Sustainability Stories at SeABank

The Southeast Asia Commercial Joint Stock Bank (SeABank, stock ticker: SSB) has proudly continued its legacy of distinction by securing a position in the Top 100 Most Sustainable Businesses in Vietnam 2022 (CSI 100) for five consecutive years. This recognition is conferred by the Vietnam Business Council for Sustainable Development (VBCSD) under the Vietnam Chamber of Commerce and Industry (VCCI).

SeABank is recognized as one of the 100 Most Sustainable Businesses in Vietnam

SeABank has embarked on a series of impactful pro-community and social initiatives, demonstrating a dedicated stride toward comprehensive sustainable development.

Sustainable business operations

SeABank's commitment to sustainable development stands as a central tenet in its business goal and strategy, underscored by a robust foundation built on five core pillars: Risk Management, Technology Investment, Customer Development, Human Resources Development, and Organizational Culture. This strategy serves as a guiding principle for all the bank's endeavors throughout the period spanning 2021-2025. Notably, SeABank distinguishes itself as a pioneer in applying the international risk management standards of Basel III, boasting a market capitalization that has surpassed US$3 billion.

The bank's remarkable acceleration, particularly evident from 2018 to 2022, is reflected in the continuous growth of its total assets, surging from nearly VND141 trillion to VND229 trillion. Simultaneously, the registered capital witnessed a substantial upswing from VND7,688 billion to nearly VND19,809 billion. This robust performance is a testament to SeABank's strategic focus, marked by a growth-oriented approach, unwavering banking operation safety, and a steadfast commitment to sustainable development. Notably, the bank's return on equity (ROE) and cost-to-income (CIR) ratios have demonstrated sustained improvement.

A pivotal gauge of operational efficiency, the cost-to-income ratio (CIR), exemplifies SeABank's adept control over operating costs, progressively decreasing from over 58% in 2018 to 30.35% in June 2022. This financial acumen has contributed significantly to the bank's revenue enhancement.

In the first half of 2023, SeABank achieved a pre-tax profit of VND2,016 billion, while maintaining a total outstanding loan portfolio exceeding VND161,889 billion, reflecting a 5.15% increase over December 31, 2022. Notably, the bank has sustained a remarkably low bad debt ratio of 1.73%.

SeABank's commitment to international risk management standards is evidenced by its early completion of all three pillars of Basel II in 2020 and the subsequent implementation of Basel III standards in business activities and risk management in early 2022. Recognizing these achievements, Moody's has consistently awarded SeABank credit ratings of B1 with a positive development prospect from 2019 to 2022.

Continuing its digitalization journey, SeABank remains dedicated to technological transformation, integrating smart artificial intelligence (AI) into SeAMobile/SeANet digital banking applications and leveraging cloud computing for secure customer information storage. Emphasizing a customer-centric approach, the bank aims to reach 10 million customers by 2026 through the optimization of operational and product digitization.

SeABank has invested in technology systems aligned with the highest standards, such as Basel II and Basel III, positioning itself strongly in the international capital market.

Recognizing human resources as a critical asset, SeABank has forged partnerships with major entities, including Talentnet - Mercer, Crestcom Vietnam, and iChange Center. These collaborations aim to refine salary and reward policies, establish a robust capacity measurement framework, and implement comprehensive training and development programs for leaders, managers, and employees. Additionally, the bank fosters a cohesive and professional working environment through various remuneration policies, complete healthcare insurance, and engaging internal activities such as team-building and social responsibility initiatives.

SeABank launches a major afforestation campaign, planting nearly 257,000 trees nationwide

Pro-community activities

In furtherance of its commitment to community engagement, SeABank has extended its philanthropic initiatives beyond social security and charity endeavors to include robust environmental protection and sustainable development activities. These initiatives encompass waste sorting and recycling, environmental awareness campaigns, utilization of eco-friendly materials, conservation of electricity, water and paper, and the introduction of green credit packages. Notably, SeABank has undertaken a significant afforestation campaign, planting nearly 257,000 trees nationwide, aligning with its core value of "For community."

In the year 2023, SeABank inaugurated the annual SeABank Run For The Future 2023 (SeARun 2023), conducted on the Uprace application. This initiative aimed to promote a sports training movement while raising funds for high-school scholarships for 10 underprivileged students exhibiting exemplary academic performance through the Dream Incubation Fund. Simultaneously, 25,000 trees were planted to contribute to environmental conservation through the SeAGreen Fund. SeARun 2023 garnered participation from over 9,000 runners nationwide, with strong support from corporate entities such as Hapro, PTF, Vienco, Asean Securities, Vinamotor, Honda Motor Hai Phong, Honda Motor Tay Ho, Haeco, and SeABank employees. The total budget allocated for this endeavor exceeded VND500 million.

In alignment with its environmental stewardship, SeABank, in collaboration with Dak Lak province, participated in the implementation of the Prime Minister’s decision approving the "Planting 1 billion trees in 2021-2025" Project. The bank donated 25,000 Hopea odorata trees valued at VND500 million to the Dak Lak Forest Protection and Development Fund. These trees were planted on barren land in Krong Buk and Ea H’Leo districts to mitigate climate change effects, safeguard the environment, and enhance forest coverage.

Previously, SeABank contributed nearly 257,000 trees to various regions, including 154,000 acacia trees to support afforestation and economic development in Huong Son district, Ha Tinh province; 74,400 trees for the reforestation of burned areas on Hong Linh Mountain, Nghi Xuan district, Ha Tinh province; and 28,000 melaleuca trees to Lang Sen Conservation Area, supporting the expansion of the melaleuca area and preserving local wetland biodiversity resources. Through these afforestation activities, SeABank aims to mobilize social resources, and foster community awareness, responsibility, and involvement in forest protection and development.

Undoubtedly, SeABank's reputation for harmonizing stable growth, profitability and asset quality has earned it a position among the 500 largest and strongest banks in the Asia Pacific region. With a comprehensive overarching strategy, SeABank is poised for continued success in the coming time.

Le Hien, Vietnam Business Forum