The State Bank of Vietnam (SBV) will continue assessing and classifying more banks with ineffective operations in order to get approval from the Prime Minister to restructure them.
PVcomBank formed under the merge of PVFC and WesternBank
This is one of the items included in a press release from the SBV, sent to reporters early this week.
According to the SBV, to date, eight among nine weak banks have been restructured including: TrustBank, Ficombank, SCB, TinNghiaBank, Habubank, WesternBank, Navibank and TienPhongBank. This was accomplished either by the banks re-structuring themselves or merging with other banks.
Among those, TrustBank has been turned into Vietnam Construction Bank; Ficombank, SCB and TinNghiaBank have merged; Habubank has merged with SHB; WesternBank has merged with PVFC and Navibank and TienPhongBank have restructured themselves.
The SBV has also sought the prime minister’s opinion on restructuring the rest of the nine weak banks this year using capital contributions from foreign organisations.
The SBV is considering a restructuring plan for the four state-owned commercial joint stock banks using state-owned capital for more than 50% of their total registered capital. It has urged the Bank for Agriculture and Rural Development to quickly complete its plan as well.
The bank has received 24 out of 25 restructuring plans of other commercial joint stock banks.
By the end of July this year, the total charter capital of the Vietnamese banking system reached VND404.5 trillion (USD19.25 billion), up VND10.49 trillion or 2.66% from late 2012.
