Although several of them had loss, foreign banks and financial firms see a profitable year, Nguyen Van Giau, governor of SBV said.
In the first ten months, foreign banks and credit institutions mobilized VND22.957 trillion (roughly US$1.3 billion), up 46 per cent from a year ago while they lent a total of VND152.952 trillion (US$9.27 billion), the SBV said.
The SBV admitted to bad impacts on the banking system in Vietnam including foreign banks, however, the government has taken timely measures to ensure safety and profit of the system.
This year, Vietnam's central bank has licensed three 100 per cent-foreign invested banks including HSBC, Standard Chartered and ANZ, licensed four branches of foreign banks including CommonWealth Bank of Australia, Taipei Furbon of Taiwan, Industrial Bank of Korea, Sumitomo of Japan, and three financial firms including PPF of Czech, GE Money of the U.S. and Toyota of Japan.
By the end of November, the central bank of Vietnam has signed 16 agreements valued at US$1.7 billion with the World Bank and the Asian Development Bank, and it plans to sign two other agreements valued at US$165 million with the WB and ADB before the end of this year.
Currently, Vietnam has 36 foreign bank branches, five joint venture banks, nine financial companies, three wholly foreign-owned banks and 54 representative offices of foreign banks. (The People, cafef.vn)
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