An employee counts Vietnamese banknotes at
a bank in Hanoi. Photo by VnExpress/Giang Huy. 

Thailand’s second largest lender by assets, Kasikornbank, plans to open a branch in Ho Chi Minh City in the third quarter this year. 

"Attention is now focused on Vietnam as a regional investment hub that has attracted the world’s leading companies, including from Thailand, thanks to its strong economy," the bank’s executive vice-president, Pattarapong Kanhasuwan, said in a statement, adding its recovery should be helped by its success in containing Covid-19.

The new branch gained regulatory approval in January and plans to lend THB10 billion ($333 million) in its first year of operation.

The bank will focus on Thai and foreign businesses investing in Vietnam and startups in digital technologies.

Thailand was the seventh largest foreign investor in Vietnam last year with $292 million, according to the Ministry of Planning and Investment.