Digital transformation serves ABBANK well

Nov 1st at 07:53
01-11-2024 07:53:10+07:00

Digital transformation serves ABBANK well

An Bình Commercial Joint Stock Bank (ABBANK) achieved breakthroughs in transaction volumes on its digital banking platform and credit growth in the first nine months of the year.

ABBANK achieves breakthroughs in transaction volumes on its digital banking platform and credit growth in the first nine months of the year. — Photo courtesy of the bank

It said its constant efforts to improve customer experience and service quality through digital transformation initiatives have paid off with transaction volume per customer increasing steadily since the beginning of the year.

In Q3 the number of digital banking transactions done by personal customers surged by 47 per cent from the previous quarter and 82 per cent year-on-year, while for corporate customers they rose by 248 per cent and 145 per cent.

The latter was driven by the bank's introduction of the new ABBANK Business digital banking platform with enhanced features to support effective corporate financial management.

The bank achieved VNĐ290 billion in fee-based revenues in Q3, up 43 per cent from the preceding quarter.

As of September 30 its total deposits were worth VNĐ147 trillion, up 8.8 per cent from Q2 and 1.6 per cent for the year. Total loans outstanding increased by 6.3 per cent and 3.5 per cent.

Its capital adequacy ratio was 11.02 per cent, much higher than the 8 per cent stipulated by the State Bank of Vietnam.

Its non-performing loan ratio remained well under control at below the 3 per cent threshold set by the SBV.

In a prudent approach to credit operations, ABBANK allocated over VNĐ1.16 trillion for credit risk provision, achieving an NPL coverage ratio of 53 per cent, alongside a high-value collateral portfolio.

ABBANK's pre-tax profit for the first nine months of 2024 was VNĐ252 billion (US$9.9 million), lower than its expectation due to the increased bad debt provisioning in response to the market situation and the impact of natural disasters, it said.

To support customers affected by Typhoon Yagi, the bank announced in September interest rate cuts of up to 1.5 percentage points for existing individual customers with business loans at the bank and up to 1 per cent for SME customers.

In addition to post-disaster support policies, the bank has also rolled out various preferential lending programmes for retail and corporate customers this year. 

Bizhub





RELATED STOCK CODE (1)

NEWS SAME CATEGORY

​Vietnam to levy VAT on imports under $39.3 via e-commerce platforms: Deputy PM

Vietnam will eliminate a decision to exempt the value-added tax on products valued below VND1 million (US$39.3) each imported via e-commerce platforms, Deputy Prime...

HDBank profits reach $501.7 million in first nine months of 2024

HDBank announced its 9-month business results on October 29, with pre-tax profit reaching VND12.7 trillion ($501.7 million), up 46.6 per cent on-year.

Commonwealth Bank of Australia divests 10 per cent stake in VIB

Commonwealth Bank of Australia (CBA) announced on October 29 that it has sold approximately 10 per cent of the shares on issue in VIB via the Ho Chi Minh Stock...

Smart banking emerges as more than just a technological trend

In 2024, smart banking is evolving beyond a mere technological trend. It is becoming a strategy for sustainable development that fosters collaboration among banks...

Fintech companies become capital providers for small and micro firms

Financial technology (fintech) companies could be a great source of capital for small and micro enterprises, but a complete legal framework is needed to sustainably...

Interest rates expected to decrease by 0.7 percentage points next year

Việt Nam is expected to continue pursuing a looser monetary policy, with interest rates forecast to decrease by 0.7 percentage points next year.

Detailed guidance on banning sale of bancassurance needed

Insurance companies are awaiting further details on regulations that will guide the implementation of a new policy on banning the sale of insurance products through...

Public debt indicators remain in alignment with expectations

The country is projected to keep its public debt within safe levels this year, with a significant state budget surplus recorded in the first nine months of 2024...

US dollar forecast to continue strengthening against đồng

The US dollar may further strengthen against the Vietnamese đồng to hit VNĐ25,400 per dollar at the end of this month, according to experts.

Year-end credit growth driven by industrial sector

The stock, banking, and investment markets are awaiting the release of third-quarter financial reports, with corporate lending banks expected to show strong growth...

Bank stocks

Insurance stocks


MOST READ


Back To Top