VIB reports solid nine-month performance

Its total lending book stood at VND51.3 trillion ($2.35 billion), up 18 per cent on-year against the same period last year, including VND44.3 trillion ($2.03 billion) of loans to customers, up 16.2 per cent compared to early 2015.

In October 2015, the State Bank of Vietnam (SBV) approved the maximum credit growth limit of 25 per cent for VIB in the year, from the previous limit of 20 per cent.

Deposits from customers cane to VND50.2 trillion ($2.3 billion), up 2.5 per cent; specially, non-term deposits jumped 21.1 per cent. Though lending growth is positive, the bank’s total assets decreased by VND8.15 trillion ($374 million), mainly because VIB decreased most of its deposits on the interbank market in the background of market uncertainties. In addition, VIB also re-structured the government bond portfolio to better suit its investment strategy.

In terms of risk management, the bank’s non-performing loan ratio now stands at 2.34 per cent, down by 0.18 per cent against early this year.

VIB is one of the first banks that have completed the debt trading plan with state-owned Vietnam Asset Management Company (VAMC). The bank’s capital adequacy ratio (CAR) continues to remain at 18 per cent - the highest level among Vietnamese large-scaled banks.

As one of the 10 banks selected by SBV to implement the Basel II risk management standards, VIB has soon kicked off this project with highly experienced experts from its strategic shareholder, Commonwealth Bank of Australia (CBA), and Backice and HPT companies.

In a recent ratings report released by Moody’s, VIB continued to lead the credit ratings among 10 largest local banks by remaining the highest baseline credit assessment of B3 together with few other counterparts.

Noticeably, among the banks rated B3, VIB is the only local bank that has its outlook increased by Moody’s to “Positive”. In the third quarter this year, VIB became the only bank in ASEAN to win “The Best Segment Solution Award” from MasterCard, a leader in global payments.

Besides, VIB also won the award “Vietnam’s outstanding innovative digital banking product in 2015” for its MyVIB mobile banking app from the International Data Group (IDG).