Vietnam Bank for Industry and Trade (VietinBank) and the PetrolimexGroup Commercial Joint Stock Bank (PGBank) signed an official mergerdocument on May 22, thereby opening opportunities for the new bank.
With a total charter capital of nearly 41 trillion VND (1.889 billionUSD), the new bank will rank first in the country's banking system interms of charter capital.
Chairman of VietinbankNguyen Van Thang affirmed that the merger will help the bank boostcapital, develop expanded branches, and foster retail services, inaddition to stepping up lending and investment.
Italso opened up new opportunities for VietinBank and Vietnam NationalPetroleum Group (Petrolimex) to head strategic cooperation, which alsobenefited shareholders, customers, and the State, Thang said.
Following the merger, Vietinbank can enlarge its network with the help of PGBank's 16 branches and 63 offices nationwide.
As PGBank is a strategic partner of Petrolimex, Vietinbank will alsocapitalise on PGBank's significant competitive advantages, based on itsnetwork of 6,200 filling stations across the country, to enlarge itsnetwork to communes, Thang said.
He noted thatfollowing the merger, Vietinbank plans to become a banking and financegroup, which will hold a key position in the domestic banking system andwill have a size and capacity in line with those at regional levels. Itwill also look for gradual expansion to international markets.
In January, Governor of the State Bank of Vietnam Nguyen Van Binhurged Vietinbank, along with Vietcombank, to actively take part in thenational banking reform process by handling weak lenders. This was alsopart of a general scheme to consolidate the two banks' positions in themarket in the future.-VNA
With a total charter capital of nearly 41 trillion VND (1.889 billionUSD), the new bank will rank first in the country's banking system interms of charter capital.
Chairman of VietinbankNguyen Van Thang affirmed that the merger will help the bank boostcapital, develop expanded branches, and foster retail services, inaddition to stepping up lending and investment.
Italso opened up new opportunities for VietinBank and Vietnam NationalPetroleum Group (Petrolimex) to head strategic cooperation, which alsobenefited shareholders, customers, and the State, Thang said.
Following the merger, Vietinbank can enlarge its network with the help of PGBank's 16 branches and 63 offices nationwide.
As PGBank is a strategic partner of Petrolimex, Vietinbank will alsocapitalise on PGBank's significant competitive advantages, based on itsnetwork of 6,200 filling stations across the country, to enlarge itsnetwork to communes, Thang said.
He noted thatfollowing the merger, Vietinbank plans to become a banking and financegroup, which will hold a key position in the domestic banking system andwill have a size and capacity in line with those at regional levels. Itwill also look for gradual expansion to international markets.
In January, Governor of the State Bank of Vietnam Nguyen Van Binhurged Vietinbank, along with Vietcombank, to actively take part in thenational banking reform process by handling weak lenders. This was alsopart of a general scheme to consolidate the two banks' positions in themarket in the future.-VNA
