Vietnam report announces list of Top 10 Vietnamese commercial banks in 2017

Vietnam Report has officially announced the list of Top 10 Vietnamese commercial banks in 2017. This is an annual event that has received special attention from bankers since the first year of publication i.e. 2012.
In this year’s ranking, the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) ranks the first. The second and third place belongs to Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank) and the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV).
As per Vietnam Report, the list of Top 10 commercial banks in Vietnam is developed on the combination of ratings of banks’ prestige from influential media (as of May 31, 2017) under the perspective of customers as well as financial experts.
Specifically, the prestige of banks is assessed and ranked based on three main criteria:
(1) Financial capability and efficiency reflected in the latest audited financial statement (total assets, total revenue, profit after tax, capital use efficiency, non-performing loan ratio, etc.). This section is subject to 30 percent weighting;
(2) Media credibility is assessed by Media Coding methodencoding articles on banks in the media. This section is subject to 30 percent weighting;
(3) Investigation of the level of customer perceptions and satisfaction with banks’ products/services; Investigations, in-depth interviews with financial experts on position and reputation of banks in the sector; Investigation and survey of banks themselves conducted in May 2017 in terms of capital scale, revenue growth rate, profits, action plan in the year, etc. This section is subject to 40 percent weighting.
Accordingly, banks available on this list are basically assessed to be prestigious in the industry, have financial capacity and growth potential in the period of 2016-2017.
Along with the announcement of Top 10 prestigious banks, Vietnam Report said that the survey results of Vietnam commercial banks, which have just been carried out in May 2017, showed that three factors considered to be the most influential to the prestige of a bank include: the customer’s assessment of product quality, service delivery (90.9 percent); the assessment of bank’s reputation in the media (63.6 percent) and the bank’s capital scale, business performance (57.1 percent).
It can be seen that banks have now been more customer oriented, paying more attention to the actual experience of customers rather than engaging in “branding” and extending their scope of operation.
The assessment of customers in the Online Survey conducted by Vietnam Report in May 2017 also shows that there are three most important factors when choosing a bank’s products/services: High information security (77.2 percent), simple and quick procedures (75.7 percent) and good customer service, many preferential policies (62.1 percent).
“In the development era of information technology, customers often make transactions through mobile or internet banking services, so investing in technology and customer information protection is an urgent requirement of commercial banks”, the report of Vietnam Report recommended.
Also according to this survey, over 95 percent of banks said that the revenue and profit after tax tend to increase in the first months of 2017, showing that the business operation of commercial banks is much better compared with the same period last year.
In addition, more than 90 percent of surveyed bank representatives said they expect the growth rate of the entire banking sector to exceed 10 percent, reflecting optimism of growth in 2017.
This shows that banks have many favourable conditions for business development in 2017. However, the report of Vietnam Report also shows that once the bad debt problem is still unresolved, the new challenges such as control of public debt control, public expenditure and investment coupled with the negative impacts of trade protection policies of many countries on export activities, etc., the optimism of the banking industry will slow down, requiring banks to take careful steps, and make smart selection of appropriate business strategies so as to both maintain their market share and reputation, and take advantage of the opportunities to growth further in Vietnam financial market.
Hereinafter is the list of top 10 commercial banks in Vietnam in 2017:
Joint Stock Commercial Bank for Foreign Trade of Vietnam
Vietnam Joint Stock Commercial Bank for Industry and Trade
Joint Stock Bank for Investment and Development of Vietnam
Asia Commercial Bank
Vietnam Technological and Commercial Joint Stock Bank
Vietnam Prosperity Joint Stock Commercial Bank
Vietnam Bank for Agriculture and Rural Development
Military Commercial Joint Stock Bank
Vietnam Maritime Commercial Stock Bank
Saigon Hanoi Commercial Joint Stock Bank