DongA Bank has reportedly signed a merger agreement with An Binh Bank. Photo: D.D. Minh At least six mergers and acquisitions are being planned among commercial banks in Vietnam, where three similar deals have taken place this year as part of the government's efforts to consolidate the overcrowded banking sector. A source told Thanh Nien that DongA Bank has signed a merger agreement with the smaller An Binh Bank. However, Nguyen Hoang Minh, vice director of the State Bank of Vietnam's branch in HCMC, where both the banks are headquartered, said officials have not received the banks' proposal yet. DongA Bank chairman Cao Sy Kiem said the lenders were still in a "study process." In another related news, at a recent meeting, Vietinbank's leaders announced that a merger agreement with PGBank is awaiting the central bank's approval. Once the plan is ratified, as early as next month, 270 million shares of Vietinbank will be swapped for PGBank's 300 million shares. Thanh Nien also … [Read more...] about More major mergers underway in Vietnam’s banking sector
Recent reforms in banking sector
Nearly 1 billion USD for modern infrastructure development and reforms in Vietnam
(CPV) - The State Bank of Vietnam and the World Bank today (January 12) ink one IBRD loan and four IDA credits valuing 973.5 million USD to support the development of modern infrastructure and in recognition of recent reforms in Vietnam. The money will be used for the Da Nang - Quang Ngai Expressway Project (613.5 million USD), Medium Cities Development Project (210 million USD) while the remaining will be used for the 10th Poverty Reduction Support Credit. The Da Nang - Quang Ngai Expressway Project will construct an expressway that will enhance efficiency and safety for road users traveling between the two locations, and build institutional capacity for expressway development in Vietnam's Ministry of Transport. It will link the National Highway 1A, to the south of Da Nang city then to Quang Ngai province, and then back to National Highway 1A, in Quang Ngai province. The Medium Cities Development Project is expected to provide better urban infrastructure for up to 520,000 people in … [Read more...] about Nearly 1 billion USD for modern infrastructure development and reforms in Vietnam
Administrative reform in taxation and customs
(CPV) - Vietnam Finance, leading credible information and technology forum in the public finance sector, opened in Hanoi on September 17th with the theme "Administrative reform in taxation and customs". Under the endorsement of Finance Ministry, the Conference & Exhibition Vietnam Finance 2015 event is organized in collaboration between the General Department of Taxation, General Administration of Customs, Department of Instamatics and Statistics Finance, Strategic and International Data Group (IDG Vietnam). According to the PAR Index 2014 (Par Index 2014) of the Ministries and Ministerial-level agencies announced by the Ministry of Home Affair, the Ministry of Finance ranked No. 2 out of 19 sets with 81.54%, just below the Ministry of Transport headed by 0.29%. In order to enhance national competitiveness as well as support for business development, the Ministry of Finance has conducted numerous administrative reforms, especially in the field of taxation and customs. Hence, … [Read more...] about Administrative reform in taxation and customs
New central bank rule feared to hold back bank sector restructuring
New central bank rule feared to hold back bank sector restructuring Hong Phuc By Hong Phuc - The Saigon Times Daily HCMC – Legal changes provided in a new central bank circular are feared to have a negative impact on the progress of the already-slow banking sector restructuring, according to an updated report by Bao Viet Securities Company (BVSC). The central bank last week issued Circular 09/2014/TT-NHNN amending and supplementing a number of provisions in Circular 02/2013/TT-NHNN on classification of assets, and amount, method and use of risk provisions at local banks and foreign bank branches. Bankers have in recent days shared the concern expressed by BVSC in the report released on March 21. The report says whether banks will be able to get back on their own feet depends largely on the pace and efficiency of the restructuring of the banking sector, particularly on how Vietnam Asset Management Company operates and how Circular 02 is executed. The latest circular allows … [Read more...] about New central bank rule feared to hold back bank sector restructuring
Attracting investment in key sectors
(VEN) - Despite facing global economic difficulties, Lam Dong Province has attracted investors in its strongest sectors, including tourism, hydropower and agriculture in order to contribute to the province's socioeconomic development. … [Read more...] about Attracting investment in key sectors