On January 12, 2023 in Hanoi, Vietnam - Russia Joint Venture Bank (VRB) held a Conference to Implement Business Plan 2023. Attending the Conference were Mr. Le Ngoc Lam - General Director of Joint Stock Commercial Bank Investment and Development of Vietnam (BIDV), Mr. Nguyen Manh - Vice Chairman of VRB Member Council, Mr. Doan Minh Tien - General Director of VRB and representatives of relevant departments at BIDV Headquarters, Leaders VRB Head Office Centers, Committees, Leaders of VRB Branches nationwide.
2022 is a year of many difficulties and challenges for the entire banking system in general and VRB in particular when interest rate and exchange rate pressures increase in the context of narrow monetary policy space; some sectors have not yet fully recovered from the pandemic and are affected by major fluctuations of the world economy; potential bad debt risk; Stock markets, corporate bonds, real estate adjusted sharply, gasoline was in short supply. However, under the leadership of the Party and State, despite the economic and political instability in the world, Vietnam's economy has recorded a strong recovery.
Marking the milestone of 17 years of construction and growth, with the close attention and direction of the State Bank of Vietnam (SBV), VRB's two parent banks are the Joint Stock Commercial Bank for Investment and Development of Vietnam (SBV). BIDV) and Russia's Foreign Trade Bank (VTB), VRB has completed synchronously, comprehensively and exceeded the targets and business plans for 2022 assigned by the two parent banks in terms of scale, structure and quality. , effective; continue to maintain its key role in supporting Russian and Vietnamese businesses through effective operation of bilateral payment channels; contribute to maintaining and stabilizing the operation of the banking system.
The outstanding performance results of VRB in 2022 are as follows: Firstly, Business activities throughout the system were conducted safely, impressive results were achieved, capital adequacy ratios were complied with. Most of the efficiency and scale indicators of VRB have met and exceeded the plan assigned by the two parent banks and the Board of Members, specifically:
(i) Capital mobilization grew by 8.4% compared to 2021, of which capital mobilization from economic organizations and individuals grew by 12.5%.
(ii) Credit balance was managed in accordance with the growth of capital sources and limits of the State Bank, completing 100% of the year plan. In which, retail outstanding loans increased by 36% compared to 2021.
(iii) Credit quality is strictly controlled with a bad debt ratio below 2%.
(iv) Profit before tax exceeded 29% of the plan.
Secondly, to promote well the advantages of the bilateral payment channel between Vietnam and Russia with the role of payment connection and economic cooperation between the two countries Vietnam and the Russian Federation; Thirdly, the risk management and effective management of capital continued to be consolidated, the risk management culture was implemented extensively, and the risk management system was applied in accordance with principles and standards. Basel II to improve risk management capacity, ensuring to meet the instructions of the SBV on risk management development in Circular 41, Circular 13. The prudential ratios are within the limits of the SBV. Fourthly, compliance control, inspection and internal audit are carried out regularly. After a comprehensive inspection of VRB's operations, in 2022, the SBV assessed that VRB's operation was stable, safe, without outstanding incidents, and met the management requirements of the SBV. Fifthly, All regimes and policies on salary and bonus for employees throughout the system are guaranteed; Training is paid attention to, focusing on improving the qualifications and quality of human resources at all levels.
Acknowledging the efforts and results that VRB has achieved in 2022, Mr. Le Ngoc Lam - General Director of BIDV affirmed that VRB's success has made an important contribution to the successful implementation of the business plan. business in 2022 of BIDV system. On behalf of BIDV, Mr. Le Ngoc Lam presented the emulation flag and the title of "The leading company in the corporate sector in 2022" of BIDV to VRB. This is not only a recognition and praise, but also a timely encouragement and great encouragement for VRB.
Mr. Le Ngoc Lam, General Director of BIDV - far right, presents the emulation flag of "The leading unit of the Company" to VRB's Board of Directors
In 2023, the world economy in general and Vietnam in particular is expected to recover strongly, creating a favorable business environment as well as development momentum for VRB's activities. In the face of opportunities and challenges in the coming time, with the attitude of proactively grasping the economic situation and market trends, the whole VRB system continues to pursue the goal of "effective and sustainable development" becoming a bank with a modern digital technology platform and one of the leading banks in terms of profitability in the group of banks with the same capital size. VRB is determined to strive and successfully complete all tasks assigned by the two parent banks, worthy of the trust of customers and partners; continue to promote and perform well its role as a bridge and symbol of economy, trade, banking, finance and investment between the two countries of Vietnam and the Russian Federation.
