Banking is one of five possible financial areas in Vietnam, alongside the real estate, steel, e-commerce, and logistics industries. The view for Vietnam's banking sector is optimistic, according to Moody's, because the country's asset quality and profitability are expected to improve in 2021 when the economy has recovered from the pandemic-related downturn.
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In this post, we'll walk you through the top 12 best banks in Vietnam for foreigners. The banks' financial capacity, media reputation, and client satisfaction level all factored into the ranking.
Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) was established in 1957 in Hanoi. This is the bank in Vietnam's credit institution system with the longest history of operation.
The local and international community know and recognize BIDV as one of Vietnam's major banking brands, the choice, and confidence of the country's leading economic companies and organizations, and people in receiving banking and financial services. BIDV now has 190 domestic branches, 871 transaction offices, 57,825 ATMs, and POS in 63 provinces and cities around the country, as well as 1 international branch in Myanmar and 5 representative offices in Laos, Cambodia, Taiwan, Czech Republic, and Russia. In addition, BIDV has agency agreements with approximately 1,700 banks and bank branches in 122 countries and regions worldwide.
VietinBank has been offering commercial banking services and products to individuals and businesses in Vietnam since 1988. The bank has 958 transaction offices and 155 local branches. It also has two representative offices, five cash management centers, a trade finance center, and nine non-business units.
It also has two international branches in Germany, a Myanmar representative office, and a Lao People's Democratic Republic subsidiary bank. It hires 24,562 employees and is headquartered in Hanoi. VietinBank has always maintained its position as the State Commercial Bank, contributing significantly to the overall results of the banking industry as well as the country's comprehensive socio-economic development. Its lending market share accounts for roughly 12% of the total system's market share, it has a stable capital source, and it has a solid customer base.
In 1963, Vietcombank began its operation. It is a joint-stock commercial bank that specializes in international trading.
Vietcombank is presently the leading bank in the field of providing financial and banking services, as well as one of the most reputable brands in the local and international markets, after more than half a century of operation. It now hires over 20,000 employees and operates 155 branches, one southern customer center, 2 foreign branches in Germany, nine non-business units, 958 transaction offices, as well as two foreign branches in Laos, and one representative office in Myanmar.
In the coming years, Vietcombank conquers its strategic objective of becoming Vietnam's No. 1 bank, as well as one of Asia's top 100 banks and one of the world's top 300 global banking groups.
VP Bank, founded in 1993, offers a wide range of banking financial services and goods to businesses and people in Vietnam.
VPBank has been engaged in reaffirming its position in the market after approximately 28 years of establishment and expansion. It has a total of 62 locations and 167 transaction offices. It employs around 23,045 people.
Despite COVID-19, VPBank's full-year consolidated income increased by 7.4% to VND 39 trillion in 2020. The combined pre-tax profit exceeded VND 13 trillion, accomplishing 127.5 percent of the objective laid forth at the start of the year.
Saigon Commercial Bank, based in Ho Chi Minh City, provides personal and business banking services in Vietnam.
In 2012, Saigon Commercial Bank was formed by the consolidation of three banks: Saigon Commercial Joint Stock Bank (SCB), De Nhat Commercial Joint Stock Bank (Ficombank), and Vietnam Tin Nghia Commercial Joint Stock Bank (TinNghiaBank) The bank engages in important financial operations such as deposit mobilization from people and enterprises, loan and payment account provision, international payments, and foreign currency and gold dealing. SCB is responsible for 50 branches and 189 transaction offices spread over 28 provinces and cities.
The Military Joint Stock Commercial Bank (MBBank) was established in 1994 as a subsidiary of the Ministry of National Defense. The charter capital of the bank is VND 21,605 trillion.
Military Commercial Bank, headquartered in Hanoi, offers personal and corporate banking services to Vietnamese businesses and people. The bank employs roughly 15,380 people and has 101 branches, 198 transaction offices, and a representative office.
MB has made its mark on the financial sector with a stable and high growth rate after more than 26 years of building and expansion. Even during extremely difficult economic times or periods of significant market restructuring, MB is the only joint-stock commercial bank in Vietnam that has consistently maintained its growth rate and profitability since its establishment.
With chartered capital of VND 20 billion, the Vietnam Technological and Commercial Joint Stock Bank was founded in 1993.
In Vietnam, Techcombank offers personal and business banking services and goods. It also provides investment banking services, such as margin trading, investment research, securities custody, securities corporate action, corporate financing, and personal investment counseling services, as well as priority banking services. Two representative offices and 309 transaction offices are managed by the bank. Techcombank's headquarter is located at 191 Ba Trieu Street, Hanoi, where it employs over 11,900 people.
Techcombank has reached the financial goals of a corporate organization and towards a great mission: instilling Vietnamese pride, thanks to its creative strategy and detailed action plan.
Sacombank has consistently followed its development plan to become Vietnam's top modern and multi-functional retail bank over the past 30 years.
Sacombank has a broad network of operations throughout Vietnam, Laos, and Cambodia with approximately 570 transaction sites and almost 19,000 employees; and a charter capital of VND 18,852 billion. Sacombank offers over 250 services and goods, with an emphasis on digital banking and a dedication to quality, innovation, professionalism, and prestige.
The Asia Commercial Joint Stock Bank (ACB) was founded and put into operation in 1993.
With many years on the market, ACB has established itself as a prominent bank, functioning under the principles of great management, long-term growth, lawful income, and fair profit. ACB now operates in 47 provinces and cities across the country, with over 350 branches and transaction offices with contemporary transaction space, 11,000 ATMs, and 850 Western Union agents. The overall number of employees is around 10,000. Aside from that, ACB controls a slew of subsidiaries and affiliates such as ACB Securities Company (ACBS), ACB Asset Management and Debt Management Company (ACBA), ACB Financial Leasing Company (ACBL), and ACB Asset Management Company.
ACB's total assets as of December 31, 2020, were VND 441,530 billion, up 15.1 percent from the previous year's end. NPLs at the bank were VND 1,840 billion, up 27% from the beginning of the year.
On November 13, 1993, the Saigon - Hanoi Commercial Joint Stock Bank (SHB), formerly known as Nhon Ai Rural Commercial Joint Stock Bank, was founded. Nhon Ai Rural Commercial Joint Stock Bank was renamed Saigon - Hanoi Commercial Joint Stock Bank in 2006 after being turned into an Urban Commercial Joint Stock Bank.
SHB, based in Ho Chi Minh City, is one of Vietnam's major private banks. Loans, deposits, advances, international trade financing, foreign currency transactions, discounting of commercial papers, bonds, and other useful services are all available through the bank. SHB has a workforce of 8,419 people. It now has over 530 domestic and international transaction points, servicing over 5 million individual and corporate clients and linking to 400 correspondent banks throughout the globe.
Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank), founded in 1989, was originally known as the Housing Development Bank of Ho Chi Minh City.
After more than 30 years in business, HDBank is now regarded as one of Vietnam's premier banks, with plans to grow abroad. HDBank is a financial institution with strong financial capacity and cutting-edge technology that offers a wide range of financial and banking services to people, corporations, and investors. HDBank has a charter capital of 16,088 billion VND and total assets of more than 273 trillion VND as of November 2020.
HDBank supports more than 8 million customers in a privileged ecosystem of airlines, telecommunications, supermarkets, finance, and banking, notably in rural regions. It has a network of more than 300 banking transaction points and more than 18,000 financial transaction points throughout the country. HDBank seeks to reach and serve customers in a broad green ecosystem that includes banking, finance, retail, consumption, and aviation, with goods and services tailored to each category of customers in each value chain.
On March 26, 1988, Agribank was founded. The bank was formerly known as the Vietnam Agricultural Development Bank. The bank was renamed Vietnam Bank For Agriculture and Rural Development in 1996.
Agribank is now a state-owned bank and among the largest banks in Vietnam. This specialized bank has 2,232 branches, 2,845 ATMs, and many transaction offices across the country, as well as a representative office in Cambodia. It serves 12 million people and offers 200 services and goods. It is headquartered in Hanoi and employs roughly 40,000 people.
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As of December 31, 2020, Agribank recorded:
Besides, the bank's profit was VND 12,869 billion recording an increase of VND 369 billion (around 3%) compared to the plan.
Vietcombank, ACB, VPBank, MBBank, and Techcombank are among the top 10 renowned and effective public companies in Vietnam for 2021, according to Vietnam Report JSC. Economists and investors have recognized these banks in recent years for their financial stability and networking technologies. Besides, their growth potential, degree of sustainable development, corporate governance excellence, and industry positions are also remarkable points.
In conclusion, the top 12 best banks in Vietnam for foreigners above are considered to be a bright spot for the banking system and the Vietnamese economy in the future. If you're a foreign investor, keep in mind that choosing the best bank in Vietnam for you and your business is crucial.