Could you please be kind enough to brief the business performance of Vietcombank Binh Duong Branch over the past time, especially in 2022?

In 2021, the branch's business operations faced numerous difficulties caused by COVID-19 pandemic. However, at a Vietcombank meeting that reviewed business performance in 2021 and previewed business tasks in 2022, Binh Duong Branch was honored to be the 4th most excellent branch in 2021 and the outstanding fee-collecting branch in 2021.

In early 2022, countries struggled to live through the COVID-19 pandemic, the Russia-Ukraine conflict broke out, which exacerbated transportation and supply chain crises; and high inflation in many regions of the world posed risks to the global economy and threatened domestic economic recovery. Some sectors did not show signs of recovery and significantly affected banking activities. In that context, Vietcombank Binh Duong actively carried out many solutions to fulfill its business targets, strengthen risk control, and support businesses and people to overcome difficulties. The branch continued to achieve positive business results in the first 6 months of 2022.

As of June 30, 2022, Vietcombank Binh Duong had a total of 535,000 personal customers, an increase of 4.6% over the start of the year, and 10,300 institutional customers, an increase of 3.9%. The branch mobilized VND21,560 billion, up 1.7%. Credit growth moved in the right direction. Outstanding loans reached VND15,900 billion, up 10.1%. Credit quality was controlled while bad debt was kept as low as set by Vietcombank. Operating profit rose 7.2% year on year to VND406 billion.

Before adverse economic fluctuations, what has Vietcombank Binh Duong Branch done to support enterprises?

Vietcombank Binh Duong defines that supporting businesses is a solution for both the bank and businesses to overcome difficulties and challenges. Therefore, customer support is one of the key activities of Vietcombank Binh Duong. The branch always closely monitors impacts of COVID-19 epidemic on their operations, develops support plans, coordinates, appropriately handles and promptly applies regulations of the State Bank of Vietnam (SBV) and Vietcombank.

Many policies, products and services have been launched to better support customers. For example, Vietcombank applied preferential fee policies for institutional, corporate, banking and individual customers. Preferential fees are applied to money transfers into and out of Vietcombank, ATMs, account service packages and cash remittances.

Would you mind telling more about business support as you mentioned above?

Since COVID-19 epidemic outbreak, Vietcombank has launched eight rounds of interest cut support for corporate and individual customers, with a common reduction of 0.5-1% for loans or a 5-10% reduction of interest payable in installments.

In addition to eight above rate cut support packages, Vietcombank has carried out many soft loan programs (with lending rates lower than the normal) for prioritized industries and fields as guided by the Government and the SBV. In 2021 alone, Vietcombank Binh Duong offered over VND11,800 billion of soft loans for customers, accounting for 87% of the total loan balance. The interest reduced for customers was more than VND191 billion (accounting for 20% of its income).

Moreover, the branch always actively reschedules debt repayment terms and rationalizes debt categories for customers affected by the COVID-19 epidemic in line with Circular 01, Circular 03, Circular 14, directions of the State Bank and Vietcombank. The branch restructured debt payment terms without changing debt categories for 200 customers borrowing nearly VND800 billion.

In 2021, following the social distancing policy as per Directive 16, we set up a debt recollection team to assist customers who found it hard to go to the bank for loan repayment.

Vietcombank Binh Duong also carried out many other appropriate forms of support for customers such as new/extended loans for purchase of input materials and/or consumption markets changed by COVID-19 epidemic. The branch considered extending payment terms for new loans to match slower cash flows of customers due to COVID-19 epidemic. Vietcombank Binh Duong further connected companies in order to share, support and coordinate with them to solve temporary difficulties in raw materials and orders; developed and consulted consistent financial solution packages; promptly informed customers of policies, regulations and measures on COVID-19 prevention and control introduced by the Government and Binh Duong province to help them promptly grasp and respond to the epidemic. The branch improved and simplified records and procedures and responded to customer needs for products and services by online form to better help customers during strict social distancing time.

Vietcombank Binh Duong also advised customers to use online products (online trade finance products, e-banking services, VCB Cashup payment and cash flow management system, online account opening). These products and services help customers still perform banking transactions remotely, meaning they do not need to go to the bank for such transactions.

Thank you very much!