LienVietPostBank has similar ratings with five other commercial banks of A Chau Bank (ACB), Military Bank (MB), Vietnam International Bank (VIB), Techcombank and An Binh (ABB). (Photo nld.com.vn) Hanoi (VNA) - Moody’sInvestors Service on January 2 assigned first-time ratings and assessmentsto LienVietPostBank.
Under the ratings, Moody’s assigned LienVietPostBank’s long-term local andforeign currency deposits and issuer ratings of B2 with a stable outlook.
The ratings reflected baseline credit assessment (BCA) at B2 and theGovernment’s support to the bank at a positive level of B1.
BCA at B2 also showed improvements in assets’ quality and the profitabilityindex at the bank. In addition, Moody’s also assigned LienVietPostBank’sshort-term local and foreign currency deposits and issuer ratings of Not Prime,Counterparty Risk Assessments of B2 (cr)/NP (cr).
The ratings were released as the bank’s loans mostly focused on enterprises andretail, accounting for 54 percent and 32 percent of its total outstanding loansby the end of June 2017, respectively.
The bank has gradually shifted its lending structure toward retail.
In addition, Moody’s also assessed LienVietPostBank with a high liquidity of 39percent of its tangible assets by the end of 2016.
As of June 30, 2017, its total deposits accounted for 76 percent of itstotal assets.
Moody’s expected that the bank’s capital resources would be improved thank tostable mobilisation from individual deposits with low costs, whichLienVietPostBank has enjoyed due to its postal network nationwide.
According to Moody’s ratings, LienVietPostBank has similar ratings with fiveother commercial banks of Asia Commercial Bank (ACB), Military Bank (MB), VietnamInternational Bank (VIB), Techcombank and An Bình (ABB).
LienVietPostBank has been the first Vietnamese bank to receive the AsiaPacific ICT Alliance Awards (APICTA) 2017 award for its Vi Viet e-wallet –an online banking service, last month. APICTA is considered as theOscar Award in the ICT sector in the Asia Pacific region. Vi Viet was awardedthe second prize for Financial Industry Application.
By the end of November, the bank’s charter capital reached 6.46 trillion VND (284.3million USD), total assets hit 154 trillion VND, total capital mobilisation at 141trillion VND and total debt 98 trillion VND.
It reported a pre-tax profit of 1.7 trillion VND in the first 11 months of theyear.
LienVietPostBank has the largest network among joint stock commercial banks,with 200 branches and over 1,000 transaction offices, nationwide.-VNA
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