9:22:52 AM | 23/10/2008
The Vietnam Bank for Foreign Trade (Vietcombank) has taken the lead among domestic commercial banks to withdraw money deposited at banks in Europe and the U.S. in order to protect its assets over the fear of deepening global financial crisis.
Vietcombank General Director Nguyen Phuoc Thanh late last week confirmed the withdrawal, which is equal to 40 per cent of its total deposits at foreign banks, on speculation that the global financial crisis will affect Vietnam as the country is a part of the world.
The impact, however, will not be big since Vietnam has just opened its commodity market, Thanh said, predicting that the country may only see drop in foreign investment while committed projects will go more slowly than previously scheduled.
As Vietnamese banks still do not purchase foreign stocks, they are likely to be free from the crisis in this field. Domestic banks mostly make transactions with foreign commercial banks, while the financial crisis focuses on investment banks.
The withdrawal came just one week after the PM released a document asking banks to check their deposits at foreign banks on October 3.
No more money will be withdrawn by Vietcombank in the coming time as the global financial market has become better following determination of countries worldwide in settling the crisis, Thanh highlighted.
Vietcombank is now the largest lender for importers and exporters in Vietnam. (
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