Shinhan Bank has making firm steps forward earning the position as a leading foreign bank in Vietnam
Inheriting advanced technology and international standard operation procedures from Shinhan Financial Group in Korea, Shinhan Bank has developed a right strategy that is customized to the Vietnamese market and made firm steps forward earning the position as a leading foreign bank in this country.
Developing a stable corporate customer market segment from initial days
As a member of Shinhan Financial Group in Korea, Shinhan Bank has spread its presence to 20 countries worldwide with a network of over 1,000 branches and a team of more than 18,000 well trained staff. Shinhan Bank has been honorably named the World’s 50 Safest Commercial Banks by Global Finance in two consecutive years, 2016 and 2017, thanks to its strong financial position, advanced technology, secured and convenient services and other advantages.
Shinhan Bank was the first Korean bank making investment into Vietnam following the investment flow from Korea into this country. In 1993, Shinhan Bank opened its first Representative Office in HCMC and then become one of the first five 100% foreign-owned banks getting establishment licenses in 2009. Three years later, on 28th November 2011, Shinhan Bank was merged with Shinhan Vina Bank (a joint venture bank with 50% of stake held by Vietcombank and remaining 50% of stake held by Shinhan Bank) and was officially renamed to Shinhan Bank Vietnam.
Right from the initial days after its presence in Vietnam, Shinhan Bank had focused on developing segment of corporate customers. With strong financial support from Parent Group and deep understanding of Korean business cultures, Shinhan Bank quickly becomes trusted partners for these Korean companies as they seek for financial support. Shinhan Bank now has been a leading banker in market share of Korean corporate customers in Vietnam.
As Korean corporate market segment has been successfully secured, Shinhan Bank continued betting on to win its Vietnamese corporate customers and expand retail banking services and realize its commitment of offering better financial services to the Vietnamese. Offering Korean standard services which are designed exclusively to customize the business environment, needs and business culture in Vietnam, Shinhan Bank has step by step made it a leading banker option for both Vietnamese individuals and corporates.
Retail banking expansion, a step forward the position of a leading baker
One of Shinhan Bank’s key strategies deployed in recent five years is to expand its retail banking services and focus on service quality improvement to offer premium services to personal customers. In April this year, Shinhan Bank brought this strategy to life when it made successfully the deal of acquiring retailing banking segment from ANZ in Vietnam with expectations to robust its credit card service, personal deposits and other retail banking services in this market. This is also a very important step of Shinhan Bank forwarding earning the position as a leading foreign-owned bank in Vietnam.
This acquisition deal is expected to complete at the end of this year and Shinhan Bank, thereby, will have more 400,000 cardholders as its customers. This deal helps to push Shinhan Bank’s rank from 7th to 5th in credit card service in Vietnam. In addition, Shinhan Bank will continue holding firm its number one network among foreign banks in Vietnam with its branches expected to reach 30 nationwide in the coming time.
During its 25-year growth journey in Vietnam, Shinhan Bank always standardizes its services in line with international standards and prioritizes transparency, service convenience, simple procedures and technology application. These are platforms that build trust and leave peace of mind for customers as they select Shinhan Bank as their banker.
From the released financial statements for December 2016, total assets of Shinhan Bank reaches USD 2.48 billion, 30% growth compared to 2015. Its owner equity saw 11% increase in comparison with same period of last year, to USD 458 million. Returns on Assets (ROA) experienced a 2.21% growth while doubtful debt proportion remained low at under 1%. Shinhan Bank recorded a good credit growth at 22.83% in 2016. To the end of Quarter II of this year, Shinhan Bank has made it a leading foreign bank with current network of 18 branches and total assets of over USD 2.5 billion.