BIDV plays a growing role in Laos
The Bank for the Investment and Development of Vietnam (BIDV) has successfully invested abroad, particularly in Laos, according to a leader of the bank.
Phan Duc Tu, BIDV’s General Director, said that besides affiliation with partners from Malaysia, Russia and Cambodia, economic cooperation in the Lao market has played a significant role in the bank’s business operations over the past years.
Many Vietnamese firms in Laos agreed that BIDV, through its Lao-Viet Bank, Lao-Viet Insurance Company and BIDV Representative Office, has given them excellent guidance and advice in accessing the Lao market and expanding operations there.
Last year, BIDV’s join ventures helped the bank earn VND495 billion (US$22.9 million), it was reported at the annual shareholders’ meeting in 2015.
According to Tran Bac Ha, Chairman of the BIDV Board of Directors, the lender was one of the first Vietnamese commercial banks to invest abroad, with the formation of the Lao-Viet Bank in 1999. After 15 years of operation, the charter capital of the bank rose from an initial US$10 million to US$80 million in 2014. In the first quarter of this year, the figure reached US$100 million, he added.
Ha noted that currently, with five branches and three transaction offices across Laos, the Lao-Viet Bank is the second largest bank in the country in terms of charter capital, and the fourth in terms of outstanding loans.
Meanwhile, the Lao-Viet Insurance Company, set up in 2008 with charter capital of US$3 million, is now ranked the second biggest in revenue, and offers the widest coverage in Laos with 16 insurance supply points and its headquarters in Vientiane, Ha said.
The BIDV Representative Office in Laos has served as the most important driving force for the development of the bank’s international economic connections, he claimed.
The office has become popular among the Vietnamese business community in Laos, contributing to fostering economic partnership between the two countries.
At the same time, the BIDV also invested in many major projects in Laos , including a US$230 million project to build irrigation dykes in Luangnamtha province. The bank and the Lao-Viet Bank have also committed to provide credits to 23 key projects in Laos totalling US$740 million.
The BIDV has also spent VND220 billion (roughly US$10 million) on social and charitable activities in the country, added Ha.
Many Vietnamese firms in Laos agreed that BIDV, through its Lao-Viet Bank, Lao-Viet Insurance Company and BIDV Representative Office, has given them excellent guidance and advice in accessing the Lao market and expanding operations there.
Last year, BIDV’s join ventures helped the bank earn VND495 billion (US$22.9 million), it was reported at the annual shareholders’ meeting in 2015.
According to Tran Bac Ha, Chairman of the BIDV Board of Directors, the lender was one of the first Vietnamese commercial banks to invest abroad, with the formation of the Lao-Viet Bank in 1999. After 15 years of operation, the charter capital of the bank rose from an initial US$10 million to US$80 million in 2014. In the first quarter of this year, the figure reached US$100 million, he added.
Ha noted that currently, with five branches and three transaction offices across Laos, the Lao-Viet Bank is the second largest bank in the country in terms of charter capital, and the fourth in terms of outstanding loans.
Meanwhile, the Lao-Viet Insurance Company, set up in 2008 with charter capital of US$3 million, is now ranked the second biggest in revenue, and offers the widest coverage in Laos with 16 insurance supply points and its headquarters in Vientiane, Ha said.
The BIDV Representative Office in Laos has served as the most important driving force for the development of the bank’s international economic connections, he claimed.
The office has become popular among the Vietnamese business community in Laos, contributing to fostering economic partnership between the two countries.
At the same time, the BIDV also invested in many major projects in Laos , including a US$230 million project to build irrigation dykes in Luangnamtha province. The bank and the Lao-Viet Bank have also committed to provide credits to 23 key projects in Laos totalling US$740 million.
The BIDV has also spent VND220 billion (roughly US$10 million) on social and charitable activities in the country, added Ha.