BAC A BANK raises glass to 20 years

BAC A BANK takes the lead in supporting Vietnam’s hi-tech agricultural industry

At last week’s celebration of the bank’s 20th anniversary establishment, Minister of Planning and Investment Bui Quang Vinh said BAC A  had been performing very well over the past many years.

“With its impressive growth, the bank will further develop and is now a trailblazer in providing loans for hi-tech agricultural projects which are  key government priorities,” Vinh said.

According to BAC A’s annual report 2013, the bank reaped impressive business results. Its total assets last year grew 49.11 per cent on-year to over VND50.3 trillion ($2.4 billion). Last year saw the bank’s credit grow 32.21 per cent on-year, of which 45.12 per cent was for the agro-forestry-fishery sector, up from 42.49 per cent in the previous year.

Total deposits by late 2013 grew 46.09 per cent on-year. These results allowed the bank to remain confident about its liquidity and operational safety. The bank’s vice chairwoman and general director Thai Huong said that over the past years, the bank had been the leader in providing loans for the agro-forestry-fishery industry, especially hi-tech agricultural projects. This had provided a distinct market niche for the bank, as its competitors focused on construction and industrial sectors.

For example, BAC A is the investment and financial consultant for TH Group’s $1.2 billion hi-tech dairy and fresh milk processing project, the most advanced of its kind in Southeast Asia. The project, based in Nghe An province’s Nghia Dan district, has invested nearly $400 million in its 8,100-hectare first phase.

The project has made TH the country’s leading producer of fresh milk. It will continue expanding its second phase until 2017, with annual capacity of 500 million litres of milk. The fully automated plant uses technology from global leaders such as Afimilk, Siemens, Danfoss and Grundfos.

BAC A is also the financial consultant for May Forestry JSC’s two projects worth $500 million to produce wood plank and medium-density fibre-board. The bank is also the financial consultant for TH Herbals JSC’s project to produce medicinal herbs with an integrated production chain. The first medicinal herbal products will be launched in Vietnam from October 2015.

Additionally, the bank is also the financial consultant for many other hi-tech agricultural projects producing clean vegetables and fruit.

“Vietnam’s agricultural potential is huge and these projects can give sustainable value to enterprises and society,” Huong said.

“The bank will in the coming time continue strengthening its financial health and operational capacity, and maintain its top position in lending for hi-tech agricultural projects, agricultural supporting industries and health-care and educational projects,” she stressed. “These projects are environmentally-friendly, helping Vietnam build a sustainable future.”

At the ceremony, BAC A  was presented a role model flag by the government which also awarded Huong a third-grade labour medal thanks to her great contributions to laying the foundation for Vietnam’s hi-tech agricultural industry.