Overcoming Difficulties, VPBank Continues Impressive Growth

In 2013, VPBank's total loans increased by 30 percent, customer deposits increased more than 35 percent, total assets increased by 16.4 percent, profit before tax increased by over 30 percent compared to 2012. The bank had fulfilled the planning objectives approved by shareholders. Regarding the number of clients, VPBank currently has 450,000 active customers, a sharp increase compared with 2012 (nearly 60 percent).

 

In 2013, VPBank launched its Priority Customer Centre and new products such as VPBank Lady, VPBizcard and VPBank Smartcash, with the goal of bringing new experiences and products suitable for each segment of bank customers, particularly women, the young, and small and medium enterprises.

 

2013 also recorded a strong shift of VPBank in operating pattern towards centralisation and specialisation, towards modern retail banking capable of fast replication operations while ensuring risk control. VPBank also paid special attention to strengthening human resources in 2013, recruiting more senior personnel including foreign experts with experience from organisations such as McKinsey, Citibank, ING, Alliance Bank, etc. Besides, key positions were also added to ensure seamless and professional system operation, creating a new spirit for VPBank.

 

With the good development, reputation and quality of service of VPBank, in 2013, VPBank received many awards from domestic and foreign organisations, including Excellent Payment Bank (awarded by the Citibank), Bank with the Best Quality Services in 2013 (awarded by Vietnam Economic Times), Typical Brand 2013 – Most Innovative Retail Bank of Vietnam 2013 (awarded by the Global Banking & Finance Review), and Bank With Excellent International Payment Quality 2012 (awarded by The Bank of New York Mellon).

 

Specifically, in October 2013, global credit rating company Moody's rated the credibility index of VPBank at B3 and stable outlook. This is the first time that Moody's has rated the credibility index and VND deposits of VPBank at B3, which is equivalent to BIDV, Vietinbank, MB, ACB, Techcombank and Sacombank. The Bank Financial Strength Rating (BFSR) of VPBank is evaluated at E and the BCA basis remains at Caa1, the equivalent of the level of Vietnam's 7 leading banks rated by Moody's.

 

After more than 20 years of operation, VPBank currently has chartered capital of VND5,770 billion with a network of over 200 transaction offices in 33 cities and provinces with the staff of over 4,000. The Bank has developed a comprehensive transformation programme with the support of one of the leading consultancy companies since 2010 with the goal to enter the top five commercial banks and top 3 retail banks in Vietnam. VPBank’s strategy consists of two main spearheads: Drastically organic growth in targeted customer segments and strengthening the foundation for growth such as human resource management, information technology, finance, risk management and operation. The two target customer segments of VPBank in this strategy are individual customers and small and medium enterprises. In addition, VPBank will also exploit opportunities in the segment of large business customers and consumer credit.