"Vietnam Has Made Remarkable Progress in Banking Sector Reform", Says HSBC President and CEO

 

It is really quite simple. Imust say that HSBC’s successes to date are mainly attributed to our people. They are our talented staff, who are knowledgeable, professional and consistently deliver superior customer services. And of course, a successful bank must have successful customers. HSBC is fortunate to have an exceptional customer base that has been with us for every stage of our journey in Vietnam. People here are also other stakeholders, such as regulators, Government authorities and also general public that have been very supportive to us. Without people, we cannot be as successful as we are to date. With this support, we are confident that HSBC will maintain and indeed enhance our reputation asthe leading foreign bank in Vietnam.

 

HSBC is optimistic about the prospects for Vietnam which has benefited from continued, strong economic growth over the past few years and measures taken by the government to expand the local banking industry. The investment in Techcombank reinforces HSBC’s long-term commitment to Vietnam and is an exciting part of our growth strategy in this country.

 

HSBC will also continue to invest in the rapid growth of our own operation in Vietnam, enhancing our commercial, corporate and institutional banking capabilities and enlarging our range of retail banking services. We will also actively explore business opportunities with our strategic partner, Techcombank and look to expand our network, product range and distribution channels as the regulatory environment permits.

 

 

Vietnam has made a remarkable progress in the banking sector reform in the past few years. We acknowledge that Vietnam’s banking industry is not as developed as some economies in Asia. But it is rapidly taking steps to address that.

 

I am impressed by the significant and positive changes in the way local banks are operating and doing businesses. Local banks have already geared up their personal banking capabilities by offering a wider range of services/products and expanding their branch network. Local banks can take advantage of advance banking technology to diversify their product range, including local and international ATMs.

 

In the last few days, you may have heard about the news that the Bank for Investment and Development of Vietnam (BIDV) has received its official credit rating assigned by Moody’s Investor Services and launched a groundbreaking Tier 2 bond offering which lifted the domestic capital market to a new standard of professionalism while simultaneously introducing a new investment product to Vietnam’s fixed income investors. This was the first time that international investment banking practices have been used for a Vietnamese domestic transaction and was also the first time ever that a foreign bank has been so extensively involved in a Vietnamese domestic securities transaction. HSBC is proud to be engaged as Ratings Advisor, Joint Arranger and Joint Bookrunner for this exercise. This is a very good example of how local banks are taking position to welcome opportunities as well as challenges that WTO accession offers. Local banks are already becoming more and more dynamic and proactive in anticipating and pursuing opportunities.

 

 

We highly appreciate VCCI’s and EuroCham’s initiative to establish the Vietnam-Europe Business Forum (VEBF) with an aim to create open and effective discussion platforms between Vietnamese and European business communities to exchange views and business experience. We hope the forum, as well as other activities built around it, this HSBC-Sofitel Metropole Vietnam Europe Corporate Golf Tournament 2006 is an example, will help strengthen the cooperation relationships between the two business communities. The main theme chosen for the first year of the VEBF will be Corporate Governance, which is one of the key elements for improving business environment in Vietnam.

 

As “The world’s local bank’ and the largest bank in Europe, HSBC is keen to support initiatives that help cultivate the relationships between Vietnamese and European enterprises. With our extensive global network and our local roots, HSBC is the bank of choice for Vietnamese companies doing business with Europe and via versa. Customers who bank with us will enjoy the benefits of banking with an institution that also banks their suppliers and buyers. We are a truly bank that can connect clients to the right people and networks, the right insights and information, to help them grow successfully both in domestic market and in overseas market. This is where we excel.

 

We also have another reason to sponsor this tournament. Golf is one of the most popular and fastest growing sports worldwide. Golf is an aspirational sport in Asia and is increasingly popular in Vietnam. As “The world’s local bank”, HSBC is committed to investing in a sport that creates a global passion and very much reflects our brand’s character and values which are “global”, “local”, “knowledgeable and experienced”, as well as “human & honest”. HSBC has been holding a highly popular annual golf tournament in the South since 2001 and started organizing a golf tournament in the North since 2005. These golf tournaments are organised as part of the HSBC Group's global initiative to promote golf. Globally, HSBC has invested in record-high winner’s cheque golf tournaments, such as the HSBC World Match Play (in England), the HSBC Women’s World Match Play (in the USA), and the HSBC Champions Tournament (in China).

 

We believe the HSBC-Sofitel Metropole Vietnam Europe Corporate Golf Tournament 2006 will bring a memorable and favorable experience for all participating golfers who are members of VCCI & EuroCham.