Techcombank with "Package Import Sponsorship"

Normally, when importing commodities, apart from mobilising capital, the company must carry out many other procedures like opening a security account, issuing the letter of credit, leasing the warehouse and buying insurance. Or in other words, apart from the trading partner, the company must work with various sides like the bank, insurer and shipper. The “Package import sponsorship” service, which will be introduced by Techcombank by the end of this year, will combine such activities into one.

 

According to preliminary calculations of Techcombank, the service will help importing companies to significantly reduce time and cost for transaction, and thus, increasing business efficiency. If Techcombank agrees to provide credits, when the companies use the package service, they will have a chance to enjoy the same preferential interest rate.

 

Techcombank will also benefit from this service product. If the service is used, the risk from issuing a singling L/C and an increase in credits against Techcombank will be minimised. Techcombank will collect fee from the enclosed services when Techcombank cooperates with other service providers of warehouse, insurance and shipping. Even, the after-sales risk of Techcombank will be minimised.

 

In the first nine months of 2006, the total asset value of Techcombank reached VND15,196 billion (US$950 million), an on-year increase of 43 per cent. The pre-tax profit exceeded VND30 billion in September, up 50 per cent on year, totalling VND227.5 billion in the first nine months of 2006. The total deposit capital was VND13,428 billion (US$839 million) in the first nine months, up 48 per cent year on year.