VietinBank Opens Branch in Germany
|Deputy Prime Minister Hoang Trung Hai and VietinBank Chairman Pham Huy Hung stretch out a banner bearing the branch's name.|
On September 6, VietinBank officially inaugurated the VietinBank German Branch, located in Frankfurt, Germany. Deputy Prime Minister Hoang Trung Hai attended the ribbon cutting ceremony.
Also present at the opening ceremony were Professor Luise Hoelscher, Mr Hans-Joachim Kohse – Director at Bundesbank, Mr. Vu Viet Ngoan – President of the National Financial Supervisory Commission, Mr. Nguyen Dong Tien – Deputy Governor of the State Bank of Vietnam, Mr. Bui Thanh Son – Deputy Minister of Foreign Affairs, Mr. Do Hoa Binh – Ambassador of Vietnam to Germany, and other guests and dignitaries.
Attendees from Vietinbank included Mr. Pham Huy Hung Chairman of the Board of Directors, Mr. Nguyen Van Thang – Acting Chief Executive Officer.
On July 28, 2011, after a period of researching the market, gathering information on the regulations and requirements of Germany, preparing necessary documentation, working with concerned agencies, training staffs, and making other preparations, Vietinbank officially gained approvals to open a branch in Germany.
Vietinbank’s main office in Germany is located at 44 Reuterweg, Frankfurt am Main, Hessen, Germany.
In his address, Deputy Prime Minister Hoang Trung Hai stated: The opening of Vietinbank Germany branch is a testament to the increasingly tight and extensive cooperation between Vietnam and Germany. It is at the same time an event of great significance, emblematic of the strategic steps taken by Vietinbank to enter a lucrative market and a key financial area not just of Europe, but of the entire world.
Deputy Prime Minister Hoang Trung Hai praises the great efforts made by Vietinbank executives to follow the directives of the government that pertain to integrating into the international economy and to entering the German banking sector, which he deems to be an advantageous starting point for future global expansion. The Deputy Prime Minister expressed his wish that Vietinbank would place greater focus on human resources development, improving banking products and services, ensuring effectiveness and security, and, especially, abide by the laws of Germany to promote improved relations between the two countries.
Vietinbank’s branch in Germany will provide a full range of banking products and services such as: money transfer, savings and current accounts, lending, trade finance, guarantee, card services, and e-banking. Vietinbank will do so whilst employing the most sophisticated in modern technology and a highly competent, professional workforce.
Professor Luise Holscher also gave an address asserting that Vietinbank made a wise decision by opening a branch in Germany and expressed her hope that more Vietnamese banks will follow suit. She stressed: “We applaud Vietinbank on joining one of largest financial markets in the world. It is only after a staggering amount of effort was made that the branch opening was rendered possible. It also signifies that the hard work carried out by Vietinbank and German agencies has come to fruition. We have high hopes that Vietinbank will grow rapidly and we look forward to providing Vietinbank with as much assistance as we can as well as to foster the growth of the Vietnamese banking system. We would gladly advise and support Vietinbank so that Vietinbank may develop with minimum hindrance in the European market”.
Mr. Hans-Joachim Kohse conveyed a sentiment of joy in announcing that from now on, there will be a new player in the European financial market, which is none other than Vietinbank. He regards Vietinbank as a leading bank in Vietnam with visionary strategies that strive for global expansion.
Germany, where a large number of Vietnamese reside, is said to be a leader in Europe’s financial market and also Vietnam’s largest trade partner. Moreover, Frankfurt is definitively a key financial and securities trading location in the world. A number of large banks like the European Central bank, Deutsche Bundesbank, Deutsche Bank AG, and Commerzbank AG are also based in Frankfurt.
At the opening ceremony, Chairman Pham Huy Hung thanked the Government of Vietnam, concerned German agencies, and German businesses for the support they extended to Veitinbank. The Chairman stated: “Vietinbank is ready to provide banking products and services to the Vietnamese community in Germany, as well as to individuals and enterprises in Germany. Vietinbank pledges to do business safely and effectively with German businesses and individuals. The opening of our branch in Germany represents our first step in a leading European market and is symbolic of our status as a pioneer and leading Vietnamese bank. We place a great deal of confidence in the growth of the branch and of Vietinbank as a whole in the coming time”.
As the leading bank in Vietnam in credit quality, Vietinbank has always managed to retain favorable capital adequacy ratios, ensure effective operations, annual ROE ratios ranging from 15% to 20%, high credit quality, low NPL ratios (under 1%). In 2010, the ROE ratio was 22.2% and growth in total assets was 51.5%. Over the past 5 years, total assets grew by an average of 25% a year.
Vietinbank continues to expand into international markets. Vietinbank will soon open a second German branch in the capital of Berlin, and plans to expand its networks in South East Asia, Asia, Europe, Australia, the United States…
The opening of the new branch in Germany carries great significance not just to Vietinbank but also to all of Vietnam’s banking sector. It paves way for the future expansion of Vietinbank, and allows Vietinbank as well as other Vietnamese banks to compete in international markets.
The opening of this branch once again bolsters Vietinbank’s position as a leading financial and banking corporation of Vietnam that operates in such diverse areas as commerce, securities, insurance, fund management, and jewelry trading. Vietinbank provides products and services in compliance with international standards, aiming to improve the values of life.