Vietnam International Bank (VIB) just announced its semi-financial report 2020, according to the latest report, profit before tax of the bank has reached VND2.356 billion.
Positive business result
End of first half year 2020, total operating income of Vietnam International Bank (VIB) was VND4.815 billion, profit before tax (PBT) exceeded 52% business plan, reached VND2.356 billion. Fee income was VND1.022 billion, accounting for 21% of total operating income. Operating expenses (OPEX) reached VND2.037billion, cost to income ratio (CIR) stabilize by 42%. With appropriate business operation strategies, VIB can adapt to volatile markets flexibly and quickly recover as soon as socio-economic activities back to normal.
As of June 30, 2020, total assets of the bank were over VND202 trillion dong, total credit was over VND140 trillion dong, up 6% YoY, of which retail loans increased by 8%. Non Performing Loan (NPL) ratio was at 1.96%. With strict and flexible risk management, the bank has maintained prudential ratios and safety ratios, capital adequacy (CAR) ratio of Basel II at 10.0%, compared to at least level 8% stipulated by the State Bank, the loan to deposit ratio was 74.6% in comparison with the ceiling of 85% and the ratio of short-term funds for medium and long-term loans was 34.4% compared to the ceiling of 40 %.
Pioneer in transition to cashless society
With a view to quickly meeting and adapting to the drastic changes in customer demand for cashless payment, VIB has increased investment and put a lot of effort into using Big Data, machine learning, artificial intelligence (AI) technology to 100% digitize credit card approval process and card issuance for customers. Accordingly, VIB has become the first bank in Vietnam to successfully apply these technologies in appraising credit card application documents in a short time and complete online. With this result, VIB also set a record time in credit card application experience in Vietnam: only need 5 minutes to fill in information and 15 to 30 minutes for approval and get credit limit up to VND 200 million immediately.
This process is 500 times faster than the average time of normal one on the market today without sales staff support, providing income proof and other related documents. The credit scoring process is 100% automated with Big Data and AI technology on the basis of more than 50 million data customers from telecommunications networks and social networks such as Zalo, facebook, … This can be seen as a turning point in card users experience and a strong push to promote baking digitalization towards a cashless society in Vietnam.
After 6 months piloting project of applying Big Data and AI technology with Online Plus credit cards since January 2020 and has just officially announced the success result recently. This is a specialized card line for online shopping with up to 6% cash back on online transactions and free card fraud insurance package up to 105 million VND / year.
Accompany with the community
Following the Prime Minister’s guidelines and the direction of the State Bank, from the first quarter of 2020, VIB has actively supported to reduce interest rates from 0.5% to 2.0% for customers affected by Covid-19 pandemic. As of June 30, 2020, about 8,800 customers with over VND 9,200 billion of outstanding loans are entitled to help customers counter the shock after the disease.
Besides, in response to the campaign of the State Bank of Vietnam and the State Bank’s Union, VIB has supported VND 10.5 billion including medical masks and protective clothing to prevent the Covid-19.