“For a prosperous Vietnam” – VPBank’s great ambition
The upstream scene emerges from a ‘lending bank’
“In the 2010s, unsecured lending was a risk, because bad debt was always a permanent ghost threatening the banking system,” said Dr. Vietnam then just got out of the double-digit inflation spiral. The big risk makes banks hesitate with unsecured loan products even though they know this option can bring big profits.
But in the context of the whole market being “estranged” from the unsecured loan model, VPBank went upstream of the market, becoming a ‘lending bank’, focusing on the retail segment, with products for unsecured loans dominate.
McKinsey international strategic consulting unit said that VPBank’s entry into retail will limit the risk of large loans.
Instead, the funds raised will be divided into small packages for individual customers, consumer loans, and small or even micro businesses. “Action for dreams” is the manifesto chosen by VPBank to most accurately reach this target customer group.
“This is VPBank’s strategy of knowing yourself and knowing people,” said Dr. Tran Tri Thien.
However, no matter how big or small the loan package is, there are always potential risks. But as VPBank leaders once shared, “If you’re afraid of not doing it, it’s too simple”, VPBank has protected its retail strategy with a strict risk management framework. Talking numbers show that this bank’s commitment strategy has brought “sweet fruit”.
At the end of 2009, VPBank’s total assets only reached VND 27,543 billion and consolidated profit before tax was only a meager VND 383 billion.
But by the end of 2021, VPBank has become one of the private banks with the largest consolidated profit, reaching more than 14,300 billion dong, total assets reaching 547,409 billion dong. The bank’s brand value is valued at USD 871 million by Brand Finance (2022), one of the leading joint stock commercial banks in Vietnam.
“Change a tight shirt” to break through
After more than 10 years of “Action for Dreams” with outstanding progress, VPBank recently announced the re-branding with a completely new statement: “For a prosperous Vietnam”.
The ambition and ambition of this statement shows VPBank’s new position – a bank that has gone beyond the limits of mere business indicators, and started moving towards the vision and mission of serving the country. This “prosperity” is defined by VPBank with 4 values: Financial, physical, spiritual and community.
Brand expert Le Thai Binh said that VPBank’s change of slogan was like “changing a tight shirt” to be ready to break through with higher goals.
According to the analyst, this is the “ripe” time for VPBank to assert its new stature. The first is financial prosperity. After the largest M&A deal in the history of Vietnam’s financial sector – selling 49% of FE Credit shares, VPBank collected more than VND 20,000 billion and raised equity to more than VND 86,000 billion by the end of 2021.
This helps the bank’s capital adequacy ratio (CAR) reach 14.3%, one of the banks with the highest CAR.
Meanwhile, early investment in digitization is also a springboard for VPBank to realize its big ambitions. This bank spares no expense in upgrading technology, applying AI, automation, building a digital platform… to become the leading almighty digital bank, keeping up with the times.
In addition, VPBank is also holding the “throne” in the individual customer market and small and medium enterprises with more than 20 million customers. This is a solid foundation for the bank’s sustainable development, as well as attracting more customer groups from all walks of life and other segments.
Towards the community, VPBank has also “activated” a series of charitable actions such as spending more than VND 600 billion in the past two years on meaningful relief activities; committed to continue to spend 300 billion for charitable activities in the fields of education and health; maintaining the iconic VPBank Hanoi Marathon, and the upcoming Light Up Vietnam concert in Ho Chi Minh City, enriching the top music series next to VPBank Private Concert, VPBank Legend…
“VPBank is taking the position of those who can change the market, through specific solutions and plans, gradually realizing the promise of a prosperous Vietnam,” said brand expert Le Thai Binh. determined.
With the new brand positioning, VPBank will hold a grand, free music party in Ho Chi Minh City called Light Up Vietnam on April 23.
This is an event meant to encourage the spirit and steadfast will of the Vietnamese people after the pandemic, bringing together top stars such as Ha Anh Tuan – Ho Ngoc Ha – Toc Tien…
Sign up for free tickets here.
at Blogtuan.info – Source: Soha.vn – Read the original article here
