The next foreign bank in Vietnam

August 13, 2015 | 17:00

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According to newswire Vnexpress.net, Prime Minister Nguyen Tan Dung has, in principle, allowed Malaysia’s CIMB Group to open a 100 per cent foreign-owned bank in Vietnam.

Dato’ Sri Nazir Razak, Group Chairman, CIMB Group receiving an approval in principal from His Excellency Nguyen Van Binh, Governor of the State Bank of Vietnam for CIMB to operate a subsidiary bank in Vietnam at a ceremony in Kuala Lumpur this evening, witness by Dato’ Sri Najib Tun Razak, Prime Minister of Malaysia and His Excellency Nguyen Tan Dung, Prime Minister of Vietnam. - photo source cimb.com

The decision is part of the agreement between the two countries that was arrived at during the Prime Minister’s visit to Malaysia.

Once founded, CIMB will become the eighth 100 per cent foreign-owned bank in Vietnam, after HSBC Vietnam, Standard Chartered Vietnam, Shinhan Vietnam, ANZ Vietnam, Hong Leong, Public Bank Berhad and CitiBank.

In July 2014, CIMB revealed its plans to open a wholly foreign-owned bank in Vietnam, aiming to expand its presence in South East Asia by 2015.

Present in 17 countries with more than 40,000 employees over the world, CIMB is one of the largest Asian investment banks and one of the world's largest Islamic banks. As of June 2015, CIMB’s total asset value stands at $438.3 billion.

According to statistics released by the State Bank of Vietnam, as of April, beside the above-mentioned seven wholly foreign-owned banks, Vietnam hosted four joint-venture banks, 51 branches and 51 offices of foreign banks.

By By Kim Oanh

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