.

In the first ten months of this year, deposits from economic organisations

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Bank loans help enterprises to apply hi-tech in agricultural production

and residences increased by 14.1 percent, higher than the credit growth of 12.5 percent. The average loan-todeposit ratio (LDR) was 84.4 percent, lower than the rate of 85.7 percent at the end of last year.

Rate constraints ahead Inflation - an important factor that strongly affects interest rates - is becoming a greater concern. The consumer price index (CPI) has shown an upward trend in recent months, with CPI rising 0.83 percent between September and October - the strongest monthly gain in three years. According to Military Bank Securities JSC (MBS), this rising trend in inflation will result in little change in the interest rate downward trend.

NFSC also noted that although the banking system has liquidity advantage, the reduction in interest rates has been less than expected due to the excess liquidity in the market being only short

term, while the lending structure of Vietnam’s banking system is mainly medium and long term.

Moreover, small banks and those lacking strength are still in need of capital and must find ways to attract more deposits from customers. One feasible way is to increase deposit rates.

Target customers who will benefit from lending rate cuts are limited to importers/exporters, small and medium enterprises, hi-tech

enterprises and agriculture firms. This limit on beneficiaries means that whilst lending rate reduction may actually happen for some groups, a spillover effect across the market is unlikely.

However, banking experts believes that although lending rates will not reduce any further by the year-end, the current level will remain steady and there is no critical pressure to raise rates. The effort of the banking system in supporting enterprises as well as contributing to market stability should also be taken into consideration.

CPI Forecast 2016 target

First 9 First 9 months 2015 months 2016

Forecast 2016

Forecast 2017

GDP growth (percent)

6.7

6.5

5.93

6.1 - 6.3

6.3 - 6.5

CPI growth (percent)

5.0

0.4

3.14

4 - 4.5

5

Source: BIDV Research Centre

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market movements

Ngu y en Quang

Russian economy

sees growth According to the World Bank’s latest report released in November titled “The Russian Economy Inches Forward: Will that suffice to turn the tide?”, Russia’s economic prospects have improved due to more favourable terms of trade than those forecast.

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he economy is projected to contract by 0.6 percent in 2016 (an improvement from the earlier June forecast of -1.2 percent).

As hydrocarbon prices are expected to continue recovering and positively affect domestic demand, the economy is likely to experience bottoming-out during the second half of 2016 and grow by a modest 1.5 and 1.7 percent in 2017 and 2018, respectively.

The World Bank revised its estimates of growth upwards thanks to more favourable terms of trade that began stimulating domestic demand, even as external demand weakened. The positive terms of trade effect, coupled with more stable macroeconomic conditions, are expected to positively influence consumer and investor sentiment, leading to a recovery of domestic demand and modest economic growth in 2017-18.

In addition, supported by the resumption of real wage growth, consumption is projected to once

Consumption is projected to become

again become the main contributor to growth in 2017-2018. Consumer price inflation is expected to continue

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moderating, falling below 6 percent year-on-year by the end of 2016 (averaging at about 7.1 percent) and reaching 4 percent by the end of 2017.

market movements

and consumption growth will recover to 2.0 percent and 1.6 percent in 2017 and 2018, respectively. The projected improvement in household demand and real wage growth are expected to mostly benefit non-tradable sectors, in particular the retail trade and financial sectors, which in 20172018 are projected to become the main contributors to growth on the production side.

Aggregate investment demand is projected to be the second major growth driver, predominantly due to inventory restocking starting in 2017 and continuing through 2018. The projected improvement in household demand during 2017-2018 is expected to reverse the long-lasting cycle of inventory destocking, with major producers already starting to replenish their stocks in 2017. This could boost overall investment demand, supporting growth momentum in tradable manufacturing while also leading to higher imports.

the main contributor to Russia's growth in 2017-2018

As a result, lower inflation, combined with improved credit conditions and a somewhat stronger ruble, will help increase households’ purchasing power

However, the World Bank states that this growth upsurge is unlikely to turn the tide in terms of building a more diversified economy. Risks stemming from commodity price volatility and structural constraints remain. All else being equal, a 15 percent increase [or decrease] in oil prices would change the World Bank’s 2017 growth forecast of 1.5 percent to 2.1 percent [0.7 percent], underscoring the sensitivity

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of the economy to fluctuations in commodity prices.

According to the World Bank, the economy’s vulnerability to external shocks requires the authorities to focus more on deepening structural reforms. Reducing the role of the state in the economy and intensifying institutional reforms may help in fostering private-led growth that is paramount for more diversified and sustainable development. Improving the regulatory framework and promoting fair competition may improve the business environment for domestic and foreign investors and create a more even playing field for business operations in Russia.

BIDV, Vietnam-Russia Bank (VRB), and VTB Bank from Russia launched a new transaction channel between Vietnam and Russia in November 2015. The establishment of the Vietnam - Russia bilateral payment channel contributed to easing the difficulties in payment encountered by importers and exporters of the two countries which have existed for over 30 years.

BIDV is also the sole Vietnamese bank to establish a representative office in Russia, which is expected to help spur economic, trade and investment cooperation between Vietnam and Russia.

market movements

Tr a ng Trinh

Exchange rates

hit record high appreciation of the dollar against the euro, Japanese yen and British pound.

However, according to the SBV, this upward trend is normal and is in accordance with the upward trend of the central rate that is announced by the SBV everyday.

In the first ten months of 2016, the exchange rate and money market remained stable and incidents of hoarding foreign currencies reduced sharply. The SBV purchased a large amount of foreign currencies to raise the country’s forex reserves.

On 25 November the State Bank of Vietnam (SBV) raised the reference foreign exchange rate to a record high of VND22,137 per US dollar.

T

his is the highest rate since the launch in January of the new forex rate methodology using a daily average inter-bank exchange rate for the reference of commercial banks in order to keep the forex market stable and support macroeconomic stability and businesses’ operations.

Major banks continue to post new

exchange rates. BIDV and Vietcombank offered USD at selling prices of VND22,790 and 22,780 respectively on 25 November, VND435 higher than the rate at the beginning of the month.

The sharp increase in the USD/VND foreign exchange rate can be mainly attributed to the acceleration of the global dollar. Many investors bet on the greenback with the expectation that Donald Trump’s infrastructure spending plan amounting to trillions of USD and the simultaneous reduction in taxes will stimulate US economic growth. US bond yields also rose to a record high, creating strong

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The State Bank also confirms that there is currently no significant demand on foreign currencies. Foreign currency liquidity is in good condition, and the foreign currency demand of individuals and corporate customers’ are fully and promptly met by credit institutions.

By the end of 2016, favourable factors are supporting the balance in foreign currency supply and demand. Foreign currency supply will be supported by foreign direct investment, capital inflow from mergers and acquisitions, and remittances. Increasing foreign currency demand has not caused pressure due to the fact that the SBV continues to control credit at a reasonable level - a part of foreign currency demand will be met by the banking system as the SBV has allowed the extension of foreign currency loans until the end of 2017.

products & services

Hu y Hung

MU gifts for early bird customers From 1 November 2016 to 22 January 2017 BIDV is launching a BIDV Manchester United card programme.

The specifics of the promotion are as follows: With each VND500,000 spent using a BIDV MU card, customers will be offered one code to predict the ranking of Manchester United in the Premier League on 22 January 2017.

Customers with the earliest and most correct predictions of the standing of the football club will receive a tour for two persons worth VND100 million (USD4,500) to England including tickets to a Manchester United match.

Furthermore, when opening new BIDV Manchester United credit cards and spending 2 million (USD90) or more on the card, customers will receive one genuine sports gift pack including gymbag, soccer ball, water bottle, and towel worth VND2,600,000. In addition, 1000 MU hats worth VND700,000 each are available to customers opening a BIDV MU debit card and spending at least VND500,000, with 100 hats up for grabs in the first three weeks and 100 hats in each subsequent week.

BIDV is also offering signed T-shirts or gift packs for the first cardholders to spend VND50 million and VND20 million each week respectively.

Customers with the highest overseas spending during the promotion period

A poster of BIDV Manchester United card programme

will receive one MU Bulova watch worth ÂŁ2,000.

Register now for BIDV MU cards for an

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opportunity to collect all Manchester United gifts. Visit www.bidv.com.vn/ quatangManUtd or call the hotline 19009247 for detailed information.

products & services

Manh Hai

Safety net

for corporate managers BIDV Insurance Corporation (BIC) has launched a new version of BIC Bao An - the accident and health insurance for corporate managers.

I

n addition to the benefits of the original version whereby BIC will share the loss in cases of death of corporate managers or permanent injury due to accident or illness, the new BIC Bao An effective from October 2016 will also cover relevant medical

costs for corporate managers including medical treatment due to accident or outpatient treatment due to illness, diseases or pregnancy; surgery fees, and inpatient treatment due to illness, disease or pregnancy, up to VND2 billion (USD90,000).

BIC is the first insurer to introduce the accident and health insurance package for corporate managers. BIC Bao An for Corporates offers the most competitive prices, with four benefit plans tailored to the needs and financial capacity of

corporates. The cost of purchasing insurance for corporate managers is deductible for corporate tax purposes.

BIC Bao An for Corporates provides a high standard of support to customers, particularly small and medium enterprises in helping them overcome financial difficulties if their managers suffer accidents or ill health. The product has been offered by BIC and BIDV since 2014 and has received positive feedback from customers and bank branches.

BIC Bao An for Corporates provides a high standard of support to customers

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products & services

Tha nh Binh

Incentives for auto dealers and customers

F

rom the fourth quarter of this year, car agencies and corporates buying trucks, buses or tractors from Do Thanh Auto JSC and Nam Viet Motor Corporation will be entitled to preferential interest rates from BIDV. Specifically, they can receive finance of up to 85 percent of the vehicle value, enjoy a preferential lending rate and a competitive guarantee fee. Agencies can benefit from a very flexible collateral scheme, while the loan-term for agencies is up to 11 months.

Corporate customers can apply for an auto loan at only 7.8 percent per year together with a flexible collateral scheme and a streamlined loan procedure.

The loan term applied for corporate customers is up to 72 months.

The programme will be launched by BIDV nationwide from the fourth quarter of this year. This is one of the bank’s activities that form part of its onongoing commitment to support SMEs. For more information, please go to BIDV’s nearest branch or call the bank’s 24/7 hotline on 19009247.

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lifestyle

Q u y nh Chi

Vivid pictures of autumn

Travelling in autumn, tourists are treated to spectacular autumn scenes across Asian and European countries.

Hoan Kiem Lake, the centre of Hanoi

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n Hanoi, with autumn comes the changing of the leaves of the giant barringtonia acutangula trees that line the banks of Hoan Kiem Lake to red and yellow - a change that happens almost overnight when a corner of the lake becomes vibrant with striking

yellow bushes. Enjoying clement weather, November and December are the perfect time for people to travel to Vietnam and see the changes of nature before the cold damp weather sets in.

Tourists can visit South Korea to

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experience winter a little earlier.

South Korea tends to have a humid continental climate and a humid subtropical climate. When North Vietnam’s temperatures drop to around 20°C, South Korea’s can be as low as freezing. However, the chilly weather brings the conditions for the country to be carpeted in the indescribable beauty of rich orange, yellow, and red fall foliage.

Russia is another top destination to see autumn at its best. Autumn in Russia

lifestyle

The Czech Republic

is atmospheric and beautiful due to its golden fall. Gentle winds cause leaves to waltz between pedestrians’ legs, creating a captivating scene. The brief but glorious months of spring and autumn offer an excellent opportunity to experience Russia in uncrowded peace.

Maple, almond, red and yellow cherry trees at Bulguksa pagoda, Gyeongsangbuk-do Province (South Korea) in mid-November

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Visitors to Prague in autumn will be enchanted. On its best days, the City of a Thousand Spires, boasts clear skies, crisp air, and a colour palette of vibrant autumn hues.

lifestyle

Tu e Minh

Worshipping the moon Ok Om Bok is a traditional festival of the Khmer people that takes place in the Ba Om Pond relic site in the southern province of Tra Vinh. The festival has strong spiritual meaning in the lives of these people and is a significant cultural characteristic of this ethnic community.

O

k Om Bok Festival takes place on the fifteenth day of the tenth month according to the Vietnamese Lunar Calendar, when a full moon lights the night sky. Local people worship the moon, giving thanks for protection and abundant crops as well as wishing for a successful harvest for the coming season. The Khmer believe the moon is a God who controls the weather and

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crop yields throughout the year.

The highlight of Ok Om Bok Festival is the ngo boat race. A ngo is a long boat, 25-30 metres in length and 1 – 1.4 metres wide. A team of 40 to 60 boatmen power and steer each ngo, with a leader at the top to guide them.

Racing teams from surrounding towns and districts of Tra Vinh province and nearby provinces bring an uproarious

lifestyle

of tea. Tea is poured into glasses in a special ritual, where after each serving Khmer people bow their head once to show their thanks to the moon.

and stirring atmosphere to the festival.

During the race, the boisterous sounds of drums, trumpets, cheers and applause urge boatmen to row as fast as possible to the finish. Ngo boat races are a unique cultural activity of the Khmer people.

On the night of the festival under the full moon, Khmer people set up a table of offerings: new sticky rice, yams, coconuts, bananas and sweets. At the centre of the table there is always a pot

Ngo boat race at Ok Om Bok festival

A colourful and sparkling lantern ceremony follows on Ba Om Pond.

The Khmer people place the lanterns onto the pond to float and set them off to float in the sky. Dozens of pretty lanterns lighten the night sky amid bustling music and a joyous atmosphere. Khmer people believe the lanterns will take bad luck and risk with them as they float far away. Every year, this colourful ceremony attracts thousands of viewers, both locals and tourists.

Ok Om Bok is an important festival in the lives of Khmer people. The festival serves to conserve and promote the traditional cultural identity of the Khmer community and is a unique tourism product to attract visitors.

A colourful and sparkling lantern ceremony on Ba Om Pond

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CSR

Duc L oi

Building bridges for economic connection

M a n h H oa

Homes for disadvantaged farmers

B

IDV Yen Bai Branch in coordination with the Farmers’ Association and the Committee of the Vietnam Fatherland Front at Yen Bai Province presented two houses to disadvantaged families in Yen Binh District, Yen Bai Province.

BIDV Ha Giang and local authority in a ribbon-cutting ceremony of the bridge

O

n 4 November BIDV Ha Giang branch joined authorities in Bac Quang district and the Directorate for Roads of Vietnam (DRV) to inaugurate a suspension bridge for Nam An village. The bridge will give local people greater access for travel and work, thereby contributing to poverty reduction and the overall improvement of living conditions.

Completed in October 2015, the 80 metre long bridge was fully funded

by BIDV at a total cost of nearly VND4.5 billion. The bridge took seven months to construct and was put into operation in May 2016.

Earlier on 3 November BIDV Ha Giang branch joined the local authority and DRV to inaugurate a suspension bridge in Phung village in Ha Giang province.

The bridge is 40 metres long and 1.5 metres wide with total investment costs of nearly VND2.5 billion.

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The houses were two of ten funded by BIDV to support impoverished families in the province. Yen Bai Farmers’ Association called for community contributions and attracted VND320 million per house, with BIDV providing VND50 million toward the cost of each house.

As well as financial sources, local communities contributed materials and labour. Each new house assists a disadvantaged farming family in securing a more comfortable standard of living, by enabling them to focus on production and further develop their household economy.

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Effective from 11 August to 31 December 2016 VND3,000 billion (USD134.5 million) credit package “Accompanying Micro-businesses” introductory rate of 6.8%/p.a.(*)

VND500 billion (USD22.4 million) credit package “Successful Startups” introductory rate of 6.5%/p.a.(*)

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