BIDV named Best Retail Bank in Vietnam for the sixth time

Van HaI

Mrs. Nguyen Thi Quynh Giao, senior EVP (2nd from right) and leaders of units under Retail Banking Group represent BIDV to receive the award

BIDV has recently been named “Best Retail Bank in Vietnam 2021” by The Asian Banker magazine for its outstanding performance in retail banking at a virtual award ceremony held on 8 April 2021.

In 2020, banks were strongly affected by the Covid-19 pandemic. Given this challenge, BIDV built a retail strategy associated with the digital transformation strategy to further serve the increasingly diverse needs of customers.

BIDV’s retail banking activities in 2020 grew strongly with increased contribution to the bank’s overall performance, maintaining No.1 position in the market by scale and operational efficiency; risk was controlled according to international practice, particularly: Net retail income reached nearly VND20,000 billion (USD870 million), contributing approximately 50 percent to the bank’s net income. Pre-tax retail profit contributed 65 percent to the bank’s total pre-tax profit. Individual customer base reached nearly 12 million (more than 10 percent of Vietnam’s population), up 15 percent or 1.5 million new customers. Digital customer base grew sharply with number of transactions conducted via digital channels reaching 210 million, an increase of nearly 40 percent; the proportion of transactions via digital channels increased to 52 percent in 2020 from 39 percent in 2019; cumulative number of BIDV SmartBanking users is now 5.2 million (up 54 percent).

The above impressive results are

attributed to BIDV’s strong deployment of the digital transformation strategy, launching a series of digital applications to serve customers. BIDV became one of the first four banks to successfully implement Automated Clearing House (ACH) - a key project of Napas and the State Bank of Vietnam on 3 July 2020. In March 2021 BIDV launched its new SmartBanking which integrates mobile and internet banking channels, offering seamless experience, personalisation, Smart Keyboard and banking via Smart watch. BIDV is the bank with most connection with Fintech companies in Vietnam (30/39 companies).

The Asian Banker also honoured BIDV’s QuickLoan as “Best Personal Loan Product 2021”. QuickLoan is an unsecured loan product on SmartBanking, applicable to customers whose salary is paid via BIDV account. It is one of the outstanding features of the app, helping customers easily access bank loan. With just few easy steps of registration, customers’ loan will be disbursed within 4 hours.

BIDV has expanded 24/7 self-service channel - B-Smart. Accordingly, customers can open an account, register for the service and conduct depositing/withdrawal transactions through eKYC. BIDV has also launched the Marketplace model which connects BIDV customers with the real estate market through the BIDV Home app. Borrowers can easily apply for home loan through mobile devices as well as monitoring the home loan anytime, anywhere. Mr. Foo Boon Ping, Managing Editor of The Asian Banker said: “BIDV achieved a solid financial performance in 2020, posting double-digit revenue growth with retail business contributing almost half of the bank’s total income. Despite the pandemic, the bank was able to safeguard its leading market position and increased its market shares in retail loans and retail deposits. The bank responded to challenges in 2020 with agility and improved digital capabilities. BIDV is the pioneer in supporting customers affected by Covid-19”.

According to Mr. Mobasher Zein Kazmi, Head of Research at The Asian Banker, this year Vietnamese banks have responded to the Covid-19 pandemic with agility, noting that BIDV has launched a number of digital initiatives in response to the pandemic, and has improved customer experience.

“Although not the first bank to introduce and implement eKYC, we have recognised the progress the bank is making in its digital journey specifically expanding its ecosystem with the integration of Vinmart’s e-commerce into your mobile platform. More importantly, BIDV has shown its strength in protecting its franchise with leading market shares in key products as well as solid financial performance for the year”, said Mr. Mobasher.

The Asian Banker Vietnam Country Awards Programme refereed by prominent global bankers, IT consultants and academics is the most prestigious of its kind in Vietnam. Annually, The Asian Banker evaluates over 300 banks and non-bank retail service institutions in more than 42 countries.

With outstanding performance in retail banking in the year, BIDV was honoured with prestigious awards such as Outstanding Retail Bank for the fifth consecutive year (2016-2020) and Outstanding Digital Transformation Banking 2020 as voted by Vietnam Banks Association (VNBA) and International Data Group (IDG).