Deepening international cooperation

yen Van

BIDV and ADB sign a USD300 million loan agreement in 2018 in Hanoi

With more than 30 years of international integration and cooperation, BIDV has now become the largest financial institution in Vietnam, establishing extensive international relationships.

Over the 65-year journey of establishment and development, experiencing many difficulties and challenges, BIDV has been creative and proactive in finding opportunities in difficulties, continuously reaching out for cooperation and development in the international market.

In 1990, BIDV was first allowed by the State Bank of Vietnam to conduct foreign exchange business, international payment, open accounts abroad, and borrow capital in foreign currencies. In 1992, BIDV started to establish correspondent relationships with banks of Singapore, Malaysia, Japan, and opened foreign currency accounts in USD, Japanese Yen, Pound, and Franc at european and Asian banks.

One of the landmarks in the bank’s international business activities during this period was the partnership with Public Bank Berhad Malaysia to establish VID Public Joint Venture Bank in 1992. Through the joint venture, BIDV acquired advanced foreign banking techniques to bring BIDV's operations on par with the level of advanced banks in the world.

In 1999, BIDV cooperated with Banque Pour Le Commerce exterieur Lao Public (BCeL) to establish Lao-Viet Joint Venture Bank based in Laos. The bank has become a symbol of economic cooperation, solidarity and special and comprehensive friendship between Vietnam and Laos.

The same year, BIDV partnered with QBe Insurance Company Limited (Australia) to establish Vietnam Australia Insurance Company, and then bought all shares of this joint venture to establish BIDV Insurance Corporation (BIC) wholly owned by BIDV in 2005 - an unprecedented event in the country at the time.

BIDV continued to expand and cement its position and prestige in international cooperation through a series of joint venture projects: cooperating with Singapore's Bloomhills to establish a BIDV Tower Joint Venture in 2005 which built BIDV headquarters in the heart of Hanoi capital; partnering with the Foreign Trade Bank of Russia (VTB) to establish Vietnam-Russia Joint Venture Bank in 2006 which has connected the bilateral payment systems and become a symbol of cooperation between Vietnam and Russia; partnering with Vietnam Partners (USA) to establish BVIM Investment Management Company in 2006.

In 2013, BIDV forged cooperation with MetLife Inc. - the leading life insurance group in the USA - to establish BIDV MetLife Life Insurance Limited Liability Company, contributing to the expansion of BIDV's insurance activities in both life and non-life business. Another important milestone in the insurance industry is that in 2015, BIDV successfully sold strategic shares at BIC to Canada’s Fairfax Holdings.

BIDV was one of the first four banks in Vietnam to participate in the Society for Worldwide Interbank Financial Telecommunications (SWIFT) in 1996. The bank cooperated with Singapore’s Silverlake to deploy the Corebanking SIBS system, marking an “IT revolution" at BIDV. In the field of training, Since 2013, BIDV has built and expanded a network of nearly 300 foreign partners/lecturers/experts from almost all continents across the globe.

In the period 1996-2000, BIDV gradually increased cooperation with large multilateral organizations such as The World Bank, International Monetary Fund, Asian Development Bank, AFD, eIB, JBIC, JICA, ASeAN Bankers Association, Asian Bankers Association,… BIDV was selected as a wholesale bank to serve big projects of the World Bank such as the First, Second and Third Rural Finance Projects, which were highly appreciated by governments and partners.

BIDV is the first Vietnamese commercial bank to open a branch in Myanmar in 2016. The bank partnered with Japan's Sumitomo Mitsui Trust Bank to establish a financial leasing company - BIDV-Sum TRUST Leasing - in 2017.

On 11 November 2019 in Hanoi, Vietnam, BIDV and Hana Bank (subsidiary of Hana Financial Group) officially entered into a strategic cooperation agreement. Hana Bank has become a foreign strategic shareholder, owning 15 percent of BIDV's charter capital. This was the largest M&A with a strategic investor in the history of Vietnam's banking industry.

In the context of the Covid-19 pandemic, BIDV successfully organized a virtual Annual Meeting of the China - ASeAN Banking Association (CAIBA) in 2020, deepening comprehensive cooperation relationships with member banks. BIDV has pioneered in largescale loans from the world's leading financial institutions and multilateral organizations such as BNP, Citibank, ANZ, MUFG, SMBC, CUB, ICBC, ADB, among others.

By the end of 2021, BIDV had established correspondent relationships with over 1120 foreign financial institutions in 131 countries and territories across the globe. BIDV has presence in 6 countries and territories including Laos, Cambodia, Myanmar, Taiwan, Russia, and Czech Republic. BIDV has been recognized and appreciated by the Parties, States and Governments of many countries for its efforts and contributions, evidenced by noble awards and accolades such as Medals and Orders by the Party and State of Laos PDR, of The King and Royal Government of Cambodia, as well as international awards by prestigious magazines such as The Banker, Asiamoney, The Asian Banker, euromoney,...

Over the 65 years of development, BIDV has now established an extensive network of international cooperation. The bank has maintained and deepened the international cooperation activities which have laid solid foundations for BIDV to reach further to the world, becoming a trusted partner of international institutions and organizations, contributing to promoting international integration and cooperation, and enhancing Vietnam's position in the international arena.

Mr. Phan Duc Tu, chairman of BIDV receives the Chairman and delegation of The Hiroshima Bank, Ltd (2019)