11:25:34 AM | 23/8/2011
Founded in 1988, the Binh Thuan Branch of the Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank) is one of the most active lenders in Binh Thuan province. Over the past 20 years, Vietinbank Binh Thuan has always accompanied local socioeconomic development and become a solid financial fulcrum for local people and businesses. To learn more about the operations of Vietinbank Binh Thuan as well as its contributions to local economic development in recent years, Vietnam Business Forum interviewed Mr Nguyen Ngoc Cam, Deputy Director of Vietinbank Binh Thuan. Quoc Hung reports.
Vietinbank Binh Thuan is known as one of the first banks operating in Binh Thuan province and has had impressive success. Could you please talk about your success?
The development of Vietinbank Binh Thuan is marked with many important successes. Notably, in the latest three years, from early 2009 to July 2011, Vietinbank Binh Thuan witnessed significant growth, especially with deposits rising 225 percent. While the capital source was valued just VND600 billion in early 2009, the figure rose to VND1,350 billion as of July 31, 2011.
In addition to capital source growth, credit operations are always rated effective and credit growth is based on "safe and effective" principles. Vietinbank Binh Thuan proactively selects customers with strong financial background, and giving lending priority to industrial manufacturing, agriculture, rural development, export-oriented production, and small and medium enterprises, while limiting credits for non-manufacturing activities, ensuring liquidity at any time, and fixing credit growth to capital/deposit growth. As a result, outstanding loans of the branch are increasing steadily at 36 percent a year on average.
In the past years, Vietinbank Binh Thuan has also focused investment on developing and diversifying banking products and services and promoting e-banking products and new utility services like SMS Banking, VietinBank iPay, VietinBank At Home, and MOMO e-Wallet. Its products and services are favoured by local customers. As of July 31, 2011, 2,457 companies opened payment accounts. The branch runs 16 automated teller machines (ATMs) and 85 electronic data capture (EDC) machines with 55,755 ATM cards and 2,153 international credit cards. In implementing the Prime Minister’s Instructive 20 on wage payment into bank accounts, up to now, 162 companies are paying their employees by this method. With its effective measures, the branch completed 80 percent of profits assigned by Vietinbank for 2011 in just seven months of the year. Earnings rose 259 percent year on year.
How does Vietinbank Binh Thuan play its role in local socioeconomic development?
Founded in 1988, Vietinbank Binh Thuan’s operations have actually instilled confidence and satisfaction among customers and effectively served local socioeconomic development.
Since its inception, Vietinbank Binh Thuan has always travelled with households and businesses through all difficulties and challenges. We have launched many interest rate support programmes under the umbrella of the Government and Vietinbank. From March 2009 to date, the branch has lent VND9.583 billion of soft loans. In 2010, it applied a 2.5 percent lending rate for borrowers operating in the field of agriculture, rural development and export and a 2 percent rate to small and medium-sized enterprises.
Vietinbank Binh Thuan has effectively supported businesses and households in the group of supported interest rates to reduce difficulties facing them.
Carrying the message of providing international standard products and services for customers, what has Vietinbank Binh Thuan done to help local people easily access its products and services?
Our objective is "All operations are customer-centred." Accordingly, the branch provides ISO 9001:2008-standardised services, regularly measuring customer satisfaction with the products and services provided in order to find existing problems to have them fixed to better serve customers.
With a business philosophy of "Reliable, Effective and Modern,” Vietinbank Binh Thuan has standardised all administrative and operating activities, products and services, studied on improving existing products and services, and developed new ones to meet the highest demand of customers.
Banking operations are booming in Binh Thuan province and this intensifies competition among banks. What solutions does Vietinbank Binh Thuan adopt to enhance performance and competitiveness?
There are 14 joint stock commercial banks and one centrally run credit fund in Binh Thuan province at present; thus, competition is very fierce. In this circumstance, Vietinbank Binh Thuan has developed and deployed business strategies in specific periods, with focus given to human resource, technology and network development.
Vietinbank Binh Thuan defines personnel as the seed of success; thus, it has built up a rejuvenated, professional workforce. All staff are carefully trained in communicative skills, product marketing and international standard banking services.
The branch has applied modern and advanced technologies to deploy new services and highly competitive products.
It has also expanded the operating network to provide easier access to potential customers and well-performing companies. This helps the branch strengthen connections with traditional customers, collect customer information, and evaluate new customers to prepare for good short- and long-term relationships.
In addition, the branch has always paid attention to reinforcing internal unity, broad democracy, lean operation and effective performance.