Vietnam

The management board of Vietinbank has approved the proposal of increasing chartered capital in 2012 in two phases.

Moody's announced credit ratings for HCM City-based Sacombank. It assigned ratings of B2 (not-prime) to Sacombank's long- and short-term foreign currency deposits and B1 (not-prime) to its long- and short-term local currency deposits. It gave the bank a long- and short-term foreign and local currency issuer rating of B1. Moody's assigned Sacombank a Bank Financial Strength Rating (BFSR) of E+. The outlook for all ratings was stable, except for the foreign currency deposit and issuer ratings which carried negative outlook, reflecting the overall negative outlook on Viet Nam's foreign currency, Moody's said. The ratings reflected Sacombank's tightened liquidity, moderate risk absorption capacity, and moderate single-borrower concentrations versus global peers, as well as uncertainties surrounding its shareholding structure and share buy-back plans and inherent challenges in Viet Nam's operating environment. Moody's analysis also took into account the strengths of the bank's credit profile, particularly the quality of its franchise as the sixth-largest bank in Viet Nam by asset-size and the one with the largest network of branches and ATMs in the country. They also noted its diversified loan portfolio, with the consumer sector accounting for about a third of its loans, and lower problem loans compared with the average for the Vietnamese banking sector, supported by above-average loan-loss reserve coverage. "Its sizable and stable core deposit base accounted for nearly 60 per cent of its funding at the end of 2010, with a profile mainly in local currency," Moody's reported. Sacombank may not be able to sustain its good financial metrics over the medium term due to the lack of portfolio diversification and the challenging operating environment, characterised by high inflation and a tightening monetary policy, Moody's said.

VietinBank Board Member Tran Xuan Chau has been appointed Deputy Head of the Credit Department of Vietnam's central bank.

Based on a roadmap developed by the Vietnamese government and the central bank, The local banking system will be restructured comprehensively in 2012.

Vietnam has been selected by the Export-Import Bank of the United States (Ex-Im Bank) as one of nine key emerging markets that will boost American exports and support job creation.

Standard & Poor’s assigned its ‘B+’ long-term and ‘B’ short-term counterparty credit ratings to Sacombank.

ANZ Banking Group has developed a new strategy to boost investment and trade cooperation between foreign companies and their Vietnamese counterparts.

Dai-ichi Vietnam can now sell its life insurance products through the Sacombank's network.

VietinBank offically opened a branch in the Lao People’s Democratic Republic.

Vietnam’s largest bank is about to shed non-essential operations as it moves towards becoming a completely commercial bank.

Vietnam may approve the plan to restructure Agribank this February, wherein it reverts its focus to agriculture and rural development.

Vietinbank signed a US$100 million loan for the Nhan Co Alumina mining project in the central highland province of Dak Nong.

The International Finance Corporation raised the trade finance limit in Lien Viet Post Commercial Bank from US$5 million to $20 million.

Vietnam's Ministry of Labour, Invalid and Social Affairs has announced that labourers’ average salary reached US$182.54 per month in 2011.

Vietnam's PM has issued a Decision adjusting the chartered capital and structure of the chartered capital of Mekong Delta Housing Development Bank.