Ho Chi Minh City, Vietnam, April 5, 2021 / PRNewswire / – Vietnam International Bank (VIB, Vietnam – Stock Code: VIB) held the 2021 Annual General Meeting of Shareholders on March 24, 2021 in Ho Chi Minh City.
Summarize 2020 with impressive growth results sustained for many consecutive years
According to the report to the meeting, in 2020, the total assets of VIB increased by 33% compared to the beginning of the year, reached 245,000 billion VND. Pre-tax profit up 42% compared to 2019, reached 5,803 billion dong. With this profit, the Return on Equity (ROE) reached 30%, helping VIB to maintain its position in the highest group in the banking industry in terms of business performance. At the same time, NPLs continued to fall below 1.5%.
VIB has established itself in the market as a leading retail bank with an average annual growth rate of over 50% over the past four years, ranking at the top of the industry with good asset quality. Retail outstandings amounted to 84% of total outstandings, of which over 95% of retail loans are collateralized.
VIB is one of the market leaders in scale, quality and growth rate of major retail banking products and services such as auto loans, mortgages, business loans, payment services, deposits and insurance. The bank has also focused on investing and developing high-tech products and services.
VIB’s pioneering steps in digital transformation and the application of cutting-edge technologies have radically changed the user experience, especially in core consumer activities such as card payments and online banking, and are helping to create a breakthrough in cashless payment technology. In particular, the MyVIB application was ranked as the best digital bank of the year and the best customer experience in Vietnam by The Asset magazine for four consecutive years.
As the first private equity-based commercial bank to complete the 3 pillars of the Basel II standards, VIB continues to be a pioneer in the pilot application of the Basel III standards in terms of risk management. This demonstrates VIB’s commitment to international standards to ensure effective risk management coupled with strong quality growth.
VIB establishes business plan for 2021 to pursue sustainable growth, based on solid governance
VIB’s AGM agreed to approve the business plan for 2021. Specifically, total assets are expected to increase by 26%, bringing the bank’s assets to over 300,000 billion VND. Based on the credit growth limit approved by the State Bank of Vietnam (SBV), the credit balance is targeted to reach 225,000 billion VND, 31% equivalent – growth possible based on intrinsic skills. The capital balance should reach 235,000 billion VND, equivalent to credit growth. According to the diversification of sources of income from credit activities and service fee income, the increase in technological content in products and services, pre-tax profit is expected to increase by 29%, reach more than 7,500 billion dong.
The General Meeting approved the capital raising plan via free shares and a public offer
With strong growth in recent years as well as the bank’s financial potential and specific business strategies, the VIB general assembly approved the capital increase plan, including a capital increase through the payment of dividends in 40% shares and issuance of additional shares. The expected share capital after these capital increase plans is approximately 16 trillion dong, by optimizing the strong growth in total assets and respecting the activity safety ratios in 2021.
Pursue the 2017-2026 10-year transformation journey, leader in terms of scale and quality in many main activities
With the spirit of continuous innovation and creativity in the transformation journey, VIB is focused on developing high-tech financial solutions to best meet clients’ needs and provide them with an exceptional experience.
The AGA also estimated that the 2017-2026 10-year transformation journey will continue to witness the bank’s sustainable and customer-centric growth, and assert VIB’s leadership position in terms of quality and delivery. ‘ladder.
All reports and proposals of the Board of Directors and the Supervisory Board were approved by the shareholders of the 2021 VIB AGM.
SOURCE Vietnam International Bank