RESPECT THE PAST

BUILD UP THE FUTURE

ANNUAL REPORT 2022
RESPECT THE PAST
BUILD UP THE FUTURE
ANNUAL REPORT 2022
TABLE OF CONTENT
06 OUTSTANDING ACHIEVEMENTS IN 2022

VIETCOMBANK PROFILE CORPORATE GOVERNANCE

08 100
10 Messages from Chairman of the Board of Directors and CEO 102 Corporate Governance

14 General information 110 Risk management

16 Vietcombank profile 120 Business network

18 Establishment and development history

SUSTAINABLE DEVELOPMENT REPORT

128
22 Services and branch network coverage
24 10 notable events of Vietcombank in 2022
34 Model of governance 130 Report on social and environmental impacts
35 Management structure 132 Overview of sustainable development
36 Key financial ratios 134 Content of sustainable development
40 Our strategy 145 Social activities of Vietcombank
44 Vietcombank Award 2022

REPORT OF THE BOM AND BOD FINANCIAL STATEMENTS

60 150
62 Financial report 153 Bank Information
64 Changes to shareholding structure and shareholders’ equity 155 Board of Management Report
66 Implementation of projects 156 Independent Auditor’s Report
72 Assessment on business performance in 2022 158 Consolidated balance sheet
78 Orientation of business operation in 2023 161 Consolidated statement of income
82 Assessment by Board of Directors 162 Consolidated statement of cash flows
164 Notes to the consolidated financial statements

ORGANIZATION AND HUMAN RESOURCES

88
90 Organization and human resources
92 Board of Directors
94 Board of Management
97 Division Heads
98 Supervisory Board
99 Chief Accountant

4 5
 ANNUAL REPORT 2022

OUTSTANDING ACHIEVEMENTS IN 2022

TOTAL AMOUNT THE ONLY BANK IN

OF FUNDING FOR VIETNAM ONE OF THE FIRST
VIETNAM’S BIGGEST VIETCOMBANK’S SOCIAL providing Tax Collection service 10 BANKERS IN THE
MARKET CAPITALIZATION TOTAL ASSETS CREDIT GROWTH EXCEED SECURITY ACTIVITIES FOR for foreign suppliers in Vietnam WORLD

16.5 1.8 1.15

THE PERIOD OF 2018 - 2022 successfully participated and deployed

1,798
~USD billion VND quadrillion VND quadrillion the Payment Pre-validation service for
international money transfers
up 19% compared to 2021 VND billion

LEADING IN INTERNATIONAL
PAYMENT, THE LARGEST TOTAL EMPLOYEES AS OF BUSINESS NETWORK
PROFIT BEFORE TAX TRADE FINANCE IN BANKING DECEMBER 31, 2022 DOMESTIC OVERSEAS AUTOBANK SYSTEM

SYSTEM
58/63 1,163 2,500
37,368 135 22,599
correspondent banks ATMs

93 60,000
Provinces and Cities
VND billion USD billion employees

up 36% compared to 2021 and up 31.8% compared to 2021 countries and territories
reached 119% of the 2022 target merchants accepting card payments
across the country

HIGHLIGHTS AWARDS

7 YEARS
TOP

500
TAKE THE LEAD AMONG VIETNAMESE BANKING BRANDS MAINTAINING LEADING POSITION FOR 7 CONSECUTIVE YEARS AS CONSECUTIVE FROM 2008 - 2022

ON THE TOP OF 500 MOST VALUABLE THE BANK WITH THE BEST WORKING VIETNAM NATIONAL BRAND
BANKS IN THE WORLD ENVIRONMENT IN VIETNAM VOTED BY VIETNAM NATIONAL BRAND COUNCIL
ACCORDING TO THE ANNOUNCED RESULTS OF THE BANKER MAGAZINE IN 2022
ANNOUNCED BY ANPHABE

TOP

10
MOST HELPFUL BANK TOP
DURING COVID-19 IN VIETNAM
AWARDING BODY: THE ASIAN BANKER 1,000 CONSECUTIVE FROM 2016 - 2022 CONSECUTIVE FROM 2020 - 2022
THE ONLY REPRESENTATIVE OF VIETNAM AMONG THE
LEADING THE RANKING OF THE TOP 10
FORBES’ TOP 1,000 TYPICAL ENTERPRISE FOR EMPLOYEES
THE WORLD’S LARGEST PUBLIC PRESTIGIOUS COMMERCIAL BANKS VOTED BY VIETNAM GENERAL CONFEDERATION OF LABOR
COMPANIES ANNOUNCED BY VIETNAM REPORT

6 7
 U R C U G N K 1 U M H E
U LT D O PRO BEIN 1 BA BER E N ON T TRA
F
F C U N G K E R U M T H IT I D L
D O P R O E I A N B E N O N A D A N U
O U G K B 1 B U M T H IT I TR R E F O C
P R EIN A N E R E N O N R A D
A ND L TU
D O R
G B
N NK ER NUM N 1 B B TH D IT I D T R E C U O U G N P
EI A N TU F R IN A
K R1 B B A B E T
M TH AD ND UR F C OU
I IO TR E A U L D O G KP B E 1 B
A N E N U A T E IN N E R U
B
1 proud B TH ITIO DE N TR R E CU UD G P KL O R B 1 B A M B E N
Being R
E NU ON AD M N LT U F N N ER U NT H
M B E T I R E A U D O P R O
B EI
1 B A B E N O TR A
U
N N of TH
culture and
D I T
tradition
D TU R F C U N G K E R U M T H IT I D L
O T A
R EA N U L D O P R O E I A N B E N O N A D A N U
I B B M I R E
DIT E AND LTUR D OF PROU EING ANK ER 1 E NU ON TH RADIT AND T LTUR D OF RO
C C
R U U G B 1 B M B TH IT I T E C U U P
LT OF C PRO BEIN ANK BER E NU TION TRAD AND LTU OF PRO EIN BAN
U R G
Vietcombank profile

U D ING NK R 1 B UM TH ADI ND URE F CU OCHARTER U D INCAPITALG K B R1

E AN BE U
O BE 1 BA BE HE N ION R RE A ULT D O PR B N
10 Messages from Chairman of the Board of Directors and CEO

K R M T T K 1 B M E
47,325
N IT D U C U G N U H
A MBE E NU TION RAD E A ULT D OF PRO BEIN 1 BA BER E N ON T TRA
N
14 General information

16

M TH DITI N
Vietcombank profile

NU N TH RADI ND T ULTUR OF C ROU EING NK BER NU VND

N D L
billion
18 Establishment and development history

IO T E A C UD P B B A M H E T IO TR A E A CU
DIT E AND LTUR D OF PRO EING ANK ER 1 E NU ON T RADI AND LTUR D OF RO
22 Services and branch network coverage

24 10 notable events of Vietcombank in 2022

U R C U U N G K B 1 B M B TH IT I D T R E C U OU G P
LT OF O I R U N D U OF PR EIN AN
34 Model of governance

P R B E A N B E N IO R A A N L T B
K B M E IT T E U D B
35 Management structure

D G 1 H D R G K 1
OU BEI 1 BAN BER HE NU ION T TRA E AN ULTU D OF PRO BEI BAN BER E NU
N D C U N
36 Key financial ratios

K ER M N T DIT AND TUR F C OU ING K R1 M TH N

40 Our strategy

N
A MB E N TIO RA U L D O PR BE 1 BA BE E N ON TIO N U
E U
44 Vietcombank Award 2022

U
N N TH D I D T TU R F C U N G K E R U M T H IT I D I A
IO D T RE R A A N U L D O P R O E I A N B E N O N A D T R A TR
IT F C O U G K B 1 B U M T H IT I TR D N D
N
D E A LTU D O PR EIN AN ER E N ION RA AN D D E A N E A U L
U R C U U N G K B 1 B M B TH IT D T R E U R U R F C
LT OF P R BEI AN BER NU TION TRAD AN LTU ULT CUL D O RO
O T
U D ING NK R 1 B UM THE ADI ND URE F CU OF C OF ROU NG P N
O BE 1 BA BE HE N ION TR RE A ULT D O UD U D G P BEI BA
NK ER UM N T DIT ND TU FC U RO RO IN K R1
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

MESSAGES FROM CHAIRMAN

OF THE BOARD OF DIRECTORS
AND CEO

The dual consequences of Covid-19 flexibly adjusted monetary policies to ensure

37,368
pandemic and Russia-Ukraine current macroeconomic stability, control inflation
Grasp thoroughly guidelines VND billion
conflict have prompted abrupt impacts of and give financial support for the economy
and policies of the PROFIT BEFORE TAX
the global economy. High food and energy and maintain growth momentum.
prices, supply chain disruption, highest
Government and directions up 36% compared to 2021
inflation in decades have forced Central Grasp thoroughly guidelines and policies
of the State Bank of Banks in many countries to tighten their of the Government and directions of the
Vietnam, Vietcombank has monetary policies and hike their interest State Bank of Vietnam, Vietcombank has
rates; the global economy is dangerously worked out development orientations
worked out development close to a recession. which are suitable with macro-economic
orientations which developments and market status.
are suitable with Although Vietnam is not immune to the Vietcombank has excellently performed its
effects of adverse impacts, but shows business goals and created an important
macro-economic signs of recovery. The country has premise to realize its strategic development
developments and basically overcome the negative impacts goals till 2025 and orientations to 2030.
market status. of Covid-19 pandemic and regained its
growth momentum. GDP grew 8.02%, High business growth with credit growth
Vietcombank has CPI recorded an annual growth of 3.15%. 19% by the end of 2021, estimated at
excellently performed Total export-import turnover of goods was VND 1.1 quadrillion. Structure of capital
its business goals and estimated at USD 732.5 billion, up 9.5% and credit mobilization is transferred in line
as of 2021, in which, export grew 10.6%, with development orientation. Quality of
created an important import grew 8.4%, a trade surplus of USD credit is well-controlled with bad debt ratio
premise to realize its 11.2 billion. of 0.68% that is significantly lower than
strategic development assigned target, debt service coverage ratio
When domestic financial market is under maintains the highest level in the whole
goals till 2025 and pressure of global market, adverse banking system (317%). Profit before tax
orientations to 2030. fluctuations of real estate market, securities reached over VND 37,300 billion, up 36%
market and as well as domestic corporate as of previous year, continuously take the
bond market, State Bank of Vietnam has lead on term of profit scales in the market.

Chairman of the Board of Directors

PHAM QUANG DUNG

10 11
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

MESSAGES FROM CHAIRMAN

OF THE BOARD OF DIRECTORS
AND CEO

With the role of market leader and social In 2023, with opportunities and challenges

1.8
responsibility of a big brand, Vietcombank intertwined in Vietnam and around the
In 2023, with opportunities has implemented interest cost exemption world is posing new issues. By grasping
VND quadrillion
and challenges intertwined TOTAL ASSETS
and reduction to support people and thoroughly its motto “Transformation,
in Vietnam and around the enterprises to overcome difficulties, stabilize Efficiency, Sustainability” and its
up 28.2% compared to 2021
their lives and promote production recovery. operating philosophy of “Responsible-
world is posing new issues. From beginning of 2022, Vietcombank Drastic-Innovative”, Vietcombank
By grasping thoroughly its has waived all money transfer and service will focus on 06 breakthroughs and
motto “Transformation, maintenance fees on VCB Digibank for 3 key points in the transformation of
dozens of millions of customers, help them business structure, excellently perform
Efficiency, Sustainability” save thousands of billions VND per year. its assigned tasks in celebration of
and its operating philosophy In addition, Vietcombank has cut lending the 60 th Anniversary of Vietcombank
of “Responsible-Drastic- interest rate by 1% in two months for 175 (April 1st 1963 – April 1st 2023).
thousand of customers with loan balance
Innovative”, Vietcombank will of VND 500 trillion, equivalent to 50% of With its concerned efforts and determination,
focus on 06 breakthroughs existing loan balance. Vietcombank has also bravery and wisdom of more than 22,000
and 3 key points in the strengthened social and community security employees, Vietcombank surely continues
programs with a total committed budget of to conquer new heights to be trustworthy
transformation of business VND 490 billion in 2022. with the trust, support and companionship
structure, excellently perform of millions of valued customers, dozens
its assigned tasks in celebration By year-end of 2022, Vietcombank of thousands of domestic and foreign
continued to be the listed company with shareholders.
of the 60th anniversary of the largest capitalization in Vietnam, one of
Vietcombank. the world’s top 100 listed banks by market
capitalization (USD 16.5 billion).

Deputy CEO in charge of Chairman of

the Board of Management the Board of Directors

Deputy CEO in charge of the Board of Management

NGUYEN THANH TUNG

NGUYEN THANH TUNG PHAM QUANG DUNG

12 13
 ANNUAL REPORT 2022

GENERAL INFORMATION

TRADING NAME

Name in Vietnamese: NGÂN HÀNG THƯƠNG MẠI CỔ PHẦN

NGOẠI THƯƠNG VIỆT NAM

Name in English: JOINT STOCK COMMERCIAL BANK

FOR FOREIGN TRADE OF VIET NAM

Trading name: VIETCOMBANK

Abbreviation name: VIETCOMBANK

License of Establishment and Operation No. 138/GP-NHNN issued by State

Bank of Vietnam, dated May 23rd, 2008.

CERTIFICATE OF BUSINESS REGISTRATION

Tax code: 0100112437

Certificate of Business Registration No. 0103024468 issued by Ha Noi

Department of Planning and Investment dated June 2nd, 2008 (first registration)
15th Amendment issued on April 14th, 2022

CHARTER CAPITAL (OWNER’S EQUITY)

VND47,325,165,710,000
In word: Forty-seven thousand three hundred and twenty-five billion,
one hundred and six fifty-five million, seven hundred and ten
thousand VND

TICKER SYMBOL: VCB

Par value: VND 10.000

Number of shares: 4,732,516,571

Address: No. 198 Tran Quang Khai Str., Ly Thai To

Ward, Hoan Kiem Dist., Ha Noi, Vietnam

Phone number: 84-24-3934 3137

Fax: 84-24-3826 9067

Website: www.vietcombank.com.vn

14
 ANNUAL REPORT 2022

VIETCOMBANK PROFILE

The JSC Bank for Foreign Trade of Vietnam, formerly known

as Bank for Foreign trade of Vietnam, was established on
April 01st, 1963 from the Foreign Exchange Bureau (of the
State Bank of Vietnam).

Being the first state commercial bank foundation. The digital transaction space
chosen for pilot privatization by the
Government, Joint Stock Commercial Bank
with the multi-functional digital banking
services provided to retail and commercial
FIRMLY KEEP THE POSITION
for Foreign Trade of Vietnam officially
commenced operation on June 2nd, 2008
customers such as: VCB Digibank, VCB -
iB@nking, VCB CashUp, VCB DigiBiz, etc. as the leading bank in
after the successful implementation of have always been a point of attraction for
the equitization plan through initial public
offering. On June 30 th, 2009, Vietcombank
customers due to its convenience, speed,
safety, efficiency, thereby promoting wider
Vietnam
(ticker symbol: VCB) was officially listed on adoption of non-cash payments.
Ho Chi Minh City Stock Exchange.
After more than half a century of operation The banking operations are also supported a pioneer in consulting employer branding
During its 60 years of growth and in the market, Vietcombank is now one of by a network of 1,163 correspondent banks solutions and happy working environment
development, Vietcombank has contributed the largest commercial banks in Vietnam. in 93 countries and territories in the world. in Vietnam and Intage - a leading market
significantly to the stability and growth of Vietcombank currently has more than 600 research company in Japan), Vietcombank
national economy, upholding the role of branches/transaction offices/representative Vietcombank’s team of professional was ranked the No. 1 in banking industry,
a major foreign trade bank in facilitating offices/Affiliates both in Vietnam and employees with solid background in banking No.3 in Vietnam market, maintaining its
efficient domestic economic growth as well abroad including: Head quarter in Hanoi; and finance and a good sense for modern leading position for 7 consecutive years as the
as expanding influence in the regional and 121 Branches; 510 transaction offices; 04 and integrated business environment. Thanks bank with the best working environment in
global financial community. domestic Subsidiaries (Leasing Company, to their contribution, Vietcombank remains Vietnam. In 2022, Vietcombank is honored
Securities Company, Remittance Company, the primary choice for large corporations, to receive “the Most Helpful Bank during
Originally a specialized bank for foreign Vietcombank Tower 198); 03 overseas domestic and foreign enterprises as well as COVID-19 in Vietnam” award by The Asian
trade, Vietcombank nowadays has become Subsidiaries (Vinafico Hongkong Company, millions of individual customers. Banker, which recognizes local corporations
a universal bank, providing customers with VCB Money Inc. in the U.S, a Subsidiary for their prominent contributions to business
a wide range of leading financial services in bank in Laos); 01 Representative office in Heading towards international standards, efficiency, and policies in response to the
international trade; from traditional services Ho Chi Minh City; 01 Representative Office Vietcombank has been continuously rated as COVID-19 pandemic.
such as money market, capital market, in Singapore, 01 Representative Office in “Best Bank in Vietnam” by global prestigious
credit, project financing, etc., to modern the US; 03 Non-business units: Human organizations. Vietcombank is also the first With considerable determination and high
banking services such as forex trading and Resources Development and Training and only bank in Vietnam voted among Top dedication, Vietcombank staff has been
derivatives, card services, e-banking, etc. School; 01 Cash Processing Center in Hanoi 500 world’s leading banks by The Banker; constantly striving for a more and more
and 01 Cash Processing Center in Ho Chi the only bank of Vietnam among Top 30 sustainable Vietcombank with the objectives
Owning a modern banking technical Minh City; 03 Joint-venture and associate Strongest Banks in Asia – Pacific region to firmly keep the position as the leading
infrastructure with the successful companies. Vietcombank currently employs according to The Asian Banker rankings; and bank in Vietnam towards 2030; one of 200
transformation of the core banking system over 22,599 people. the only representative of Vietnam among largest banking and financial corporations in
(Core Banking) in early 2020, Vietcombank the Forbes’ Top 1,000 The World’s Largest the world; one of 700 global largest public
has many advantages of applying advanced In addition, Vietcombank has also developed Public Companies at the rank of 950. In companies; and to contribute significantly to
technology into the automatic banking an Autobank system with over 2,500 2022, in the list of “100 Vietnam best the sustainable development of Vietnam.
system, product development, e-banking ATMs and more than 60,000 merchants places to work” (announced by Anphabe –
services, based on its high technology accepting card payments across the country.

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 ANNUAL REPORT 2022

ESTABLISHMENT AND DEVELOPMENT HISTORY

In the last 60 years, Vietcombank has made important contributions to the

revolutionary cause of national reunification, construction of socialism in the North,
joining hands in removing difficulties during subsidy period; a pioneer in the period
of innovation, integration and development.

Especially, the last 10 years marks a remarkable and spectacular milestone

of Vietcombank in term of impressive growth in business scale, quality and
performance, reaching the pinnacle of success and opening up new opportunities
for the next stage of development, contributing to the prosperity of Vietnam.

BORN AND SURVIVED HARDSHIP SELF-TRANSFORMED

January 20th 1955 April 1st 1963 April 1965 – April 1975 April 1975 – 1987 1987 2000-2005 June 2nd 2008
Establishing Foreign Officially put into Directly engaged in the money Took over the old As the only commercial bank Pioneered building and Officially transformed into
Exchange Bureau operation (According trail (codename B29) to receive banking system, inherited allowed to issue Vietnamese dong successfully implemented Banking joint-stock commercial bank
under National Bank of to Decree No 115/ money abroad, controlled, Vietnam’s membership banknotes with foreign origin, Restructuring and Modernization after pioneering equitization
Vietnam – predecessor CP dated October managed and supplied to in international financial contributing to synchronous Project. and successful getting an
of Vietcombank. 30 th 1962 of the Southern Revolution. organizations; participated management of use and IPO in 2007.
Government). in settlement of national spending of foreign currency.
debt and anti-embargo
movement; successfully
assumed the role of unique
bank holding dominant
position in 3 aspects of
foreign currency,
export - import credit and
international transactions
and payment.

1955 1963 1965-1975 1975-1987 1987 2000-2005 2008

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ESTABLISHMENT AND DEVELOPMENT HISTORY

(continued)

AFFIRMED ITS POSITION AS ORIENTATIONS

NO 1 BANK IN VIETNAM TO 2030

June September March December October November 1st 2019 January 27th 2020 Maintaining the position as
30th 2009 30th 2011 31st 2013 01st 2016 19th 2018 Launched its representative Successfully launched core the No. 1 bank in Vietnam.
VCB was officially Signed a strategic Launched a new Issued Vietcombank’s Set up office in the US. banking system
listed on Ho Chi shareholder brand identity development Vietcombank’s
Minh City Stock agreement with system and slogan strategy till 2020. presence in Laos.
To become one of 200
Exchange (HOSE). Mizuho Corporate “Together for the Vietcombank largest banking and financial
Bank under future”. regained its No 1 corporations in the world.
Mizuho Financial position in profit in
Group, Japan. 2016.
One of 700 global largest
public companies.
November 12th 2019 2020 up to now
Inked insurance distribution Remain steadfast against And to contribute
deal with FWD Group with the Covid-19 pandemic, significantly to the
largest value in life insurance Vietcombank affirms its position
up to time of signing. as No 1 bank in Vietnam in development of Vietnam.
some aspects, world’s top 100
largest public banks in market
capitalization, according to
Reuters.

November
28th 2018 2019
Became the first bank Become Vietnam’s first bank
approved by State reaching USD 1 billion in profit.
Bank of Vietnam
according to Decision
No 2315/QĐ-NHNN
on application of
Basel II according to
Circular No 41 dated
January 01st 2019,
one year earlier than
compliance deadline.

2009 2011 2013 2016 2018 2019 2020 up to now 2030

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

SERVICES AND BRANCH NETWORK

COVERAGE
SERVICES AND BUSINESS SECTOR BRANCH NETWORK COVERAGE

As at December 31st, 2022, Vietcombank has 121

Deposits;
510 Branches with 510 transaction offices operating
TRANSACTION OFFICES
in 58/63 provinces and cities across the country:
Loans; 15 branches in Hanoi (12.4%);

121 19 branches in the Red River Delta Region (15.7%);

Discounting, re-discounting of bills and other valuable papers; BRANCHES 9 branches in Northern Midland and Mountainous Region (7.4%);
16 branches in Northern and Central Regions (13.2%);

Guarantees; 58/63 14 branches in the Southern-Central and Highland Regions (11.6%);

18 branches in Ho Chi Minh City (14.9%);
PROVINCES AND CITIES
16 branches in the Western-Southern Region (13.2%);

1,163
Domestic and foreign factoring; 14 branches in Eastern-Southern Region (11.6%).

As at December 31st , 2022, Vietcombank maintains correspondent relationships of 1,163

CORRESPONDENT BANKS
correspondent banks in 93 countries and territories worldwide.
Credit cards;

Other forms of credit grant in accordance with legal regulations;

Settlement and banknotes;

Foreign exchange in domestic and international markets in accordance with

relevant regulations;

Correspondent banking;

Commodity price derivatives within the scope prescribed by the State Bank of
Vietnam;

Other services as per the bank’s Business Registration.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

10 NOTABLE EVENTS OF VIETCOMBANK Closely follows up guidance of the Government and State Bank of Vietnam, Vietcombank
applies a flexible and effective credit management measures toward sustainable credit

IN 2022 2 growth and effective credit control, comply with credit growth limit of State Bank of
Vietnam with effective transmission structure of credit.
} Vietcombank has the highest credit balance growth within the banking industry, maintaining
HIGHEST CREDIT a position as one of the largest banks in credit scale in the banking industry. Its credit
GROWTH WITHIN THE balance scale exceeds VND 1 quadrillion, up 19% as of 2021. Outstanding debt increased
by VND 200,000 billion as of 2021, providing important financial support for businesses,
There were big changes around the world in the post-Covid pandemic in 2022, BANKING INDUSTRY people and accelerating socio-economic recovery and development.
sharing difficulties with customers and contributing to economic recovery, & EFFECTIVE CREDIT } Vietcombank continues to implementing its restructuring scheme effectively: providing
Vietcombank was a pioneer waiving and reducing loan interest rate and CONTROL credits to fields of business and production, developed industries, increasing ratio of assets
service fee. in total outstanding loans, controlling proportion of mid-term and long-term credit at 45%
ratio, ensuring compliance with ratio of short-term funds for mid-term and long-term loans.

Vietcombank, in the past year, made efforts and achieved notable results, maintaining } Regarding development orientation: continue to accelerate growth of key sectors, prioritize
offering credit to 5 prioritized areas of the Government such as national key projects, energy,
its position as No 1 bank in terms of quality and operational performance: highest essential supplies, export business plan, supporting industry, agriculture, health, education,
credit growth, No 1 bank in tax payment to the State Budget, pioneer in application training, etc. Outstanding loans for prioritized areas continue to grow: supporting industry
of modern technology and digital transformation in banking industry, etc. (27%), small and medium sized enterprises (22.1%), rural and agricultural development (20%).
Strictly comply with regulations, guidance of State Bank of Vietnam, closely monitor credit,
be cautious in selection of customers and investment projects in areas with potential risks
such as real estate, securities, BOT and BT projects. Scale of corporate bonds, outstanding
loans for investment, real estate business, outstanding loans for investment in BOT and
BOT projects only takes a small proportion of 0.5-2% of total credit balance.
Always comply with and acts responsibly guidance of the Government, State Bank of
Vietcombank has been always ranked the highest in the group of State-owned commercial
Vietnam, accompany and share difficulties with customers. Specifically:

1
banks according to credit institution rating system according to Circular 52/2018, improve
} First, since January 1st 2022, Vietcombank offers free money transfer services for all financial criteria under 6 groups of criteria for rating financial institutions. The achieved
transactions inside or outside Vietcombank system. Additionally, Vietcombank also waives results are thanked to Vietcomank’s continuous compliance with regulations of State Bank
all account management fees. of Vietnam on internal procedures and policies, ensure all credit evaluation and approval
PIONEER WAIVING } Second, Vietcombank also pioneers implementing reduction of lending interest rate for under close control, ensure minimum safety limits in accordance with requirements of State
AND REDUCING customers. In the last 02 months of 2022, Vietcombank offered a 1% reduction in Bank of Vietnam.
lending interest rate in Vietnam Dong for 175,000 customers worth VND 500,000
LOAN INTEREST AND Vietcombank ensures credit growth closely associated with risk management measures,
billion, accounting for 50% of Vietcombank’s loan balance. This is the largest reduction of evaluate customers before issuing debt, strengthen inspection during and after giving loans
SERVICE FEE lending interest rate of Vietcombank in recent years. Cut 1% of lending interest rate in the to ensure quality of credit portfolio. Vietcombank is rated as top banks in credit portfolio
last 02 months of 2022 a part of series of big action plans of Vietcombank to support is quality with bad debt ration under 0.68%, loan loss coverage ratio reached 457%, the
customers to overcome difficulties in the post-Covid 19. From 2020-2022, Vietcombank highest among commercial banks.
has implemented 9 lending interest rate cuts to support its customers.

>VND 1 quadrillion
CREDIT GROWTH SCALE
Up 19% compared to 2021

APPLY 1% REDUCTION 45%

in lending interest rate in RATIO OF MID-TERM &
Vietnam Dong for LONG-TERM CREDIT

175,000 customers
Ensure compliance with short-
term funds for mid-term and
with a total credit scale of long-term loans

VND 500,000 billion

the largest lending interest rate 457%
reduction in Vietcombank’s LOAN LOSS COVERAGE RATIO
existing loan balance in the
past years. The highest among commercial
banks
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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

3 Uphold its available advantages of diverse, specialized products and services, technology is a 4 A leading bank in public service payment in Vietnam :
backbone of international payment and trade finance, Vietcombank continues maintaining its
Vietcombank is chosen by the Government to provide online payment services for
leading position in the banking system in turnover and market share of international payment
}

MAINTAIN NO.1 PIONEER APPLYING public services on the National Public Service Portal. Vietcombank has applied modern
and trade finance and achieving impressive business performance in 2022 including:
technology in public payment services, allowing customers to use VCB Digibank, QR
POSITION IN International payment and trade finance revenue reached USD 135 billion, up 31.8%
MODERN
} code, contactless payment, etc. to strengthen public service payment of ministries,
INTERNATIONAL compared to 2021. TECHNOLOGY, departments, localities through National Public Service Portal.
PAYMENT & TRADE } International payment and trade finance market share reached 18.5%, up 3.11% compared CONNECT PAYMENT } Vietcombank also pioneers supplying seaport toll collection service: successfully
to 2021 and maintained the leading position in terms of market share. implementing infrastructure toll collection system with Ho Chi Minh Port Authority,
FINANCE WITH HIGHER SERVICES,
support enterprises to shorten time of transaction, ensure quick and convenient customs
MARKET SHARE CASHLESS CIVILIZED clearance of goods.
Chart of international payment and trade finance market share SOCIALIZATION Vietcombank also pioneers providing e-payments through building a bilateral e-payment

135
}

with Vietnam Social Security. During the Covid-19 pandemic, Vietcombank has provided
15.5% querying services on beneficiaries of social security to ensure financial support for laborers
USD billion
18.5%
in accurate and timely manner, ensure their lives during complicated developments of
INTERNATIONAL PAYMENT AND (up 3.11%)
Covid-19 pandemic.
MARKET MARKET
TRADE FINANCE VOLUME SHARE OF SHARE OF Pioneer implementing e-invoice in accordance with guidance of General Department
increased by 31.8% compared to 2021 INTERNATIONAL INTERNATIONAL of Taxation:

18.5%
PAYMENTS AND PAYMENTS AND
TRADE FINANCE TRADE FINANCE } Successful implement e-invoice system and apply in the whole system since April
IN 2021 IN 2022 2022 – 3 months earlier than regulations, Vietcombank pioneers applying e-invoice in
INTERNATIONAL PAYMENT AND accordance with guidance of General Department of Taxation which is highly appreciated
TRADE FINANCE MARKET SHARE by management agencies and customers. Conversion from paper to e-invoice marks an
Up 3.11% as of 2021, maintain market important pace toward digital transformation of Vietcombank.
leadership Vietcombank Increase compared to 2021 Other Banks
The only bank to provide tax collection services for foreign suppliers in Vietnam.
} Officially launched since April 2022, Vietcombank has coordinated with General
Department of Taxation to support foreign suppliers in Vietnam to pay a total tax value
of nearly VND 2,000 billion. Tax payments of foreign suppliers are mainly made in EUR
SUPPORT FOREIGN and USD which bring a big supply of foreign currencies for Vietnam.
SUPPLIERS IN VIETNAM One of the world’s first banks successfully implemented payment pre-validation
TO PAY at all transaction points and VCB digibank. This is an innovative solution that drives

VND 2,000 BILLION

instant and frictionless transactions and payments worldwide of SWIFT, deliver seamless
payment experience to customers.
TO THE STATE BUDGET
Offer a big supply of foreign
currency in Vietnam

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Successfully pilot sales and services model at 30 branches of the whole system with With outstanding business performance, Vietcombank always makes big contributions to

5 6
approach of customer as core value and foundation of its business. With customer centric the State Budget. Since 2015, Vietcomank is always ranked on top 10 of largest tax payers
approach, sales and services model focus on following contents: and the largest corporate income tax payer in the banking industry in Vietnam.
} This model separates sales services and customer services, provide better experience with This recognizes Vietcombank’s important contributions to the State Budget and outstanding
support from coordinators and customer satisfaction earned from professional selling style NO 1 BANK IN TAX
SUCCESSFULLY business results of Vietcombank, affirming leading position among largest tax payers to the
in a glamorous and luxurious space State Budget in many consecutive years.
TRANSFORM SALES PAYMENT TO STATE
Branches chosen for implementation of this model create good effects, improve brand
AND SERVICES BUDGET
}

awareness and experience for customers.

MODEL Key performance indicators of sales and services model in 30 branches record outstanding
results during implementation period as follows:

56.9%
} The ratio of cross selling success of consultants at counters gains high performance of
56.9%, up 46.4% as of results of tellers/customer care advisors before the mode is
implemented.
RATIO OF CROSSING
SELLING SUCCESS OF } Ratio of customers introduced by customer service specialists to consultants: many
CONSULTANTS branches achieve an average ratio of 10% higher than the benchmark as recommended
Up 46.4% compared to by consultants.
cross selling results before
Average waiting time of customers is much improved, reduced by 20% before
implementation of sales and
}

services model implementation of digital transformation. This reflects the role of coordinators and
effective cooperation between consultants and customer service specialists.

4.97/5
} Customer satisfaction score (CSAT) via QR Code system at customer counter: record
positive feedbacks from customers through service greetings and dedicated guide of
points coordinators. CSAT index is close to the maximum average of 4.97/5 points.
CSAT score
Close to the maximum average

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Arrange and provide financial assistance for big projects, national key projects, contribute to Follow the honorable award of outstanding digital banking transformation bank in 2020”,

7 8
the national development in 2022: Vietcombank continues to make breakthroughs and high determination to successfully
} Petrolimex: proactively sign with Petrolimex to supply a line of credit worth nearly VND implement digital transformation programs:
20,000 billion in 2022 for Petrolimex to import petroleum to meet essential needs of Ensure successful projects go-live as follows:
people and for business and production activities.
VIETCOMBANK DIGITAL } Implement Treasure-Front Area system: a flexible and closely knit financial technology
Long Thanh project: arrange domestic and foreign capital for Long Project, Component 3 solution for foreign exchange and money markets. This offers modern financial products
DESERVE TO BE A TRANSFORMATION
}

under “Long Thanh International Airport Project, Phase 1” of ACV worth USD 2.5 billion, in the market.
LEADING CREDIT total investment capital of the project is VND 99,000 billion. IS A TOP PRIORITY } Participate in Asset-Liability Management – Funding transfer Pricing (ALM-FTP):
ORGANIZATION } Hoa Phat Group: provide financial support worth VND 35,000 billion to Hoa Phat Dung providing methods of risk measurement and management, internal capital management,
Quat 2 Iron and Steel Production Complex with total investment capital of VND 70,000 improving balance sheet.
TO FINANCE BIG
billion.
PROJECTS Recruit senior -level employees, foreign experts with expertise and rich experience in digital
Sign comprehensive cooperation agreements with Corporations, Groups, strengthen transformation to implement more than 300 initiatives and 4 pillars including Digital, Data,
comprehensive cooperation with customers, promote sustainable development of parties, Technology and Transformation.
specifically:
} Energy: sign comprehensive cooperation agreement and commitment to offering credit
and banking services to promote development of local energy industry with Petrovietnam,
Petrolimex and Trung Nam Group.
} Logistics: sign comprehensive cooperation agreement with ACV and Hateco.
} Post & Telecommunications and Digital Transformation: Sign comprehensive cooperation
agreement and commitment to strengthening access to products of parties and promoting
digital transformation cooperation with VNPT and VNPost.
} Sign cooperation agreement with Eximbank Thailand to support bilateral trade and
investment on the framework of APEC Summit 2022 held in Thailand with participation
of President Nguyen Xuan Phuc.

Vietcombank has reinforced its models of sales, retail, IT and digital transformation, newly

9
establishing operation division. This is considered as an indispensable condition to improve
service quality and customer experience, optimize the resources by adoption of industry 4.0
technologies and focus on sales.
Build an Agile work culture and transform an agile operating model, making it a part of
TRANSFORM Vietcombank culture which is flexible and adaptable to quick market changes.
ORGANIZATIONAL Strengthen training activities; focus on IT and digital transformation training programs;
MODEL, implement training courses at Vietcombank’s branches in accordance with its training map;
provide regular and intensive training courses for management officers under various forms
DEVELOPMENT OF
of person to person, online or E-learning.
HUMAN RESOURCE &
WORKING MODE

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With leading quality, operational efficiency and sustainable development orientation,

Vietcombank has affirmed its leading position and superior prestige through awards
granted by local and international organizations.

International awards: Maintain its high position in the rankings of prestigious organizations. National awards:

10
Take the lead in the bank industry in brand identity index, according to Nielsen } The only bank awarded Vietnam National brand in 8 th consecutive year

Top 10 prestigious commercial banks in 2022 } Top 10 strongest brands in Vietnam in the 9 th consecutive year

Top 25 leading financial brands in 2021 by Forbes } Top 50 Vietnam’s best public companies in 2022 in 10 th consecutive year by Forbes Vietnam
AFFIRM LEADING Take the lead in top 10 most profitable enterprises in the banking industry in Vietnam
Top 50 public companies in 2022
}

POSITION AND Digital banking service VCB Digibiz was granted Sao Khue Award 2022 by Vietnam
The only representative of Vietnam among the Forbes’ Top 1,000 The World’s Largest
}

Software and IT services (VINASA)

SUPERIOR PRESTIGE Public Companies
Named as “Typical enterprise for employees” in 3rd consecutive year awarded by
BY BIG AWARDS
}

Named as Vietnam’s best bank in 6th consecutive years by Asian Banker Vietnam General Confederation of Labor, Ministry of Labor – War Invalids and Social
GRANTED BY LOCAL Maintaining the leading position for 7 th consecutive years as the bank with the best working Affairs, Vietnam Chamber of Commerce and Industry
AND INTERNATIONAL environment in Vietnam } Many other awards and titles from Ministries/Departments, organizations/units
ORGANIZATIONS S&P Ratings (S&P) announced an upgrade the Vietcombank’s credit rating to the top of the
banking industry in Vietnam.
Fitch Ratings has upgraded Vietcombank’s credit rating to BB from BB- with positive outlook.

Maintain its high position

in the rankings of prestigious organizations

TOP TOP

TAKE THE LEAD IN THE BANK 10 25

INDUSTRY IN BRAND IDENTITY INDEX PRESTIGIOUS COMMERCIAL BANKS LEADING FINANCIAL BRANDS
according to Nielsen
IN 2022 IN 2021
by Forbes

TOP TOP
HIGHEST CREDIT RANKING AMONG
VIETNAMESE BANKS,
50 1,000
S&P ratings PUBLIC COMPANIES THE WORLD’S LARGEST PUBLIC
IN 2022 COMPANIES
announced by Forbes

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MODEL OF GOVERNANCE MANAGEMENT STRUCTURE

SHAREHOLDERS’
GENERAL SUPERVISORY BOARD
MEETING

INTERNAL CONTROLS OPERATIONAL

SUPERVISORY

RISK MANAGEMENT COMMITTEE, BOARD OF STRATEGY COMMITTEE & SECRETARY OF

HUMAN RESOURCES COMMITTEE DIRECTORS THE BOARD OF DIRECTORS

FINANCIAL NON-FINANCIAL
SERVICES SERVICES

BOARD OF
MANAGEMENT

COMMERCIAL INVESTMENT OTHER FINANCIAL REAL ESTATE

BANKING BANKING SERVICES SERVICES
CENTRAL CREDIT COUNCIL, ASSET/LIABILITY
MANAGEMENT BOARD (ALCO BOARD),
CENTRAL RISK MANAGEMENT BOARD INTERNAL INSPECTION

VIETCOMBANK VIETCOMBANK
SECURITIES LIMITED FINANCIAL LEASING VIETCOMBANK
VIETCOMBANK LAOS 100% 100% 100% 70%
COMPANY COMPANY LIMITED TOWER 198 LTD
(VCBS) (VCBL)

VIETCOMBANK -
VIETCOMBANK FUND VIETNAM FINANCE
BONDAY - BENTHANH
MANAGEMENT 51% COMPANY LIMITED 100% 52% IT AND
JOINT VENTURE CO.,
(VCBF) (VINAFICO HK) WHOLESALE RETAIL RISK DIGITAL HUMAN
LTD TREASURY FINANCIAL OPERATIONAL OPERATING SUPPORT
BANKING BANKING RESOURCES
DIVISION MANAGEMENT DIVISION DIVISION TRANSFORMATION DIVISION DIVISION
DIVISION DIVISION DIVISION DIVISION DIVISION

VIETCOMBANK MONEY
VIETCOMBANK -
TRANSFER COMPANY 87.5% 16%
BONDAY CO., LTD
(VCBM)

VIETCOMBANK
DOMESTIC SUBSIDIARIES REMITTANCE
100% REPRESENTATIVE OFFICE BRANCHES
OVERSEAS SUBSIDIARIES COMPANY
(VCBR)
JOINT VENTURES

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KEY FINANCIAL RATIOS

Unit: VND billion, %

2018 2019 2020 2021 2022

0 500,000 1,000,000 1,500,000 2,000,000
Key business indicators

Total assets 1,074,027 1,222,814 1,326,230 1,414,986 1,813,815 TOTAL ASSETS 2022 1,813,815

Shareholders’ equity 62,179 80,954 94,095 109,186 135,646 2021 1,414,986

Loans to customers/Total Assets 58.8% 60.1% 63.3% 67.9% 63.1%

2020 1,326,230
Non-interest income 10,870 11,156 12,777 14,357 14,836
2019 1,222,814

1,813,815
Total operating income 39,278 45,693 49,063 56,630 68,083
2018 1,074,027
Total operating expense -13,611 -15,875 -16,038 -17,666 -21,251
VND billion Unit: VND billion

Net profits of operations before allowances

25,667 29,819 33,024 38,964 46,832
for credit losses

Allowances for credit losses -7,398 -6,607 -9,975 -11,478 -9,464

Profit before tax 18,269 23,212 23,050 27,486 37,368 0 50,000 100,000 150,000

Corporate income tax -3,647 -4,614 -4,577 -5,469 -7,449 SHAREHOLDERS’ EQUITY 2022 135,646
Profit after tax 14,622 18,597 18,473 22,017 29,919
2021 109,186
Net profit for the year 14,606 18,582 18,451 21,997 29,899
2020 94,095
Key performance indicators
2019 80,954
Key profitability ratios

NIM

ROAE
2.94%

25.49%
3.10%

25.99%
3.11%

21.11%
3.15%

21.66%
3.39%

24.44%
VND 135,646 billion
2018 62,179
Unit: VND billion

ROAA 1.39% 1.62% 1.45% 1.61% 1.85%

Key risk indicators

0 20,000 40,000 60,000
Outstanding Credit (including corporate
77.68% 78.05% 80.23% 84.38% 91.12%
bonds)/Deposits in 1st market Ratio
TOTAL OPERATING INCOME 2022 68,083
Non-Performing Loan ratio 0.97% 0.78% 0.62% 0.63% 0.68%

Loan to deposit ratio (LDR) in compliance 2021 56,630

70.6% 72.4% 73.5% 77.8% 73.9%
with regulations of State Bank of Vietnam (*)
2020 49,063
Capital adequacy ratio CAR 12.14% 9.34% 9.56% 9.31% 9.95%
2019 45,693
According to audited financial statement, financial statement 2021 according to State Audit.

LDR ratio particular financial statement, in which data included Circular No 22/2019, data as stipulated at Decision
(*)
VND 68,083 billion
2018 39,278
Unit: VND billion

No Dec 31st 2022 of 22/2019 /TT-NHNN and amendment and supplement at TT 26/202/TT-NHNN.

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KEY FINANCIAL RATIOS (continued)

NET PROFITS OF
OPERATIONS BEFORE
NET NON-INTEREST
0 10,000 20,000 30,000 40,000 50,000 0 4,000 8,000 12,000 16,000
ALLOWANCES FOR
CREDIT LOSSES 2022 46,832 INCOME 2022 14,836

2021 38,964 2021 14,357

2020 33,024 2020 12,777

2019 29,819 2019 11,156

VND 46,832 billion

2018 25,667
Unit: VND billion VND 14,836 billion
2018 10,870
Unit: VND billion

0 10,000 20,000 30,000 40,000 50,000 0 5 10 15 20 25

PROFIT BEFORE TAX 2022 37,368 ROAE 2022 24.44

2021 27,486 2021 21.66

2020 23,050 2020 21.11

2019 23,212 2019 25.99

VND 37,368 billion

2018 18,269
Unit: VND billion
24.44% 2018 25.49
Unit: %

0 10,000 20,000 30,000 40,000 50,000 0 0.5 1.0 1.5 2.0 2.5

PROFIT AFTER TAX 2022 29,919 ROAA 2022 1.85

2021 22,017 2021 1.61

2020 18,473 2020 1.45

2019 18,597 2019 1.62

VND 29,919 billion

2018 14,622
Unit: VND billion 1.85% 2018 1.39
Unit: %

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OUR STRATEGY STRATEGIC OBJECTIVES TOWARDS 2025

No 1 in profitable scale with diverse income structure shifting toward

1
increase of proportion of non-credit income.

VISION AND MISSION TOWARDS 2025 2 Take the lead in digital transformation in the banking industry.

3 Most effective bank in risk management.

No. 1 Bank 4 No. 1 bank in quality of human resources.

Take the lead in environmental, social and corporate governance

in Vietnam 5
(ESG).

6 Do research on listing shares on international stock market.

TOP One of the 100 largest banks

100 in Asia SUSTAINABLE DEVELOPMENT GOALS
Vietcombank always focuses on promoting sustainable development and identifying its key goal to
become the No 1 bank in environmental, social and corporate governance. Vietcombank believes
that its scale, influence and comprehensive approach on environmental, social and corporate
One of the 300 world’s management (ESG), we will contribute to settlement of urgent challenges of environmental and
TOP
largest financial and social issues, promote socio-economic sustainable development and build Vietnam into a strong
300 banking corporations
and prosperous country.

On the go green – journey to sustainable development, Vietcombank has positively supported

and handled week credit institutions, contributing to stability and safety of monetary, credit
and banking system, reinforcing people’s trust. Vietcombank also pioneers implementing loan
One of the 1,000 world’s restructuring scheme, offering interest rate exemption and reduction to support customers
impacted by Covid-19 pandemic, implementing social security policies. Since 2012, Vietcombank
TOP
1,000 largest listed companies has allocated a total of VND 3,000 billion to support people with difficult circumstances and
those in remote, border and island areas, promoting green credit development toward a green,
sustainable and community bank.

Implementation of sustainable development goals, Vietcombank focuses on completing 5 pillars

based sustainable development roadmap.
Contributing to the development Continuously enhance financial capacity to drive stable and sustainable development, ensure
interests of customers, shareholders and partners.
of Vietnam
Complete environmental, social and corporate risk management system.
Ensure participation of stakeholders in sustainable development process .
Implement international standards (GRI, TCFD) on sustainable development .
Conduct research and construction of modern, sustainable banking products and services.

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OUR STRATEGY (continued)

ORIENTATION OF BUSINESS OPERATION IN 2023
03
Promote credit growth in association with effective and sustainable business restructuring
scheme: increasing proportion and quality of collateral in total outstanding loans;
FOCUSES 1
promote sales credit growth in association with customer and service development;
OVERVIEW World situation is forecast to face multi strengthening digital transformation and OF BUSINESS
promote retail credit growth, credit in transaction offices and ensure credit quality.
challenges with economic decline and automation, etc. However, the economy also RESTRUCTURING
inflation peaking. Global GDP growth is faces many challenges such as decline in SCHEME Improve proportion of non-credit income with a focus on service income. Expand the
projected to slow down to 2.9% in 2023 demand, slowdown in global trade, sluggish 2 supply of products and services on digital channels and improve quality of service as
from 3.4% in 2022, many big economies real estate market, plugged corporate bond well as customer experience.
are at risk of recession. Global inflation is market, inflationary inflation, high interest
Promote capital structure toward higher efficiency and ensure sustainable development,
estimated at 6.6% in 2023 that is much rate, exchange market pressure due to 3
upgrade VCB’s market position.
higher than 3.5% as of before Covid-19 FED’s interest hikes.
pandemic. Central banks around the world
are hiking interest rates to contain surge State Bank of Vietnam has issued Directive
of inflation. Meanwhile, Russia-Ukraine No 01/CT-NHNN dated January 17th 2023
war continues without an end and causes on implementation of key task of banking SOME KEY TOTAL ASSETS DEPOSITS OF FIRST MARKET
negative impacts on global economic and sector in 2023. Accordingly, State Bank of
INDICATORS
Growth in line with

9%
trade activities. China’s economic recovery Vietnam aims to achieve a credit growth credit growth
after reopening of economy is not strong of 14-15%, policy of managing interest rate increased by LDR not higher than
enough to boost the global economy. and exchange rate in a proactive and flexible compared to 2022 that of 2022
manner to control inflation and promote
With the motto of “Solidarity, Discipline economic recovery in the pivotal year of
- Mettle, Flexibility, Creativity - 2021-2025 period. CREDIT BAD DEBT RATIO PROFIT BEFORE TAX
Timeliness, Effectiveness” in 2023 of

13%
min growth of

1,5% 15%
the Vietnam Government to realize the goal By closely following key tasks of the
of 6.5% GDP growth and inflation at 4.5%. Government in 2023 and Circular No 01/
CT-NHNN of the State Bank of Vietnam
increased by
compared to 2022
<
as of 2022
Vietnam’s economic outlook 2023 in association with strategic development
intertwines with challenges and opportunities goals of VCB till 2025 and a vision to 2030
in the context of global economic turmoil. and action motto of “Transformation,
The recovery of Vietnam economy is thanked Effectiveness, Sustainability” and the
KEY SOLUTIONS
to stability of FDI, expansion of public concept of operation of “Responsible-
investment and many industries with quick Drastic-Creative”, Vietcombank
Scale up capital mobilization appropriate with capital use, closely follow up market developments, capital restructuring
growth opportunities after China reopens its determines to successfully implement its 1
toward effectiveness and sustainability.
door to export, tourism, etc. Basic economic business tasks in 2023 to celebrate the 60th
goals of the Government can be achieved anniversary of establishment of Vietcombank. Scale up capital mobilization in accordance with orientation of the State Bank of Vietnam; strengthen restructuring of
due to flexible policies, exploiting domestic Specifically, Vietcombank’s Board of Directors 2 credit portfolio to ensure safety and effectiveness; control quality of credit, manage debt restructuring and step-up bad
demand to offset the decline of international has issued Resolution No 01/NQ-VCB- debt resolutions and provisions of credit losses.
demand, investing and developing new HDQT dated January 1st 2023 on approval
businesses, reinforcing corporate governance, of business orientations as follows: Strengthen monitoring of operational risk, focus on supervision and inspection; enhance infrastructure capacity to meet
3
business demands; ensure IT safety, security and confidentiality.

06 STRATEGIC
BREAKTHROUGHS
1
Implement the Digital Transformation Action Program and the Transformation Action
Plan on the approved schedule, ensuring quality.
4
Maintain, strengthen and improve service-based income; increase proportion of service revenue in total business
revenue.
Improve quality of human resource, especially human resource for digital transformation. Effectively and timely implement action plan on digital transformation and push up the journey to Agile transformation;
2 5
Developing digital culture and applying Agile working methods. develop product, service closely attached with improvement of IT, data analysis and digitalization capability.
Innovate growth model in association with operational restructuring, uphold overall To continue enhancing the organization’s overall structure, to expand the network, and to raise the bar for human
3
strength of the whole system of VCB. resource training quality; Focus on procurement of headquarters for new branches and branches that lack fixed head
6
office; implement social security activities to share difficulties with community, mitigate Covid-19 pandemic’s impacts
4 Promote customer and product development. and natural disasters, prioritized areas such as education, health.
Implement the roadmap for environmental, governance, social practices at Vietcombank based on criteria of
5 Complete policies and mechanisms. VNSI sustainable development, improve sustainable development at Vietcombank based on criteria of sustainable
7
development report-GRI, TCFD and build a comprehensive sustainable development strategy for Vietcombank in the
Implement on schedule with highest determination, promote compulsory transfer of coming time.
6
weak credit institutions.

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VIETCOMBANK AWARD 2022

On October 12th, 2022, the Vietnam Economic Review hosted a ceremony to recognize and
celebrate Vietnam’s Top 10 strongest brands. Vietcombank has been named to the top 10

DOMESTIC AWARDS
3 strongest brands in Vietnam in the 9th consecutive year.

Vietnam is embracing “the green in national branding”, Vietnam strong brand program
VIETCOMBANK HAS 2022 has surveyed, evaluated, announced and honored corporate brands with outstanding
On April 23rd 2022, The Vietnam Software and Information Technology Services Association business and production, service performance. The evaluation criteria in 2022 focuses on
(VINASA) held a ceremony, to announce and award the 2022 Sao Khue Award. Vietcombank’s BEEN NAMED TO THE strategy, action plans and business performance in the process of: digital transformation,
1 VCB DigiBiz Digital Banking Service was highly commended by the jury and recognized
during the ceremony announcing and presenting the 2022 Sao Khue Award.
TOP 10 STRONGEST green transformation, energy efficiency, clean energy, innovative production models, inclusive
business and humanity; brand protection, employees and community-based policies, indicators
BRANDS IN of business recovery and growth after Covid-19 pandemic’s serious impacts.
VCB DIGIBANK’S VCB DigiBiz is a digital banking channel with the aim to meet demands of financial VIETNAM IN THE 9TH
transactions at anytime, anywhere via App VCB DigiBiz on App markets or Vietcombank’s
DIGITAL BANKING website. Simply, what customers need is a username, password to use this service on a
CONSECUTIVE YEAR
SERVICE WON diverse platform with a unified transaction limit. With modern interface, VCB DigiBiz brings
new and simple experience to customers.
THE SAO KHUE Awarding body:
AWARD 2022 VIETNAM
ECONOMIC TIMES
Awarding body:
VINASA

On November 25th, 2022, in Hanoi, Vietnam Report Joint Stock Company (Vietnam Report)
and the e-newspaper Vietnamnet co-hosted a ceremony to recognize the top 500 profit-
4 making enterprises in Vietnam in 2022.
Vietcombank was honored on top of 10 prestigious commercial banks in 2022 and top 10
Vietcombank was honored Top 50 Vietnam Best profitable enterprises 2022, ranked first
prestigious and effective public enterprises. Accordingly, Vietnam Report has coordinated

2 VIETCOMBANK of top 10 Vietnam best profitable commercial banks. According to Vietnam Report, the
with Vietnamnet to organize the announcement ceremony of Top 50 most prestigious and
statistics in the last 5 years show that average Compound Annual Growth Rate (CAGR) of
effective public companies, Top 10 prestigious bankers-Insurance & IT companies 2022. RANKED FIRST OF all enterprises in PROFIT500 is 10.12%, in which, financial sector reached 17.3%. Growth
Vietcombank continued to take the lead of Top 10 most prestigious commercial banks
TOP 10 VIETNAM outlook of financial sector is very positive and make positive contributions to Vietnam’s
TAKE THE LEAD IN TOP 2022 and Top 10 most prestigious and effective public companies. The year 2022 is the 7
th
economic recovery in the coming time.
consecutive year Vietcombank takes the lead on Top 10 most prestigious commercial banks. BEST PROFITABLE
10 MOST PRESTIGIOUS The award is based on research and independent evaluation of Vietnam Report to honor
COMMERCIAL
COMMERCIAL BANKS effective, experienced and well-position banks that make positive contributions to common
development of banking industry and make ceaseless efforts in building impressive banking BANKS
IN 7 TH CONSECUTIVE brands for customers, consumers and partners.
YEAR
Awarding body:
Awarding body: VIETNAM REPORT
VIETNAM REPORT

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VIETCOMBANK AWARD 2022 (continued)

DOMESTIC AWARDS (continued)

On the evening of November 02nd 2022, at National Convention Center, Hanoi, Vietnam Hanoi, November 16th 2022, Vietnam General Confederation of Labor coordinated with
Ministry of Labor, War Invalids and Social Affairs, Vietnam Chamber of Commerce and

5 6
Trade Promotion Agency – Ministry of Industry and Trade announced the 8th Vietnam
national brand award. Vietcombank won the award for the 8th consecutive year thanked Industry (VCCI) to organize a ceremony to honor “Typical enterprises for employees” 2022.
to operational efficiency, stability, superior asset quality, diverse and prestigious services in Vietcombank was honored as “Typical enterprise for employees” for the 3rd consecutive year.
banking industry. With an action motto of “Transformation-Efficiency-Sustainability” and
VIETCOMBANK the concept of operation of “Responsible-Drastic-Creative”, Vietcombank has strived and VIETCOMBANK Mr. Hong Quang – member of the Board of Directors cum Head of Human Resources
achieved positive business performance, well-developed business scale, closely controlled Division, Chairman of Vietcombank’s Trade Union said: “The ‘Typical enterprise for employees’
NAMED AS credit quality, business scheduling. Vietcombank has proactively implemented socio-economic
NAMED AS “TYPICAL award” will surely improve position of Vietcombank’s employees, affirm responsibility and
VIETNAM NATIONAL recovery program of the Government, especially interest rate supporting policy from State ENTERPRISE FOR commitment of the Party Committee, Board of Directors, Executive Board of Vietcombank’s
budget for trade loans, cooperatives, business households in 2022-2023 period and other Trade Union to taking care, ensuring and improving employees’ benefits. We believe that
BRAND IN THE 8 TH
EMPLOYEES” FOR 3RD the award is of great significance to raise awareness of employers, trade unions as well as
support solutions of the banking sector. These aim to remove difficulties for people and
CONSECUTIVE YEAR enterprises being hit by the pandemic and continuously improving quality of product and CONSECUTIVE YEAR the whole society on human factor as the most precious resource. The award encourages
services to better meet customers’ demands. Vietcombank and business community to better take care of employees, implement policies
Awarding body: of the Party and the State, make contributions to social security, create motivation for
VIETNAM TRADE Awarding body: economic development”.
PROMOTION AGENCY
VIETNAM GENERAL
– MINISTRY OF
CONFEDERATION
INDUSTRY AND TRADE
OF LABOR

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

DOMESTIC AWARDS (continued)

Da Nang, October 18th 2022, on the framework of NAPAS Member Banking Conference On December 21st 2022, at Vietnam National Convention Centre – Hanoi, Viet Research
2022, Vietcombank was honored with 3 big awards including: Best Bank 2022 award, coordinated with Investment Newspaper to announce Top 50 Vietnam Leading Employers

7 dynamic bank in credit card transaction 2022, Leadership in transactions via VietQR code.
These awards are achieved Vietcombank’s positive results in ceaselessly investing, developing
8 and Top 10 Vietnam Best workplace in 2022 accompanied by Personnel Talk themed
“Building a good workplace- Key to sustainable development”, Vietcombank was ranked 1st of
and innovating its products and services, improving quality of service in 2022. Vietcombank Top 10 Best workplace in banking sector and 3rd of Top 500 leading employers in Vietnam
is considered as a pioneer in the banking industry to accelerate development of E-payment, (VBE500). According to organizer, the survey results in 2022 represent the uniformity,
VIETCOMBANK VIETCOMBANK efficiency and sustainability in executive management, human resource development as
diversify non-cash payment forms in accordance with orientations of the Government and
NAMES AS THE State Bank of Vietnam. HONORED TOP 10 well as building a happy working environment of Vietcombank. The results also reveal
Vietcombank’s efforts in developing corporate culture and a strong employer brand; building
BEST BANK BEST WORKPLACE IN
and maintaining best workplace with good wage and welfare policies for employees.
2022 AT NAPAS VIETNAM 2022 AND
MEMBER BANKING TOP 500 LEADING
CONFERENCE 2022 EMPLOYERS IN
VIETNAM

Awarding body:
Awarding body:
VIET RESEARCH
NAPAS AND INVESTMENT
NEWSPAPERS

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

INTERNATIONAL AWARDS
Hanoi, March 24th 2022, Vietcombank received 3 big awards of The Asian Banker including: According to the ratings of “The World’s Largest Public Companies 2020” by Forbes,
Vietcombank is Vietnam’s only representative to be on Top 1,000 World’s largest public
1 Best Digital Banking service in Vietnam.
2 companies. Since 2015, Vietcombank’s rank has been significantly upgraded to 950 from
1,985 and Top 1,000 World’s largest public companies by Forbes. Vietcombank is Vietnam’s
Most Helpful Bank during Covid-19. leading bank with total asset over VND 1.8 quadrillion and the largest capitalization value
VIETCOMBANK THE ONLY among public credit institutions in Vietnam stock market. Vietcombank has now 22,599
Most Selected Main Retail Bank in Vietnam. employees, a nationwide operating network including headquarter in Hanoi and more than
HONORED 3 BIG REPRESENTATIVE 600 branches, transaction offices nationwide.
AWARDS BY THE With a history of more than 20 years, The Asian Banker is one of the leading organizations OF VIETNAM ON
in evaluating and rating global financial institutions. On a yearly basis, The Asian Banker
ASIAN BANKER organizes many award categories related to important activities including: trade finance, TOP 1,000 WORLD’
money management, payment, etc. The council of advisors of The Asian Banker including LARGEST PUBLIC
experts from credit institutions, banks and global asset management companies, have
ENTERPRISES BY
Since 2015, Vietcombank’s rank has been significantly upgraded
conducted rigorous review and evaluation of profiles of financial institutions.
to 950 from 1,985 and Top 1,000 World’s largest public
FORBES
companies by Forbes.
Awarding body:
THE ASIAN BANKER Awarding body:
FORBES
Recently, The Asian Banker has named Vietcombank as Vietnam Strongest bank in 2021.
This is the 6th consecutive year Vietcombank receives this prestigious award. This award has

3 a long tradition, launched in 2007 based on the balance sheet, reviewed and approved by a
detailed and transparent selection process to recognize performances of commercial banks

This prestigious award is used by investors, financial experts and media agencies referring to
VIETCOMBANK
financial strength of banks in the region, a useful information source for banks, international
NAMED AS VIETNAM firms, potential partners of banks. In 2021, with 3.59/5 scores, Vietcombank took the lead
STRONGEST BANK IN among groups of banks in Vietnam.

THE 6TH CONSECUTIVE

YEAR BY THE ASIAN
BANKER

Awarding body:
THE ASIAN BANKER

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

INTERNATIONAL AWARDS (continued)

At the JCB Annual Meeting 2022 on August 03rd 2022 held in Da Nang, Vietcombank was
On May 26th 2022, S&P Ratings (S&P) upgraded Vietnam’s national credit rating to BB+
honored 04 important award categories by JCB:

6
from BB. A day later, S & P announced to update Vietcombank’s credit rating (The only bank

4 in Vietnam is upgraded its credit rating). As No 1 bank in Vietnam with an important position,
Vietcombank is assessed to be beneficiary from external resources when Vietnam’s national
Leading Licensee in credit card retail spending volume 2021.
credit rating is higher and possibility of receiving timely and full support from the Government
.Leading Licensee in Merchant Sales 2021.
S&P RATINGS RAISES in case of financial difficulties. VIETCOMBANK

VIETCOMBANK’S HONORED 4 AWARDS Leading Licensee in New products and solution 2021.

CREDIT RATINGS TO BY JCB

Leading Licensee in EC merchant sales 2021.
THE HIGHEST LEVEL
Previously, Vietcombank received many important awards from many prestigious organizations
AMONG BANKS IN
including “Typical bank 2021” by NAPAS in domestic payment, Leadership in Payment Volume
VIETNAM S&P Ratings (S&P) upgraded Vietnam’s national credit rating Awarding body:
2022, Leadership in Merchant Sales Volume and Leadership in Commercial Payment Volume
by VISA.
Awarding body:
to BB+ from BB. A day later, S & P announced to update JCB
Vietcombank’s credit rating. These awards once again affirm Vietcombank’s leading prestige, brand in card payment
S&P RATINGS services in Vietnam. It is also a clear proof for Vietcombank’s ceaseless efforts in developing,
innovating products, building trust with customers who have been using Vietcombank’s card
products.
Vietcombank has recently honored 02 awards by International Finance Magazine (IFM)
including: “Vietnam Best Investment bank in 2021” and “Vietnam Best digital transformation
in banking”. The results are evaluated and reviewed by Council of Advisors of IFM based on
5 Vietcombank’s operating results in 2021. These results are evaluated and reviewed by the
Council of Advisors of IFM based on business performance of Vietcombank in 2021. IFM
At the Brand Conference 2022 dated October 27th 2022, Vietcombank continued to rank 1st
of “Top 25 leading financial brand 2021” by Forbes Vietnam with brand value of USD 705
recognized Vietcombank’s efforts in developing and innovating quality of digital technology million. Vietcombank continues to be on Top of Forbes Vietnam’s rankings and Forbes Global
VIETCOMBANK applications to bring optimal experience to customers. Accordingly, all finance related
requirements including e-Account opening, credit card, savings account, payment account,
7 2000. This represents stable and effective business performance, asset quality and most
diversified service income in the banking industry, good business growth, closely controlled
HONORED 02 mobile payment, QR code payment, etc. can be made easily, quickly and conveniently via credit quality, business scheduling.
PRESTIGIOUS VCB Digibank. LEADERSHIP IN
INTERNATIONAL These awards are motivation and goals for Vietcombank to continue striving for marking its TOP 25 VIETNAM
AWARDS BY name in the financial market domestically and internationally in the coming time. LEADING FINANCIAL
INTERNATIONAL BRANDS
FINANCE MAGAZINE

Awarding body: Awarding body:

INTERNATIONAL FORBES VIETNAM
FINANCE MAGAZINE

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

INTERNATIONAL AWARDS (continued)

In the framework of annual VISA award, Vietcombank has been honored 4 important At the awarding ceremony of Refinitiv Vietnam FX Award 2022 organized by Refinitiv under
award categories of Leadership in Payment Volume, Leadership in Debit Payment Volume, London Stock Exchange Group dated March 24th 2022 at headquarter of Vietcombank, 198

8 Leadership in Merchant Sales Volume, Leadership in Commercial Payment Volume Growth.

These awards affirm Vietcombank’s leading prestige and brand in card payment volume
9 Tran Quang Khai, Hoan Kiem, Hanoi, Vietcombank was honored Best Fxall Taker Award –
Most volume traded in 2021.
in Vietnam. In addition, it is a clear proof for ceaseless efforts of Vietcombank in product
development and improvement in the past year, it also represents customer trust for The award is based on statistics of Refinitiv under London Stock Exchange Group on
VIETCOMBANK VIETCOMBANK WIN
Vietcombank’s card products. transactions of foreign exchange trading of members of Refinitiv Fxall in 2021. This is an
HONORED REFINITIV VIETNAM official foreign exchange trading platform of Refinitiv in Vietnam to cover all major currency
IMPORTANT FX AWARD AS THE pairs/foreign currency in international markets under form of automatic price matching.
According to Mrs. Tran Ngoc Nga, - Business Manager of Refinitiv, Vietnam and Myanmar,
AWARDS FOR CARD BEST FXALL TAKER the foreign exchange award is a long-lasting and prestigious one in the Asia Pacific region of
PRODUCTS Refinitiv. In Vietnam, the award is organized the 2nd time in 2022 and based on transparency.

Awarding body: Awarding body:

VISA REFINITIV UNDER

LONDON STOCK
EXCHANGE GROUP

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

INTERNATIONAL AWARDS (continued)

On October 28th 2022, Vietcombank was honored the VISA Awards 2022 with 9 items of
important awards granted by VISA Inc at the Phu Quoc (Kien Giang province These awards represent Vietcombank’s ceaseless efforts in
10 Awards received by Vietcombank including:
investing, innovating and improving products and services,
affirming customers’ trust on Vietcombank.
VIETCOMBANK Leadership in Payment Volume 2022

HONORED Leadership in Cross-border eCommerce Payment Volume 2022

WITH ITEMS OF November 2022, Anphabe Career Community and Intage Market Research Company
Leadership in Commercial Payment Volume 2022 announced the list of best workplaces in Vietnam in 2022. It is the 9th version of the award.
IMPORTANT
AWARD OF Leadership in Domestic eCommerce Payment Volume 2022
11 Vietcombank continued to affirm its position as the most attractive workplace by 1st rank in
the banking industry and 3rd in Vietnam market, top 50 most attractive employer brands. As
the survey results, Vietcombank continued to maintain a leading position in the 7th consecutive
VISA INC
Leadership in Debit Payment Volume 2022 THE BEST year as the best workplace in the banking industry in Vietnam.

WORKPLACE IN
Leadership in Credit Payment Volume 2022
Awarding body: BANKING INDUSTRY
VISA Leadership in Merchant Sales Volume 2022 IN VIETNAM IN 7
Leadership in eCommerce Merchant sales Volume Growth 2022 CONSECUTIVE
YEARS
Leadership in Acceptance Network Coverage 2022 According to the survey results, Vietcombank to maintain
Awarding body: a leading position in the 7th consecutive year as the best
These awards represent Vietcombank’s ceaseless efforts in investing, innovating and improving
ANPHABE & INTAGE workplace in the banking industry in Vietnam.
products and services, affirming customers’ trust on Vietcombank. At the awarding ceremony
of Visa Awards 2022, Vietcombank took the most of awards in the banking industry.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

VIETCOMBANK AWARD 2022 (continued)

INTERNATIONAL AWARDS (continued)

On November 17th 2022, Fitch Ratings – credit rating agency announced the annual credit
rating results 2022. Fitch Ratings upgraded Vietcombank’s credit rating to BB from BB- with
12 positive outlook. 13
According to Fitch’s report, after years of rating support of Vietnam Government for
The Asia Banker has recently announced the rankings of 500 strongest banks in Asia Pacific
FITCH RATINGS commercial banks, Fitch affirmed Vietnam Government support rating is positive and ready TOP 500
to support banking system, especially moves of State Bank of Vietnam in the last two months. in 2022 by its balance sheet.
AFFIRMED STRONGEST BANK
Therefore, Fitch has upgraded the Government’s support ratings for Vietcombank to BB from
VIETCOMBANK’S BB-. As a result, Vietcombank’s long-term Issuer default ratings are upgraded to BB with IN ASIA PACIFIC The ranking is based on criteria including total asset, capital adequacy ratio (CAR), loan
positive outcook. balance, loan to deposit ratio (LDR), etc. Besides Asia Pacific,the ranking was expanded
CREDIT RATING to other areas such as bankings in Middle East, Africa and Central Asia and Islamic banks
Fitch also upgraded Vietcombank’s Viability Ratings (VR) to BB- thanked to stable liquidity, worldwide.
Awarding body:
good asset quality, high non-performing loan ratio, with positive effects on its profitability.
FITCH RATINGS Awarding body:
The upgrade of Vietcombank’s credit ratings affirmed its efficient business performance in
THE ASIAN BANKER
the past time and motivated Vietcombank to perform its business plan in 2022 and the
coming years.
CERTIFICATION BY FOREIGN BANKS
Bank Certification

Wells Fargo Bank, N.A. Excellent International Payment Quality Award

Excellent International Payment Quality for MT202 STP

of 99.97% Award
J.P.Morgan Chase Bank, N.A.
Excellent International Payment Quality for MT103 STP
of 99.04% Award

The Bank of New York Mellon Excellent International Payment Quality Award

Citibank, N.A. Excellent International Payment Quality Award

Standard Chartered Bank Excellent International Payment Quality in USD

HSBC Bank Plc Excellent International Payment Quality in USD

ANZ Group Excellent International Payment Quality in AUD

58 59
 O O IST NK UM E S H A C O
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62 Financial report

LL E N G E IS A N B T HA C O L Y N 1 E N G
I
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E R H N
quadrillion
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64 Changes to shareholding structure and shareholders’ equity

1 G VE EN C B T L L M I
C L C E R E N IN O ST N K M S A O
66 Implementation of projects

R
E TE N T K B TH LE M L Y S I A N U G E C H RC T
N M L O
IS BA E NU GE CH ERC TEN CO R 1 THE ALLE MING OV NS T N B N E S
72

I
Assessment on business performance in 2022

S S A
N R 1 TH LEN E B
78 Orientation of business operation in 2023

N G O V SIS K
N UM B E S C H O L
T KY C O
R 1
E I N A C
82 Assessment by Board of Directors

B S A L M L Y B N G G R E N E
M NGE CH CO TENT K C ER 1 E N LLE MIN OVE SIST BAN UMB ES
O
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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

FINANCIAL REPORT

Unit: VND billion, %

FINANCIAL STATUS TABLE
TOTAL ASSETS
0 500,000 1,000,000 1,500,000 2,000,000
2021 2022

Report on financial

Total assets 1,414,986 1,813,815 2022 1,813,815

Revenue 95,061 114,592

Taxes and other payable items (Amount paid in the period) 7,940 6,426
2021 1,414,986

28.2 %
Profit before tax 27,486 37,368

Profit after tax 22,017 29,919 Unit: VND billion

Key financial indicators

Capital

Charter capital 37,089 47,325

REVENUE
0 40,000 80,000 120,000
Capital adequacy ratio 9.31% 9.95%

Business results

Deposits 23,684,123 31,179,393 2022 114,592

Loans 1,924,484 2,350,654

Debt collection 1,805,584 2,165,840

2021 95,061

20.5%
Non-performing loans 6,121 7,820

Loans (including corporate bonds)/Total deposits in 1st market (in VND) 84.38% 91.12% Unit: VND billion

LDR ratio pursuant to regulations of the State Bank (*) 77.8% 73.9%

Non-performing loans/Total outstanding loans in 1st market 0.63% 0.68%

Liquidity
PROFIT BEFORE TAX
0 10,000 20,000 30,000 40,000

Liquidity reserve ratio 13.9% 25.0%

Liquidity ratio within 30 days

2022 37,368
VND 72.6% 73.1%

USD and foreign currencies in USD equivalent 61.6% 96.3%

The data in line with the audited Consolidated Financial Statements. In which, the data for 2021 are re-presented according 2021 27,486

36 %
to ones of the State Audit Office.

Unit: VND billion

LDR and affordability ratios calculated for individual data. In which, the LDR as of December 31st, 2021 and December
(*)

31st, 2022 are calculated according to the provisions of Circular No. 22/2019/TT-NHNN and Circular No. 22/2019/TT-
NHNN, amended and supplemented in Circular No. 26/2022/TT-NHNN, respectively.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CHANGES TO SHAREHOLDING
STRUCTURE AND SHAREHOLDERS’ EQUITY
(AT DECEMBER 30TH, 2022) LIST OF SHAREHOLDERS HOLDING RESTRICTED SHARES
SHARES

4,732,516,571
Number of Number of Transfer Share transfer restriction
Number of No. Shareholders Total shares
Total shares Type of shares transferable Restricted Shares duration
restricted shares
shares
State Bank of Vietnam (Representative
TOTAL SHARES 1 3,540,074,921 3,540,074,921 According to the
4,732,516,571 Ordinary shares 482,531,290 4,249,985,281 of Government’s shares)
provisions of Clause 1,
Article 56 of the Law
2 Internal shareholders 50,583 26,986
SHAREHOLDING on Credit Institutions
No. 47/2010/
STRUCTURE Board of Directors 16,031 16,031 QH12: “Individual
10.2% and Institutional

25,183
Shareholders who have
0.57% Board of Management 23,597 0
representative(s) being
15.0% 1.04% members of the Board
SHAREHOLDERS Supervisory Board 10,955 10,955 of Directors, Supervisory
0.06% Board, CEO (Director)
State Bank of Vietnam
Foreign strategic shareholder: Mizuho of a credit institution
Foreign strategic shareholder Mizuho Bank, Ltd. 3 709,883,374 709,883,374
Bank, Ltd. shall not be allowed to
Other shareholders: Other
transfer his/ her shares
Domestic individual shareholders shareholders
74.8% 8.53% Total 4,250,008,878 4,249,985,281 during his/ her term”.
Domestic institutional shareholders
Foreign individual shareholders
Foreign institutional shareholders

* According to Decision No. 1493/QD-NHNN dated September 17th, 2021 of the State Bank of Vietnam on appointing
the representative for Government’s shares at Vietcombank, Mr. Pham Quang Dung - Chairman of Vietcombank’s
Number of Board of Directors represents 40% of Government’s shares, is the Representative for Government’s shares in charge
No. Shareholders Total shares Ownership rate
shareholders of general management at Vietcombank.
State Bank of Vietnam
I 3,540,074,921 74.8% 1 * According to Decision No. 909/QD-NHNN dated April 26th, 2019 of the State Bank of Vietnam on official transfer,
(Representing Government ownership)
Mr. Do Viet Hung was appointed to represent 30% of Government’s shares at Vietcombank.
II Foreign strategic shareholder Mizuho Bank, Ltd. 709,883,374 15.0% 1

III Other shareholders 482,558,276 10.2% 25,181 LIST OF MAJOR SHAREHOLDERS

1 Domestic individual shareholders 27,286,869 0.57% 23,801 No. Shareholders Address Total shares Ownership rate

2 Domestic institutional shareholders 48,809,859 1.04% 148 47-49 Ly Thai To, Hoan Kiem,
1 STATE BANK OF VIETNAM 3,540,074,921 74.8%
Hanoi

3 Foreign individual shareholders 2,884,971 0.06% 1,382 1-5-5 Otemachi, Chiyoda-ku,

2 MIZUHO BANK. LTD 709,883,374 15.00%
Tokyo, Japan

4 Foreign institutional shareholders 403,576,577 8.53% 220

Total 4,732,516,571 100.00% 25,183 (Source: Shareholders list as at December 31st, 2022 provided by Vietnam Securities Depository)

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IMPLEMENTATION OF PROJECTS

INVESTMENTS/DIVESTMENTS IN 2022 SUBSIDIARIES, JOINT-VENTURES AND ASSOCIATES

In 2022, Vietcombank has implemented activities as follow: (i) increased investment capital in Vietcombank Securities Co., GENERAL INFORMATION OF SUBSIDIARIES
Ltd; (ii) divested all investment capital from Ho Chi Minh City Small and Medium Enterprises Credit Guarantee Fund; (iii)
divested a part of investment capital from Vietnam Airlines Corporation. In particular:
Unit: VND billion Unit: VND billion

Investment capital as of Investment capital as of Increase/decrease Investment capital

No. Unit name Abbreviation Ownership
December 31st, 2022 December 31st, 2022 investment capital Company name Business Licence Sector as of December
name rate
31st, 2022
1 Vietcombank Securities Company, Ltd. 1,734.82 700.00 1,034.82 Business License No. 09/ GPHDKD
dated April 24th, 2002 with latest
Ho Chi Minh City Small and Medium amendment in accordance with
0 1.86 1.86 Vietcombank
Enterprises Credit Guarantee Fund VCBS license No. 93/GPDC-UBCK dated Securities 1,734.82 100%
Securities Co., Ltd.
September 27 th 2022 issued by
2 Vietnam Aviation Corporation 248.77 379.22 130.45 the State Securities Commission of
Vietnam.

Business License No. 66/ GPNHNN

Vietcombank Financial
VCBL dated October 31st , 2017 issued by 500.00 100%
Leasing Co., Ltd. leasing
State Bank of Vietnam.

Business Registration Certificate

No. 0314633162 dated September
Vietcombank
20 th, 2017 with latest amendment Remittance
Remittance Co., VCBR 30.00 100%
on December 27 th, 2021 issued by services
Ltd.
Ho Chi Minh City Department of
Planning and Investment.

Business License No. 88/BOL dated

Vietcombank Laos
VCB Laos May 25th, 2018 issued by the Bank Banking 1,820.40 100%
Limited
of Lao P.D.R.

Business registration No. 58327

Vietnam Finance Financial
VFC dated February 10 th, 1978 issued by 235.22 100%
Company VFC services
the Hong Kong Monetary Authority.

Business Registration Certificate

No. E0321392009_6 dated June Remittance
VCB Money, Inc VCBM 204.98 87.5%
15th, 2009 issued by the State of services
Nevada, United States of America.

Investment License No. 1578/GP

Vietcombank dated May 30 th 1996 with the latest
Office
Tower 198 Co., VCBT amendment in accordance with 70.00 70%
leasing
Ltd. dated March 1 st, 2019 issued by the
Ministry of Planning and Investment.

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IMPLEMENTATION OF PROJECTS (continued)

SUBSIDIARIES, JOINT-VENTURES AND ASSOCIATES (continued)

SUMMARY OF SUBSIDIARIES’ PERFORMANCE AND FINANCIAL SITUATION

VCBL is a subsidiary, 100% owned by Vietcombank, operating in the field of financial VCB Laos is a subsidiary 100% owned by Vietcombank, operating in the field of financial

VCBL VCB Laos

leasing. In 2022 the Company continues to maintain stable operations. Profit before tax in & banking services in Laos. Despite loads of market fluctuations in 2022, VCB Laos still
2022 reached VND 132.23 billion. maintains its stable business performance. Profit before tax in 2022 reached 23.45 LAK
billion.
Vietcombank Leasing PROFIT BEFORE TAX Vietcombank Laos

132.23
Co., Ltd. Limited PROFIT BEFORE TAX

VND billion
LAK 23,45 billion

VCBS is 100% owned by Vietcombank, operating in the securities sector. Despite numerous VCBM is a subsidiary with 87.5% of charter capital owned by Vietcombank, providing

VCBS VCBM
fluctuations in securities market, the Company continued to maintain good operating results. remittance services in the U.S and transferring money to Vietnam through domestic
Profit before tax of the company in 2022 reached VND 250.19 billion. partners. In 2022, VCBM maintained stable operations with profit before tax reached USD
693 thousand.
Vietcombank Securities VCB Money, Inc
PROFIT BEFORE TAX PROFIT BEFORE TAX
Co., Ltd.

VND 250.19 billion USD 693,000

VFC is a subsidiary 100% owned by Vietcombank, operating in the field of financial services VCBT is a joint venture between Vietcombank and FELS Property Holdings Pte, Ltd. of

VFC VCBT
in Hong Kong. In 2022 the Company continues to maintain stable operations. Profit before Singapore with a capital contribution ratio of 70:30. It operates in the field of office leasing
tax of the company in 2022 reached HKD 1.17 million. at Vietcombank Tower locating at the address of No. 198 Tran Quang Khai, Hoan Kiem,
Hanoi City. In 2022 the Company continues to maintain stable operations with the leasing
Vietnam Finance PROFIT BEFORE TAX Vietcombank Tower rate of 100%, profit before tax in 2022 is VND 75.32 billion.

1.17
Company VFC 198 Co., Ltd.
PROFIT BEFORE TAX

75.32
HKD million

VND billion

VCBR is a wholly-owned subsidiary of Vietcombank, operating in the field of receiving

VCBR
remittances from foreign partners and making payments to beneficiaries in Vietnam. In
2022 the Company continues to maintain stable operations. Profit before tax of the
company in 2022 reached VND 10.12 billion.
Vietcombank
PROFIT BEFORE TAX
Remittance Co., Ltd.

VND 10.12 billion

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

IMPLEMENTATION OF PROJECTS (continued)

SUBSIDIARIES, JOINT-VENTURES AND ASSOCIATES (continued)

GENERAL INFORMATION OF JOINT VENTURES - ASSOCIATES SUMMARY OF JOINT VENTURES - ASSOCIATES’ PERFORMANCE AND FINANCIAL SITUATION
Unit: VND Billion
Investment capital
Abbreviation Ownership VBB is the joint venture between Vietcombank, Ho Chi Minh Commercial Services JSC.
Company name Business Licence Sector as of December

VBB
name rate (Setra Corp.) and Bonday Investments Ltd. (Hong Kong) with contribution ratio of 52%, 18%
31 , 2022
st
and 30% respectively. It operates in the field of office leasing, locating at No. 5 Me Linh
No. 2458/GP issued by the Square, District 1, HCMC. It is also responsible for providing office space for Vietcombank’s
Vietcombank – Ministry of Planning and Vietcombank – Bonday branches and subsidiaries in HCMC. In 2022 the Company continues to maintain stable
Bonday – Ben Investment on February 07 th, – Ben Thanh operations with a rental rate of 98%. Its profit before tax in 2022 was VND 183.08 billion.
VBB Office leasing 410.36 52%
Thanh Joint-venture 2005 with latest amendment Joint-venture Company
Company Limited No. 2458/ GCNDC2/41/1 dated Limited
December 28 th, 2012. PROFIT BEFORE TAX
No. 06/UBCK-GPHĐQLQ issued
by State Security Commission of VND 183.08 billion
Vietcombank Fund Vietnam dated December 02nd, Fund
VCBF 135.15 51%
Management 2005; latest amendment No. 17/ management
GPĐC-UBCK dated February
09 th, 2018.
No. 283/GP issued by the VCBF is a joint venture between Vietcombank and Franklin Templeton with contribution

VCBF
Vietcombank – Ministry of Planning and ratio of 51% and 49% respectively. VCBF operates in the field of fund and investment
Bonday Joint-venture VCBB Investment on December 5th, 1991 Office leasing 11.11 16% portfolio management. In 2022 the Company continues to maintain stable operations. Its
Company Limited with latest amendment No. 283/ profit before tax in 2022 was VND 10.52 billion.
GPĐC4 dated March 4th, 2002.
Vietcombank Fund
PROFIT BEFORE TAX
Management

VND 10.52 billion

VCBB is a joint venture between Vietcombank, Sai Gon Real Estate Corporation and

VCBB
Bonday Investments Ltd., Hong Kong. It operates in the business of office leasing - The
Harbour View Tower locating at No. 35 Nguyen Hue Str., District 1, Ho Chi Minh City. In
2022, the Company still maintained its stable performance, its profit before tax reached
Vietcombank – Bonday VND 45.11 billion.
Joint Venture Company
Limited PROFIT BEFORE TAX

VND 45.11 billion

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT ON BUSINESS PERFORMANCE

IN 2022
VIETCOMBANK’S BUSINESS PERFORMANCE RESULTS MANAGEMENT PERFORMANCE IN 2022

Governance closely follows the action motto “Transformation, Efficiency, and

Following the SBV’s executive direction, VCB’s Board of Management has oriented Sustainability” and closely adheres to the guiding concept of “Responsibility -
and directed fiercely, flexibly and consistently to successfully complete the 2022 Aggression - Creativity” to implement 03 “focuses”, 06 “breakthroughs” in
plan targets. 2022.

1 1

MOBILIZATION OF Capital mobilization from market I reached VND 1,257,806 billion, up ~9% compared to OPTIMAL ORIENTED VCB always accompanies and shares difficulties with customers. In the last 2 months
CAPITAL IS MANAGED 2021, reaching 100% of the plan in 2022. The proportion of average capital mobilization CREDIT GROWTH of 2022, VCB has reduced lending interest rates by 1% for loans denominated in VND.
from current deposits reached 34%, an increase of 1.8 percentage points compared to
IN LINE WITH CREDIT Credit growth from the beginning of the year to maximize the efficiency of capital use,
2021.
GROWTH; CAPITAL the growth rate is always controlled according to the ceiling level assigned by the SBV.
MOBILIZATION AND Credit balance reached VND 1,156,148 billion, up ~19% compared to the end of 2021,
Credit balance has changed according to orientation, customers, and product lines;
CREDIT STRUCTURE reaching 100% of the 2022 plan, controlling within the growth rate assigned by the SBV.
expanding to those chain business lines.
CONTINUED TO MOVE IN
Effectively deploying competitive lending interest rate programs associated with the
THE RIGHT DIRECTION development and use of associated products and services.

2 2

GOOD CONTROL OF Group 2 debt ratio is at 0.35%, bad debt ratio for customers is at 0.68%, lower than MOBILIZING CAPITAL The interest rate is adjusted flexibly and timely according to the demand for capital use
CREDIT QUALITY the assigned plan. IN ACCORDANCE WITH and ensures compliance with the prudential ratio.
The ratio of provision for bad debts on the balance sheet reached the highest level in THE EFFICIENCY OF New policy of E-bank transaction fee, timely adjustment of internal interest rate to
the banking system. CAPITAL USE maintain the growth of current deposit and foreign currency deposits.

3 3

IMPRESSIVE SALES International payment and trade finance volume increased by 31.8% compared to 2021. DIRECTING AND “Retail” pillar
GROWTH TARGET Foreign currency trading volume increased by 16.3% in comparison to 2021. IMPLEMENTING Completing the transformation of Sales and Customer Service models under the RTOM2
03 PILLARS TO project at 30 branches.
The targets of card making, insurance, and wholesale-retail customer development all Implementing RLOS retail credit model at 30 branches.
GRADUALLY COMPLETE
achieved impressive growth, from 37% to 100%.
06 STRATEGIC Finalizing the design of customer policy by segment in the RTOM2 Project.
BREAKTHROUGHS Free transactions, money transfer on digital channels to participate in the implementation
of the Government’s goals on socialization of non-cash payment.
AND 03 BUSINESS
4 Promoting new products, services and features provided on digital channels.
RESTRUCTURING
SUSTAINABLE Profit before tax completes the plan assigned by the SBV and the General Meeting of FOCUSES “Service” pillar
BUSINESS GROWTH; Shareholders in 2022. Promoting sales of products and services on digital channels; expanding public services
connecting payment.
FINANCIAL CAPACITY IS The proportion of service fees and foreign currency trading reach 20.1% of total operating
Implementing marketing and sales campaigns on the basis of customer behaviour analysis.
STRENGTHENED income.
Promoting the available advantages of diversified and specialized products and
Recovery of written-off loans totaled VND 2,395 billion services, applying technology to promote international payment - trade finance, foreign
ROAA and ROAE indexes remain high, at 1.85% and 24.44% respectively. currency trading.

VCB continues to be the listed company with the largest capitalization on the Vietnam “Investment” pillar
Stock Market, entering the Reuters’ top 100 listed banks with the largest market The structure is suitable for the proportion of Government bond investment portfolio.
capitalization by the end of 2022. Flexible and efficient management of valuable papers issued by credit institutions.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT ON BUSINESS PERFORMANCE

IN 2022 (continued)
MANAGEMENT PERFORMANCE IN 2022 (continued)

4 7

IMPLEMENTING THE Directing the effective implementation of strategic technology projects of the Bank as a SOME OTHER KEY Implementing the policy to support interest rates from the State Budget for customers
TRANSFORMATION foundation for product and service development. according to the Decree 31 & Circular 03.
ACTIVITIES
ACTION PLAN; 36 out of 50 conversion projects have been completed and Go-live actively contributes Strengthening customer relationship connection through signing cooperation agreements
IMPROVING to the implementation of VCB’s digital transformation roadmap. with major customers.
SERVICE QUALITY Implementing the consulting project on capacity building and implementing the Continuing to promote social security activities with a total commitment of VND 487
AND CUSTOMER Transformation Action Program. billion (disbursed VND 383 billion) in 2022.
EXPERIENCE;
The Wholesale Banking Division promotes the implementation of the digital platform In 2022, VCB was voted for the 7 th consecutive time as the bank with the best working
AUTOMATION AND with products provided to customers. environment in Vietnam; for the 3rd consecutive year receiving the award “Typical
OPTIMIZATION OF Enterprise for Employees”.
The Retail Banking Division successfully transforms the new core system for Digibank.
OPERATIONS
VCB was honored to be awarded the title of Labor Hero by the Party and State.
Completing the development of a plan to compulsory acquire a credit institution, meeting
the schedule of the SBV.
5
NUMBER OF COMPLETED NUMBER OF TRAINING PROMOTING SOCIAL Voted for the 7th consecutive time as
STRENGTHENING Approving to implement the Basel orientation for the content of capital calculation for TRANSFORMATION CLASSES FOR OFFICERS SECURITY ACTIVITIES WITH THE BANK HAVING THE BEST
credit risk according to the basic internal Basel II method (F-IRB) combined with a PROJECTS AND LEADERS: TOTAL COMMITMENT WORKING ENVIRONMENT IN
RISK MANAGEMENT
number of Basel III regulations. At the same time, carrying out necessary tasks and VIETNAM
CAPACITY,

36 4.86 487
preparing capacity to apply Basel III according to the regulations of the Basel Committee For the 3rd consecutive year,
CONTROLLING CREDIT
and the SBV. received the award
QUALITY AND ACTIVELY out of 50 projects turns/officer VND billion
“TYPICAL ENTERPRISE FOR
HANDLING OVERDUE Reviewing and promptly adjusting credit orientation by economic sector and by category; up 42.6% compared to 2021 disbursed VND 383 billion EMPLOYEES”
debt-oriented quality control.
DEBT
Strengthening supervision, urging and directing the handling of overdue debt at branches.
Ensuring liquidity ratios in compliance with regulations.
Maintaining adequate tools to control and limit operational risks; maintaining business
continuity.
Completing the project “Consulting on enhancing capacity for anti-money laundering/
anti-terrorist financing of VCB”.

PERFECTING THE Consolidating senior and mid-level personnel; rearranging the organizational model at
ORGANIZATIONAL MODEL the Head Office, the RTOM model at the Branches.
AND DEVELOPING THE Enhancing training activities, the number of training sessions reached 4.86 turns/staff,
NETWORK OF ACTIVITIES; an increase of 42.6% compared to 2021; training staff and leaders at the Head Office
FOCUSING ON basic and advanced knowledge about Agile methods, Digital Supply Model.
PROMOTING TRAINING Scientific research is promoted and implemented seriously and methodically.
AND DEVELOPMENT OF
Successfully organizing the initiative contest “Vietcombank: 60 years of Innovation &
HUMAN RESOURCES Creativity”.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT ON BUSINESS PERFORMANCE

IN 2022 (continued)
HUMAN RESOURCES POLICIES

1 3

REMUNERATION The salary mechanism of Vietcombank is built on the principle of paying according to SOCIAL INSURANCE Employees at Vietcombank are entitled to participate and enjoy social insurance regimes
STRUCTURE position, job title, complexity of work, requirements for professional qualifications, salary REGIME in accordance with the State’s regulations. Vietcombank actively cooperates with the
distribution associated with business performance, level of work completion to create social insurance agency in settling benefits for employees quickly and in a timely manner
motivation so as to improve labour productivity, quality and work efficiency. The salary and ensuring maximum benefits for employees on maternity and sick leaves.
policy is regularly reviewed and improved to be more suitable with actual operating
conditions, ensuring internal fairness and competition in the market.
The average income of employees at VCB is guaranteed and has grown over the years, 4
reaching a high level compared to the common level of the market.
CAREER DEVELOPMENT Personnel planning is carried out periodically in the Vietcombank system in order to
2
OPPORTUNITIES create a source of successors and serve as the basis for developing training and retraining
The non-wage remuneration for employees at Vietcombank is quite diverse, such as: plans, and appointing management positions to meet the Bank’s requirements of business
WELFARE REGIME
organizing periodic health check-ups; buying health insurance, life insurance; giving needs. Vietcombank is always interested in discovering, training, fostering and creating
gym membership cards; payment of allowances/support for maternity and sick leaves; development opportunities for talented young staffs in order to build and rejuvenate the
payment for lunches, uniform, vacation, birthday celebration, wedding/funeral, travel management team. Vietcombank has also developed and promulgated mechanisms and
support for holidays, allowance for retired workers, support for child care expenses, policies on rotation and change of job positions in order to effectively use the staffs,
rewards for employees’ children having good academic record, etc. creating conditions for staffs to be trained, challenged, supplemented, and trained to gain
practical experience and have more career development opportunities.
Employees are also facilitated to participate in training at home and abroad, and are paid/
supported by Vietcombank for training costs as prescribed in the Training Regulations;
be rewarded regularly/unexpected according to the Regulations on Emulation and 5
Commendation.
SURVEY OF INTERNAL The surveys to evaluate internal customer satisfaction (ICS) and employee engagement
In addition, Vietcombank’s Trade Union and Youth Union regularly coordinate to organize (EES) are carried out annually by Vietcombank through an independent and professional
CUSTOMER
activities to take care of the material and spiritual life of employees, helping to balance consulting unit. The survey results show that the scores of the indicators are increasingly
life and connect employees in the whole system, such as: establishing and supporting SATISFACTION
improved over the years and are at the “excellent” level of the market, showing the
internal clubs (yoga, running, table tennis, tennis, badminton, etc.); organizing running AND EMPLOYEE
satisfaction and high level of commitment of employees with Vietcombank.
races and activities on International Children’s Day June 1st , Mid-Autumn Festival, ENGAGEMENT
Vietnamese Women’s Day October 20 th, International Women’s Day March 8 th; giving
movie tickets, tickets to amusement parks, tickets to attend book fairs for employees,
letters of gratitude and gifts to parents of employees on the International Day of the
Elderly October 1st , etc.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ORIENTATION OF BUSINESS OPERATION

IN 2023
Sticking to the key tasks of the Government in 2023 and Directive 01 of the SBV,
connecting with VCB’s strategic development goals and mastering the action motto:
“Transformation, Efficiency, Sustainability”, the direction of “Responsibility
– Aggression – Creativity”, successfully implementing business goals to celebrate
the 60th anniversary of VCB’s establishment.

FOCUSING ON IMPLEMENTING 3 KEYS POINTS

6 BREAKTHROUGHS IN BUSINESS STRUCTURE TRANSFER

Enhance the quality of 1 2 3

Implement digital human resources, with
transformation action a particular emphasis on Ensuring credit growth along
program and digital adaptive human resources with credit restructuring to gain
for digital transformation; Strive to increase the proportion
transformation action plan efficiency and sustainability: of non-credit income by
on the approved schedule, Developing digital culture Increasing the proportion and Structure the capital portfolio
and apply Agile working concentrating on service increases efficiency. Strongly
ensuring quality. quality of collateral in total revenue, increasing services
methods. outstanding loans; wholesale develop VCB’s market-making
through digital channels and

1 2
credit growth associated position.
improving service quality and
with customer and service customer experience.
development; growth of retail
credit, credit at Transaction Office

6
but still ensuring credit quality.
Deeply innovating
Timely implementing the growth model

6 3
the plan to compulsory in conjunction
acquire a weak credit
institution with the BREAKTHROUGHS
with reorganizing
operations; promoting SOME KEY INDICATORS
highest determination. the overall strengths
of the VCB system.
TOTAL ASSETS DEPOSITS OF FIRST MARKET CREDIT

5 4
Growth in lockstep with

9% 14%
credit growth
increased by LDR is not higher than increased by
compared to 2022 realization in 2022 compared to 2022

Promoting customer BAD DEBT RATIO PROFIT BEFORE TAX

Improve the mechanism
and policy system. care and product

15%
development.

< 1.5% increased by

compared to 2022

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ORIENTATION OF BUSINESS OPERATION

IN 2023 (continued)
KEY MISSION 6

CONTINUING TO “Retail” pillar

1
CONSISTENTLY Completing the implementation of replication of the RTOM 2 model; expanding the
WELL CONTROLLING Credit growth in the direction of customers and industries; extending short-term credit IMPLEMENT 03 PILLARS scope of application of retail credit model.
CREDIT GROWTH associated with accompanying products and services. “RETAIL - SERVICE Increasing the number of customers using digital channels; SME customers using Digibiz
ACCORDING TO THE Closely monitoring the operation and credit quality of customers. Actively withdrawing - INVESTMENT” TO packages.
CREDIT CEILING OF THE and reducing outstanding loans for customers with low efficiency and high potential risks. GRADUALLY COMPLETE Developing credit products on a digitized platform; accelerating the supply of multi-
SBV AND IMPLEMENTING 06 STRATEGIC channel products and services.
Implementing pilot loan programs under RTOM2 at the Branches.
THE PORTFOLIO BREAKTHROUGHS
“Service” pillar
STRUCTURE ACCORDING AND 03 BUSINESS
RESTRUCTURING Maintaining and promoting advantages in foreign currency trading, international payment
TO THE HEAD OFFICE’S
– trade finance.
ORIENTATION FOCUSES
Developing and expanding financial services.
2 Deploying product and service packages according to customer segments.
MANAGING CAPITAL Capital mobilization from market I grew in line with credit growth. Expanding cooperation with partners providing non-banking services, Fintech companies.
MOBILIZATION FLEXIBLY Deploying effective solutions to optimize processes and tools for providing services to
Closely following market movements, capital sources - capital use of VCB to promptly
AND EFFICIENTLY customers at the counter.
have appropriate capital mobilization solutions.
Strengthening customer development to raise new capital. “Investment” pillar
3 Effectively managing the Bank’s balance sheet structure.
STRENGTHENING RISK Strictly controlling the quality of credit portfolio by industry and field. Promoting the sale of currency derivatives and interest rate derivatives.
MANAGEMENT, SPEED- Strengthening the management of debts being restructured, limiting the transfer of bad debts. 7
ING UP THE RECOVERY
Regularly reviewing, evaluating, monitoring and checking customers and quality of collaterals. ACCELERATING THE Implementing effectively, with quality and on schedule the Transformation Program and
OF WRITTEN-OFF ITEMS
IMPLEMENTATION Action Plan.
Strengthening operational risk control, focusing on inspection and supervision of
transaction activities, especially those transaction offices located far from the Branch’s OF THE DIGITAL Internal communication raises awareness and the importance of digital transformation
Head Office. TRANSFORMATION to develop Agile culture, applying new working methods and gradually becoming parts
4 ACTION PROGRAM of VCB culture.

FOCUSING ON Promoting sales by chain and ecosystem; deploying customer policies for target customer Promoting the supply of products, services, and customer care policy information on
segments. digital channels.
PROMOTING CUSTOMER
DEVELOPMENT Implementing drastically the transfer of customers, customer groups, customer chains Upgrading, improving and expanding system capacity to enhance digitization of specific
to digital channels. stages in the credit granting process.

Improving the capacity of the sales team; guiding the Branches to organize sales
campaigns suitable for each customer segment. 8

Implementing emulation programs to develop new customers. OTHER WORK Strengthening inspection and supervision, overcoming inspection conclusions.
Deploying branch digitization solutions to enhance customer experience. Continuing to strengthen the organizational structure, developing the network and
improving the quality of human resource training.
Developing a potential young customer base towards digital experiences, digital
interactions and communication of financial services on digital platforms. Strengthening infrastructure capacity, ensuring safety and security for IT systems.
5 Continuing to perfect and refine the electronic invoice system; digitizing documents/
Improving, perfecting and diversifying credit products, specialized wholesale deposit storage in VCB system.
PRODUCT AND SERVICE
DEVELOPMENT products, investment banking products, chain products. Successfully preparing and organizing a series of events and activities to celebrate the
Focusing on developing products and services designed for customer segments. 60 th anniversary of VCB.

Deploying new card products for the high-end customer segment. Organizing the implementation of social security work according to the plan.

Improving the processes on payment account opening, designing appropriate forms.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT BY BOARD OF DIRECTORS

INDEPENDENCE OF THE BOARD OF DIRECTORS’ MEMBERS EVALUATION OF THE BOARD OF DIRECTORS IN TERMS OF ACTIVITIES
The Board of Directors has Not being a person who is working for the Bank itself or its subsidiaries or has worked In 2022, the Joint Stock Commercial Bank for Foreign Trade of Vietnam (VCB)
01 independent member for the Bank or its subsidiaries for the previous 03 (three) consecutive years.
who fully meets the criteria
continues to implement the action motto “Transformation, Efficiency, and
and conditions specified in
Not being the recipient of the regular salary and remuneration of the Bank in addition to Sustainability” and the guiding and operating point of view: “Responsibility -
the allowances that the members of the Board of Directors are entitled to as prescribed.
the Charter of the Bank and Aggression - Creativity”; which emphasizes restructuring business activities towards
the following standards and Not being a person, whose spouse, father, mother, child, brother, sister and husband is
conditions: a major shareholder of the Bank, a manager or a member of the Supervisory Board of
efficient growth, improving service quality, customer experience, sustainable service
the Bank or a subsidiary of the Bank. income structure, increasing efficiency of capital structure, strongly developing its
Not directly or indirectly owning or representing 1% or more of the Bank’s charter capital market-making position, continuously improving labor productivity.
or voting share capital; not with a related person own 5% or more of the charter capital
or voting share capital of the Bank. In 2022, the Covid-19 pandemic, geopolitical instability, escalating inflation and sharply rising interest rates have negatively
Not being a manager or a member of the Supervisory Board of the Bank at any time affected the world and domestic economy. However, with the active and flexible management direction, safe and effective
in the preceding 05 years. growth orientation, VCB continues to comprehensively and excellently complete the assigned tasks and targets.

Annually at the General Meeting of Shareholders, independent members of the Board of Total assets reached ~ VND 1,8 the 2022 plan. International payments
Directors shall report on the performance of the Board of Directors. quadrillion, rising 28.2% from 2021 – trade finance sales reach 135 USD
BUSINESS RESULTS levels and accounting for 117.3% of the billion, up 31.8% compared to 2021,
2022 target. completing 114.6 % of the plan in 2022.
International payments – trade finance
Funding base as a whole increased
share reach 18.5%, up 3.11 percentage
in lockstep with capital consumption.
points compared to 2021 and maintain
Funding from customer deposits
the leading position in the market.
increased by 9% year on year to ~ VND
1.26 quadrillion, reaching ~ 100% of the Contributions to the state budget (taxes,
DEPOSITS OF FIRST MARKET
2022 goal. The average proportion of fees, and dividends) totaled about VND

VND 1.26 quadrillion

current deposits reach 34%, an increase
of 1.8 percentage points compared to
increased by 9% compared to 2021 2021 (32.2%).
10,798 billion in 2022, confirming the
bank’s position as a major contributor to
the state budget.
The largest credit growth scale in the Profit before tax increased by ~36%
CREDIT banking industry. Credit growth exceeds compared to 2021, reaching 122% of

1.15
~ VND 1.15 quadrillion, up 19% compared the 2022 plan. Business performance
VND quadrillion to the end of 2021, controlling within the improves with NIM reaching 3.51%, up
increased by 19% compared to growth rate assigned by the State Bank. ~0.24 percentage points compared to
the end of 2021 Wholesale and retail credit grows by 2021 (3.27%).
18.5% and 19.4%, respectively, compared
BAD DEBT RATIO Taking the lead in executing the
to the end of 2021.

0.68%
Government and State Bank of
Debt quality was strictly controlled. The Vietnam’s policy on interest reduction,
non-performing loans was VND 7,820 reduction, and free transactions for
significantly lower than the
billion, bad debt ratio stood at 0.68%, clients in order to minimize the impact
assigned plan
significantly lower than the assigned plan. of the COVID-19 pandemic, the total
CONTRIBUTIONS TO THE Recovery of written-off loans totaled profit of VCB exempted and reduced
STATE BUDGET totaled about VND 2,395 billion. for businesses and citizen directly and

10,798
indirectly affected by the Covid pandemic
Although service business and customer
in the two years 2020 and 2021 is over
VND billion
development are affected by the Covid
VND 10,200 billion, in 2022 it is more
pandemic and the free money transfer
in 2022, confirming the bank’s than VND 7,000 billion. Simultaneously,
position as a major contributor policy on VCB Digibank that was
actively deploying capital to the economy
to the state budget implemented from the beginning of
via new loans with the credit growth
2022, net fee collection and foreign
scale among the highest in the banking
currency trading completed 109% of
82
industry. 83
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT BY BOARD OF DIRECTORS EVALUATE THE PERFORMANCE OF THE BOARD OF DIRECTORS

(continued)
AND BOARD OF MANAGEMENT

EVALUATION OF THE BOARD OF DIRECTORS IN TERMS OF ACTIVITIES In 2022, in the context that the world provisions of the Law on Credit Institutions,
(continued) Members of the economy is under double impact from the Vietcombank’s Charter and Resolutions of
consequences of the Covid-19 pandemic the Board of Directors on management and
BOD and the and the Russian-Ukrainian conflict, with a direction.
In 2022, the Board of Directors has oriented the Board of Management to focus on
BOM always sense of responsibility and transparency in
DIRECTING,
ADMINISTRATION AND leading and directing the good performance of corporate governance, consistent with the considered interests governance, the Board of Directors and the The Board of Directors met in plenary
Board of Management have directing and session once a month to examine business
ADMINISTRATION
action motto “Transformation, Efficiency, and Sustainability” and direction of “Responsibility of shareholders, directing drastically, flexibly and consistently operations, analyzing the market, and then
- Aggression – Creativity”, focusing on implementing 03 “focuses”, 06 “breakthroughs” of
business in 2022, specifically as follows:
the State and the for Vietcombank to fulfill its 2022 plan targets making timely and practical policy and
Bank as top goals with sustainable growth results, complying direction decisions. At this plenary meeting,
with current legal regulations and operating the General Director presented a report on
Capital mobilization: Managing Directing the implementation of implementation, regulations of the Bank. The Board of all aspects of the bank’s operations; on the
In 2022, VCB capital mobilization flexibly, in line with of 03 business pillars including: well directed, Management has implemented Vietcombank’s implementation of the General Meeting
the situation of capital use and market Retail, Service, Investment to gradually
continues to movements. complete 06 strategic breakthroughs operated and business activities in accordance with the of Shareholders’ Resolutions, the Board of
commit to and 03 business restructuring focuses. direction and strategic goals, ensuring income, Directors’ Resolutions and Decisions; and
Credit work: Strictly implementing fulfilled their employee health and safety, and conducting on a variety of other topics at the request
implementing credit growth control in the right Accelerating the digital assigned duties and business with high responsibility to the of the Board of Directors. The Board of
direction; implementing a series of transformation action program and
social security solutions to effectively use the credit the transformation action plan. responsibilities. community and stakeholders. Directors assigned and delegated tasks to
programs with a limit to maximize profits, ensuring credit each member of the Board of Directors and
Deploying contents to prepare In December 2021, the BOD issued the a member of the Board of Directors and
total amount of quality while complying with the ceiling
for the 60 th anniversary of VCB’s Resolution No. 686 on business orientation General Director to direct implementation;
limit assigned by the SBV.

490
establishment. in 2022. During the year, the Board of the Board of Directors met weekly to
Effectively deploying competitive
~VND billion interest rate lending programs
Strengthening the organizational Directors supervised and directed the Board address and resolve matters, records, and
model and developing the of Management on Vietcombank’s business issues arising from practice within the Board
associated with the development and
operating network (approving the activities in accordance with the orientation of Directors’ authority and functions.
use of associated products and services.
policy of consolidating the structure and and strategic goals; solutions were actively
Pioneering in reducing interest rates to
operating model at the Head Office, and synchronously implemented, ensuring the Members of the BOD and the BOM always
support customers to restore production
establishing the Operations Division, progress of the pathway and goals assigned considered interests of shareholders, the State
and business activities with a profit
recruiting foreign experts to work for
reduction of up to 1% in the last 2 by the General Meeting of Shareholders, and the Bank as top goals of implementation,
the Technology Information Division &
months of 2022. the targets were fulfilled as planned, the well directed, operated and fulfilled their
Digital Transformation. Implementing
Strictly controlling the quality of credit many innovation projects to build a Board of Management complied with the assigned duties and responsibilities.
balances and structured loans according leading banking platform on digital
to Circular 03, ensuring that the bad transformation).
debt ratio is below 1.5%.
Successfully holding the 15th Annual
Speeding up the process of General Meeting of Shareholders.
recovering bad debts and written
Continuing to emphasize social
off items; strengthening supervision,
security and disease prevention.
urging and directing the handling of
In 2022, VCB continues to commit
overdue debt at branches, especially
to implementing social security
those with large written-off items,
programs with a total amount of
which are assigned in the prioritized
~VND 490 billion.
debt collection plans in 2022.

REMUNERATION OF EACH MEMBER OF THE BOARD OF DIRECTORS,

SALARY OF THE GENERAL DIRECTOR AND OTHER MANAGERS
The remuneration of each member of the Board of Directors, the salary of the General Director and other managers
are disclosed in the audited 2022 Consolidated Financial Statements of VCB (Note 41).

84 85
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ASSESSMENT BY BOARD OF DIRECTORS

(continued)

ACTION MOTTO IN 2023 In 2023, Vietcombank will Deploy the digital transformation action program and the Transformation
1
focus on implementing: Action Plan in accordance with approved schedule, ensuring quality.

The Board of Directors strengthens the role of orientation and supervision in operating
activities. The Board of Management closely leads and directs the business plan for Improve the quality of human resources, focusing on human resources
2 being adaptive for digital transformation. Develop digital culture in
2023. Associating business efficiency with ensuring health and safety, stabilizing jobs, Vietcombank and applying Agile working methods.
improving the material and spiritual life of officials and employees.
Innovate the growth model in depth, associated with restructuring
3 operations; promote the overall strengths of the entire Vietcombank

06
system.
Continuing to implement VCB’s strategic goals to 2025 and vision to 2030,
business activities are directed as follows:
BREAKTHROUGHS
4 Promoting customer care and product development.

5 Complete mechanisms and policies.

1 2 3 6
Deploying timely the plan on compulsory acquiring a weak credit
institution with the highest determination.

Action Motto: “Conversion, Directing and operating point Continuing to focus on

Efficiency, Sustainability”. of view: “Responsibility - implementing 6 breakthroughs
Aggression - Creativity” and 3 focuses in business Ensuring credit growth along with credit restructuring to gain efficiency
restructuring. and sustainability: Increasing the proportion and quality of collateral in
1 total outstanding loans; Wholesale credit growth associated with customer
and service development; Growth in retail credit and credit at transaction

03
offices is concurrent with credit quality assurance.

CENTRAL OBJECTIVES Strive to increase the proportion of non-credit income by concentrating

IN OPERATIONAL 2 on service revenue, increasing services through digital channels and
RESTRUCTURING improving service quality and customer experience.

Structuring the capital portfolio in the direction of increasing efficiency

3 and ensuring sustainable development. Strongly developing VCB’s market
making position.

86 87
 T T H E A T H H 1 B U I LS
A S
L ER R 1 B N G GE BE T R U R S O A ER
O ETH BE U I TO M P E G T H
E G G M RS L S N U N K T H G E B
TH TO N U KP U O A H E B A G T O U M
N G L S TH E AN HE G ER ER T 1 U IN LS E N P
SU I O A R 1 B T TH B U R S O A TH N K
R G E R G
U THE ETH BE UIN OG NU NK THE TH R 1 B G T E M P G ER A
K P G M S T E A E E
A N IN G TO N U U R L S T H 1 B IN G O G M B U IN
1 B S U L S TH E K P O A E R E R S U S T NU R S G
R
Pursuing
E theU Rgoals O A ER BA N E G TH M B U R O A L
H E K P U T H E
B K
M AN TH GE BE
Together
P E G TH R 1 TH G E N U K P E G R T A N G TO G
U
N 1B IN G TO
T H E A N T H H E 1 B U IN LS
R N G TO U M S U AL S R 1 B G E T E R R S O A R
B E U I L S E R
N PU GO ETH BE E R U IN
TO G M B PU E G T H E
S
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G M U RS L S N U N K T H G E MB
K E E BA T TO N U K P O A H E B A G T O U
T H
AN IOrganization H
T Human R 1 N G L S H E AN HE G R T R 1 U IN LS E N P
G
N TOG MB RS Eand E U I A
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O EOFR T ANH K
U Resources G
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TOTAL NUMBER
H 1 B T
G TH E T E R G
O H N G U R S H B G G B IN
22,599
G ER T B A UIN S T HE O N PU A L R T R 1 U IN TO U M S U G
H 1 S L T N K O E B E S LS N U R E
90 Organization and human resources

E T E R U R O A R A E G TH M PU R A H E K P T H G
G MB NK P G E B
H ER 1 G T OG E N NKH E U O T N
employees
92 Board of Directors

E E T E G E R A N G TO
U H
N 1 BA G T TOG MB SUIN LS T R TH 1 BA G TH ETH ER 1 RSU ALS R B I
94 Board of Management

R N LS U UR A HE ER N OG MB O HE
97 Division Heads

B E U I E N O U I PU G T
S A H K P G T B S T U K E E B
98

E
Supervisory Board

M PU R G O RT N H E G U M U R A L S E N N
A NG T H G M
E E A T O N P H B O U
99 Chief Accountant

N K H H 1 B G S T E N K G O T 1 I S T N
A ING GET BER UIN OAL R TH 1 BA THE HER BER RSU OAL THE NK P
T
U T O M R S G E E R G E T M P U G ER B A
S
R ALS E N K P U U T E H
H GET MB SUI TO E N ANK TH ET ER 1 NG T
N G U E H
GO ER TH BAN UING S TO HE NU K PUR OALS R TH ER 1 B UING S TOG UMB RSUI G
TH R 1 R S AL R T AN E G THE B RS A L E N P U H E
GE MBE NK P E G ETHE R 1 B G TH OGE NU K P E GO ER TH ANK NG T TOG
U O M U
NU 1 BA G TH TOG MBE SUIN LS T R THE 1 BAN G TH ETH ER 1 B RSUI ALS R
E R U IN LS N U UR O A HE ER U IN OG MB PU G O HE
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K H E H E 1 BA G T S TO E N NK GO TH 1 B IN T N U
N T T R U LS E B
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

ORGANIZATION AND HUMAN RESOURCES

HUMAN RESOURCES
AS OF DECEMBER Vietcombank’s leadership always focuses on human resource development, considering PERSONNEL CHANGES The composition of the BOD and BOM had some changes as follows:
31ST, 2022, THE TOTAL this as the key to the bank’s success. With the goal of becoming the leading bank in terms IN THE BOARD OF
NUMBER OF EMPLOYEES of human resource quality in Vietnam, Vietcombank has been innovating and actively Decrease: Mr. Pham Anh Tuan, a member of the Board of Directors was transferred
DIRECTORS AND BOARD
implementing many synchronous solutions in organization and personnel work. and appointed to hold the position of Director of the Payment Department of
AT VIETCOMBANK IS OF MANAGEMENT
the State Bank of Vietnam from December 1st, 2022.
The organizational model, functions and tasks of the units at the Head Office continue

22,599
to be reviewed, consolidated and standardized according to the Operational Division in Increase: Appointed Mr. Nguyen Viet Cuong, Director of Vietcombank Ba Dinh to hold
order to enhance specialization, improve efficiency, and associate with the development the position of Deputy General Director of Vietcombank since April 26th, 2022.
employees strategy and business orientation of Vietcombank in each period.
The domestic network has been expanded in the direction of retail development through Additional elected Ms. Tran My Hanh as a Member of the Supervisory Board
the establishment of new branches and transaction offices to enhance Vietcombank’s of Vietcombank for the 2018-2023 term from April 29th, 2022.
position and competitiveness in the areas.
Recruited and appointed Mr. Tran Thanh Nam, Global Advisor of Timo Digital
The system of internal regulations on organization and personnel is regularly reviewed Bank to hold the position of Head of Operations and Chief Innovation Officer
and perfected in all stages from recruitment to planning, appointment, rotation, job at Vietcombank for a term of 03 years, from April 26th, 2022.
changeover, performance evaluation, salary and remuneration mechanism, training,
reward, discipline, etc. which bring positive effects in attracting, maintaining, managing
and using staff, optimizing human resources of Vietcombank.
Vietcombank’s recruitment has been highly appreciated by the market and has attracted
a large number of qualified personnel, meeting the requirements of the Bank’s business.
Human resources quality is controlled from the input with a serious, fair and professional
recruitment policy. Employees are assigned jobs in accordance with their qualifications,
capacity and experience; are guaranteed their legitimate rights and interests as prescribed.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

BOARD OF DIRECTORS

Mr. PHAM QUANG DUNG Mr. NGUYEN MY HAO Mr. HONG QUANG
Chairman of the Board of Directors Member of the Board of Directors Member of the Board of Directors
Qualifications: Qualifications: Qualifications:
Master of Banking and Finance - University of Birmingham (UK) Master of Economics - Banking Academy Master of Business Administration - Hanoi Foreign
Bachelor of Economics - National Economics University Bachelor of Economics - Banking Academy Trade University in association with Meiho University
(Taiwan)
Bachelor of Economics - Hanoi National Economics
University
Bachelor of Law - Hanoi Law University

Mr. DO VIET HUNG Mr. NGUYEN MANH HUNG Mr. SHOJIRO MIZOGUCHI Mr. TRUONG GIA BINH
Member of the Board of Directors Member of the Board of Directors Member of the Board of Directors Independent Member of the Board of Directors
Qualifications: Qualifications: Qualifications: Qualifications:
Master of Business Administration - Chulalongkorn Master of Economics - Vietnam – The Netherlands Bachelor of Commerce and Management at Associate Professor in Mechanics - By State Council for
University (Thailand) Programme Hitotsubashi University (Japan) Academic Appraisal and Title of Vietnam
Bachelor of Economics - Maritime University Bachelor of Economics - Hanoi National Economics Doctor of Mathematics and Physics - Moscow State
University University in honor of M.V. Lomonosov (Russian
Federation)
Bachelor of Economics - Moscow State University in
honor of M.V. Lomonosov (Russian Federation)

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

BOARD OF MANAGEMENT

Mr. NGUYEN THANH TUNG Mr. PHAM MANH THANG

Deputy CEO in charge of the Board of Management Deputy CEO

Qualifications: Qualifications:
Master of Economics - Paris Dauphine University Doctor of Economics - Banking Academy
Bachelor of Economics - Foreign Trade University Master of Economics - Banking Academy
Bachelor of Economics - Banking Academy

Ms. NGUYEN THI KIM OANH Mr. LE QUANG VINH

Deputy CEO Deputy CEO

Qualifications: Qualifications:
Master of Finance - University of New South Wales Australia Master of Finance - University of New South Wales Australia
Bachelor of Economics - National Economics University Bachelor of Economics - National Economics University

Ms. DINH THI THAI Ms. PHUNG NGUYEN HAI YEN

Deputy CEO Deputy CEO

Qualifications: Qualifications:
Master of Economics - National Economics University Master of Economics - Banking Academy - CPA Australia
Bachelor of Economics - Foreign Trade University Bachelor of Economics - Banking Academy

94 95
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

BOARD OF MANAGEMENT DIVISION HEADS

Mr. DANG HOAI DUC Mr. HONG QUANG

Deputy CEO Head of Human Resources Division

Qualifications: Qualifications:
Bachelor of Economics - Banking Research & Training Center Master of Business Administration - Hanoi Foreign Trade
(now Ho Chi Minh City Banking University) University in association with Meiho University (Taiwan)
Bachelor of Economics - Hanoi National Economics University
Bachelor of Law - Hanoi Law University

Mr. NGUYEN VIET CUONG Mr. COLIN RICHARD DINN

Deputy CEO Head of Information Technology and
Digital Transformation Division
Qualifications:
Master of Economics under the program cooperated between the Qualifications:
National Economics University and the Dutch Institute of Social Years of experience working in various banks around Asia, strong
Sciences background in technology & business implementation to drive
Bachelor of Economics - National Economics University digital and data transformation

Mr. SHOJIRO MIZOGUCHI Mr. TRAN THANH NAM

Deputy CEO Head of Operations and Chief Innovation Officer

Qualifications: Qualifications:
Bachelor of Commerce and Management at Hitotsubashi Doctor of Information Technology - Monash University (Australia)
University (Japan) Master of Information Technology - Queensland University of
Technology (Australia)
Information Technology Engineer - Queensland University of
Technology (Australia)
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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

SUPERVISORY BOARD CHIEF ACCOUNTANT

Mr. LAI HUU PHUOC Mr. LE HOANG TUNG

Head of Supervisory Board Chief Accountant

Qualifications: Qualifications:
Master of Business Administration – Griggs University Master of Economics - Academy of Finance
USA in association with Hanoi National University Bachelor of Economics - Academy of Finance
Bachelor of Economics – Academy of Finance

Ms. LA THI HONG MINH

Member of Supervisory Board

Qualifications:
Master of Economics - National Economics University (Hanoi)
Bachelor of Economics - Banking Academy

Ms.DO THI MAI HUONG Ms. TRAN MY HANH

Member of Supervisory Board Member of Supervisory Board

Qualifications: Qualifications:
Master of Economics - Foreign Trade University Postgraduate Certificate in Applied Economics and Public Policy
Bachelor of Economics - Foreign Trade University (Fulbright Fellowship Program)
Bachelor of Economics in Accounting - Academy of Finance

98 99
 E A T 1 D I B E LE N U G
TH 1 B IN G
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D L U L H Y S W N T B I
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CORPORATE GOVERNANCE
Over the years, under the direction of the Board of Directors as well as complying
BOARD OF DIRECTORS with regulations on corporate governance under Vietnam laws, Vietcombank
has actively applied good corporate governance practices in the world and in the
STRUCTURE OF THE BOARD OF DIRECTORS region in order to promote the improvement of governance practices for the whole
system and raise the awareness of managers and employees about good corporate
Vietcombank shares owned governance practices.
No. Full name Position Number Remarks
Ownership
of shares
Elected as Member of the BOD by the ACTIVITIES OF THE BOARD OF DIRECTORS
General Meeting of Shareholders since
April 25th, 2013. In 2022, Vietcombank’s Board of Directors held 55 meetings and consulted in ballots for 130 cases to guide and direct
Elected by the Board of Directors of Vietcombank’s operations from time to time, to consider and decide on matters within the authority of the Board of
Chairman of Directors, or discuss a number of specific topics.
1 Pham Quang Dung 4,186 0.000088% Vietcombank to hold the position of CEO
BOD
from November 1st , 2014.
Elected by the Board of Directors of Attendance rates of members of the Board of Directors in 2022 are as follows:
Vietcombank to hold the position of
Chairman of BOD from August 30 th, 2021. Number of Board Number of
Membership of Meeting
Member of the Elected as Member of the BOD by the of Directors meetings
No. Member of BOD Position BOD starting attendance
2 Shojiro Mizoguchi BOD, Deputy 0 0% General Meeting of Shareholders since meetings attended in the
date rate
CEO April 23 th, 2021. attended form of ballot
Elected as member of the BOD at
1 Pham Quang Dung Chairman of BOD 25/04/2013 55/55 130/130 100%
Member of the the Extraordinary General Meeting of
3 Nguyen Manh Hung 2,896 0.000061% Shareholders from December 26th, 2014.
BOD
Non-executive member. 2 Nguyen Manh Hung Member of the BOD 26/12/2014 55/55 130/130 100%

Elected as Member of the BOD by the 91%

General Meeting of Shareholders since 3 Pham Anh Tuan Member of the BOD 28/04/2017 50/55 97/130
April 28 th, 2017. 75%
On November 30 , 2022, the State
th

Bank of Vietnam issued the Decision No. 4 Nguyen My Hao Member of the BOD 28/04/2017 55/55 130/130 100%
Member of the
4 Pham Anh Tuan 0 0% 2029/QĐ-NHNN to recruit and appoint
BOD 5 Hong Quang Member of the BOD 27/04/2018 55/55 130/130 100%
Mr. Pham Anh Tuan, Member of the BOD
of VCB to hold the position of Director of
the Payment Department under the State 6 Do Viet Hung Member of the BOD 26/04/2019 55/55 130/130 100%
Bank of Vietnam, from December 1st , 2022.
7 Trung Gia Binh Member of the BOD 27/04/2018 02/55 0/0 4%
Non-executive member.
Elected as Member of the BOD by the Member of the
Member of the General Meeting of Shareholders since 8 Shojiro Mizoguchi 23/04/2021 55/55 130/130 100%
5 Nguyen My Hao 8,947 0.000189 % BOD, Deputy CEO
BOD April 28 th, 2017.
Non-executive member.
Note:
Elected as Member of the BOD by the
Member of the General Meeting of Shareholders since On December 1st, 2022, Mr. Pham Anh Tuan no longer holds the position of Member of the BOD of VCB because he
6 Truong Gia Binh 0 0% April 27 th, 2018.
BOD was recruited and appointed by the State Bank of Vietnam to hold the position of Director of the Payment Department
Independent member. under the State Bank of Vietnam. Therefore, the attendance rate of Mr. Pham Anh Tuan is calculated from January 1st,
Elected as Member of the BOD by the 2022 to November 30 th, 2022.
Member of the
7 Hong Quang 2 0% General Meeting of Shareholders since
BOD Although Mr. Truong Gia Binh (Independent Member of the Board of Directors) did not attend all the meetings of
April 27 th, 2018.
the BOD due to other work, he still ensured his participation in the activities of the BOD for 6 consecutive months
Elected as Member of the BOD by the
as prescribed in Article 15 of the Regulations on organization and operation of VCB’s Board of Directors, Article 22
Member of the General Meeting of Shareholders since
8 Do Viet Hung 0 0% of VCB’s internal governance regulations. Mr. Truong Gia Binh was fully informed the results of the meetings and the
BOD April 26th, 2019.
opinion forms.
Non-executive member.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CORPORATE GOVERNANCE (continued)

BOARD OF DIRECTORS (continued)

COMMITTEES WITHIN VCB has 02 committees under the Board of Directors: Risk All members of the
THE BOARD OF Management Committee and Human Resources Committee.
DIRECTORS Board of Directors
The establishment of the Committees ensures compliance
with the regulations of the State Bank of Vietnam and the have participated in
laws. The Committees operate according to the Regulations training programs on
on organization and operation of each Committee issued by corporate governance.
the Board of Directors.

COMMITTEES WITHIN THE

BOARD OF DIRECTORS

Risk Management Human Resource

Committee Committee

Risk Management Committee

Risk Management Committee assisted the BOD in approving appropriate policies and
directions with regard to various types of risks (credit risk, market risk, operational risk, etc.)
in each period, including defining risk ratios, limits/restrictions and risk appetite of the Bank.

In 2022, the Risk Management Committee held 04 regular meetings, coordinated with
relevant departments to continuously developing and completing Vietcombank’s regulations/
models. In addition, the Risk Management Committee also organizes seminars, exchanges
with experts, comments and assessments on the current and future macroeconomic
situation. The Risk Management Committee advises and proposes to the BOD strategies,
risk management policies, and measures to prevent risks in many areas of operation. In line
with the change of senior personnel and the actual operation situation, in 2022 VCB has
strengthened the personnel of the Risk Management Committee.

Human Resource Committee

The Human Resources Committee consults and advises the Board of Directors on issues related
to human resources, salary, remuneration, bonus and other welfare policies of Vietcombank.
After the regulatory documents on personnel management were promulgated synchronously,
the Human Resources Committee was actively and proactively consulting, evaluating, and
proposing the appointment planning for authorized cadres, consolidating Organizational
model and network development, acquiring personnel in line with Vietcombank’s business
strategy and goals.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CORPORATE GOVERNANCE (continued)

SUPERVISORY BOARD Coordination between the Supervisory Board and BOD, BOM and other managers
MEMBERS AND STRUCTURE OF THE SUPERVISORY BOARD Performing Regulations on the internal governance of VCB, the Supervisory Board attends
regular/periodic meetings of BOD/permanent Board of Directors and monthly meetings of BOM.
As of January 1st, 2022, the Supervisory Board of VCB has 3 members. On April 29th, 2022, the Supervisory Board had 4 Supervisory Board is also fully provided with information and documents about management,
members after the 15th Annual General Meeting of Shareholders of VCB approved the additional election of Ms. Tran My governance and business activities of the Bank to serve its supervisory activity.
Hanh to the Supervisory Board for the 2018 - 2023 term according to Resolution No. 15/ TN2022/NQ-ĐHĐCD dated April
29th, 2022. The number of members of the Supervisory Board as of December 31st, 2022 is 04 members. The Supervisory Board has closely coordinated with the BOD and the BOM in performing assigned
functions and tasks, coordinating in supervision and auditing activities of the Bank. The Supervisory
In 2022, the Supervisory Board members attending the Supervisory Board meeting are as follows: Board regularly gives opinions, recommendations and proposals to the BOD and the BOM in the
issuance of legal documents and internal policies of VCB to ensure the proper implementation
of legal provisions in banking activities. Through control activities, the Supervisory Board gave
Membership Number of opinions and recommendations to the BOD and the BOM on measures to strengthen control,
Meeting
Members of of Supervisory Supervisory reduce risks, ensure compliance with the provisions of the Laws, the Charter and other internal
No. Position attendance
the Supervisory Board Board starting Board meetings regulations, contributing to improving the quality, efficiency and safety of the Bank’s operations.
rate
date attended
Other activities of Supervisory Board
1 Lai Huu Phuoc Head of Supervisory Board 26/06/2020 7/7 100%
In 2022, the Supervisory Board directed the departments to well perform the supervision and audit,
such as:
2 La Thi Hong Minh Members of the Supervisory Board 26/04/2008 7/7 100%
1. Evaluate the financial statements FY 2021 and the 2022 interim financial report;
3 Do Thi Mai Huong Members of the Supervisory Board 26/04/2008 7/7 100% 2. Monitor the limit management and safety ratio; remote monitoring and supervision of
branches and subsidiaries of VCB;
4 Tran My Hanh Members of the Supervisory Board 29/04/2022 4/7 57,14 %
3. Completed 22 audits at VCB’s Head Office/Departments/Centers, branches, subsidiaries,
representative offices in many fields: credit activities, money laundering prevention, professional
Note: services card, accounting, capital construction investment, procurement, capital management
and trading; operations of subsidiaries, representative offices; audit of risk management
Ms. Tran My Hanh was additionally elected to the Supervisory Board by the General Meeting of Shareholders for the and internal assessment of capital adequacy (including audit of internal capital adequacy
2018-2023 term according to the Resolution No. 15/TN2022/NQ-ĐHĐCD dated April 29 th, 2022 of the General assessment process (ICAAP); assessment and review of the minimum capital adequacy ratio
Meeting of Shareholders, so she attended only 04 meetings. (CAR) according to the Circular No. 41/2016/TT-NHNN); project/information technology
(IT) system audit with many contents including independent inspection and assessment
of compliance with internal mechanisms, policies and regulations on senior management
ACTIVITIES OF THE Assessment on activities of Supervisory Board supervision, control internal, risk management, internal assessment of capital adequacy.
SUPERVISORY Supervision on BOD, BOM and shareholders by Supervisory Board:
BOARD
In addition, the Supervisory Board regularly consulted and recommended to the BOD measures to
The Supervisory Board supervised the BOD and BOM in implementing VCB’s 2022 business supplement, amend and improve the organizational and management structure; amend, supplement
orientations and goals approved by the General Meeting of Shareholders, monitoring and complete VCB’s policies and regulations to strengthen risk control and management.
compliance with the laws, the Bank’s Charter in governance. In 2022, the BOD and BOM
proactively and promptly promulgated policies and action plans, proposed appropriate The Supervisory Board actively monitored and urged the Departments/Centers at the Head Office
solutions, and focused on drastically implementing measures to promote business and and branches in the process of implementing the recommendations of the Supervisory Board,
accelerate progress, focus on solving and removing difficulties and problems of the units Internal Audit and recommendations according to the conclusions of the external inspection
in the whole system to ensure business development to achieve the goals. In general, the agencies.
management and administration activities of the BOD and the BOM have complied with the
The members/staff of the Supervisory Board have actively participated in the management
provisions of the Laws on Credit Institutions and the Charter of the Bank.
capacity improvement projects and other projects of the Bank; researching, proposing and
In compliance with the provisions of the Law on Credit Institutions, the Supervisory Board implementing scientific initiatives; participate in professional training courses and seminars to
monitored the list/updated the list of founding shareholders, major shareholders, members improve management and operating knowledge; developing plans, programs, training contents
of the Board of Directors, members of the Supervisory Board, the General Director, and and training for supervisory and audit staff, enhance the exchange of experience and audit
related persons of members of the Board of Directors, members of the Supervisory Board, methods for new staff.
and periodically updating information.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CORPORATE GOVERNANCE (continued)

TRANSACTIONS OF INTERNAL SHAREHOLDERS AND RELATED
PERSONS
The awards and positive feedback from investors are testament
In 2022, Vietcombank did not have any transactions of internal shareholders and related persons.
to the dedication and tireless efforts in investor relations over the
years, aiming to build a transparent and professional Vietcombank
brand image.
INVESTOR RELATIONS
INVESTOR MEETINGS After a two-year hiatus due to the Covid-19 hundreds of shareholders, investors and ACHIEVEMENTS IN 2022 Thanks to the efforts of the whole system In 2022, Vietcombank made about 70
pandemic and restrictions on travel and face- analysts to update VCB’s operations, and the flexible management in the right meetings and attended 15 investor events
to-face meetings, 2022 marks the return of business performance, and strategies as well direction, Vietcombank has achieved in major financial markets around the
active investor meeting. In the context that as discuss the macro-economic context, impressive growth with the largest credit world (Singapore, Hong Kong, Tokyo, etc.).
Vietnam’s economy continues to be a bright the financial-banking situation and the growth scale in the whole industry. Asset Investors generally rated the quality of
spot when it records a strong recovery after business environment in Vietnam. Thereby, quality was maintained with the NPL meetings with VCB very well, in which nearly
the pandemic, fluctuations in the financial, information about Vietcombank’s business ratio continuing to be controlled at 0.68%. 85% of investors responded very satisfied
currency and stock markets of Vietnam activities is transmitted fully, quickly, timely Vietcombank’s leading position in asset with the quality of the exchanges, over 95%
have attracted attention to many domestic and accurately to investors and the market, quality and operational efficiency continues rated it positively for the level of publicity of
and foreign investors. As a leading bank in contributing to maintaining its leading to be affirmed when in 2022. Vietcombank IR activities of VCB. In addition, Vietcombank
terms of asset quality, operational efficiency position in terms of market capitalization as has been upgraded by all three international continued to be given a series of prestigious
and as the largest public company by market well as investment results of Vietcombank credit rating agencies, namely Fitch Ratings, annual awards presented by Forbes, Brand
capitalization in Vietnam, Vietcombank shares, despite adverse movements in the Moody’s and S&P. Finance and The Asian Banker. The awards
has met, contacted and exchanged with stock market in general. and positive feedback from investors are
Specifically: testament to the dedication and tireless
efforts in investor relations over the years,
In June 2022, Vietcombank was upgraded aiming to build a transparent and professional
INFORMATION Being well aware of the role of transparent annual reports and more than 118 regularly its credit rating from BB- to BB by S&P, Vietcombank brand image.
DISCLOSURE ACTIVITIES and timely information on the business’s and extraordinary disclosures of information the highest and sole rating among banks
performance for investors, information on banking operations through which in Vietnam. In 2022, Vietcombank continues to
ON THE STOCK MARKET
disclosure activities in 2022 also receive a lot investors and shareholders understand the implement the plan to increase charter
of attention and focus. Vietcombank has made operation situation as well as the plans and Then in September 2022, Moody’s also capital assigned by the General Meeting of
accurate, timely and completed disclosure of strategies of Vietcombank. made a similar move when it updated Shareholders. In January 2022, Vietcombank
financial statements, management reports, Vietcombank’s credit rating from Ba3 to completed the issuance of more than
Ba2. 1 billion shares to pay the 2019 dividend,
bringing Vietcombank’s charter capital to
Finally, in November 2022, Fitch Ratings VND 47.3 trillion. In addition, Vietcombank
adjusted Vietcombank’s credit rating continued to develop plans to issue shares
from BB- to BB, maintaining a positive to pay dividends while actively implementing
outlook. Along with that, Fitch continued steps to implement the plan to issue private
to upgrade Vietcombank’s independent shares, thereby, helping to raise the charter
strength rating one level to BB- thanks capital and financial capacity of Vietcombank.
to its continuous maintenance of stable With the continuously increasing charter
liquidity, good asset quality, high NPL ratio capital, Vietcombank is gradually realizing
and sustainable profit growth. the strategic goal of the banking industry in
general and Vietcombank in particular, which
is to strive to list shares on foreign stock
markets in the near future.

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RISK MANAGEMENT

In order to maintain the strategic goal of being

the best risk management bank in Vietnam,
Vietcombank has always actively improved its risk
management culture and pioneered in research and
application of advanced risk management models
and methods according to international standards,
the direction of the Regulatory authorities, as well
as the internal governance needs.

GENERAL INFORMATION
In terms of organization and risk management, Vietcombank regularly
reviews and consolidates its risk management apparatus in line with 3 lines
of defense :

1 The first line is to identify, control and

mitigate risks.

2 The second line is to develop risk

management policy, internal regulations
on risk management, measurement, and
monitoring in compliance with the law.

3 The third line is for internal auditing.

At the same time, the bank strengthens and

enhances role and activities of Committees,
Councils and Departments in risk
management, such as: Risk Management
Committee, Risk Council, Risk Management
Department, Compliance Department, and
Internal Audit Department. Thereby, it helps
to improve the effectiveness of risk control,
while actively supporting business activities to
bring the best results for the Bank.

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RISK MANAGEMENT (continued)

GENERAL INFORMATION (continued) KEY RISK MANAGEMENT

Documents, policies, regulations and solutions to improve risk management for

CREDIT RISK Credit risk includes:
In 2022, guidelines on risk management are the Bank. Following the success of the first
MANAGEMENT
Vietcombank
continuously reviewed and periodically bank in Vietnam approved by the State Bank 1 Credit risk (the risk when customers fail to perform or are
updated by Vietcombank to meet the of Vietnam to apply Circular 41/2016/TT-
continues to Management Authority’s requirements and NHNN before the prescribed deadline, as well
unable to fulfill part or all of their debt repayment obligations
maintain the orientations, as well as the Bank’s operational as completing the internal capital adequacy under a contract or agreement with the bank);
status. assessment process (ICAAP - Pillar 2 Basel
minimum capital II), Vietcombank has applied to upgrade
2 Counterparty credit risk (the risk when the counterparty fails
adequacy ratio to Vietcombank also focuses on investment the capital endurance test framework - the to perform or is unable to perform part or all of the payment
meet risk appetite in developing risk measurement tools and most important and complex component of obligation before or when due for proprietary transactions;
models utilizing advanced methods. Risk the Internal Capital Adequacy Assessment
as well as legal qualitative models were developed with an Process (ICAAP) according to Basel II, thereby repo transactions and reverse repo transactions; risk-hedging
thresholds. aim to cover almost every risk aspects of the ensuring Vietcombank can proactively meet derivative trading; trading of foreign currencies and financial
Bank. Besides, the information technology capital requirements even under adverse assets to serve the needs of customers, partners and transactions
systems were also regularly upgraded to best operating conditions. In 2022, Vietcombank
meet the corporate governance requirements. continues to maintain the minimum capital in correspondence with the transactions above).
The review and improvement of data quality adequacy ratio to meet risk appetite as well
at Vietcombank is becoming increasingly as legal thresholds.
central to operation and maintained on a Vietcombank’s credit risk management credit guarantee; (vi) regulations on
regular and continuous basis, to meet the Also, in addition to operating risk management framework includes organizational structure, purchase, sale and payment guarantee
requirements of quality control as well as and capital calculation according to Basel II policies, processes, models, limits and reports. of corporate bonds; (vii) credit policy for
the completeness of data. Vietcombank standards, Vietcombank continues to actively Several results of credit risk management each customer, etc. in accordance with
has determined that data quality is the top research and implement solutions and lately: relevant law and regulations risk appetite
priority in this circumstance to maintain and initiatives related to Basel II. According to as well as meeting business requirements
enhance the Bank’s competitiveness. advanced methods as well as researching Effective operation of the early warning
of the Bank.
and preparing necessary competencies to framework system (“EWS”) in order
In 2022, with a positive change in the deploy and apply Basel III, thereby aiming to assess and identify potential risky Building and completing quantitative
socio-economic situation in the country, to be the pioneer bank in Vietnam to meet corporate customers early on, thereby models to quantify credit risks according
Vietcombank has maintained effective higher Basel standards as soon as the SBV improving the quality of the Bank’s to Basel II; gradually putting these
business operations and continued to improve issues official regulations and guidelines. credit portfolio through regular post-loan models into implementation for credit
assessment, promptly take preventive risk management policies and business
measures and debt handling technique operation management policies.
to minimize damage to the Bank.
Continue to improve the quality,
Customer identification was based on
timeliness and initiative in credit
the quantitative analysis of data in the
portfolio management through the
core banking system, credit rating system
implementation of multi-dimensional
and the qualitative questionnaires to
management reports in line with the
assess the customers’ prestige, business
actual developments of the macro-
performance, and repayment capacity.
economic situation and specific
• Regularly reviewing and timely adjusting characteristics of Vietcombank’s credit
internal risk management systems portfolio. At the same time, implement
including: (i) credit risk management and complete programs, projects
policy; (ii) regulation on credit limit for and initiatives to improve governance
a customer/group of customers; (iii) capacity and enhance information
regulations on Vietcombank’s partner technology application in credit portfolio
credit limit; (iv) regulation on credit management.
approval process; (v) regulation on

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RISK MANAGEMENT (continued)

KEY RISK MANAGEMENT (continued)

CREDIT RISK Develop and review the orientation Building, monitoring, and managing credit
MANAGEMENT of the economic sector on the basis risk limits, including: (i) Credit limit by OPERATIONAL RISK Operational risk is the risk due to inadequate or erroneous
of assessing developments and macro customer, industry, economic sector on the MANAGEMENT internal procedures, human factors, system failures, or
(continued)
impacts and analyzing the portfolio to basis of customers’ ability to repay debts,
make timely adjustments to support credit risk of economic sectors and fields; (ii) external factors that cause financial loss, causing negative
business development and develop Credit limit by product, form of guarantee non-financial impact (including legal risk) on the bank.
credit plans, as well as credit appraisal, on the basis of corresponding credit risk Operational risk excludes reputational risk and strategic risk.
review and approval. of the product, types of collaterals.

Improve quality, regularly update In 2022, in the context of macroeconomics

information on customer groups with being affected by the world economy with
related relationships in order to manage rapid and unpredictable fluctuations affecting
and control risks in credit extension for the entire economy, businesses, and people
the list of customer groups with related Vietcombank consistently maintained both The operational risk management framework Due to the impact of the Covid-19 pandemic
relationships, especially key customer policy, regulation together with advanced of Vietcombank has been established, fully leading to many general difficulties of the
group according to Vietcombank’s own technology systems, and regularly assessment implemented and continuously improved, economy, along with the transformation of
risk appetite. of loan portfolio quality. Vietcombank’s including model, organizational structure, the banking system to a digital channel to
business performance results in 2022 have system of policies and procedures for meet the needs of customers, the potential
affirmed its position as a financially stable operational risk management, appetite and for operational risks, in particular the risk of
bank with a safe and efficient loan portfolio. operating risk limits, ensuring compliance external fraud, is likely to increase. Therefore,
with regulations of the State Bank of Vietcombank continuously promotes the
Vietnam in Circular 13/2018/TT-NHNN and implementation of specific actions to manage
advanced Basel II standards, aiming to meet operational risks such as comprehensive
Basel III standards. implementation of fraud risk management
framework, information technology risk
In 2022, Vietcombank continued to focus management framework, and operational
and strengthen operational risk management risk management for external services
with the aim to minimize operational risk rendered.
losses to protect the Bank, its shareholders
and customers. Operational risk management In addition to measures to prevent, detect
was effectively implemented throughout the and minimize operational risks, Vietcombank
system through operational risk management continues to carry out operational risk
tools such as incident reporting, risk self- transfer through insurance packages for
assessment and control points, and the the Bank’s assets as an additional risk
development and monitoring of key risk management measure to protect the Bank
indicators (KRIs), risk assessment of new in the event of a serious loss. Vietcombank’s
products and processes, thereby effectively operational risk management culture
supporting the identification, measurement, continues to be improved through training
monitoring and control of operational risks and communication to raise awareness
in a full and timely manner in all products, on operational risk management, ensuring
business activities, business processes, compliance with the Code of Conduct
information technology systems and other and professional ethics of employees, and
management systems of the Bank. building a cohesive, compliant, responsible
working environment to prevent risks.

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RISK MANAGEMENT (continued)

KEY RISK MANAGEMENT (continued)

MARKET RISK Market risk is the risk generated due to negative changes LIQUIDITY RISK Liquidity risk is the risk generated when: (i) The bank fails
MANAGEMENT in interest rates, exchange rates, gold price, securities and MANAGEMENT to fulfill its repayment obligations; or (ii) The bank is able to
goods to values of Vietcombank’s financial assets. Market fulfill its repayment obligations at maturity but has to pay
risks include: Interest rate risk, stock price risk on the trading a higher cost than the average market price according to
book and foreign exchange risk, commodity price risk on Vietcombank’s internal regulations.
the trading and banking books.

The market risk management framework is a In 2022, Vietcombank continued to periodically Vietcombank’s liquidity risk management Continuing and promoting in 2021, in addition
close cooperation of organizational structure, review and update policies, procedures, framework has been fully set up with calculation to strict daily monitoring and control of liquidity
policies, processes, models, limits and reports methodologies while supplementing and models, organizational management structures, risk, Vietcombank promptly identified and
of market risks with international standards. upgrading systems, models, measurement and internal policies and procedures, processes, detected liquidity risk due to the impact of
Market risk management is carried out market risk management programs to meet regulations and overall limits to identify, Covid-19 and contingency plan for liquidity
at each business unit and operational unit the State Bank of Vietnam’s regulations as well measure, supervise and report risks according backup. Furthermore, Vietcombank also
based on each risk profile in particular and as international practices. to international practices and Basel standards, concentrated its resources in the ALM/FTP
Vietcombank’s risk appetite in general. Based and strictly comply with the State Bank of project to automate management reporting
on synchronous market risk management Vietnam’s regulations on solvency and liquidity in order to meet international practices on
framework, Vietcombank can actively prevent ratios in banking operations. Regulations, liquidity risk management. At the same time,
risks to limit the impact of market fluctuations. processes, limits, liquidity risk management Vietcombank has initially studied, calculated
tools, etc. are reviewed and updated annually and evaluated the applicability of advanced
to promptly adapt to meet the regulatory liquidity risk ratios according to Basel III such
requirements and implementation reality as LCR, NFSR. In 2022, the Bank’s liquidity is
within the Bank. always at safe level.

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RISK MANAGEMENT (continued)

KEY RISK MANAGEMENT (continued)

INTEREST RATE RISK Interest rate risk is the risk generated by negative changes CONCENTRATION RISK Concentration risk occurs when a bank’s business focuses
MANAGEMENT ON of interest rate on income, asset value, value of liabilities and MANAGEMENT on only one customer (including related persons), partner,
BANK BOOK value of off-balance sheet due to: product, transaction, industry, economic sector, and currency
with significant impact on income, risk status according to
1 Floating interest rates or change in interest period;
internal regulations of the Bank. Concentration risks include
2 Change interest rates from different financial tools with those related to the Bank’s credit portfolio and trading book.
the same maturity;
3 Change interest rates with different maturities;
4 Impact from interest rate option, interest rate-based
products. Vietcombank has established a comprehensive In 2022, Vietcombank constantly supervised
concentration risk management framework, and monitored credit limits of concentration
composed of organizational model and risks to ensure the credit limits to be
structure, comprehensive system of policies, maintained within the established limits.
For interest rate risk management, rate-sensitive liabilities, the sensitivity of processes, regulations, and limits to identify, In addition, Vietcombank continues to
Vietcombank has established a comprehensive net interest income (NII sensitivity) and the measure, supervise and report risks for improve the the framework for testing the
system of policies, processes and limits to sensitivity of the economic value of equity compliance with the State Bank of Vietnam’s capital endurance to credit risk and credit
identify, measure, supervise and report risks (EVE sensitivity)). In addition, Vietcombank regulations as well as Vietcombank’s internal concentration risk in order to optimize capital
according to international practices such as also uses appropriate derivative products to regulations. sources in the bank’s business activities.
Basel II and aiming to meet Basel III as minimize the negative impact of interest rate
well as comply with the SBV’s regulations at fluctuations. For concentration credit risk management, For concentration risks in self-trading,
Circular No. 13/2018/TT-NHNN. Vietcombank diversified its credit portfolio Vietcombank officially deployed management
In 2022, Vietcombank always monitors and according to the following principles: tools based on criteria to identify trading
Vietcombank is one of the first banks to supervises interest rate risk limits on the bank portfolio for limit setting in order to ensure
apply interest rate risk management tools book to ensure that interest rate risk limits the diversity and interactivity; the limits were
and limits for daily management activities on the bank book always remain within the defining credit limits of interest rate
risk concentration risks for credit set based on the maximum proportion of
(management of the difference in reprising established limits. 1 the trading volume, the currency and the
gap between rate-sensitive assets and products, customers, industries and
economic sectors, collaterals; counterparty compared with the total trading
balance.
identifying the connected
counterparties of the customer
2
according to regulations of laws and
identification of the Bank;
defining the level of diversity and
3 interaction of credit products,
industries and economic sectors.

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BUSINESS NETWORK

LIST OF BRANCHES As at December 31st, 2022 Vietcombank has 121 Branches No. Branch Address Tel
and 510 Transaction Offices in operation.
DECEMBER 31ST, 2022 18 Ca Mau 07 An Duong Vuong Street, Ward 7, Ca Mau City, Ca Mau Province 0290.3575857

03-05-07 Hoa Binh Street, Tan An Ward, Ninh Kieu District,

No. Branch Address Tel 19 Can Tho 0292 3820445
Can Tho City

26 Hai Ba Trung Street, My Long Ward, Long Xuyen City, An Giang 20 Chau Doc 20 Le Loi Street, Chau Phu B Ward, Chau Doc City, An Giang Province 0296.3565603
1 An Giang 02963.898999
Province

72 Tran Hung Dao Street, Tran Hung Dao Ward, Hoan Kiem District, 21 Chi Linh 1 Thai Hoc Street, Sao Do Ward, Chi Linh Town, Hai Duong Province 02203.885522
2 Ba Dinh 024.37665318
Hanoi City
564 Nguyen Van Cu Street, Gia Thuy Ward, Long Bien District,
22 Chuong Duong 024.3652.3333
03 Truong Chinh Street, Phuoc Trung Ward, Ba Ria City, Ba Ria - Hanoi City
3 Ba Ria 0254.3716275
Vung Tau Province
23 Da Nang 140-142 Le Loi Street, Hai Chau Ward, Hai Chau District, Da Nang City 0236.3822110
4 Bao Loc 452 Tran Phu Street, Ward 2, Bao Loc City, Lam Dong Province 02633.726.886
06 Tran Hung Dao Street, Thang Loi Ward, Buon Ma Thuot City,
24 Dak Lak 02623.818444
Dak Lak Province
Lot D1-4-TT, NA3 Street, My Phuoc 2 IP, My Phuoc Ward,
5 North Binh Duong 0274.3697979
Ben Cat Town, Binh Duong Province 25 Dong Anh Nghia Lai Village, Uy No Commune, Dong Anh District, Hanoi City 024.38835999

278 Hoang Van Thu Street, Dinh Ke Ward, Bac Giang City, Bac 26 Le Duan Street, Zone 2, Hoa Phu Ward, Thu Dau Mot City,
6 Bac Giang 02043.797.888 26 East Binh Duong 0274.3589999
Giang Province Binh Duong Province
53-55, Vo Thi Sau Street, Quyet Thang Ward, Bien Hoa City,
7 North Ha Tinh 52 Tran Phu Street, Hong Linh Town, Ha Tinh Province 0239.6262555 27 Dong Nai 0251.3823666
Dong Nai Province

28 East Saigon 22F-24 Phan Dang Luu Street, Ward 06, Binh Thanh District, HCMC 028.38407924
8 Bac Lieu 49 Hoa Binh Street, Ward 1, Bac Lieu City, Bac Lieu Province 0291.3955055

29 Dong Thap 66, 30/4 Street, Ward 1, Cao Lanh City, Dong Thap Province 0277.3872110
6-way intersection Street, Dai Phuc Ward, Bac Ninh City,
9 Bac Ninh 0222.3811.282
Bac Ninh Province East Dung Quat IP, Dung Quat Economic Zone, Binh Son District,
30 Dung Quat 0255.3632333
737 Pham Van Dong Street, Yen The Ward, Pleiku City, Quang Ngai Province
10 North Gia Lai 02693 867927
Gia Lai Province 415 Le Van Viet Street, Tang Nhon Phu A Ward, Thu Duc City,
31 Gia Dinh 028.37307799
HCMC
155-155A Truong Chinh Street, Tan Thoi Nhat Ward, District 12,
11 North Saigon 028.73008999 33 Quang Trung Street, Hoi Thuong Ward, Pleiku City,
Ho Chi Minh City 32 Gia Lai 0269.3875566
Gia Lai Province
55B3, Dong Khoi Boulevard, Phu Khuong Ward, Ben Tre City, 166 Ha Long Street, Bai Chay Ward, Ha Long City,
12 Ben Tre 0275.6255888
33 Ha Long 0203.3811808
Ben Tre Province Quang Ninh Province

13 Bien Hoa 22, 3A Street, Bien Hoa 2 IP, Bien Hoa City, Dong Nai Province 0251.3991944 34 Ha Nam Le Hoan Street, Hai Ba Trung Ward, Phu Ly City, Ha Nam Province 0226 361 6666

66C Le Duan Street, Ly Thuong Kiet Ward, Quy Nhon City, Floor 1-5, 11B Cat Linh Street, Quoc Tu Giam Ward, Dong Da District,
14 Binh Dinh 0256.3526666 35 Ha Noi 024.39746666
Binh Dinh Province Hanoi City
344 Ba Trieu Street, Le Dai Hanh Ward, Hai Ba Trung District,
185-187 Binh Duong Boulevard, Phu Tho Ward, Thu Dau Mot City, 36 Ha Thanh 024.36503333
15 Binh Duong 0274.3831227 Hanoi City
Binh Duong Province
02 Nguyen Thi Minh Khai Street, Tran Phu Ward, Ha Tinh City,
37 Ha Tinh 0239.3857003
744 Phu Rieng Do Street, Tan Xuan Ward, Dong Xoai Town, Ha Tinh Province
16 Binh Phuoc 0271.3558888
Binh Phuoc Province 66 Nguyen Luong Bang Street, Binh Han Ward, Hai Duong City,
38 Hai Duong 03203.891259
50 Nguyen Tat Thanh Boulevard, Hung Long Ward, Phan Thiet City, Hai Duong Province
17 Binh Thuan 0252.3739064
Binh Thuan Province
39 Hai Phong 275 Lach Tray Street, Dang Giang Ward, Ngo Quyen District, Hai Phong City 0225.3842658

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BUSINESS NETWORK (continued)

No. Branch Address Tel No. Branch Address Tel

Floor 1-2-3, Cau Tien Apartments, 1277 Giai Phong Street,

40 Ho Chi Minh City VBB Tower, 05 Me Linh Square, Ben Nghe Ward, District 1, HCMC 028.38297245 60 South Hanoi 024.38699696
Thinh Liet Ward, Hoang Mai District, Hanoi City
23 Phan Chu Trinh Street, Phan Chu Trinh Ward, Hoan Kiem District, 61 South Hai Phong 11 Hoang Dieu, Minh Khai Ward, Hong Bang District, Hai Phong City 0225 3552299
41 Hoan Kiem 024 39335566
Hanoi City
Floor 1-2, Tower 1, Times City, 458 Minh Khai, Vinh Tuy Ward, Floor 1, 2, 3, 4 V6 Tower, Lot V, Him Lam New Urban Area,
42 Hoang Mai 024.38383383 62 South Saigon 028.37701634
Hai Ba Trung District, Hanoi City 23 Nguyen Huu Tho, Tan Hung Ward, District 7, HCMC

78 Hung Vuong Street, Phu Nhuan Ward, Hue City, 63 Nghe An 21 Quang Trung Street, Vinh City, Nghe An Province 0238.3842033
43 Hue 0234.3811900
Thua Thien Hue Province
Nam Yen Village, Hai Yen Commune, Tinh Gia District,
44 Hung Vuong 664 Su Van Hanh Street, Ward 12, District 10, HCMC 028.38663983 64 Nghi Son 0237 3613999
Thanh Hoa Province
14 Le Thanh Ton Street, Phuoc Tien Ward, Nha Trang City,
02 Nguyen Cong Hoan Street, Ban Yen Nhan Ward, My Hao Town, 65 Nha Trang 0258.3826279
45 Hung Yen 0221.3941886 Khanh Hoa Province
Hung Yen Province
Nguyen Huu Canh Street, Xom Ho Hamlet, Phu Noi Commune,
17 Quang Trung Street, Van Thanh Ward, Nha Trang City, 66 Nhon Trach 0251.3521888
46 Khanh Hoa 0258.3568899 Nhon Trach District, Dong Nai Province
Khanh Hoa Province
1069 Tran Hung Dao Street, Quarter 14, Van Giang Ward,
67 Ninh Binh 0229.3894444
47 Kien Giang 89, 3/2 Street, Vinh Bao Ward, Rach Gia City, Kien Giang Province 02973862749 Ninh Binh City, Ninh Binh Province
47, 16/4 Street, Kinh Dinh Ward, Phan Rang - Thap Cham City,
Long Phuong Building, 370 - 372 Tran Phu Street, 68 Ninh Thuan 0259.3922.755
48 Kinh Bac 0222.3818.828 Ninh Thuan Province
Dong Ngan Ward, Tu Son Town, Bac Ninh Province
186 Chu Manh Trinh Street, Hien Nam Ward, Hung Yen City,
01 Phan Dinh Phung Street, Quyet Thang Ward, Kon Tum City, 69 Pho Hien 0221.3596666
49 Kon Tum 0260.3703337 Hung Yen Province
Kon Tum Province
285 Nguyen Van Troi, Ward 10, Phu Nhuan District,
70 Phu Nhuan 028.38479966
50 Ky Dong 13-13 Bis Ky Dong Street, Ward 9, District 3, HCMC 028.39318968 Ho Chi Minh City
1A, Hung Vuong Street, Quarter 1, Duong Dong Town,
71 Phu Quoc 0297.3981037
Phu Quoc District, Kien Giang Province
51 Lam Dong 33 Nguyen Van Cu Street, Ward 1, Da Lat City, Lam Dong Province 0263.3511811
Hoai Nam Building, No.06 Group 8 Hai Ba Trung Street,
72 Phuc Yen 02113 636 666
Hung Vuong Ward, Phuc Yen Town, Vinh Phuc Province
52 Lang Son 39 Le Loi Street, Vinh Trai Ward, Lang Son City, Lang Son Province 0205.3859859
433 Lac Long Quan Street, Tran Quang Dieu Ward, Quy Nhon City,
73 Quy Nhon 0256.3541377
Binh Dinh Province
53 Lao Cai 52 Hoang Lien Street, Coc Leu Ward, Lao Cai City, Lao Cai Province 0214.3828396
74 Phu Tho 01 Tran Phu Street, Gia Cam Ward, Viet Tri City, Phu Tho Province 0210.3766666
2A Pham Van Ngu Street, Quarter 5, Ben Luc Town,
54 Long An 0272.3633683
Ben Luc District, Long An Province
75 Phu Yen 145 Hung Vuong Street, Ward 6, Tuy Hoa City, Phu Yen Province 0257.3818184
No.163 National Highway 1A, Ho Nai 3 Commune, Trang Bom District,
55 East Dong Nai 02513.646151
Dong Nai Province 01C, Tran Hung Dao Street, Dong My Ward, Dong Hoi City,
76 Quang Binh 0232.3840380
05 Hung Vuong Street, Tran Phu Ward, Mong Cai City, Quang Binh Province
56 Mong Cai 0203.3757575
Quang Ninh Province
77 Quang Nam 35 Tran Hung Dao, Tam Ky City, Quang Nam Province 0235.3813062
South Binh 121, DT743B Street, Thong Nhat 1 Quarter, Di An Ward, Di An Town,
57 0274.7307777
Duong Binh Duong Province 345 Hung Vuong Street, Tran Phu Ward, Quang Ngai City,
78 Quang Ngai 0255.3828578
Quang Ngai Province
537 Tran Hung Dao Street, An Hai Tay Ward, Son Tra District,
58 South Da Nang 0236.3932999
Da Nang City
79 Quang Ninh 25/4 Street, Bach Dang Ward, Ha Long City, Quang Ninh Province 0203.3629213
629 Tran Hung Dao Street, Loc Vuong Ward, Nam Dinh City,
59 Nam Dinh 0228.3558666
Nam Dinh Province 80 Quang Tri 34 Hung Vuong Street, Ward 1, Dong Ha City, Quang Tri Province 0233.3555727

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

BUSINESS NETWORK (continued)

No. Branch Address Tel No. Branch Address Tel

Floor 1-2 The Artemis, 3 Le Trong Tan Street, Khuong Mai Ward,
81 Saigon 69 Bui Thi Xuan Street, Pham Ngu Lao Ward, District 1, HCMC 028.38359323 102 Thanh Xuan 024.35578589
Thanh Xuan District, Hanoi City
50A, Dang Van Bi Street, Quarter 4, Binh Tho Ward, Thu Duc City,
82 Saigon - Cholon 963-965-967 Tran Hung Dao Street, Ward 5, District 5, HCMC 028.39600477 103 Thu Duc 028.38966806
HCMC

83 Sai Thanh 2A-2B-2C Ly Thuong Kiet Street, Ward 12, District 5, HCMC 028.39573378 104 Thu Thiem 55-56, Song Hanh Street, An Phu Ward, Thu Duc City, HCMC 028.73079668

84 Operation center 11 Lang Ha Street, Thanh Cong Ward, Ba Dinh District, Hanoi City 024.39368547 105 Tien Giang 152 Dinh Bo Linh Street, Ward 2, My Tho City, Tien Giang Province 0273.3976999

Lai Xa Industrial Cluster, Van Xuan Street, Kim Chung Commune,

85 North Hanoi 024.35950000 106 Tra Vinh 05 Le Thanh Ton Street, Ward 2, Tra Vinh City, Tra Vinh Province 0294.3868780
Hoai Duc District, Hanoi City
3 Tran Hung Dao Street, Cluster 6, Ward 3, Soc Trang City,
86 Soc Trang 02993 883888 107 Tuyen Quang Group 8, Tan Quang Ward, Tuyen Quang City, Tuyen Quang Province 0207.3999666
Soc Trang Province
16 Le Trong Tan Street, Binh Duong 2 Quarter, An Binh Ward, 9 Nguyen Sy Sach Street, Ha Huy Tap Ward, Vinh City,
87 New Binh Duong 0274.3792158 108 Vinh 0238.8699567
Di An Town, Binh Duong Province Nghe An Province

88 Tan Binh 108 Tay Thanh Street, Tay Thanh Ward, Tan Phu District, HCMC 028.38157777 109 Vinh Long 5C Hung Dao Vuong Street, Ward 1, Vinh Long City, Vinh Long Province 0270.3888288

392A Me Linh Street, Khai Quang Ward, Vinh Yen City,

89 Tan Dinh 72 Pham Ngoc Thach, Vo Thi Sau Ward, District 3, HCMC 028.3820.8762 110 Vinh Phuc 0211.3720920
Vinh Phuc Province
1943-1945 Huynh Tan Phat Street, Quarter 5, Nha Be Town,
90 New Saigon 028.3873.8686 111 Vung Tau 27 Le Loi, Ward 4, Vung Tau City, Ba Ria - Vung Tau Province 0254.3852309
Nha Be District, HCMC
810 Cu Chinh Lan Street, Phuong Lam Ward, Hoa Binh City,
91 Tan Son Nhat 366A33 Phan Van Tri Street, Ward 5, Go Vap District, HCMC 028.3985 6868 112 Hoa Binh 02183.858383
Hoa Binh Province
Lot 30A7A, Tra Noc 1 IP, Tra Noc Ward, Binh Thuy District, Dien Bien Ward, Group 8, Minh Tan Ward, Yen Bai City,
92 West Can Tho 0292.3844 272 113 Yen Bai 0216.385.8999
Can Tho City Yen Bai Province
Lot HH-03, To Huu Street, Van Phuc Ward, Ha Dong District, 584 Tran Phu Street, Cam Tay Ward, Cam Pha City,
93 West Hanoi 024.33554545 114 East Quang Ninh 0203.3551551
Hanoi City Quang Ninh Province
565 Lac Long Quan Street, Xuan La Ward, Tay Ho District,
94 Tay Ho 024.37581111 115 Hoi An 2 Tran Cao Van, Cam Pho Ward, Hoi An City, Quang Nam Province 02353.916.619
Hanoi City

95 Tay Ninh 313, 30/4 Street, Quarter 1, Ward 1, Tay Ninh City, Tay Ninh Province 0276.3818996 116 Dak Nong 74 Huynh Thuc Khang Street, Gia Nghia City, Dak Nong Province 02613555678

321-323-325 Pham Hung Street, Him Lam Residential Area, Hamlet 12-13 LK 20, Quang Minh Urban area, Thuy Son Commune,
96 West Saigon 028 3758 9297 117 East Hai Phong 02253.866999
4A, Binh Hung Commune, Binh Chanh District, HCMC Thuy Nguyen District, Hai Phong City
Thai Binh Financial and Commercial Center, 79A Le Loi Street, 249A Nguyen Luong Bang Street, Hoa Khanh Bac Ward,
97 Thai Binh 02273.839.724 118 North Da Nang 0236.3649668
De Tham Ward, Thai Binh City, Thai Binh Province Lien Chieu District, Da Nang City
10 Cach Mang Thang Tam Street, Phan Dinh Phung Ward,
98 Thai Nguyen 0208.3658200 119 North Dak Lak 149 Tran Hung Dao, Buon Ho Town, Dak Lak Province 0262.7306789
Thai Nguyen City, Thai Nguyen Province
Phu Tho PVOIL Building, 148 Hoang Quoc Viet Street, 286 To Hieu Street, Group 9, Chieng Le Ward, Son La City,
99 Thang Long 024.3755.7194 120 Son La 02123.836836
Nghia Tan Ward, Cau Giay District, Hanoi City Son La Province
197A-197B-197C, Tran Hung Dao Street, Area 3, Ward 5,
100 Thanh Cong 01 Thai Ha Street, Trung Liet Ward, Dong Da District, Hanoi City 024.62578686 121 Hau Giang 0293.3949888
Vi Thanh City, Hau Giang Province
05 Phan Chu Trinh Street, Dien Bien Ward, Thanh Hoa City,
101 Thanh Hoa 0237.3728286
Thanh Hoa Province

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

BUSINESS NETWORK (continued)

SUBSIDIARIES, JOINT-VENTURES AND ASSOCIATES IN VIETNAM OVERSEAS SUBSIDIARIES AND REPRESENTATIVE OFFICES

VCBL
Vietcombank Leasing Co., Ltd. Vietcombank 6 Battery Road, #11-01B, Singapore 049909
Floor 4 - 25T1 Building, N05 Hoang Dao Thuy - Trung Hoa - Cau Giay District - Hanoi representative office Tel: 65 6323 7558
Tel: 024.39289289 | Fax: 024.39289150 in Singapore Fax: 65 6323 7559

VCBS
Vietcombank Securities Co., Ltd. Representative Office Suite 1427-1428, 14th floor, One Rockefeller Plaza, NewYork, NY 10020
Floor 6, 7, 8 Vietcombank Building - 72 Tran Hung Dao, Hoan Kiem District, Hanoi in the US Tel: (1) 646 937 1999
Tel: 1900 98 9999 | Fax: (+84-24) 3936 0262

VCBR VFC
Vietcombank Remittance Co., Ltd. Vietnamese financial company in Hong Kong (VINAFICO)
Floor 4, VCB Ky Dong Tower, 13 - 13 Bis, Ky Dong Street, Ward 9, District 3, HCMC 16/F, Golden Star Building, 20-24, Lockhart Road, Wanchai, Hong Kong
Tel: 028.35260888 | Fax: 028.35260808 Tel: +852-28653905 | Fax: +852-28660007

VCBT VCBM
Vietcombank Tower 198 Co., Ltd. Vietcombank Money Inc. in the US (VCB Money. Inc)
Floor 14 - Room 1406 - 198 Tran Quang Khai, Hoan Kiem, Hanoi 12112 Brookhurst Street, Suite 11, Garden Grove, CA 92840 United States
Tel: 024.39340919 | Fax: 024.39340918 Tel: (+1)-714-979-1055 | Fax: (+1)- 714-979-1278

VBB VCB LAOS

Vietcombank - Bonday - Ben Thanh Co., Ltd. (VBB) Vietcombank Laos Limited
5 Me Linh Square, Ben Nghe Ward, District 1, Ho Chi Minh City 12, Lot 15, Lanexang Avenue, Hatsadee-Tai Village, Chanthabouly District, Vientiane,
Tel: 028.39.153.360 Lao PDR
Tel: +85621253838

VCBF
Vietcombank Fund Management Co.
Floor 15, Vietcombank Building, 198 Tran Quang Khai, Hoan Kiem District, Hanoi City
Tel: 024.39364540 | Fax: 024.39364542

VCBB
Vietcombank Bonday Co., Ltd.
35 Nguyen Hue, Ben Nghe Ward, District 1, Ho Chi Minh City
Tel: 028.38213321, 38213345 | Fax: 028.38213366, 38213366

Vientiane
Hong Kong
New York
REPRESENTATIVE OFFICE IN VIETNAM
Singapore
Representative office in Floors 33-34, VBB Building,
the South 5 Me Linh Square, Ben Nghe Ward,
District 1, Ho Chi Minh City
Tel: 028.39826468 Los Angeles
Fax: 028.39393948 Sydney

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 C C 1 AT E ST S S T R C E
S U B E R U R P TH TRU C E N K SU C 1 B
TO UM T O ES NK SU 1 BA TO S C E R
TH N
A HE TR SU R 1 US CC B A T O R
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N U US CC
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1 A
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S ANdevelopment U C 1 B A TO E R ATH M R P E N O U T H U S E S S
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TOTAL SOCIAL SECURITY
report
BUDGET IN 2022
E PA NU E E K R
382
B U H
M UR HE ST O SS T TRU CES NK SUC 1 BA TO ST S T R C N SU 1 B TO E
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130 Report on social and environmental impacts

BE R ATH U M
T O S T U E K C BA O R T H M P N U
US CES NK T SUCC 1 BAN TO S ER 1 ATH T MBE R PA E NU T OUR THE UST ESS
R U O
132 Overview of sustainable development
VND billion

C A R B U U H S R
134 Content of sustainable development

U
S R 1 THB T O E TH M R P E N O T U S E S K T C C
B A U U H T S R C N U 1 B
145 Social activities of Vietcombank

E PA NUM UR HE P N T O S S
T TRU CE NK SUC 1 BA TO T S R
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M UR HE ST O SS T TRU CE NK SUC 1 BA TO S S S R H E
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US CES NK T SUCC 1 BAN TO S ER 1 ATH T MBE R PA E NU T OUR THE UST ESS
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M UR HE ST O SS T TRU CES NK SUC 1 BA TO S ER 1 ATH
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US CES NK T SUCC 1 BAN TO S ER 1 ATH T MBE R PA E NU T OU THE UST ESS
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M UR HE ST O SS T TRU CES NK SUC 1 BA TO R
E PA NU TH M R
T O S T R U C E N K U C BA TO E R T H M B R E O U
 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

REPORT ON SOCIAL AND

SCOPE OF REPORT
ENVIRONMENTAL IMPACTS in Vietnam is continuously built and improved Vietcombank’s Sustainability Report is the
OVERVIEW as a motivation for the banking sector to
promote sustainable development.
overall picture of the Bank’s operations
including the Head Office in Hanoi,
branches, subsidiaries, representative offices
At the United Nations Framework Convention environmental risk management in credit With a vision to become the number 1 bank and transaction offices nationwide. Data
At the COP27 on Climate Change (COP27) taken place in activities of credit institutions and foreign in Vietnam, one of the 100 largest banks and Information available for disclosure are
Global Climate Sharm El-Sheikh, Egypt. COP27 brought bank branches effective from June 1st, 2023 in Asia, one of the 300 largest financial updated according to the Bank’s fiscal year
the largest number of participants in history (Circular No. 17/2022/TT-NHNN dated banking groups in the world, and one of starting from January 1st, 2022 and ending
Change Conference, (delegations from nearly 200 countries, 120 December 23rd, 2022). the 1,000 largest listed companies in the on December 31st, 2022.
Vietnam reaffirmed heads of state, 40,000 delegates). COP27 world while making contribution to Vietnam’s
its commitment aims to realize the ambitious commitments The Circular helps create a common legal own development, Vietcombank focuses
of Heads of State and promote cooperation framework, requiring credit institutions to on improving customer experience, human APPLICABLE STANDARDS
to achieving net between parties and push up global efforts implement environmental risk management resource quality, risk management, etc. to
zero emissions by to deal with climate and energy crises. At in credit granting activities. The promotion ensure Vietcombank meets the criteria of This sustainable development report is based
COP27, Vietnam reaffirmed its commitment of environmental risk management in credit governance, environment and society through on references of standards of principles of
2050 announced sustainable development report of Global
to achieving net zero emissions by 2050 granting activities will raise awareness and the Environmental and Social Management
at COP26. Vietnam announced at COP26. Vietnam views the responsibility of economic components for System (ESMS) and the Environmental and Reporting Initiative -GRI with 04 main
views the issue of issue of green transition and energy transition climate change, environmental protection Social Risk Management System in line with components: Information, economic topis
as a consistent policy and an economic factors toward green production and the Sustainable Development Indicators of (GRI 200), social topics (GRI 300) and
green transition and environmental topics (GRI 400). Besides,
model that the country chooses. consumption. Once every individual raises Vietnam according to VNSI Standards, step
energy transition as their awareness, every enterprise when by step towards the Sustainable Development the report also refers to compliance
a consistent policy In the field of banking and finance, in 2022, implementing investment projects will Goals on Environment, Social Governance of Vietcombank with requirements of
after a period of formulation and consultation, change its targets and actions on sustainable (ESG) according to international standards information transparency on corporate
and an economic governance policy (GRI 100)
the State Bank of Vietnam officially issued development. The legal framework for GRI, TCFD.
model that the a Circular guiding the implementation of sustainable development of banking system
country chooses.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

OVERVIEW OF SUSTAINABLE DEVELOPMENT

INVOLVEMENT OF STAKEHOLDERS
Interaction method of Frequency of Interaction method of Frequency of
Actual implementation in 2022 Actual implementation in 2022
stakeholders interaction stakeholders interaction
SHAREHOLDERS/INVESTORS REGULATORY AUTHORITIES
Successfully organized the 2022 Annual General Meeting of Maintaining regular Strictly implement orientations, strategies of the Government, the
Shareholders. Monthly
communication State Bank of Vietnam, maintain regular dialogue mechanism.
Provide and publish all documents, contents and meeting agenda
Annual or
Shareholders’ General Meeting for shareholders’ reference before attending the General Meeting.
extraordinary Forum exchange As required As required.
Submit to the General Meeting of Shareholders in 2022 the plan
to pay dividends in shares with the issuance rate of 18.1%, ensuring
financial benefits for shareholders. Presenting presentations and
As required As required.
reports
Commit to ensuring non-financial interests and information
transparency for shareholders.
Contributing to policies As required As required.
Provide information in a timely, accurate manner including 118
contents of periodical, extraordinary business information of
COMMUNITY
Vietcombank as stipulated.
Periodic update via IR website, Quarterly or
Update introduction documents of the bank on quarterly basis for
in-person, phone, email when required Cooperating with local authorities Regularly Regularly.
investors/shareholders to follow up.
Continuously work with global leading credit rating agencies such
as Moody’s, Fitch, S&P to update the bank’s performance. Joining social security programs
Quarterly Regularly.
with local authorities
Maintain dialogues with investors via direct, online contact
channels, email, telephone to timely study investors’ concerns. PRESS AGENCIES

Quarterly and Conduct contacts with over 500 investors in 2022.

Meet investors regularly when Exchange and provide information Quarterly Frequently provide information to press agencies.
Attend 15 investment events organized in major financial markets
required around the world.
CUSTOMERS Press release/periodical
Quarterly Write press releases/business performance report to media agencies.
consolidated statement
Provide 24/7 customer service to receive information and requests
through various channels such as customer care hotline, website, Team of experts providing insight
Customer care center and hotline email and social networks. As required Monthly.
24/7 for the press
- 24/7 operation
Strengthen technology application and investment in Artificial
Intelligence (AI) solutions system for operation and customer service. SERVICE PROVIDERS

Conducting satisfaction surveys Quarterly Conduct customer satisfaction survey on quarterly basis in 2022. Meet and discuss directly
according to the regulations on As required As required.
EMPLOYEES bidding, cooperating with suppliers
Satisfaction survey Annually Conduct employee satisfaction survey in 2022.
Maintaining a competitive Regularly in the
Ensure fair competition in supplier selection process.
Annual labor conference Annually Successfully organize annual employee conference. environment process

Internal publications and Publish special edition The Leader, Vietcombank’s bulletin of
Daily Regularly in the
newsletters photography, periodically internal newsletter. Ensure bidding transparency Strictly comply with regulations of the laws..
process
Successfully organize executive committee conference of Vietcombank’s
Discussion with the Trade Union Annually
trade union. Ensure quality service and proper Regularly in the
Evaluate standards and quality of contract performance as stipulated.
origin of goods process
Environment for connection, training
Daily Frequently organize internal events and activities.
and exchange

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT PIONEERS JOIN As a leading commercial bank in Vietnam, and production recovery, promote economic
HANDS TO SUPPORT Vietcombank always implements policy development.
orientations of the Government and guidance
BUSINESSES AND
of the State Bank of Vietnam. In 2022, Total outstanding loans of borrowers
PEOPLE TO OVERCOME
Vietcombank has proactively implemented affected by Covid-19 pandemic has been
ECONOMIC STANDARD DIFFICULTIES many programs of loan fee exemption and rescheduled for debt payment, maintaining
reduction for local people and enterprises to dept group unchanged at VND 1,058 billion.
MAINTAIN OUTSTANDING Adverse developments of international Vietcombank continues to strictly control overcome difficulties, stabilize their living and Total outstanding loan interest reduction
BUSINESS market in 2022 plus changes of local credit quality and promote bad debt production recovery. reached VND 1.6 quadrillion, total amount
market have caused pressures on the settlement. The balance of bad debt on the of interest to support customers nationwide
PERFORMANCE,
economy. As a major commercial bank in balance sheet is VND 7,820 billion, bad debt At the beginning of the year, Vietcombank from preferential interest rate policies and
MAKE POSITIVE
Vietnam, Vietcombank has synchronously ratio being 0.68% while the balance of risk has waived all money transfer and service fee reduction in 2022 was estimated at
CONTRIBUTIONS TO implemented many solutions for disease provision fund is at VND 24,779 billion. The maintenance fees on VCB Digibank, over VND 7,100 billion. In addition, VCB has
SOCIO-ECONOMIC prevention and control, sharing and loan loss coverage ratio was 317.4% which supporting dozens of millions of customers to implemented preferential interest rate policies
DEVELOPMENT removing difficulties for customers and – the highest level in the banking industry. save thousands of billions of service fees per of the State Bank of Vietnam for customers in
supporting economic recovery and growth, Vietcombank posted a consolidated profit year. In addition, VCB has deployed interest accordance with Decree 31/2022/ND-CP of
stabilizing market sentiment and ensuring before tax of VND 37,368 billion, up 36% rate support policy in a public, timely and the Government and Circular No 03.2022/
safe and highly effective business activities. as of 2021. As of December 30th, 2022, transparent manner for customers eligible TT-NHNN. Total outstanding loan of interest
By the end of 2022, Vietcombank continued Vietcombank’s market capitalization reach for loans as stipulated to speed up business rate support reached VND 3,000 billion.
to gain outstanding business performance nearly USD 16.5 billion – leading position
with total asset value of more than VND among the listed banks and top 100 largest
1.8 quadrillion, up 28.2% as of 2021; credit listed banks by market capitalization, according EFFECTIVE, REASONABLE Vietcombank’s procurement activities are environment, ensure the quality of input
scale exceeding VND 1.15 quadrillion, up 19% to Reuters. With such impressive business AND ECONOMICAL carried out centrally, ensuring synchronous materials and not to violate regulations on
as of 2021, successfully controlling credit performance, Vietcombank continues to use, achieving an efficient procurement scale, employment.
PROCUREMENT
growth ceiling assigned by the State Bank be the largest tax paying bank to the State saving costs and time. All types of regular
PRACTICES
of Vietnam; total capital mobilization of budget with nearly VND 10,798 billion to the procurement goods are standardized. From Supplier selection criteria are included in the
VND 1.26 quadrillion, up 9% as of last year. State budget in 2022, making it one of the the beginning of the year, Vietcombank detailed process of rental/ procurement of
biggest contributors to the State budget. planned procurement demand since the products and services at Vietcombank. In
beginning of the year and entered into 2022, to update changes of legal documents
Green credit is now a global trend which and environmental protection. By the end of principal contracts with suppliers on that related to procurement of goods, bidding and
is drawing special attention from domestic 2022, the proportion of outstanding loans basis. The procurement is always effective, selection of contractors, Vietcombank has
PRIORITIZING FUNDING and international credit institutions, especially for green project at Vietcombank accounted rational and cost-saving. issued Decision No 2597/QD-VCBMSQLTS.
FOR GREEN CREDIT in field of socio-economic development. for over 4% of its total outstanding loans. CSTCKT on detailed process of rental/
Of which, renewable energy, investment In which, funding for renewable energy and Annually, Vietcombank assesses, selects and procurement of products and services at
in green projects, electric vehicles and clean energy projects accounts for 87.3%, adds suppliers that meet the capital capacity, Vietcombank, ensuring compliance with
clean agriculture is now a trend to realize sustainable water management projects implementation experience and gives priority regulations of the laws of Vietnam and
strong commitments of the Government accounting for 7,2%, material recycling & to the suppliers who commit to protect the internal procedures of Vietcombank.
of Vietnam at COP26. As a pioneering re-use projects accounting for 1.3%, waste
commercial bank, Vietcombank always treatment and pollution prevention projects
determines that growth must accompany accounting for 1.3%, green industry of 1%, COMPREHENSIVE AND Anti-corruption is always an important In 2022, through internal inspection and
sustainable development and funding green agriculture of 1%, green building task which draws a special attention from audit of Vietcombank and results of inspection
DRASTIC
for green projects is one of its key tasks. and sustainable transport of 1%. Especially, the Central Party, State and the politburo. and audit conducted by external agencies
ANTI-CORRUPTION
Vietcombank has continuously expanded medium and long-term funding for Implementation of policies and guidance including Government Inspectorate, State
green credit for the economy, especially for renewable energy, clean energy has grown of the Party, the Law of the State as an Auditor of Vietnam, State Bank Inspectorate,
renewable energy projects, green agriculture by nearly 350% in the past year, marking a enterprise that the State Bank of Vietnam is no corruption cases were recorded and
shift in credit orientation towards sustainable the largest shareholder and the No 1 digital reported. All officers, Party’s members
development at Vietcombank. Apart from bank in Vietnam, Vietcombank always pursue and employees always raise awareness of
focusing on green credit, Vietcombank a comprehensive and drastic anti-corruption, anti-corruption, improve quality of political
Securities, in 2022, has successfully advised upholding a typical example of the Party education, morality and lifestyle, preventing
issuance of VND 1,725 billion of green bonds Committee of Centrally run business bloc any sign of deterioration of political ideology,
for EVNFinance. This was the first corporate and banking industry. Vietcombank has morality and lifestyle, being responsive and
bond to be identified as green bond following issued labor rules and policies, guidelines on to customer inquiries and concerns and
international standards in Vietnam. professional ethics and implement them in winning the trust of customers.
the entire system.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT

(continued)

ENVIRONMENTAL STANDARDS
Wastewater

Head Office With financial services as its core business, cleaning system to save water, clear off
No violation of environmental regulations was recorded in 2022. Vietcombank VCB causes no direct discharge of wastewater sludge pipe at wastewater treatment area.
and Ho Chi Minh but domestic wastewater during its operation
always complies with regulations on environmental protection and proactively
Branch process. Particularly, waste sludge in 2022 of the
implement orientations of the Government on environmental protection, offices of the Head Office (Vietcombank
encouraging employees to raise awareness and join hands in environmental Vietcombank’s domestic wastewater Tower building, 198 Tran Quang Khai, Hoan
generation and treatment system ensures Kiem, Hanoi) and Ho Chi Minh Branch
protection.
Waste sludge environmental standards. The bank (Vietcombank Tower building, No. 5 Me Linh

33%
encourages its cadres and employees to save Square, District 1, Ho Chi Minh City) was
water in the workplace, water consumption 158 m3, down ~33% compared to the
is strictly monitored. In addition, Vietcombank average of the previous 3 years.
compared to the
average of the previous equips sanitary wares with automatic sensor
EMISSIONS Exhaust gases 3 years

With financial services as its core business, VCB causes no direct exhaust gases but indirect
exhaust gases during its operation process. Domestic waste Waste

Emissions from vehicles Measures and initiatives to reduce

2,155 m3
With financial services as its core business,
VCB discharges no hazardous wastes into
Measures and initiatives to reduce
domestic waste implemented in 2022
greenhouse gas emissions implemented equivalent to the average of
the previous 3 years
surrounding areas, but domestic wastes Sort waste at the source with separate
Vietcombank is always equipped with modern in 2022 during its operation process. trash bins.
vehicles and labor tools, ensuring emission
Use plastic trash bins replacing plastic
standards and registered in accordance Modern wall system equipped with Viracon Vietcombank sets up a limitation of office bags.
with the State’s regulations. In addition, fully tempered glass (USA). supplies in the workplace and put this
the Bank performs periodic maintenance/ into annual business performance. Solid Use signboards as propaganda tools on
Heat insulation: reduce heat transfer and saving stickers in the restrooms.
repair of vehicles to ensure safety and heat loss, reduce air conditioner power waste will be classified, collected and
fuel savings. Annually, Vietcombank also treated in accordance with applicable Minimize use of single-use items and
consumption.
reviews and evaluates the quality of vehicles regulations. Vietcombank also implements various types of plastic bags.
throughout the bank to promptly replace old, Optimize lighting system, energy saving digital transformation, transferring to
sub-standard vehicles. for lighting system. Particularly, domestic waste in 2022 of the
digital – only record keeping system to
offices of the Head Office (Vietcombank
Prevent surface dew condensation: inert prevent loss of data and reduce printing
Emissions from air conditioning systems, Tower building, 198 Tran Quang Khai, Hoan
gas is pumped inside insulated glass to paper consumption in the office. Besides,
generators Kiem, Hanoi) and Ho Chi Minh Branch
prevent dew condensation in case of Vietcombank frequently re-use printer
(Vietcombank Tower building, No. 5 Me Linh
high difference in temperature, improve cartridge, printer, printing paper, pen barrel
Modern and energy efficient air-conditioning Square, District 1, Ho Chi Minh City) was
ventilation and visibility. and limit replacement of equipment to
system is equipped with automatic shutdown 2,155 m3, equivalent to the average of the
reduce waste.
after working hours except for necessary previous 3 years.
Innovative automatic air conditioning system
areas. On a periodical basis, VCB performs
with temperature range of 24-25oC.
maintenance of its equipment to optimize
performance, energy saving and reduction
Other measures: reduce excess printing in
of exhaust gases, repair and replace old and Noise
the office in case of necessity, strengthen
damaged equipment. Vietcombank only uses
online meeting/working to limit traveling, etc.
generators when necessary or in case of The equipment serving business activities is maintained and adjusted on a regular basis to
emergency. provide minimal noise generation, a quiet and polite business environment for customers, and
a civilized and comfortable work environment for employees.

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PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT

(continued)

ENVIRONMENTAL STANDARDS (continued) SOCIAL STANDARDS

ENVIRONMENT Vietcombank always focuses on protecting the environment, EMPLOYMENT In 2022, Vietcombank continued to be recognized as one
working towards a green banking model and creating a of the leading units in taking care and protecting laborers
pleasant work environment for its employees. Additionally, through the award “Typical enterprise for employees”
Vietcombank is committed to supporting a green corporate co-organized by Ministry of Labor, War Invalids and Social
culture by focusing on electricity, water, paper, and office Affairs, Vietnam General Confederation of Labor and
supplies conservation; encouraging employees to plant and Vietnam Chamber of Commerce and Industry (VCCI).
take care of trees at the workplace as well as consciously
maintaining a green-clean-beautiful working environment.

Clean water consumption Check water use on regular basis to With human centric mindset as it cores value, Vietcombank has made appropriate adjustments
ensure no water leak. on its human resource policy as well its welfare policies in combination of modern management
In 2022, the entire Vietcombank system Repair water pipe and valves measures align with digital era to promote more effective and thorough management
continued to use purified water kept in from recruitment, personal record management, training & development to wage, bonus
Use notice boards as a propaganda tool and benefits. Vietcombank has been renewing its comprehensive governance and human
glass bottles to reuse many times, ensuring
on water saving resource development policy, building a lean and high-quality management team, creating
environmental friendliness and saving water.
Particularly, clean water consumption in internal strength to take VCB to the next level.
Measures and initiatives to reduce water 2022 of the offices of the Head Office
consumption implemented in 2022, the
SOME STATISTICS ON PERSONNEL IN 2022
(Vietcombank Tower building, 198 Tran Quang
results are as follows
Khai, Hoan Kiem, Hanoi) and Ho Chi Minh
Replace mechanical cleaning equipment Branch (Vietcombank Tower building, No. 5
by automatic equipment to adjust water Me Linh Square, District 1, Ho Chi Minh City) TOTAL EMPLOYEES NUMBER OF RECRUITED NUMBER OF RESIGNED
flow in accordance with LEED 2009 was 66,889 m3, down ~5.4% compared to
standards. the average of the previous 3 years.

22,599 employees
~12% ~ 6%
Head Office Electricity consumption Recorded results of implementing
measures to reduce electricity consumption
and Ho Chi Minh In 2022, Vietcombank continued to implement
at Vietcombank Tower No. 5, Me Linh
energy-saving measures in office buildings
Branch such as installing sensors for public area lights
Square, District 1, Ho Chi Minh City
Personnel Structure
and toilet fans; install inverters for basement Optimized the operation of the Building,
ventilation fans and fresh air supply fans; regulated the time to turn on and off By gender By management level Ratio of female/total leaders
Clean water operate the system automatically by setting the equipment. As a result, saving 77,794
consumption flexible and suitable parameters through the kWh/year.

5.4%
building’s automatic control system. Replaced façade lighting with LED lights. 40% 19% 53%

Particularly, electricity consumption in 2022 of As a result, saving 51,517 kWh/year.

compared to the average of the offices of the Head Office (Vietcombank Replaced 200 sets of 600x600 public
the previous 3 years Tower building, 198 Tran Quang Khai, Hoan lighting 56W with 200 sets of 34W LEDs.
Kiem, Hanoi) and Ho Chi Minh Branch
Electricity As a result, saving 14,000 kWh/year.
consumption (Vietcombank Tower building, No. 5 Me Linh
Square, District 1, Ho Chi Minh City) was 12.6 Replaced 250 sets of 600x600 (1,000

7% million kWh, down ~7% decrease compared bulbs) luminaires from 14W to 8W. As a 60% 81%
to the average of the previous 3 years. result, saving 21,900 kWh/year.
compared to the average of Male Female Leaders Professional staff Female leaders Male leaders
the previous 3 years

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT

(continued)

SOCIAL STANDARDS (continued)

EMPLOYMENT Recruitment has many innovations Competitive, attractive remuneration and welfare mechanism
(continued)
As of December 31st, 2022, the total number talented candidates to apply, and screen Vietcombank always pays a special attention birthday, weddings, vacation stipend, retiring
of employees at Vietcombank is 22,599 high-quality personnel into the system. Average incomes to human resource development, taking care allowance, child care financial assistance,
people. By the end of 2022, Vietcombank In addition, Vietcombank has recruited of their spiritual and material lives, bringing rewards for employees’ children with good
has deployed 11 recruitment rounds with talents from top universities nationwide
of Vietcombank’s more benefits to employees. In 2022, academic performance, etc.
more than 2,400 newly recruited officers such as National Economic University, employees continue Vietcombank has reviewed, amended and
and business support staff throughout the Foreign Trade University, Banking Academy, to grow y-o-y, supplemented lots of documents and policies Vietcombank also creates favorable conditions
system. Academy of Finance, University of Natural on personal organization to meet the actual for attending training courses abroad and
Sciences, Vietnam National University-Hanoi,
maintaining on top of demands and make it appropriate with at home through financial assistance as
Over the years, Vietcombank has constantly University of Technology, etc. banking industry and related legal documents. Accordingly, salary of prescribed at training regulations; giving
innovated and perfected its recruitment higher than median employees include: fixed wage by pay grade/ rewards to employees on a regular and
policy to improve efficiency and attract Diversification is prevalent in the forms range depending on titles or job positions, unexpected manner as prescribed at
high-quality human resources in the market and methods of recruitment: Vietcombank
earnings of the wage from job performance. Incomes of regulations on emulation and commendation.
to implement the Bank’s business strategy. has invested in digital transformation, market. officers, employees and detailed description
Recruitment, human resources development upgrading and perfecting the centralized of remuneration of each member of Board of In addition, Vietcombanks’ trade union and
and training are carried out in an open and online recruitment software system at the Management, General Director and managers youth union frequently coordinate to take care
transparent manner in order to create equal Head Office. Candidates can apply online are clearly included in the audited financial of spiritual and material lives of employees,
opportunities for all employees. and receive recruitment notices from statements 2022. In addition, Vietcombank improve employees’ work-life balance
the system. This initiative has helped to has built 3P salary system, working out and connect all employees, establishing
Vietcombank has a flexible and effective enhance professionalism, ensure public and special pay mechanism and competitive and supporting clubs (yoga, running, table
recruitment policy, a recruitment mechanism transparent results, reduce costs, and provide remuneration policy to attract highly skilled tennis, tennis, badminton, etc.); organizing
tailored specifically for experienced candidates with a more positive experience laborers, super good/scarce talent. running events, celebrations on International
candidates, experts, highly qualified workers with the branding Vietcombank’s recruitment. Children’s Day (June 1st), Mid-Autumn Festival,
who are exceptionally excellent and Average incomes of Vietcombank’s employees Vietnamese Women’s day (October 20th),
outstanding. This helps Vietcombank attract In such a highly competitive recruitment continue to grow y-o-y, maintaining on top International Women’s Day (March 8th),
market, Vietcombank’s brand reputation of banking industry and higher than median giving movie tickets, tickets for entertainment
emerges as an advantage. In addition, to earnings of the market. Average income venues, entrance tickets to book fairs, letter of
ensure a high-quality input human resource, of Vietcombank’s officers was nearly VND gratitude and gifts to employees’ parents on
Vietcombank has diversified its recruitment 432 million, equivalent to VND 36 million International Days of Older Persons (October
policy, working out preferential policies to per month, up 8% as of 2021. So, the bank 1st), etc. Vietcombank is now making efforts to
attract talents, prioritizing recruiting excellent has spent nearly VND 9,600 billion on improve employees’ income and ensure their
students or personnel with IT expertise and salary pay. Vietcombank has implemented legitimate rights and benefits in the whole
digital transformation skills, improving a a fair, motivating and transparent evaluation system.
professionally digital human resource to meet mechanism, work performance is evaluated
requirements of governance and master of by sets of criteria depending on job position, Vietcombank not only retains its employees,
modern technology systems. ensuring both qualitative and quantitative especially talents through its current
evaluation and recognizing all contributions remuneration policy but also attracts high
With recruitment effectiveness, VCB has of officers followed by transparent and quality human resource in the market.
been recognized in top 50 most attractive appropriate bonus and remuneration policies.
employer brands named by Anphabe and
Intage, VCB is ranked first in the banking Non-wage benefits for employees are diverse
industry and third in top 500 Vietnam including periodical health checks, health
Best Employers (VBE500) announced insurance, life insurance, workout cards,
by Investment Newspapers and Vietnam allowance for maternity health care, sickness
Business Research JSC. allowance, free lunch, uniform, vacation time,

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT

(continued)

SOCIAL STANDARDS (continued)

EMPLOYMENT Transparent, professional working environment where all voices are listened Training is diverse and comprehensive in both expertise and skills and capacities
(continued) and all good work is recognized
Thorough training roadmap Currently, Vietcombank is one of the
Vietcombank creates a safe, professional, work out targets in the coming time. In Today, Vietcombank pioneers of application of advanced science
transparent working environment where 2022, Vietcombank’s trade union and All titles and positions at Vietcombank are built and technology in human resource training.
is one of the upon a clear training roadmap. This is clearly Vietcombank provides various types of
all employees feel respected and their grassroots trade unions have done a good job
opinions listened through 5 basic cultural in implementing its role, functions and tasks pioneers in identified from the moment an employee diversity training as well as technology-based
values including Trust-Standard-Newness- in taking care of spiritual and material life application starts to work at Vietcombank plus additional training such as concentrated training, video
Durability-Humanity. On a yearly basis, and ensuring legitimate rights and benefits adjustments based on specific period to meet conferencing online training, online and
of advanced job requirements and career development remote classroom and especially E-learning.
Vietcombank conducts employee satisfaction of employees. Trade union proactively
2022 was the and engagement survey. According to studies aspirations with employees and technology and roadmap. Based on training roadmap of Through e-learning, employees can access
7th consecutive evaluation report of independent consulting share difficulties and obstacles with trade science in human each position, officers will be arranged for to class anywhere. Vietcombank has digitized
unit (Nielsen). EES scores of Vietcombank union members; organizing dialogues to training with groups of specialized programs its employee training programs. According to
year Vietcombank resource training. to meet necessary requirements of their jobs actual data at Vietcombank, a number of
were recognized at “Excellent” level in the promptly understand and address obstacles
maintained the market in 2022. of employees to build a harmonious, stable through many types of training. lectures on E-learning platform account for
position of Vietnam’s and progressive relationship with employees; 30% of total training contents with diversified
2022 was the 7th consecutive year taking care of and ensuring legitimate rights The training program is diverse, abundance topics, this helps employees learn more
best working Vietcombank maintained the position and benefits for employees; enhancing and practical emphasis effectively.
environment. of Vietnam’s best working environment the role and position of trade unions to
according to surrey results of “100 best places make positive contributions to sustainable Develop innovative and reflective professional By the end of 2022, Vietcombank has
to work in Vietnam” conducted by Anphabe development of Vietcombank. In addition, training programs to adapt to digital era. 70 electronic lectures on E-learning
and Intage (Vietcombank was ranked 1st in the trade union also promotes its role in Vietcombank’s human resource training platform, 380 training courses (online and
banking industry and 3rd in Vietnam market). strengthening social activities to connect and development school has successfully concentrated) with 97,000 learners. Ratio
and motivate employees toward the 60th carried out many types of training programs of training for management level is 6.86
Vietcombank organizes a meeting of anniversary of establishment of Vietcombank, at all levels from employees to senior times/manager and 4.42 times/employee,
executive committee of grassroots trade making contributions to turn Vietcombank management. equivalent to average 19 hours of training
union to summarize business results and into green, sustainable and community bank. per manager per year and 12 hours of
training per employee per year.

Occupational health and safety Strengthen links and cooperation with

prestigious research institutions
Vietcombank always complies with Ensure safe working environment and special
regulations on occupational safety and benefits for employees working in treasury Apart from developing a clear, modern and
hygiene, ensuring legitimate rights and jobs in comparison to other employees diversified training roadmap, Vietcombank
benefits for employees, ensuring health care, who work in an environment with normal also focuses on building education affiliate
safe and working environment. conditions such as increase of annual leave programs through cooperation agreements
days, cash allowances or in-kind benefits signed with universities, training facilities to
Ensure periodical health check-ups for in accordance with the laws on labor and improve quality of education and training
employees as stipulated, Vietcombank also regulations of Vietcombank in each period. programs, attracting high quality human
purchases health insurance and other health resource. Vietcombank has signed cooperation
insurance packages, life insurance to support No serious work-related accidents were agreements with many Vietnam’s leading
health check-ups and treatment as well as reported in 2022 related to occupational universities including National Economic
other benefits. In addition, VCB also supports health and safety of employees. University, Foreign Trade University, Banking
employees to involve in sporting activities in Academy, Academy of Finance, University of
leading fitness centers. Vietcombank is one Technology, etc. and continues to cooperate
of the first units to implement Covid-19 with other universities.
vaccination program for employees and their
family members.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

CONTENT OF SUSTAINABLE DEVELOPMENT SOCIAL ACTIVITIES

(continued)

SOCIAL STANDARDS (continued)

REGARDING HUMAN Non-discrimination, no use of child labor, forced or compulsory labor

RIGHTS With the goal toward a green bank and sustainable development for the community,
Vietcombank always ensures transparency In 2021-2022, this figure is about 53.8%, Vietcombank’s social activities are increasingly promoted with many practical and
without any discrimination of race, equivalent to 1,029 people. This shows that
religion, gender. Especially, Vietcombank leaders of Vietcombank always pays a special
meaningful programs, contributing to the general development of the community
pays a special attention to planning and attention to gender equality in recruitment of and society.
appointment of female officers. Female female employees in the whole system of
officers in Vietcombank account for 60% Vietcombank.
of total employees in the whole system,
of whom 45.7% of female officers are In addition, Vietcombank always says no
planned to become managers in the period to child labor and proactively comply with
of 2016-2021, equivalent to 854 people. regulations and laws on labor. For many years, Vetcombank has been implementing a series of social security activities, with
active participation from the head office to branches and affiliated companies nationwide, the
goal of the activities is not beyond sharing difficulties and improving the quality of life of the
poor in low-income areas across the country.
RESPONSIBILITY TO In 2022, Vietcombank continued to conduct } Health, education and community
customer satisfaction survey to gradually development account for 42% of total In 2022, Vietcombank spent more than VND 382 billion on social security work. During
THE COMMUNITY AND
improve its quality of products and services, commitment budget; the period 2018-2022, Vietcombank’s contribution to social security activities exceeded VND
SOCIETY
bringing the best services to community and 1,798 billion.
} Covid-19 prevention and control and
society. In addition, by upholding the tradition other activities account for 18% of total
of “Green Bank for Community”, VCB has Education and Health are two key areas that Vietcombank pays special attention to. Investment
commitment budget.
committed implementing social security in social security activities for these two areas is widely deployed by Vietcombank in many
programs worth VND 490 billion in 2022 poor localities across the country during the past time.
Typical activities include program of supporting
as follows: “Tet holidays for the poor” 2023 worth VND
} Social security and charity activities account 20.8 billion; commit to building houses of
for 40% of total commitment budget; gratitude for the poor worth VND 106.44
billion, commit to sponsoring education and
training activities worth VND 164.83 billion.
Vietcombank
spent more than
VND 382 billion
on social security
work. During the
period 2018-2022,
Vietcombank’s
contribution to
social security
activities
exceeded

VND 1,798 billion

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

SOCIAL ACTIVITIES (continued)

EDUCATION HEALTHCARE
Not only building new schools, Vietcombank to poor students in the flood and river Not only sponsoring the construction of Besides the programs that Vietcombank
also takes the lead in sponsoring learning areas; donate bicycles to poor and studious hospitals, medical stations, and providing coordinated with local authorities and
and teaching equipment and upgrading students. Every year, Vietcombank also essential equipment for medical examination agencies, each Vietcombank’s staff is
facilities for schools nationwide. Seated rewards scholarships to pupils and students and treatment, etc., Vietcombank has also fully aware of daily contribution to many
desks, library, functional classroom or simply with outstanding academic achievements or always cared for their patients by supporting practical and meaningful programs to share
clean water tanks, garage, sports field, etc., having great learning efforts despite difficult surgery costs or visiting patients, especially the responsibility of building a more civilized
although simple, these are very practical for situations through the Scholarship Funds, poor children in difficult circumstances. and beautiful society.
schools with many difficulties, contributing Study Encouragement Funds, etc. Through The activities to provide meals to hospital
to improving and enhancing the quality these activities, Vietcombank wishes to patients in many localities are also regularly
of teaching and learning for teachers and contribute to ignite the faith of students who undertaken by Vietcombank’s union group.
students. Besides, Vietcombank has also are still facing many difficulties, and to light Voluntary blood donation activities are
given special attention to helping poor up the passion and tradition of studiousness always enthusiastically participated by
students feel secure on the way to school, among the young Vietnamese generation. the youth union members, officers and
by donating thousands of pairs of lifebuoys employees of Vietcombank.

Vietcombank’s
staff is fully aware
of daily contribution
to many practical
and meaningful
programs to share
the responsibility
of building a
more civilized and
beautiful society.

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 ANNUAL REPORT 2022 VIETCOMBANK REPORT OF ORGANIZATION AND CORPORATE SUSTAINABLE FINANCIAL
PROFILE THE BOM AND BOD HUMAN RESOURCES GOVERNANCE DEVELOPMENT REPORT STATEMENTS

SOCIAL ACTIVITIES (continued)

DATA ON SOCIAL COMMUNITY ACTIVITIES IN 2022
AND IN 2018-2022 PERIOD

SOCIAL SECURITY DATA ASPECTS Value realized in 2022

No. Purpose of sponsorship
(Unit: VND million)

1 Education 134,167

2 Healthcare 14,319

3 COVID-19 Support 11,949

2022 Five-year period

382,700
Sponsoring the poor/Building, Constructing
(2018 - 2022) 4 178,533

1,798,373
gratitude and solidarity houses, etc.
VND million Total amount of funding
for Vietcombank’s social VND million
Overcoming consequences of natural
security activities 5 342
disasters

6 Other fields 43,390

REGION 2022 SOME TYPICAL SOCIAL Amount

No. Region SECURITY PROGRAMS/
(Unit: VND million) No. Name of program (Unit: VND
PROJECTS IMPLEMENTED billion)
1 Northwest Region 98,363 BY VIETCOMBANK IN
Donate money to build 200 houses for the poor and
2022
2 Central Highlands Region 9,596 1 families under preferential treatment policy in Phu Yen 10
province
3 Southwest Region 68,091
Donate money to build houses for families with difficult
4 Other provinces/cities 206,650 2 circumstances who are living in temporary shelters in 10
A Luoi District, Thua Thien Hue Province

Donate money to build houses for poor people in Bat Xat

3 9
District, Lao Cai province

4 Donate money to build 02 schools in Hau Giang province 8

Donate money to build a 02-storey building with 8 rooms

5 and supporting works of Phu Tien Primary School, Phu 7
Tien Commune, Dinh Hoa District, Thai Nguyen province

Donate money to build medical station in Thieu Ngoc

6 2.5
Commune, Thieu Hoa District, Thanh Hoa Province

148 149
 T H E U T C EM R 1 E N R E TH
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B BA N M B T H F T
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E M N U E E N BE TH T E K E
FUT BRAC ANK BER 1 THE FUTU CE TH K EM R 1 BA NUM TURE THE F BRA 1 BAN B
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E M R 1 B UM URE HE R A A N BE HE FU E E M R U M
K E N T T B 1B M T E AC NK BE E N R
 ANNUAL REPORT 2022

BANK’S INFORMATION

Establishment and Establishment and Operation Licence No. 138/GP-NHNN dated 23 May
Operation Licence 2008 issued by the State Bank of Vietnam, Decision No. 2719/QD-NHNN
dated 27 December 2011, Decision No. 523/QD-NHNN dated 22 March
2012, Decision No. 1547/QD-NHNN dated 6 August 2014, Decision No.
2182/QD-NHNN dated 26 October 2015, Decision No. 95/QD-NHNN
dated 18 January 2017, Decision No. 891/QD-NHNN dated 8 May 2017,
Decision No. 2293/QD-NHNN dated 31 October 2017, Decision No. 300/
QD-NHNN dated 21 February 2019, Decision No. 2447/QD-NHNN dated
25 November 2019, Decision No. 346/QD-NHNN dated 10 March 2022
and Decision No. 700/QD-NHNN dated 19 April 2022 promulgated by the
State Bank of Vietnam amending and supplementing the operations of Joint
Stock Commercial Bank for Foreign Trade of Vietnam.

Joint Stock Commercial Bank for Business Registration Business Registration Certificate with Enterprise Code No. 0103024468
Foreign Trade of Vietnam Certificate issued by Hanoi Department of Planning and Investment on 2 June
2008, with Enterprise Code No. 0100112437 being amended 15th time
Consolidated financial statements on 14 April 2022.
for the year ended 31 December 2022
Members of the Board of Directors during the year and until the issuance date of the consolidated
financial statements

Mr. Pham Quang Dung Chairman Appointed on 30 August 2021

Mr. Nguyen Thanh Tung Member Appointed on 30 January 2023
Mr. Do Viet Hung Member Appointed on 26 April 2019
Mr. Nguyen Manh Hung Member Re-appointed on 27 April 2018
Mr. Nguyen My Hao Member Re-appointed on 27 April 2018
Mr. Pham Anh Tuan Member Resigned on 1 December 2022
Mr. Hong Quang Member Appointed on 27 April 2018
Mr. Truong Gia Binh Independent Member Appointed on 27 April 2018
Mr. Shojiro Mizoguchi Member Appointed on 23 April 2021

Members of the Board of Management during the year and until the issuance date of the consolidated
financial statements

Chief Executive
Mr. Nguyen Thanh Tung Appointed on 30 January 2023
Officer (“CEO”)
Mr. Pham Manh Thang Deputy CEO Re-appointed on 10 March 2019
Ms. Nguyen Thi Kim Oanh Deputy CEO Re-appointed on 26 December 2019
Ms. Dinh Thi Thai Deputy CEO Re-appointed on 1 June 2020
Ms. Phung Nguyen Hai Yen Deputy CEO Re-appointed on 15 December 2022
Mr. Le Quang Vinh Deputy CEO Re-appointed on 15 December 2022
Mr. Dang Hoai Duc Deputy CEO Appointed on 1 April 2019
Mr. Shojiro Mizoguchi Deputy CEO Appointed on 23 April 2021
Mr. Nguyen Viet Cuong Deputy CEO Appointed on 26 April 2022

152 153
 ANNUAL REPORT 2022

BANK’S INFORMATION (continued) REPORT OF THE BOARD OF MANAGEMENT

Members of the Supervisory Board during the year and until the issuance date of the consolidated The Board of Management of Joint Stock Commercial Bank for Foreign Trade of Vietnam (“the Bank”) is pleased
financial statements to present this report and the consolidated financial statements of the Bank and its subsidiaries for year ended
31 December 2022.

Mr. Lai Huu Phuoc Chair of the Board Appointed on 4 November 2020 The Board of Management’s responsibility in respect of the consolidated financial statements

Ms. La Thi Hong Minh Member Re-appointed on 27 April 2018 The Board of Management is responsible for the consolidated financial statements of each financial year which give
a true and fair view of the consolidated financial position of the Bank and its subsidiaries and of the consolidated
Ms. Do Thi Mai Huong Member Re-appointed on 27 April 2018 results of their operations and their consolidated cash flows for the year. In preparing those consolidated financial
statements, the Board of Management is required to:
Ms. Tran My Hanh Member Appointed on 29 April 2022
» select suitable accounting policies and then apply them consistently;
» make judgments and estimates that are reasonable and prudent;
Chief Accountant Mr. Le Hoang Tung » state whether applicable accounting standards have been followed, subject to any material departures disclosed
Re-appointed on 15 December 2022 and explained in the consolidated financial statements; and
» prepare the consolidated financial statements on the going concern basis unless it is inappropriate to presume
Legal Representative Since 30 August 2021 that the Bank and its subsidiaries will continue their business.
Mr. Pham Quang Dung
Title: Chairman of the Board of Directors The Board of Management is responsible for ensuring that proper accounting records are kept which disclose,
with reasonable accuracy at any time, the consolidated financial position of the Bank and its subsidiaries and
Authorised signature on Since 29 September 2021 to ensure that the accounting records comply with the applied accounting system. It is also responsible for
financial statements Ms. Phung Nguyen Hai Yen safeguarding the assets of the Bank and its subsidiaries and hence for taking reasonable steps for the prevention
(According to Letter of Title: Deputy CEO and detection of fraud and other irregularities.
Authorisation No. 337/UQ-VCB-
CSTCKT dated 29 September The Board of Management confirmed that it has complied with the above requirements in preparing the
2021) accompanying consolidated financial statements.

The Bank’s Head Office 198 Tran Quang Khai Street Statement by the Board of Management
Hoan Kiem District, Hanoi, Vietnam
The Board of Management does hereby state that, in its opinion, the accompanying consolidated financial
Auditor Ernst & Young Vietnam Limited statements give a true and fair view of the consolidated financial position of the Bank and its subsidiaries as at
31 December 2022 and of their consolidated results of operations and their consolidated cash flows for the year
then ended in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System for Credit
Institutions issued by the State Bank of Vietnam and the statutory requirements relevant to the preparation and
presentation of the consolidated financial statements .

For and on behalf of the Board of Management:

Ms. Phung Nguyen Hai Yen

Deputy CEO
Hanoi, 31 March 2023

154 155
 ANNUAL REPORT 2022

Reference: 60755043/23046448-HN

INDEPENDENT AUDITORS’ REPORT

To: The Shareholders of Opinion

Joint Stock Commercial Bank for Foreign Trade of Vietnam
In our opinion, the consolidated financial statements give a true and fair view, in all material respects, of the
We have audited the accompanying consolidated financial statements of Joint Stock Commercial Bank for Foreign consolidated financial position of the Bank and its subsidiaries as at 31 December 2022, and of the consolidated
Trade of Vietnam (“the Bank”) and its subsidiaries as prepared on 31 March 2023 and set out on pages 158 to results of their operations and their consolidated cash flows for the year then ended in accordance with Vietnamese
231, which comprise the consolidated statement of financial position as at 31 December 2022, the consolidated Accounting Standards, Vietnamese Accounting System for Credit Institutions and other statutory requirements
income statement and the consolidated cash flow statement for the year then ended and the notes thereto. relevant to preparation and presentation of consolidated financial statements.

The Board of Management’s responsibility Other Matter

The Board of Management of the Bank is responsible for the preparation and fair presentation of these consolidated The consolidated financial statements of the Bank and its subsidiaries for the year ended 31 December 2021 were
financial statements in accordance with Vietnamese Accounting Standards, Vietnamese Accounting System for audited by another audit firm which expressed an unmodified opinion on those statements on 21 March 2022.
Credit Institutions and statutory requirements relevant to preparation and presentation of consolidated financial
statements, and for such internal control as management determines is necessary to enable the preparation and
presentation of the consolidated financial statements that are free from material misstatement, whether due to Ernst & Young Vietnam Limited
fraud or error.

Auditors’ responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We
conducted our audit in accordance with Vietnamese Standards on Auditing. Those standards require that we
comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether
the consolidated financial statements of the Bank and its subsidiaries are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
consolidated financial statements. The procedures selected depend on the auditors’ judgment, including the
assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud
Dang Phuong Ha Nguyen Van Trung
or error. In making those risk assessments, the auditors consider internal control relevant to the Bank’s and its
Deputy General Director Auditor
subsidiaries’ preparation and fair presentation of the consolidated financial statements in order to design audit
Audit Practicing Registration Audit Practicing Registration
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
Certificate No. 2400-2023-004-1 Certificate No. 3847-2021-004-1
effectiveness of the Bank’s and its subsidiaries’ internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of accounting estimates made by management, as well as
evaluating the overall presentation of the consolidated financial statements.
Hanoi, Vietnam
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
31 March 2023
opinion.

156 157
 ANNUAL REPORT 2022

Form B02/TCTD-HN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Issued under Circular No.
49/2014/TT-NHNN
as at 31 December 2022 dated 31 December 2014)

31/12/2021 31/12/2021
31/12/2022 VND million 31/12/2022 VND million
No. Items Note VND million (restated) No. Items Note VND million (restated)
A ASSETS B LIABILITIES AND OWNERS’ EQUITY
I Cash, gold, silver and gemstones 4 18,348,534 18,011,766 I Amounts due to the Government and the State Banks 16 67,314,816 9,468,116
II Balances with the State Banks 5 92,557,809 22,506,711
1 Amounts due to the Government and the State Bank 67,314,816 9,468,116
III Balances with and loans to other credit institutions 6 313,637,444 225,811,765
II Deposits and borrowings from other credit institutions 17 232,510,850 109,757,777
1 Balances with other credit institutions 283,727,719 181,036,981
2 Loans to other credit institutions 40,749,725 48,727,565 1 Deposits from other credit institutions 222,040,585 104,043,817

3 Provision for balances with and loans to other credit institutions (10,840,000) (3,952,781) 2 Borrowings from other credit institutions 10,470,265 5,713,960
IV Trading securities 7 1,499,687 2,799,649 III Customer deposits 18 1,243,468,471 1,135,323,913
1 Trading securities 1,543,575 2,856,082
Fund for finance, entrusted investments and entrusted
2 Provision for trading securities (43,888) (56,433) V 19 3,298 7,707
loans
V Derivatives and other financial assets 8 156,515 303,202
VI Valuable papers issued 20 25,337,894 17,387,747
VI Loans to customers 1,120,286,832 935,009,671
VII Other liabilities 109,533,756 33,854,570
1 Loans to customers 9 1,145,066,250 960,749,955
2 Provision for loans to customers 10 (24,779,418) (25,740,284) 1 Accrued interest and fee payables 21(a) 12,485,332 9,326,371

VIII Investment securities 11 196,171,213 170,596,896 3 Other liabilities 21(b) 97,048,424 24,528,199
1 Available-for-sale securities 100,739,670 71,114,698 TOTAL LIABILITIES 1,678,169,085 1,305,799,830
2 Held-to-maturity securities 95,513,376 99,657,595 VIII Shareholders’ equity
3 Provision for investment securities (81,833) (175,397)
1 Capital 53,130,392 42,428,821
IX Capital contributions, long-term investments 2,193,535 2,346,176
a Charter capital 47,325,166 37,088,774
2 Investments in joint-ventures 12(a) 771,075 748,895
3 Investments in associates 12(b) 11,314 10,820 c Share premium 4,995,389 4,995,389
4 Other long-term investments 12(c) 1,529,145 1,661,461 g Other capital 809,837 344,658
5 Provision for long-term investments 12(d) (117,999) (75,000) 2 Reserved 22,556,958 18,173,068
X Fixed assets 7,985,400 8,636,306
3 Foreign exchange differences (863,071) (5,109)
1 Tangible fixed assets 13 5,170,083 5,562,887
5 Retained earnings 60,733,423 48,502,536
a Cost 13,950,174 13,736,855
b Accumulated depreciation (8,780,091) (8,173,968) a Previous years’ retained earnings 37,607,427 31,826,451

3 Intangible fixed assets 14 2,815,317 3,073,419 b Current year’s retained earnings 23,125,996 16,676,085
a Cost 4,789,089 4,622,229 6 Non-controlling interest 88,383 87,113
b Accumulated amortisation (1,973,772) (1,548,810)
TOTAL SHAREHOLDERS’ EQUITY 22(a) 135,646,085 109,186,429
XII Other assets 60,978,201 28,964,117
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 1,813,815,170 1,414,986,259
1 Receivables 15(a) 24,483,406 15,803,945
2 Accrued interest and fee receivables 15(b) 9,209,121 7,147,524
3 Deferred tax assets 15(c) 958,065 349
4 Other assets 15(d) 26,339,829 6,016,319
5 Provision for other assets 15(d) (12,220) (4,020)
TOTAL ASSETS 1,813,815,170 1,414,986,259

The accompanying notes are an integral part of these consolidated financial statements The accompanying notes are an integral part of these consolidated financial statements

158 159
 ANNUAL REPORT 2022

CONSOLIDATED INCOME STATEMENT

Form B02/TCTD-HN Form B03/TCTD-HN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Issued under Circular No. (Issued under Circular No.
as at 31 December 2022 (continued) 49/2014/TT-NHNN 49/2014/TT-NHNN for the year ended 31 December 2022
dated 31 December 2014) dated 31 December 2014)

31/12/2021 2021
31/12/2022 VND million 2022 VND million
No. Items Note VND million (restated) No. Items Note VND million (restated)

OFF-BALANCE SHEET ITEMS 1 Interest and similar income 23 88,112,700 70,621,957

2 Interest and similar expenses 24 (34,866,222) (28,349,385)
1 Credit guarantees 2,151,637 2,447,477
I Net interest and similar income 53,246,478 42,272,572
2 Foreign exchange commitments 83,320,732 81,044,022
3 Fee and commission income 25 12,425,007 11,286,516
Foreign exchange commitments - buy 1,027,038 3,470,214 4 Fee and commission expenses 25 (5,585,907) (3,879,443)
Foreign exchange commitments - sell 1,028,925 3,466,305 II Net fee and commission income 25 6,839,100 7,407,073
Swap commitments 81,264,769 74,107,503 III Net gain from trading of foreign currencies 26 5,768,445 4,374,820
IV Net (loss)/gain from trading securities 27 (115,194) 137,665
3 Letters of credit 84,748,838 65,378,199
V Net gain/(loss) from investment securities 28 81,595 (85,235)
4 Other guarantees 48,477,552 51,543,638
5 Other income 29 2,928,339 3,100,370
5 Other commitments 35,760,608 11,586,990 6 Other expenses 29 (874,378) (707,109)
6 Uncollected interests and fees receivable 46 1,301,468 2,317,333 VI Net other income 29 2,053,961 2,393,261
7 Bad debts written-off 47 60,213,929 55,457,529 VII Income from capital contributions and equity investments 30 208,436 129,810

8 Other assets and receipts 48 521,264,498 349,305,079 TOTAL OPERATING INCOME 68,082,821 56,629,966
VIII TOTAL OPERATING EXPENSES 31 (21,250,512) (17,665,925)
IX Net operating profit before provision for credit losses 46,832,309 38,964,041
Hanoi, 31 March 2023
X Provision expense for credit losses 32 (9,464,218) (11,478,198)
Prepared by: Approved by:
TOTAL PROFIT BEFORE TAX
XI 37,368,091 27,485,843
Ms. Nguyen Thi Thu Huong Mr. Le Hoang Tung Ms. Phung Nguyen Hai Yen (CARRIED TO THE NEXT PAGE)
7 Current corporate income tax expense 33(a) (8,406,860) (4,560,128)
8 Deferred income tax income/(expense) 33(b) 957,823 (908,882)
XII Corporate income tax expense (7,449,037) (5,469,010)
XIII NET PROFIT AFTER TAX 29,919,054 22,016,833
XIV Non-controlling interest (20,040) (20,232)
XV Net profit attributable to the Bank’s shareholders 29,899,014 21,996,601
Deputy Director of Chief Accountant Deputy CEO XVI Earnings per share (VND/share) 34 5,821 4,162
Financial and Accounting
Policy Department Hanoi, 31 March 2023
Prepared by: Approved by:
Ms. Nguyen Thi Thu Huong Mr. Le Hoang Tung Ms. Phung Nguyen Hai Yen

Deputy Director of Chief Accountant Deputy CEO

Financial and Accounting
Policy Department

The accompanying notes are an integral part of these consolidated financial statements The accompanying notes are an integral part of these consolidated financial statements

160 161
 ANNUAL REPORT 2022

CONSOLIDATED CASH FLOW STATEMENT

Form B04/TCTD-HN
(Issued under Circular No.
for the year ended 31 December 2022 (Direct method) 49/2014/TT-NHNN
dated 31 December 2014)

2022 2021 2022 2021

No. Items VND million VND million No. Items VND million VND million

CASH FLOWS FROM OPERATING ACTIVITIES CASH FLOWS FROM INVESTING ACTIVITIES

01 Interest and similar income received 86,084,771 70,805,813 01 Purchases of fixed assets (711,567) (1,621,433)

02 Interest and similar expenses paid (31,709,129) (28,835,100) 02 Proceeds from disposals of fixed assets 15,753 8,456

03 Net fee and commission income received 5,160,000 5,727,973 03 Payments for disposals of fixed assets (4,808) (1,201)

Net receipts from foreign currencies, gold, and securities trading 07 Proceeds from investments in other entities - (83,502)
04 6,001,404 4,666,765
activities
08 Collections from investments in other entities 201,899 13,791
05 Chi phí khác đã trả (351,728) (526,224)
Dividends and profits received from long-term investments and capital
09 106,555 93,953
06 Receipts from recovery of bad debts previously written off 2,394,744 2,912,230 contributions

07 Payments to employees and for other operating activities (19,834,116) (16,384,599) II Net cash flows used in investing activities (392,168) (1,589,936)

08 Corporate income tax paid during the year (3,976,351) (5,877,802) CASH FLOWS FROM FINANCING ACTIVITIES

Net cash flows from operating activities before changes in 03 Dividend paid to shareholders (3,348,022) (1,886,298)
43,769,595 32,489,056
operating assets and liabilities
III Net cash flows used in financing activities (3,348,022) (1,886,298)
(Increase)/decrease in operating assets
IV Net cash flows during the year 179,681,299 (60,028,707)
09 Balances with and loans to other credit institutions (15,019,465) (13,107,318)
V Cash and cash equivalents at the beginning of the year 232,553,995 292,582,702
10 Trading securities 5,431,755 (14,079,392)
Cash and cash equivalents at the end of the year
11 Derivative other financial assets 146,687 (303,202) VII 412,235,294 232,553,995
(Note 35)
12 Loans to customers (184,316,295) (120,961,694)

13 Utilisation of provision for credit losses (3,530,346) (2,538,370)

14 Other operating assets (28,925,742) (9,978,820) Hanoi, 31 March 2023

Increase/(decrease) in operating liabilities Prepared by: Approved by:
15 Amounts due to the Government and the SBV 57,846,700 (31,708,879) Ms. Nguyen Thi Thu Huong Mr. Le Hoang Tung Ms. Phung Nguyen Hai Yen
16 Deposits and borrowings from other credit institutions 122,753,073 6,173,944

17 Customer deposits 108,144,558 103,210,346

18 Valuable papers issued 7,950,797 (3,853,426)

19 Funds for finance, entrusted investments and entrusted loans (4,409) (6,972)

20 Derivative and other financial liabilities - (52,031)

21 Other operating liabilities 71,713,235 950,748 Deputy Director of Chief Accountant Deputy CEO
Financial and Accounting
22 Payments from reserves (2,538,654) (2,786,463) Policy Department
I Net cash flows from/(used in) operating activities 183,421,489 (56,552,473)

The accompanying notes are an integral part of these consolidated financial statements The accompanying notes are an integral part of these consolidated financial statements

162 163
 ANNUAL REPORT 2022

Form B05/TCTD-HN
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 dated 31 December 2014)

These notes form an integral part of, and should be read in conjunction with, the accompanying (c) Location and network
consolidated financial statements.
The Bank’s Head Office is located at 198 Tran Quang Khai Street, Hoan Kiem District, Hanoi, Vietnam.
1. Reporting entity As at 31 December 2022, the Bank had one (1) Head Office, one (1) Vietcombank Human Resources
Development and Training College, two (2) Cash Processing Centers, one hundred and twenty one (121)
(a) Establishment and operations branches nationwide, four (4) local subsidiaries, three (3) overseas subsidiaries, two (2) joint-ventures, one
(1) associate, one (1) representative office located in the United States of America, one (1) representative
Joint Stock Commercial Bank for Foreign Trade of Vietnam (“the Bank”) was established upon the office located in Singapore and one (1) representative office located in Ho Chi Minh City.
transformation from a state-owned commercial bank following the approval of the Prime Minister on
the equitisation plan of the Bank for Foreign Trade of Vietnam and in accordance with other relevant (d) Subsidiaries, joint-ventures and associates
regulations. The Bank was granted Establishment and Operation Licence No. 138/GP-NHNN dated 23
May 2008 by the State Bank of Vietnam (“the SBV”) for a period of 99 years, Business Registration Subsidiaries
Certificate No. 0103024468 dated 2 June 2008 by Hanoi Authority for Planning and Investment and
Enterprise Code No. 0100112437 was reissued for the fifteenth time on 14 April 2022. As at 31 December 2022 and 31 December 2021:

The principal activities of the Bank in accordance with Decision No. 2719/QD-NHNN dated 27 December
2011, Decision No. 2182/QD-NHNN dated 26 October 2015, Decision No. 891/QD-NHNN dated Subsidiaries Operating Licence Business Ownership
sector percentage of
8 May 2017, Decision No. 2293/QD-NHNN dated 31 October 2017, Decision No. 300/QD-NHNN
the Bank
dated 21 February 2019, Decision No. 2447/QD-NHNN dated 25 November 2019, Decision No. 346/
QD-NHNN dated 10 March 2022 and Decision No. 700/QD-NHNN dated 19 April 2022 amending Vietcombank Financial Operation Licence No. 66/GP-NHNN dated 31 Financial 100%
and supplementing to Establishment and Operation Licence No. 138/GP-NHNN on the contents of the Leasing Company Limited October 2017 granted by the SBV leasing
Bank’s operations are to mobilise and receive short, medium and long-term deposits from organisations
and individuals; lend to organisations and individuals up to the nature and capability of the Bank’s capital Vietcombank Securities Operation Licence No. 09/GPHDKD dated 24 April Securities 100%
resources; conduct settlement and cash services; provide other banking services as approved by the Company Limited 2002, the most recent amendment is Operation
SBV; invest in associates, joint-ventures and other companies; invest in stocks and bonds and real-estate Licence No. 93/GPDC-UBCK dated 27 September
business in accordance with the relevant regulations; trade in and supply interest rates derivatives and 2022 granted by the State Securities Commission
commodity price derivatives in accordance with the relevant regulations; purchase debts; trade in and of Vietnam (“SSC”)
provide foreign exchange services in the domestic and international markets in accordance with the
relevant regulations of the SBV. Vietnam Finance Company Operation Licence No. 58327 dated 10 February Financial 100%
Limited in Hong Kong 1978 granted by Hong Kong Monetary Authority services
(b) Ordinary shares (“Vinafico”)

Under Establishment and Operation Licence No. 138/GP-NHNN dated 23 May 2008 issued by the SBV Vietcombank Remittance Enterprise Registration Certificate No. 0314633162 Money 100%
Company Limited dated 20 September 2017 and the most recent remittance
and Business Registration Certificate No. 0103024468 dated 2 June 2008 issued by Hanoi Authority
amendment dated 27 December 2021 granted
for Planning and Investment, the Bank’s charter capital was VND12,100,860,260,000. Under Enterprise by Ho Chi Minh City Authority for Investment and
Registration Certificate with Enterprise Code No. 0100112437 was reissued for the 13th time on 16 Planning
January 2019 and the amendment of Establishment and Operation Licence No. 138/GP-NHNN of Joint
Stock Commercial Bank for Foreign Trade of Vietnam under Decision No. 300/QD-NHNN dated 21 Vietcombank Laos Limited Operation Licence No. 88/BOL dated 25 May Banking 100%
February 2019 of the SBV, the Bank’s charter capital was VND37,088,774,480,000. Under Business 2018 granted by Bank of the Lao P.D.R
Registration Certificate with Enterprise Code No. 0100112437 as reissued for the 15th time on 14 April
2022 and the amendment of Establishment and Operation Licence No. 138/GP-NHNN of Joint Stock Vietcombank Money Inc. Business Registration No. E0321392009-6 dated Money 87,5%
Commercial Bank for Foreign Trade of Vietnam under Decision No. 346/QD-NHNN dated 10 March 15 June 2009 granted by the Authority of the State transfer
2022, the Bank’s charter capital was VND47,325,165,710,000. The par value of share is VND10,000. of Nevada, United States

Vietcombank Tower 198 Ltd Investment Licence No. 1578/GP dated 30 May Office 70%
31/12/2022 31/12/2021
1996 and the most recent amendment dated 1 leasing
Number of shares % Number of shares % March 2019 granted by the Ministry of Planning
and Investment
Shares owned by the Government of Vietnam 3,540,074,921 74.80% 2,774,353,387 74.80%
Shares owned by foreign strategic shareholder
709,883,374 15.00% 556,334,933 15.00% The Bank and its subsidiaries are hereinafter referred to as “Vietcombank”.
(Mizuho Bank Ltd., Japan)
Shares owned by other shareholders 482,558,276 10.20% 378,189,128 10.20%
4,732,516,571 100% 3,708,877,448 100%

164 165
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

Joint-ventures 2. Summary of significant accounting policies

As at 31 December 2022 and 31 December 2021: The following significant accounting policies have been adopted by Vietcombank in the preparation and
presentation of these consolidated financial statements.
Joint-ventures Operating Licence Business Ownership (a) Purpose of preparing the consolidated financial statements
sector percentage of
the Bank
The Bank has subsidiaries as disclosed in Note 1(d). The Bank has prepared these consolidated financial
Vietcombank – Bonday – Investment Licence No. 2458/GP dated 7 February Office leasing 52%
statements to meet the prevailing requirements in relation to disclosure of information, specifically
Ben Thanh Joint-venture 2005 granted by the Ministry of Planning and Circular No. 96/2020/TT-BTC issued by the Ministry of Finance on disclosure of information on the
Company Limited Investment and the most recent amendment No. securities market (“Circular 96”). In addition, as required by Circular 96, the Bank has also prepared the
2458/GCNDC2/41/1 dated 28 December 2012 separate financial statements of the Bank for the year ended 31 December 2022 (“the separate financial
statements”), which were issued on 31 March 2023.
Vietcombank Fund Establishment and Operating Licence No. 06/ Investment 51%
Management UBCK-GPHDQLQ dated 2 December 2005 fund (b) Basis of preparation
granted by the State Securities Commission of management
Vietnam and the most recent Amended Licence No. The consolidated financial statements, presented in Vietnam Dong (“VND”) and rounded to the nearest
17/GPDC-UBCK dated 9 February 2018 million VND (“VND million”), have been prepared in accordance with Vietnamese Accounting Standards, the
Vietnamese Accounting System for Credit Institutions (“CIs”) issued by the State Bank of Vietnam and the
Associates statutory requirements relevant to the preparation and presentation of the consolidated financial statements.

As at 31 December 2022 and 31 December 2021: The consolidated financial statements, except for the consolidated cash flow statement, are prepared on
the accrual basis using the historical cost concept. The consolidated cash flow statement is prepared using
direct method.
Associates Operating Licence Business Ownership
sector percentage of
(c) Accounting period
the Bank
Vietcombank’s annual accounting period is from 1 January to 31 December.
Vietcombank – Bonday Operating Licence No. 283/GP dated 5 December Office leasing 16%
Joint-venture Company 1991 granted by the Ministry of Planning and

Limited Investment and the most recent Amended Licence (d) Changes in accounting policies
No. 283/GPDC4 dated 4 March 2002
The accounting policies adopted by Vietcombank in preparation of the consolidated financial statements

are consistent with those followed in the preparation of the consolidated financial statements for the year
(e) Number of employees
ended 31 December 2021, except for the following:
As at 31 December 2022, Vietcombank had 22,599 employees (31 December 2021: 21,670 employees).
Circular No. 24/2022/TT-BTC (“Circular 24”) dated 7 April 2022 on amending and supplementing
several articles of Circular 48/2019/TT-NHNN dated 8 August 2019 of the Ministry of Finance providing
regulations on making and settlement of provisions for devaluation of inventory, losses of financial
investments and bad debts and warranty for products, goods, services or construction works at enterprises.

Circular 24 takes effect from 25 May 2022, amending and supplementing regulations on the provisioning
requirement. Accordingly, securities subject to the provisioning requirement are types of securities issued
by domestic business entities in accordance with law; under the ownership of enterprises; listed or
registered for trades to be performed on the domestic securities market; freely traded on the market at
the actual price determined at the time of completion of annual financial statements which is less than
the book value of investments in securities.

Government, government-guaranteed, and municipal bonds are exempted from such provisioning
requirements.

Circular 27/2021/TT-NHNN (“Circular 27”) amends and supplements to several Articles of the accounting
account system of credit institutions issued together with Decision No. 479/2004/QD-NHNN dated 29 April
2004 (“Decision 479”) and the financial reporting regime for credit institutions issued together with the Decision
166 No. 16/2007/QD-NHNN dated 18 April 2007, of the Governor of State Bank of Vietnam (“Decision 16”). 167
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

The State Bank of Vietnam issued Circular 27 on 31 December 2021 to amend and supplement several (ii) Associates and joint-ventures
articles on the system of accounting accounts and the financial reporting regime for credit institutions,
issued together with Decision 479 and Decision 16. The main changes of Circular 27 are as follows: Associates are those entities to which the Bank has significant influence, but not control, over their
financial and operating policies.
» Amending and supplementing a number of accounts and corresponding accounting contents in the
chart of accounts for credit institutions; Joint-ventures are those entities to which the Bank has joint control, established by contractual agreements
» Amending and supplementing several financial statement items and related notes to the financial and require unanimous consent of all joint-venture investors for the entity’s strategic financial and operating
statements; and decisions.
» Replacing the names of the financial reporting templates; replacing and removing some other phrases
The Bank adopts the equity method in accounting for its investments in associates and joint ventures
previously prescribed in Decision 16.
in the consolidated financial statements. The Bank’s share of post-acquisition profits or losses of its
associates and joint-ventures from the date that it commences until the date that significant influence or
Circular 27 took effect on 1 April 2022. joint control ceases and is recognised in the consolidated income statement. When the Bank’s share of
losses in associates and joint-ventures equals or exceeds the cost of its investments in the associates and
(e) Foreign currency transactions joint-ventures, the Bank does not recognise further losses in its consolidated financial statements, unless
it has obligations to pay on behalf of the associates and joint-ventures. Accounting policies of associates
According to accounting system in Vietcombank, all transactions are recorded in original currencies. and joint-ventures have been changed where necessary to ensure consistency with the policies adopted
Monetary assets and liabilities denominated in foreign currencies are translated into VND using the by the Bank.
exchange rates prevailing at the reporting date. Non-monetary assets and liabilities denominated in foreign
currencies are translated into VND at the exchange rate at the transactions date. Income and expenses (g) Cash and cash equivalents
arising in foreign currencies are converted into VND in the consolidated income statement at the spot
exchange rates at the transactions date. Cash and cash equivalents include cash on hand, balances with the SBV, Government treasury bills and
other short-term valuable papers eligible for rediscounting with the SBV, balances with and loans to
Foreign exchange differences arising during the year are recorded in the consolidated income statement. other credit institutions with an original maturity of not more than three months from the transaction
date, securities with recovery or maturity period of not more than three months from date of purchase
To prepare the consolidated financial statements with consolidation method for the subsidiaries and equity which are readily convertible into defined amounts of cash and that are subject to an insignificant risk of
method for the associates and joint-ventures of which their accounting currencies are not VND, assets, change in value, and held for the purpose of meeting short-term payment commitments rather than for
liabilities and equity accounts of those subsidiaries, associates and joint-ventures are converted to VND at spot investment or other purposes.
exchange rates at the reporting date, and the consolidated income statement are converted to VND at the
average exchange rate for the accounting period. In case the fluctuation range of the exchange rate between (h) Balances with and loans to other credit institutions
the beginning and the end of the period is above 20%, the spot exchange rate at the reporting date is applied.
Balances with other credit institutions, (except for demand deposits, deposit with Vietnam Bank for Social
Exchange differences arising from the conversion are recognised in equity in the consolidated statement Policies according to SBV’s regulation of maintaining deposit balance with Vietnam Bank for Social
of financial position. Policies for State-owned credit institutions), are term deposits with other credit institutions and foreign
bank branches with original maturity terms not exceeding three months.
(f) Basis of consolidation
Loans to other credit institutions are loans with original terms to maturity of not exceeding twelve months.
(i) Subsidiaries
Demand deposits with other credit institutions are stated at the amount of the outstanding principal.
Subsidiaries are entities controlled by the Bank. The control exists when the Bank has the power to
govern the financial and operating policies of an entity to obtain benefits from its activities. In assessing Term deposits with and loans to other credit institutions are stated at the amount of the outstanding
the control, potential voting rights that presently are exercisable are taken into account. The financial principal less any specific provision for credit risk.
statements of subsidiaries are included in the consolidated financial statements from the date that the
control commences until the date that the control ceases. Loan classification of term deposits with and loans to other credit institutions and provision for credit risk
thereof is made in accordance with the requirements of Circular No. 11/2021/TT-NHNN issued by the
Inter-company balances, transactions, and incomes/expenses on transactions between the subsidiaries SBV on 30 July 2021, stipulating the classification of assets, rates and method of setting up risk provision
and the Bank are eliminated in full when preparing the consolidated financial statements. The accounting and the use of provisions against credit risks in banking activity of credit institutions and foreign bank
policies of subsidiaries have been changed if necessary to ensure the consistency with the policies adopted branches (“Circular 11”). Accordingly, Vietcombank has made specific provision for term deposits with and
by the Bank. loans to other credit institutions in accordance with the accounting policy described in Note 2(i).

Non-controlling interest is the portion of the profit or loss and net assets of a subsidiary attributable to According to Circular 11, Vietcombank is not required to make general provision for balances with and
equity interests that are not owned, directly or indirectly through subsidiaries, by the Bank. loans to other credit institutions.

168 169
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(i) Loans to customers Since 1 January 2015, Vietcombank has used the information from Credit Information Center (“CIC”) about
the loan group of customers at the time of loan classification to adjust the loan group, off-balance sheet
(i) Loans to customers commitments. If a customer’s debts and off-balance sheet commitments are classified in a loan group
that has a lower risk than the loan groups provided in CIC’s list, Vietcombank shall adjust its classification
Loans to customers are stated in the consolidated statement of financial position at the principal amounts of debts and off-balance commitments following the loan groups provided by CIC.
outstanding as at the reporting date.
Loan classification for loans having rescheduled debt repayment term, exempted or reduced interest
Provision for credit loss on loans to customers is accounted and presented in a separate line on the and fees in order to support customers affected by Covid-19 pandemic
consolidated statement of financial position. Provision for credit loss comprises specific provision for credit
risk and general provision for credit risk. Prior to 17 May 2021

(ii) Loan classification Vietcombank has applied Circular No. 01/2020/TT-NHNN (“Circular 01”) issued by the SBV regulating
credit institutions and foreign bank branches to reschedule the debt repayment term, exempting, reducing
Prior to 1 October 2021 interests and fees, keeping loan group unchanged in order to support customers affected by Covid-19
pandemic. Accordingly, for customers with obligations of paying principals and/or interest during the
Vietcombank performed loan classification for loans to customers in accordance with the requirements period from 23 January 2020 to the day after 3 months from the day the Prime Minister declares the
of Circular No. 02/2013/TT-NHNH dated 21 January 2013 issued by SBV on classification of assets, end of the Covid-19 pandemic, and the borrowers are not able to repay the principal and/or interest in
levels and method of setting up of risk provisions, and use of provisions against credit risks in the banking accordance with the payment schedules specified in the signed loan contract/agreement due to decrease
activity of credit institutions, foreign banks’ branches (“Circular 02”) and Circular No. 09/2014/TT-NHNN in revenue, profit caused by the effect of Covid-19 pandemic, Vietcombank is allowed to reschedule the
dated 18 March 2014 issued by SBV on amending, supplementing a number of Articles of the Circular repayment period for these debts while maintaining the same loan group as classified at most recent date
02 (“Circular 09”). before 23 January 2020.

Since 1 January 2010, the Vietcombank has applied Article 7, Decision No. 493/2005/QD-NHNN dated From 17 May 2021 to before 7 September 2021
22 April 2005 issued by the SBV to make loan classification based on the qualitative method as approved
by the SBV. However, according to Circular 02, Vietcombank is required to classify loans and off-balance Vietcombank has applied Circular No. 03/2021/TT-NHNN dated 2 April 2021 (“Circular 03”) issued by
sheet commitments in accordance with both Article 10 and Clause 1 of Article 11, Circular 02. Accordingly, the SBV amending and supplementing certain articles of Circular 01. Accordingly, the customers whose
in case the classifications of a debt in accordance with Article 10 and Clause 1 of Article 11, Circular 02 is loans were disbursed before 10 June 2020 and incurred obligations of paying principals and/or interest
different, the debt is to be classified into the group of higher risk. during the period from 23 January 2020 to 31 December 2021, and those customers are unable to pay
the principal and/or interest in accordance to the payment schedules specified in signed loan contracts/
Since 1 January 2015, Vietcombank has used the information from Credit Information Center (“CIC”) about agreements due to decrease in revenue, income caused by Covid-19 pandemic, Vietcombank is allowed
the loan group of customers at the time of loan classification to adjust the loan group, off-balance sheet to reschedule loan repayment period, exempt or reduce interest and fees, and keep the loan group
commitments. If a customer’s debts and off-balance sheet commitments are classified in a loan group unchanged as classified in accordance with Circular 02 as follows:
that has a lower risk than the loan groups provided in CIC’s list, Vietcombank shall adjust its classification
of loans and off-balance commitments following the loan groups provided by CIC. Loan Period of Overdue Period of overdue Principle of keeping loan
disbursement debt payment status occurrence group unchanged
From 1 October 2021 timing obligation
occurrence
Vietcombank performs loans classification for loan to customers in accordance with the requirements of
Before From Not past due From 30/03/2020 to
Circular 11.
23/01/2020 23/01/2020 to or overdue up before 31/12/2021 Keeping the loan group unchanged
31/12/2021 to 10 days as classified at the most recent
Since 1 January 2010, Vietcombank has applied Article 7, Decision No. 493/2005/QD-NHNN dated 22
April 2005 issued by the SBV to make loan classification based on the qualitative method as approved by Overdue From 23/01/2020 to date before 23/01/2020.
the SBV. According to Circular 11, Vietcombank continues to classify loans based on qualitative method in 29/03/2020
accordance with the approval letter of the SBV and classify debts and off-balance sheet commitments in From Not past due From 17/05/2021 to Keeping the loan group unchanged
accordance with both Article 10 and Clause 1 of Article 11, Circular 11. Accordingly, in case the classification 23/01/2020 or overdue up before 31/12/2021 as classified at the most recent date
of a debt in accordance with Article 10 and Clause 1 of Article 11, Circular 11 is different, the debt shall be to before to 10 days before the date of first rescheduling
classified into the group of higher risk. 10/06/2020 loan repayment period.

Overdue From 23/01/2020 to Keeping the loan group unchanged

before 17/05/2021 as classified at the most recent date
before the date the loan becomes
overdue.

170 171
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

From 7 September 2021 Specific provision is calculated based on the following provision rates corresponding to the outstanding
principals of loans less deductible value of collaterals:
Vietcombank has applied Circular No. 14/2021/TT-NHNN dated 7 September 2021 (“Circular 14”) issued by
the SBV amending and supplementing certain articles of Circular 01. Accordingly, the customers whose loans Provision rate
were disbursed before 1 August 2021 and incurred obligations of paying principals and/or interest during
Group 1 – Current debt 0%
the period from 23 January 2020 to 30 June 2022; and those customers are unable to pay the principal
and/or interest in accordance to the payment schedules specified in signed loan contracts/agreements due Group 2 – Special mention debt 5%
to decrease in revenue, income caused by Covid-19 pandemic, Vietcombank is allowed to reschedule loan Group 3 – Sub-standard debt 20%
repayment term, exempt or reduce interest and fees, and keep the loan group unchanged as follow: Group 4 – Doubtful debt 50%
Group 5 – Loss debt 100%
Loan Period of Overdue Period of overdue Principle of keeping loan
disbursement debt payment status occurrence group unchanged
Bad debts are loans in Groups 3, 4 and 5.
timing obligation
occurrence For the loans having rescheduled repayment term, exempted or reduced interest and fees in order to support
Before 23/1/2020 From 23/1/2020 Not past due From 30/3/2020 to Keeping the loan group unchanged customers affected by Covid-19 pandemic, Vietcombank determines and recognises the additional specific
to 30/6/2022 or overdue up 30/6/2022 as classified at the most recent provision for the entire outstanding loan balance of customers, including the loan balances having rescheduled
to 10 days date before 23/1/2020. repayment term, exempted or reduced interest according to the results of loan classification in accordance
with Circular 11 (without applying the provision of keeping loan group unchanged under Circular 03) as follows:
From 23/1/2020 to Not past due From 17/5/2021 to Keeping the loan group
before 1/8/2021 or overdue up before 17/7/2021 or unchanged as classified at the
to 10 days from 7/9/2021 to most recent date before the Additional provision Deadline
30/6/2022 date of first rescheduling loan At least 30% of the required additional specific provision By 31 December 2021
repayment period.
At least 60% of the required additional specific provision By 31 December 2022
Before 23/1/2020 Overdue From 23/1/2020 to Keeping the loan group unchanged
29/3/2020 as classified at the most recent 100% of the required additional specific provision By 31 December 2023
date before 23/1/2020.
As at 31 December 2022, Vietcombank has made 100% of the additional specific provision to be made
From 23/1/2020 to Overdue From 23/1/2020 to as above.
before 10/6/2020 before 17/5/2021 Keeping the loan group
unchanged as classified at the (iv) General provision for credit
most recent date before the date
From 10/6/2020 to Overdue From 17/7/2021 to Prior 1 to October 2021
the loan becomes overdue.
before 1/8/2021 before 7/9/2021
Vietcombank made general provision at 0.75% total outstanding principals at the last working day of
each quarter (for the last quarter of the annual accounting period, a general provision for credit risk is
For the loan balances having rescheduled repayment term, interest exempted or reduced and loan group
determined at 0.75% of total outstanding principals at the last working day of the second month of the
being kept unchanged during the restructured term and their repayment period is not further rescheduled
last quarter of the annual accounting period) of the loans classified in Group 1 to Group 4.
by Vietcombank in accordance with prevailing regulations: Vietcombank classifies these debts in accordance
with Circular 11, taking into account the number of times of rescheduling repayment period and keeping From 1 October 2021
loan group unchanged (regardless of whether the debt has passed the probation period or not).
Vietcombank makes general provision at 0.75% total outstanding principals at the last day of each month
(iii) Specific provision for credit risk of the loans classified in Group 1 to Group 4.
Prior to 1 October 2021 (v) Bad debts written-off
In accordance with the requirements of Circular 02, specific provision for credit risk of debts at the end of According to Circular 11, Vietcombank writes off bad debts in the following cases:
each quarter is determined based on the provision rates corresponding to the results of loan classification
and outstanding principals of debts at the last working day of each quarter (for the last quarter of the annual » Borrowers who are dissolved, bankrupted under legal regulations (in case of legal entities); or are
accounting period, specific provision for credit risk is determined based on the provision rates corresponding deceased or missing (in case of individuals);
to the results of loan classification and outstanding principals of loan at the last working day of the second
month of the last quarter of the annual accounting period) less deductible value of collateral. » Debts are classified into Group 5.

From 1 October 2021 (J) Investments

In accordance with the requirements of Circular 11, specific provision for credit risk of debts at the end of (i) Trading securities
each month is determined based the provision rates corresponding to the results of loan classification and Trading securities are debt securities, equity securities and other securities acquired and held for the
outstanding principals of loan at the last day of the month less deductible value of collateral. purpose of reselling within one year to gain profit on price variances.
172 173
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

Trading securities are initially recognised at cost. They are subsequently measured at the lower of book (iii) Long-term investments
value and market price. Gains or losses from the sales of trading securities are recognised in the
consolidated income statement. Other long-term investments represent Vietcombank’s equity investments in other enterprises where
Vietcombank owns less than 11% of voting rights and is either a founding shareholder or a strategic partner;
(ii) Investment securities or has influences on the enterprise’s planning and determining of financial and operating policies under
agreements to appoint personnel to the Members’ Council/Board of Directors/Board of Management but
Investment securities are classified into two categories: available-for-sale and held-to-maturity investment Vietcombank does not have control or significant influence over the investees.
securities. Vietcombank classifies investment securities on their purchase dates. In accordance with Official
Letter No. 2601/NHNN-TCKT dated 14 April 2009 by the SBV, the Vietcombank is allowed to reclassify Other long-term investments include equity securities and other long-term capital contributions which
investment securities once, at maximum, after the acquisition date. are intended to hold for more than one year (except for capital contributions and investments into joint-
ventures, associates and subsidiaries).
Available-for-sale investment securitie
Other long-term investments are initially recognised at cost less provision for diminution in the value of
Available-for-sale securities are debt securities, equity securities or other securities, which are acquired for investment.
an indefinite period and may be sold at any time. For equity securities, the investee is not a subsidiary,
associate or joint venture of Vietcombank and Vietcombank is neither a founding shareholder nor a For investments in unlisted equity securities, the provision for diminution in the value of long-term
strategic partner; nor has the impact on the enterprise’s planning and determining of financial and investments is made for the local economic entity owned by Vietcombank at the end of the annual
operating policies under agreements to appoint personnel to the Members’ Council/Board of Directors/ accounting period which has signs of decrease in value compared to Vietcombank’s carrying value in
Board of Management. accordance with Circular No. 48/2019/TT-BTC dated 8 August 2019 issued by the Ministry of Finance
(“Circular 48”). Accordingly, the provision amount for the investment is the difference between the parties’ actual
Post-acquisition interest income from available-for-sale debt securities is recognised in the consolidated investment capital at the economic entity receiving capital contribution and actual equity capital of economic
income statement on an accrual basis. entity at the time of provisioning multiplied (x) by the actual rate of chartered capital (%) of Vietcombank at the
economic entity at the time of provisioning. For an investment in listed securities or investments which market
Held-to-maturity investment securities price can be determined reliably, provision is made based on the securities’ market price.

Held-to-maturity securities are debt securities, with fixed or determinable payments and maturities. (k) Repurchase and reverse repurchase agreements
Vietcombank has the positive intention and ability to hold until maturity.
Securities sold under agreements to repurchase at a specific date in the future (repos) are still recognised
Post-acquisition interest income from held-to-maturity securities is recognised in the consolidated income in the consolidated financial statements. The corresponding cash received from these agreements is
statement on an accrual basis. recognised in the consolidated statement of financial position as a liability. The difference between the
sale price and repurchase price is amortised in the consolidated income statement over the term of the
Investment securities are initially recognised at cost, including transaction costs and other directly attributable agreement using the straight-line method.
costs. They are subsequently measured at amortised cost less provision for investment securities. Premiums
and discounts arising from purchases of debt securities are amortised in the consolidated income statement Securities purchased under agreements to resell at a specific date in the future are not recognised in the
using the straight-line method over the period from the acquisition date to the maturity date. consolidated financial statements. The corresponding cash paid under these agreements is recognised
in the consolidated statement of financial position in “Loans to customers”. The difference between the
Provision for investment securities purchase price and resale price is amortised in the consolidated income statement over the term of the
agreement using the straight-line method.
Investment securities which are unlisted corporate bonds except for bonds issued by credit institution
are classified and made provision for credit risk in accordance with the requirements of Circular 11 as (l) Tangible fixed assets
described at Note 2(i). For other available-for-sale investment securities, provision for diminution in the
value of securities is made if their market price decreases to below their cost. For other held-to-maturity (i) Cost
securities, provision for diminution in the value of securities is made when there is indication of prolonged
decline in securities prices or there is certain evidence that it is difficult for Vietcombank to fully recover Tangible fixed assets are stated at cost less accumulated depreciation. The initial cost of a tangible fixed
the investment amount. asset comprises its purchase price, including import duties, non-refundable purchase taxes and any directly
attributable costs of bringing the asset to its working condition and location for its intended use on the
According to Circular 24, Vietcombank is not required to make provision for Government, Government- site where it is located.
guaranteed, and municipal bonds from the fiscal year 2022.
In accordance with Circular No. 45/2013/TT-BTC dated 25 April 2013 issued by the Ministry of Finance
(“Circular 45”) guiding the framework of management, use and depreciation of fixed assets, assets shall
be considered as fixed assets if they meet all of the following three criteria:

174 175
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

» It is certain to gain future economic benefits from the use of such assets; For the intangible fixed assets which are the value of definite land use rights with term or the leased land
» The useful life of assets is above one year; use rights, the amortisation period is the period permitted for land use of Vietcombank.
» Historical costs of the assets must be reliably determinable, with a minimum value of VND30,000,000
(ii) Other intangible fixed assets

Expenditures incurred after the tangible fixed assets have been put into operation, such as repairs and Other intangible fixed assets are stated at cost less accumulated amortisation. These intangible fixed assets
maintenance and overhaul costs, are normally charged to the consolidated income statement for the are amortised on a straight-line basis over 3 years.
period in which the costs are incurred. In case it can be clearly demonstrated that these expenditures
have resulted in an increase in the expected future economic benefits obtained from the use of these (n) Other assets
tangible fixed assets beyond their originally assessed standard level of performance, the expenditures will
be capitalised as an additional cost of tangible fixed assets. Except for receivables from uncollectible income as presented in Note 2(u)(iv), provision for overdue assets
which are not classified as assets bearing credit risk are made in accordance with Circular 48 and Circular
(ii) Depreciation No. 200/2014/TT-BTC issued by the Ministry of Finance on 22 December 2014 (“Circular 200”).
Accordingly, provision for these other assets is based on their overdue period or estimated irrevocable
Depreciation is calculated on a straight-line basis over the estimated useful life of each asset as follows: loss for debts that are not due but Vietcombank has collected evidence to identify that debtor has
become bankrupt, filing for bankruptcy or has absconded; or being prosecuted, detained or tried by law
» Buildings and structures 5 - 25 years enforcement bodies or serving a sentence; or suffering from a serious illness (certified by the hospital);
» Machinery and equipment 3 - 5 years deceased; or those remains irrecoverable after the Bank filing a lawsuit due to its debtor had fled from
his/her residence; the debt which has been sued for debt collection by Vietcombank but the case has
» Motor vehicles and means of
6 years been suspended.
transportation
» Other tangible fixed assets 4 years
Overdue period Provision rate
(m) Intangible fixed assets From six (6) months to less than one (1) year 30%
From one (1) year to less than two (2) years 50%
(i) Land use rights From two (2) years to less than three (3) years 70%
From three (3) years and above 100%
According to Circular 45, intangible fixed assets recognised as land use rights comprise of:

» The land use rights granted by the State with land use fee or receiving the transfer of legal land use For other assets that are classified as assets with credit risk, Vietcombank classifies and makes provision
rights (including definite and indefinite land use rights); similarly to loans to customers described in Note 2(i).

» The rights to use the leased land before the effective date of the Land Law 2003 but the rent has (o) Deposits and borrowings from other credit institutions
been paid for the leasing time or paid in advance for many years and the remaining paid land lease
term is at least five years and granted with certificate of land use rights by the competent authority. Deposits and borrowings from other credit institutions are stated at cost.

The initial cost of land use rights is determined as the total amount paid to have the land use rights plus (p) Customer deposits
costs of site clearance, ground leveling, registration fee (excluding costs of construction on that land) or
the value of land use rights with contributed capital. Customer deposits are stated at cost.

Land use rights not recognised as intangible assets comprise of: (q) Valuable papers issued

» Land use rights granted by the State without land use fee; Valuable papers issued are stated at cost and accumulated amortised premiums or discounts. Cost of
» For lease of land whose payment is made 1 time at the beginning for the entire lease period (the land valuable papers issued includes the proceeds from the issuance less directly attributable costs.
is leased after the effective date of Law on lands 2003, whose land use right certificated is not grant),
the lease payment is amortised gradually to operating expenses of the Bank over the lease term; (r) Severance allowance

» In case lease payment is made annually, rental fee is accounted into operating expense of the period Under the Vietnamese Labour Code, when an employee who has worked for Vietcombank for 12 months
in accordance with the annual lease payment or more (“the eligible employees”) voluntarily terminates his/her labour contract, Vietcombank is required
to pay the eligible employee severance allowance calculated based on years of service until 31 December
According to Circular 45, intangible fixed assets which are indefinite term land use rights with land 2008 and employee’s average monthly salary of the latest six-month period until termination.
use fee or receiving the legal indefinite term land use rights are not amortised.

176 177
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(s) Bonus and welfare fund (u) Income and expenses

Bonus and welfare funds is appropriated from profit after tax in accordance with the Resolution of the (i) Interest income and interest expenses
General Meeting of Shareholders and recorded as liabilities in the consolidated statement of financial
position. The bonus and welfare fund is used for the purposes specified in Decree No. 93/2017/ND-CP Vietcombank recognises interest income from debts classified in Group 1 – Current debt as defined in
dated 7 August 2017 issued by the Government (“Decree 93”). Note 2(i) on accrual basis. Interest receivable from debts being kept loan group as Group 1 – Current debt
as a result of the implementation of the State’s policies and interest receivable from debts classified in
(t) Capital and reserves Group 2 to Group 5 are recognised in the consolidated income statement upon receipt.

(i) Ordinary shares Interest expenses are recorded on accrual basis.

Ordinary shares are classified as equity and recognised at par value. Incremental costs directly attributable (ii) Fee and commission income and cash dividend income
to the issuance of ordinary shares are recognised as a deduction from share premium in equity.
Fee and commission income are recognised on an accrual basis.
(ii) Share premium
Cash dividends from investment activities are recognised in the consolidated income statement when
On receipt of capital from shareholders, the difference between the issuance price and the par value of Vietcombank’s right to receive dividend is established.
the shares is recorded in share premium under equity.
(iii) Share dividends
(iii) Treasury shares
In accordance with Circular 200, share dividends distributed from retained profits, share premium and
Treasury shares are recognised only in respect of repurchased shares which are aggregated fractions reserves in equity of joint stock companies are not recorded as an income in the consolidated income
of share arising when the Bank issues shares to pay dividends or issues shares from equity reserves statement. Instead, the additional shares received are reflected as increase in the number of shares held
in accordance with an approved issuance plan, or repurchased odd-lots of shares as requested by by Vietcombank.
the shareholders. Odd shares are shares representing the share capital formed by the combination of
fractional shares divided proportionally to investors. In all other cases, when shares recognized as equity (iv) Recognition of receivables not yet collected
are repurchased, their par value amount is recognized as a reduction to share capital. The difference
between the par value and the amount of the consideration paid, which includes directly attributable costs, According to Circular No. 16/2018/TT-BTC dated 7 February 2018 issued by the Ministry of Finance,
net of tax effects, is included in share premium. receivables that are recognised as income but not yet collected at the due date are recoreded as a reduction
of income if the due date is within the same accounting period, or recorded as an expense if the due date
(iv) Reserves is not within the accounting period, and must be monitored on the off-balance sheet for following-up on
collection. Upon actual receipt of these receivables, Vietcombank recognised them in other income.
Reserves are used for specific purposes and appropriated from net profit after tax of the Bank and
Vietcombank Finance Leasing Company Limited (“VCBL”) at prescribed rates as below: (v) Leases

» Supplementary charter capital reserve: 5% of net profit after tax of each entity. According to Decree (i) Lessee
93, the maximum rate for this reserve does not exceed charter capital of the Bank/VCBL.
Payments made under operating leases are recognised in the consolidated income statement on a
» Financial reserve: 10% of net profit after tax of each entity. The maximum rate for this reserve is not
straight-line basis over the lease term.
specified under Decree 93.
» Investment and development fund and other funds: appropriated following the resolutions of the (ii) Lessor
General Meeting of Shareholders/Members’ Council and in accordance with relevant statutory
requirement. Vietcombank recognises finance leased assets as “Loans to customers” in the consolidated statement of financial
position at the net value of the investment defined in the lease contract. Financial leases are recognized as
The remaining net profit after tax, after appropriation to reserves and dividends payment, is recorded as principal outstanding for loans to customers and income from finance leases is recognised as “Income from
retained profits interest and similar income”. Instalment income is amortised over the lease term using interest rate over the net
investment of the leased assets. The loan classification of finance lease receivables is made in accordance with
(v) Foreign exchange differences the quantitative method as stipulated in Article 10 of Circular 11.

Foreign exchange differences are differences arising when financial statements in foreign currencies of Vietcombank recognises operating lease assets in the consolidated statement of financial position.
overseas subsidiaries are converted to VND for the purpose of preparing consolidated financial statements. Operating lease income is recognised on a straight-line basis over the lease term regardless of payment
method. Expenses occurred during the leasing period, including depreciation expenses are recognised as
operating expenses for the period.
178 179
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(w) Corporate income tax (z) Off-balance sheet items

Corporate income tax comprises of current and deferred tax. Corporate income tax is recognised in the (i) Currency contracts
consolidated income statement except that it relates to items recognised directly to equity, in which case
it is recognised in equity. Vietcombank involves in currency forward and currency swap contracts to facilitate customers’ transferring,
adjusting or reducing foreign exchange risk or other market risks, and also serve Vietcombank’s business
Current income tax is the expected tax payable on the taxable income for the period, using tax rates purposes.
enacted at the end of the accounting period, and any adjustment to tax payables in respect of the previous
periods. Forward contracts are commitments to either purchase or sell a designated currency at a specific future
date for a specific exchange rate and cash settlement. Forward contracts are recorded at nominal values
Deferred income tax is calculated for the temporary differences between the carrying amounts of assets at transaction dates and are subsequently revaluated at the reporting date. Differences on revaluation are
and liabilities for financial reporting purposes and the amounts used for taxation purposes. The amount recognised under “Foreign exchange differences” in the equity and is recorded in the consolidated income
of deferred income tax provided is based on the expected manner of realisation or settlement of the statement at the end of the accounting period. Differences between the amount in VND of the foreign
carrying amount of assets and liabilities using tax rates enacted or substantively enacted at the end of the currency amounts which are committed to buy/sell at forward rate and spot rate are recognised in the
accounting period. consolidated income statement on a straight-line basis over the term of the forward contracts.

A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be Currency swap contracts are commitments to settle in cash at a future date based on differences between
available against which the temporary difference can be utilised. Deferred tax assets are reduced to the specified exchange rates, calculated on the notional principal amount. Premiums/discounts arising from
extent that it is no longer probable that the related tax benefit will be realized. the difference of the spot exchange rate at the effective date of the contracts and the forward exchange
rate will be recognised immediately on the effective date of the contracts as an asset if they are positive
(x) Related parties or as a liability if they are negative in the consolidated statement of financial position. This difference is
amortised to the consolidated income statement on a straight-line basis.
Related parties of Vietcombank include:
(ii) Interest swap contracts
» Individuals or organisations which have the authority to appoint managers or members of the
Supervisory Board of the parent company of Vietcombank; Interest swap contracts are commitments to settle interest amounts based on a floating rate or a fixed
rate calculated on the same notional amount. The value of commitment in interest rate swap contracts is
» Management personnel or members of the Supervisory Board of the Bank;
not recognised on the consolidated statement of financial position. Differences in interest rate swaps are
» Companies or organisations which have the authority to appoint management personnel, members recognized in the consolidated income statement on an accrual basis.
of the Supervisory Board of the Bank;
» Wives, husbands, parents, children (including foster parents, foster children, parents-in-law, son-in-
(iii) Commitments and contingent liabilities
law, daughter-in-law, step-parents, step children), siblings (including half siblings), brothers-in-law,
Vietcombank has credit commitments arising from its regular lending activities. These commitments are
sisters-in-law of management personnel, members of the Supervisory Board, capital contributors or
unutilised loans and overdraft facilities which are approved. Vietcombank also provides financial guarantees
shareholders who hold at least 5% of charter capital or share capital with voting rights of the Bank;
and letters of credit to guarantee the performance of customers to third parties. Many of the contingent
» Individuals or organisations that hold at least 5% of charter capital or share capital with voting rights liabilities and commitments will expire without any advanced payment, in whole or in part. Therefore,
of Bank; and these commitments and contingent liabilities do not represent expected future cash flows.
» Representatives for the Bank’s paid-in capital and shares.
According to Circular 11, Vietcombank, for management purpose has to classify guarantees, payment
The Government of Vietnam, through the State Bank of Vietnam, is a shareholder of the Bank. Therefore, acceptances and irrevocable lending commitments with specific effective date into 5 groups, similar to
in these consolidated financial statements, some Government agencies, including the Ministry of Finance loans to customers to management purpose (Note 2(i)).
and the State Bank of Vietnam are considered as related parties of Vietcombank.
(aa) Offsetting
(y) Segment reporting
Financial assets and liabilities are offsetted and the net amounts are reported in the consolidated statement
A segment is a distinguishable component of Vietcombank engaged either in providing related products or of financial position if, and only if, Vietcombank has currently enforceable legal rights to offset the
services (business segment), or in providing products or services within a particular economic environment recognised amounts and Vietcombank has an intention to settle on a net basis, or to realise the assets
(geographical segment), which is subject to risks and rewards that are different from those of other and settle the liabilities simultaneously.
segments.

180 181
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(bb) Basic earnings per share Financial assets are classified as:

Vietcombank presents basic earnings per share (“EPS”) data for its ordinary shares. Basic EPS is calculated » Financial assets held for trading;
by dividing the profit or loss attributable to ordinary shareholders of the Bank (after adjustment for
» Held-to-maturity investments;
appropriation to bonus and welfare funds) by the weighted average number of ordinary shares outstanding
during the period. » Loans and receivables; and
» Available-for-sale financial assets.
If new shares issued during the period only change the number of shares without changing the equity,
Vietcombank will adjust the weighted average number of ordinary shares outstanding during the period Financial liabilities are classified as:
presented in the consolidated financial statements, which leads to corresponding adjustment for EPS.
» Financial liabilities held for trading; and
3. Presentation of financial instruments in accordance with Circular No. 210/2009/TT-BTC
» Financial liabilities carried at amortised cost.
During its business operations, Vietcombank regularly enters into contracts which give rise to financial
assets, financial liabilities and equity instruments. (b) Recognition

Financial assets of Vietcombank mainly include: Financial assets and financial liabilities are recognized in the statement of financial position if and only
if Vietcombank enters into a contractual relationship for the supply of the relevant financial instrument.
» Cash; Vietcombank recognizes financial assets and financial liabilities at the date Vietcombank signs and performs
» Balances with the State Banks; in accordance with the effective contract terms (transaction date accounting).
» Balances with and loans to other credit institutions; (c) Derecognition
» Loans to customers;
» Trading securities; Vietcombank derecognizes financial assets when and only when the right to receive cash flows from the
» Investment securities; financial asset terminates or Vietcombank has transferred substantially all risks and rewards of ownership
of the financial asset. A financial liability is derecognised only when the liability has been paid (the obligation
» Capital contributions, long-term investments;
has been fulfilled, canceled or expired).
» Derivative financial assets; and
» Other financial assets (d) Measurement and disclosures of fair value

Financial liabilities of Vietcombank mainly include: In accordance with Circular 210, Vietcombank has to disclose the fair value of financial assets and financial
liabilities to compare with the book value of those financial assets and financial liabilities as disclosed in
» Amounts due to the Government and the State Banks; Note 43(b).

» Deposits and borrowings from other credit institutions; The disclosure of fair value of the financial instruments is only for the disclosure purpose in Note 43(b).
» Customer deposits; The financial instruments of Vietcombank are still recognised and recorded in accordance with Vietnamese
Accounting Standards, the Vietnamese Accounting System applicable to credit institutions issued by the
» Funds for finance, entrusted investments and entrusted loans; SBV and the relevant statutory requirements applicable to financial reporting as described in the notes
» Valuable papers issued; above.
» Derivative financial liabilities; and Fair value is the amount for which an asset could be exchanged, or a liability settled, among knowledgeable,
» Other financial liabilities. willing parties in an arm’s length transaction on the measurement date.

When an active market exists for a financial instrument, Vietcombank measures the fair value of that
(a) Classification of financial assets and liabilities
instrument using its quoted price in the active market. A market is regarded as active if quoted prices are
readily and regularly available and represent actual and regularly occurring market transactions.
Only for the disclosure purpose in the consolidated financial statements, Vietcombank classifies financial
assets and financial liabilities in accordance with Circular No. 210/2009/TT-BTC dated 6 November
In case there is not enough information to utilise valuation techniques, fair value of the financial instruments
2009 issued by the Ministry of Finance (“Circular 210”).
without quoted market prices in the active market are deemed not to have been reliably measured and
therefore, not disclosed.

182 183
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

4. Cash, gold, silver and gemstones (ii) Balances with Bank of the Lao L.D.R (“the BOL”) consist of margin deposits in Lao Kip (“LAK”) relating
to the establishment of the Bank’s subsidiary in Lao People’s Democratic Republic, compulsory reserve
31/12/2022 31/12/2021
balance and current deposits balance in accordance with the BOL’s requirement.
VND million VND million
The effective CRR rates at the year-end were as follows:
Cash on hand in VND 14,798,349 14,633,327
Cash on hand in foreign currencies 3,549,739 3,377,966
Type of deposits 31/12/2022 31/12/2021
Valuable papers in foreign currencies 446 473
Deposits in LAK with terms of 12 months and below 5% 3%
18,348,534 18,011,766
Deposits in foreign currencies with terms of 12 months and below 5% 5%

5. Balances with the State Banks

6. Balances with and loans to other credit institutions

31/12/2022 31/12/2021
VND million VND million 31/12/2021
31/12/2022 VND million
Balances with the State Bank of Vietnam (i) 92,451,768 22,311,693 VND million (restated)
Balances with Bank of the Lao L.D.R (ii) 106,041 195,018 Balances with other credit institutions
92,557,809 22,506,711 Demand deposits in VND 43,785,687 7,454

(i) Balances with the SBV consist of compulsory reserve (“CRR”) balance and current deposits balance Demand deposits in foreign currencies 67,839,420 39,098,058
exceeding CRR. Term deposits in VND 134,985,297 104,007,836

The average balance of the demand deposits of the Bank with the SBV must not be less than the periodic Term deposits in foreign currencies 37,117,315 37,923,633
balance of CRR. The amount of CRR during the CRR maintenance period is calculated by their respective 283,727,719 181,036,981
CRR rates applicable to the Bank for each type of deposits during CRR maintenance period multiplied by
the average balances of reservable deposits hold during the reserve computation period corresponding to Loans to other credit institutions
that type of deposits. Loans in VND 38,642,157 42,708,446

The effective CRR rates at the year-end were as follows: Loans in foreign currencies 2,107,568 6,019,119

40,749,725 48,727,565
Type of deposits 31/12/2022 31/12/2021
Provision for balances with and loans to other credit institutions (10,840,000) (3,952,781)
Demand deposits and deposits in VND with terms of less than 12 months 3% 3%
313,637,444 225,811,765
Deposits in VND with terms of 12 months and above 1% 1%
Demand deposits and deposits in foreign currencies with terms of less Balances with and loans to other credit institutions by debt group were as follows:
8% 8%
than 12 months
Deposits in foreign currencies with terms of 12 months and above 6% 6% 31/12/2022 31/12/2021
Deposits from overseas credit institutions in foreign currencies 1% 1% VND million VND million

Current debts 181,762,038 168,745,198

The interest rates of current account at the year-end were as follows:
Loss debts 11,000,000 4,000,000
Type of deposits 31/12/2022 31/12/2021 192,762,038 172,745,198
Within compulsory reserve in VND 0.5%/p.a 0.5%/p.a
Within compulsory reserve in USD 0%/p.a 0%/p.a
Over compulsory reserve in VND 0%/p.a 0%/p.a
Over compulsory reserve in USD 0%/p.a 0%/p.a

184 185
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

Movements in provision for balances with and loans to other credit institutions during the year were as follows: Movements in provision for trading securities during the year were as follows:

2021 2022 2021

2022 VND million VND million VND million
VND million (restated)
Opening balance 56,433 37,800
Opening balance 3,952,781 1,000,000 Provision made during the year (Note 27) 21,006 18,633
Provision made during the year (Note 32) 6,887,219 2,952,781 Other adjustments (33,551) -
Closing balance 10,840,000 3,952,781 Closing balance 43,888 56,433

7. Trading securities 8. Derivative and other financial assets

31/12/2021 31/12/2022 31/12/2021

31/12/2022 VND million Contract Carrying Contract Carrying
VND million (restated) value value value value
Debt securities Assets/ Assets/
(liabilities) (liabilities)
Government bonds 357,773 1,493,814
VND million VND million VND million VND million
Bonds issued by other local credit institutions 693,769 499,364
Currency derivative
Securities issued by local economic entities 345,925 499,000
Currency swap contracts 81,264,769 169,699 73,505,048 190,674
Equity securities
Currency forward contracts 22,250,388 (13,184) 23,984,714 112,528
Equity securities issued by other credit institutions 12,531 77,084
103,515,157 156,515 97,489,762 303,202
Equity securities issued by local economic entities 133,577 286,820

1,543,575 2,856,082 9. Loans to customers

Provision for trading securities (43,888) (56,433)

31/12/2022 31/12/2021
1,499,687 2,799,649 VND million VND million

Loans to local economic entities and individuals 1,136,450,786 951,443,830

Trading securities by listing status were as follows:
Discounted bills and valuable papers 2,908,120 3,879,226

31/12/2021 Finance lease receivables 4,991,115 4,376,120

31/12/2022 VND million
VND million (restated) Loans given to make payments on behalf of customers 7,409 889

Debt securities 1,397,467 2,492,178 Loans to foreign organisations and individuals 708,820 1,049,890

Listed 357,773 1,521,064 1,145,066,250 960,749,955

Unlisted 1,039,694 971,114

Equity securities 146,108 363,904

Listed 105,392 281,547

Unlisted 40,716 82,357

1,543,575 2,856,082

186 187
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

Analysis of loan portfolio by quality: Analysis of loan portfolio by industry sector:

31/12/2021 31/12/2022 31/12/2021

31/12/2022 VND million VND million VND million
VND million (restated)
Processing and manufacturing 243,683,447 203,057,429
Current debts 1,133,162,470 951,130,994

Special mentioned debts 4,083,359 3,497,833 Trading and services 184,463,459 152,212,435

Sub-standard debts 414,767 737,811 Electricity, gas, water processing and supplying 58,615,950 59,813,456

Doubtful debts 782,370 965,987 Construction 75,113,942 86,628,722

Loss debts 6,623,284 4,417,330
Transportation, logistics and communication 31,585,533 28,715,341
1,145,066,250 960,749,955
Mining 19,084,011 15,084,113

Analysis of loan portfolio by original maturity: Agriculture, forestry and aquaculture 36,100,729 25,096,242

Hotel and restaurant 18,278,882 16,921,726

31/12/2022 31/12/2021
VND million VND million Others 478,140,297 373,220,491

Short-term debts 651,421,776 508,285,894 1,145,066,250 960,749,955

Medium-term debts 41,726,956 40,535,854

10. Provision for loans to customers
Long-term debts 451,917,518 411,928,207

1,145,066,250 960,749,955 31/12/2021

31/12/2022 VND million
VND million (restated)
Analysis of loan portfolio by type of borrowers:
General provision 8,468,771 7,054,861
31/12/2022 31/12/2021 Specific provision 16,310,647 18,685,423
VND million VND million
24,779,418 25,740,284
State-owned enterprises 63,930,380 60,146,527

Limited companies 203,088,337 169,542,086 Movements in general provision for loans to customers during the year were as follows:

Foreign invested enterprises 85,943,755 66,611,876

2021
Co-operative and private companies 2,289,294 2,819,975 2022 VND million
VND million (restated)
Individuals and individual business households 540,349,776 448,102,945
Opening balance 7,054,861 5,895,579
Others 249,464,708 213,526,546
Provision made during the year (Note 32) 1,416,142 1,159,282
1,145,066,250 960,749,955
Foreign currency translation difference (2,232) -

Closing balance 8,468,771 7,054,861

188 189
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

Movements in specific provision for loans to customers during the year were as follows: (i) Details of provision for available-for-sale securities:

2021 31/12/2022 31/12/2021

2022 VND million VND million VND million
VND million (restated)
General provision for unlisted corporate bonds - -
Opening balance 18,685,423 13,347,215
Provision for diminution in value of available-for-sale securities - 86,673
Provision made during the year (Note 32) 1,167,748 7,877,412
- 86,673
Provision utilised for writing-off bad debts (3,530,346) (2,538,370)

Foreign exchange translation difference (12,178) (834) Movements in general provision for unlisted corporate bonds during the year were as follows:

Closing balance 16,310,647 18,685,423

2022 2021
VND million VND million
11. Investment securities
Opening balance - 193,478
31/12/2021 Provision reversed during the year (Note 32) - (193,478)
31/12/2022 VND million
VND million (restated) Closing balance - -

Available-for-sale securities (a) 100,739,670 71,028,025 Movements in provision for diminution in value of available-for-sale securities during the year were as
Held-to-maturity securities (b) 95,431,543 99,568,871 follows:
196,171,213 170,596,896
2022 2021
VND million VND million
(a) Available-for-sale securities
Opening balance 86,673 277
31/12/2021 Provision (reversed)/made during the year (Note 28) (86,673) 86,396
31/12/2022 VND million
VND million (restated) Closing balance - 86,673

Available-for-sale securities
(b) Held-to-maturity securities
Debt securities

Government bonds 34,180,448 30,327,312 31/12/2022 31/12/2021

VND million VND million
Treasury bills, SBV bills 29,600,000 -
Held-to-maturity securities
Debt securities issued by other local credit institutions 36,887,000 40,687,000
Government bonds 37,915,262 40,325,603
Debt securities issued by other local economic institutions 72,222 100,000
Debt securities issued by other local credit institutions 46,589,000 47,502,241
Equity securities
Debt securities issued by local economic institutions 11,009,114 11,829,751
Equity securities issued by other local economic institutions - 386
95,513,376 99,657,595
100,739,670 71,114,698
Provision for held-to-maturity securities (ii) (81,833) (88,724)
Provision for available-for-sale securities (i) - (86,673)
Total held-to-maturity securities 95,431,543 99,568,871
Total available-for-sale securities 100,739,670 71,028,025

190 191
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(ii) Details of provision for held-to-maturity securities: As at 31 December 2021:

31/12/2022 31/12/2021 Business Ownership Cost Carrying

VND million VND million sector percentage value
(%) VND million VND million
General provision for unlisted corporate bonds 81,833 88,724
Vietcombank – Bonday – Ben Thanh
Office leasing 52% 410,365 577,574
Joint-venture Company Limited (i)
Movements in general provision for unlisted corporate bonds during the year were as follows:
Investment fund
Vietcombank Fund Management (i) 51% 135,150 171,321
management
2022 2021
VND million VND million 545,515 748,895

Opening balance 88,724 406,523 (i) The Bank owns 52% of the total contributed capital of Vietcombank – Bonday – Ben Thanh Joint-
venture Company Limited and 51% of the total contributed capital of Vietcombank Fund Management.
Provision reversed during the year (Note 32) (6,891) (317,799) These companies’ charters require a consensus among related parties on all important decisions on the
companies’ operational and financial matters. Hence, owning more than half of the companies’ contributed
Closing balance 81,833 88,724
capital does not mean that the Bank has control over these companies. The investments in these two
companies are classified into “Investments in joint-ventures” rather than “Investments in subsidiaries”.
Debt classification of unlisted investment securities as assets with credit risk:
(b) Investments in associates
31/12/2022 31/12/2021
VND million VND million As at 31 December 2022:

Current debts 94,557,336 98,402,751

Business Ownership Cost Carrying value
sector percentage
12. Capital contributions, long-term investments (%) VND million VND million

(a) Investments in joint-ventures Vietcombank – Bonday Joint-venture
Office leasing 16% 11,110 11,314
Company Limited
As at 31 December 2022:
As at 31 December 2021:
Business Ownership Cost Carrying
sector percentage value Business Ownership Cost Carrying value
(%) VND million VND million sector percentage
(%) VND million VND million
Vietcombank – Bonday – Ben Thanh
Office leasing 52% 410,365 597,319
Joint-venture Company Limited (i) Vietcombank – Bonday Joint-venture
Office leasing 16% 11,110 10,820
Company Limited
Investment fund
Vietcombank Fund Management (i) 51% 135,150 173,756
management
The Bank has significant influence, through its participation in this company’s Members’ Council, but
545,515 771,075 limited control over the financial and operating policies of this company. Therefore, the investment in the
above company is classified into “Investments in associates” rather than “Other long-term investments”.

192 193
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(c) Other long-term investments Movements in provision for diminution in value of long-term investment during the year were as follows:

As at 31 December 2022: 2022 2021

VND million VND million
Business sector Ownership Cost Opening balance 75,000 75,000
percentage
(%) VND million Provision made during the year (Note 31) 42,999 -
Closing balance 117,999 75,000
Vietnam Export – Import Commercial Joint Stock Bank Banking 4.50% 319,908
Military Commercial Joint Stock Bank Banking 4.35% 802,269 13. Tangible fixed assets
Petrolimex Insurance Corporation Insurance 8.03% 67,900
Vietnam Credit Information Joint Stock Company Credit information services 6.64% 7,962 Year ended 31 December 2022:
Vietnam Infrastructure Development and Financial
Highway investment 1.97% 75,000
Investment JSC. Machinery Motor vehicles Others Total
National Payment Corporation of Vietnam Card and settlement services 1.83% 4,400 Buildings and and and means of
structures equipment transmission
Vietnam Airlines JSC. Aviation 0.67% 248,770 VND million VND million VND million VND million VND million
SWIFT, MASTER and VISA Card and settlement services - 2,936
Cost
1,529,145
Opening balance (restated) 5,833,926 4,852,469 1,208,247 1,842,213 13,736,855
Provision for other long-term investments (117,999)
Additions during the year 235,962 159,340 62,493 90,301 548,096
1,411,146
As at 31 December 2021: - Purchases 235,962 159,340 62,493 88,748 546,543
- Other increases - - - 1,553 1,553
Business sector Ownership Cost
percentage Decreases during the year (24,200) (268,717) (24,877) (16,983) (334,777)
(%) VND million - Disposals (11,804) (265,318) (20,262) (15,546) (312,930)
Vietnam Export – Import Commercial Joint Stock Bank Banking 4.50% 319,907 - Other decreases (12,396) (3,399) (4,615) (1,437) (21,847)
Military Commercial Joint Stock Bank Banking 4.35% 802,269
Closing balance 6,045,688 4,743,092 1,245,863 1,915,531 13,950,174
Small and Medium Enterprises Credit Guarantee Fund Credit guarantee services 0.80% 1,864
Accumulated depreciation
Petrolimex Insurance Corporation Insurance 8.03% 67,900
Vietnam Credit Information Joint Stock Company Credit information services 6.64% 7,962 Opening balance
1,757,495 4,160,746 819,331 1,436,396 8,173,968
(restated)
Vietnam Infrastructure Development and Financial
Highway investment 1.97% 75,000
Investment JSC. Additions during the year 251,124 397,036 101,212 172,708 922,080
National Payment Corporation of Vietnam Card and settlement services 1.83% 4,400 - Charges for the year 250,124 394,920 101,212 172,708 918,964
Vietnam Airlines JSC. Aviation 1.02% 379,223
- Other increases 1,000 2,116 - - 3,116
SWIFT, MASTER and VISA Card and settlement services - 2,936
Decreases during the year (9,803) (266,863) (22,481) (16,810) (315,957)
1,661,461
Provision for other long-term investments (75,000) - Disposals (9,803) (265,288) (20,262) (15,513) (310,866)

1,586,461 - Other decreases - (1,575) (2,219) (1,297) (5,091)

Closing balance 1,998,816 4,290,919 898,062 1,592,294 8,780,091

(d) Provision for diminution in value of long-term investment
Net book value
31/12/2022 31/12/2021 Opening balance
VND million VND million 4,076,431 691,723 388,916 405,817 5,562,887
(restated)
Provision for diminution in value of other long-term investment 117,999 75,000 Closing balance 4,046,872 452,173 347,801 323,237 5,170,083
117,999 75,000
Included in tangible fixed assets were assets costing VND5,393,998 million which were fully depreciated
194 as of 31 December 2022, but still in use (31 December 2021: VND5,183,965 million). 195
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

14. Intangible fixed assets 15. Other assets

Year ended 31 December 2022: (a) Receivables

Land Copyrights 31/12/2021

use rights and patents Others Total 31/12/2022 VND million
VND million VND million VND million VND million VND million (restated)
Internal receivables 2,590,521 1,680,794
Cost
External receivables (i) 21,892,885 14,123,151
Opening balance 2,504,743 2,070,943 46,543 4,622,229 24,483,406 15,803,945
Additions during the year - 161,145 6,053 167,198
(i) External receivables
- Purchases - 160,963 4,061 165,024
31/12/2022 31/12/2021
- Other increases - 182 1,992 2,174
VND million VND million
Decreases during the year - - (338) (338) Advances for purchases of fixed assets 874,302 1,155,796

- Other decreases - - (338) (338) Receivables from the State Budget in relation to the interest subsidy program 271,746 338,989
Overpaid corporate income tax (Note 37) 45,670 307
Closing balance 2,504,743 2,232,088 52,258 4,789,089
Deductible value added tax (Note 37) 10,789 12,360
Accumulated amortisation Advances for other taxes (Note 37) 2 2
Construction in progress (*) 241,910 314,690
Opening balance 121,054 1,397,831 29,925 1,548,810
Receivables from L/C paid in advance 17,041,450 8,805,446
Charges for the year 12,329 429,217 3,238 444,784 Other receivables 3,407,016 3,495,561
- Charges for the year 12,329 411,946 1,959 426,234 21,892,885 14,123,151

- Other increases - 17,271 1,279 18,550 (*) Details of construction in progress are follows:
Decreases during the year - (19,484) (338) (19,822)
31/12/2022 31/12/2021
- Other decreases - (19,484) (338) (19,822) VND million VND million

Closing balance 133,383 1,807,564 32,825 1,973,772 Construction in progress 241,910 314,690
In which, major constructions: 118,378 296,236
Net book value
Phu Tho Branch’s office project 24,016 36,968
Opening balance 2,383,689 673,112 16,618 3,073,419 Dong Thap Branch’s office project 19,136 40,858
Vung Tau Branch’s office project 18,178 30,631
Closing balance 2,371,360 424,524 19,433 2,815,317
Thai Binh Branch’s office project 17,983 32,730
Included in intangible fixed assets were assets costing VND1,041,279 million which were fully depreciated Bac Lieu Branch’s office project 10,824 35,761
as of 31 December 2022, but still in use (31 December 2021: VND724,061 million). Thu Duc Branch’s office project 7,809 22,032
Tan Dinh Branch’s office project 5,070 26,912
Lao Cai Branch’s office project 5,028 16,729
Can Tho Branch’s office project 3,065 28,127
Bac Sai Gon Branch’s office project 2,504 8,273
Phu Yen Branch’s office project 2,478 1,351
Lang Son Branch’s office project 2,287 15,864

196 197
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(b) Accrued interest and fee receivables 17. Deposits and borrowings from other credit institutions

31/12/2021 31/12/2022 31/12/2021

31/12/2022 VND million VND million VND million
VND million (restated)
Deposits from other credit institutions 222,040,585 104,043,817
From loans to customers 4,061,964 2,371,243
Demand deposits in VND 72,377,392 17,340,108
From balances with and loans to other credit institutions 871,211 585,970
Demand deposits in foreign currencies 68,876,433 39,719,757
From investment securities 3,833,550 3,976,278
Term deposits in VND 69,600,000 40,870,931
From derivative transactions 440,092 212,234
Fees receivable 2,304 1,799 Term deposits in foreign currencies 11,186,760 6,113,021
9,209,121 7,147,524 Borrowings from other CIs 10,470,265 5,713,960
Borrowings in VND 2,004,350 5,713,960
(c) Deferred tax assets
Borrowings in foreign currencies 8,465,915 -
232,510,850 109,757,777
31/12/2021
31/12/2022 VND million
18. Customer deposits
VND million (restated)
Deferred tax assets arising from deductible temporary differences 958,065 349
31/12/2022 31/12/2021
VND million VND million
(d) Other assets
Demand deposits 402,103,803 367,149,083

31/12/2021 Demand deposits in VND 308,500,428 291,799,494

31/12/2022 VND million Demand deposits in gold, foreign currencies 93,603,375 75,349,589
VND million (restated)
Term deposits 821,676,266 730,223,470
Prepaid expenses for office and fixed assets rental 910,960 779,336 Term deposits in VND 744,187,471 659,247,019
Materials 154,678 154,271
Term deposits in gold, foreign currencies 77,488,795 70,976,451
Advances for card payments 4,340,977 2,347,368
Deposits for specific purposes 9,839,982 31,642,014
Prepaid land rental costs 700,787 715,347
Other assets 20,232,427 2,019,997 Margin deposits 9,848,420 6,309,346
26,339,829 6,016,319 1,243,468,471 1,135,323,913
Provision for other assets (12,220) (4,020)
Analysis of customer deposit by type of customer:
26,327,609 6,012,299

16. Amounts due to the Government and the SBV 31/12/2022 31/12/2021
VND million VND million

31/12/2022 31/12/2021 Economic entities 637,317,087 569,423,275

VND million VND million Individuals 606,151,384 565,900,638
Borrowings from the SBV 1,253,828 1,749,584 1,243,468,471 1,135,323,913
Borrowings on the credit files basis 1,055,777 1,415,715
Other borrowings 198,051 333,869 19. Funds for finance, entrusted investments and entrusted loans
Deposits from the State Treasury 49,548,100 7,694,274
Demand deposits in VND 371,652 201,329 31/12/2022 31/12/2021
Demand deposits in foreign currencies 455,448 492,945 VND million VND million
Term deposits in VND 48,721,000 7,000,000 Funds for finance, entrusted investments and
3,298 7,707
Deposits from the SBV 16,512,888 24,258 entrusted loans in VND
67,314,816 9,468,116 3,298 7,707

198 199
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

20. Valuable papers issued (i) Internal payables

31/12/2022 31/12/2021 31/12/2021

VND million VND million 31/12/2022 VND million
VND million (restated)
Certificates of deposit
Payables to employees 3,107,748 3,036,548
Short-term in VND 11,000,000 -
Other liabilities 21,269,934 718,470
Medium-term in VND 115 115
24,377,682 3,755,018
Bills and bonds
Short-term in VND 47 47 (ii) External payables
Short-term in foreign currencies 31 30
Medium-term in VND 3,393,568 6,413,775 31/12/2021
31/12/2022 VND million
Medium-term and long-term in foreign currencies 14 12
VND million (restated)
Long-term in VND 10,944,119 10,973,768
Tax payables (Note 38) 5,359,694 943,443
25,337,894 17,387,747
- Corporate income tax payable 5,086,976 610,856
21. Other liabilities
- Value added tax payable 57,863 146,789

(a) Accrued interest and fee payables - Value added tax payable 214,855 185,798
Unearned income 3,457,340 5,038,432
31/12/2021
31/12/2022 VND million Payables for construction and acquisition of fixed assets 1,014,573 1,491,780
VND million (restated) Deposits in custody relating to pending payments 527,533 515,295
Interest expense for Customer deposits 11,797,019 8,772,456 Other payables to customers 1,139,739 1,049,795
Interest expense for deposits and borrowings from other credit institutions 131,091 77,968
Other pending items in settlement 355,725 147,418
Interest expense for valuable papers issued 242,622 348,464
Payables to the State Budget in relation of interest subsidy program 64,533 64,528
Interest expense for derivative financial instruments 311,143 127,446
Other interest expense 3,457 37 Borrowings from the Ministry of Finance 707,141 806,617
12,485,332 9,326,371 Dividends payable - 3,329,224

Other payables 55,920,255 3,313,271
(b) Other liabilities
68,546,533 16,699,803
31/12/2021
31/12/2022 VND million
VND million (restated)
Internal payables (i) 24,377,682 3,755,018
External payables (ii) 68,546,533 16,699,803
Bonus and welfare funds 4,124,209 4,073,378
97,048,424 24,528,199

200 201
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

22. Owners’ equity

(a) Changes in owner’s equity

Reserves Foreign Retained Non- Total

exchange profits controlling Investment
Supple- Financial Investment Total differences Supple- interest and
mentary reserve and mentary Financial development
charter development charter reserve fund
capital fund capital
Charter capital Share premium Other capital reserve reserve

VND VND VND VND VND VND VND VND VND VND VND
million million million million million million million million million million million

Balance at 1/1/2022 (restated) 37,088,774 4,995,389 344,658 6,052,831 12,049,576 70,661 18,173,068 (5,109) 48,502,536 87,113 109,186,429

Net profit for the year - - - - - - - - 29,899,014 20,040 29,919,054

Increase of equity during the year 10,236,392 - - - - - - - (10,236,392) - -

Increase of equity of subsidiaries - - 465,179 (21,265) - (30,762) (52,027) - (413,152) - -

Statutory reserves temporarily appropriated for

- - - 1,469,350 2,938,701 - 4,408,051 - (4,408,051) - -
2022 of the Bank

Bonus and welfare funds temporarily

- - - - - - - - (2,336,696) - (2,336,696)
appropriated for 2022 of the Bank

Adjustments for the appropriation of statutory

reserves and bonus and welfare funds according
- - - 3,614 7,227 - 10,841 - (199,508) - (188,667)
to the Resolution of General Meeting of
Shareholders

Appropriation of subsidiaries - - - 5,289 10,578 - 15,867 - (28,271) - (12,404)

Adjustments according to the Resolution of the

- - - (315) 2,612 - 2,297 - (48,106) (661) (46,470)
subsidiary

Dividends according to the Resolution of the

- - - - - - - - - (18,798) (18,798)
subsidiary

Utilisation of reserves during the year - - - - (1,139) - (1,139) - - - (1,139)

Foreign currency conversion differences - - - - - - - (857,962) - 689 (857,273)

Asset revaluation differences - - - - - - - - - - -

Other movements - - - - - - - - 986 - 986

Adjustments for joint-ventures and associates

- - - - - - - - 1,063 - 1,063
accounted under equity method

Balance at 31/12/2022 47,325,166 4,995,389 809,837 7,509,504 15,007,555 39,899 22,556,958 (863,071) 60,733,423 88,383 135,646,085

202 203
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

(b) Details of shareholders of the Bank 24. Interest and similar expenses

31/12/2022 31/12/2021 2022 2021

VND million VND million
VND million % VND million %
Interest expense on deposits 33,290,697 26,588,386
Ordinary shares
Interest expense on borrowings 494,179 283,757
The Government of Vietnam 35,400,749 74.80% 27,743,534 74.80% Interest expense on valuable papers issued 1,025,298 1,427,850
Foreign strategic shareholder (Mizuho Bank Other expenses on credit activities 56,048 49,392
7,098,834 15.00% 5,563,349 15.00%
Ltd., Japan)
34,866,222 28,349,385
Other shareholders 4,825,583 10.20% 3,781,891 10.20%
25. Net fee and commission income
47,325,166 100% 37,088,774 100%

The Bank’s authorised and issued share capital is as follows: 2022 2021
VND million VND million
Fee and commission income from
31/12/2022 31/12/2021
Settlement services 6,001,029 5,984,352
Number of VND Number of VND
Treasury services 75,478 68,340
shares million shares million
Entrustment and agency activities 57,110 35,404
Authorised share capital 4,732,516,571 47,325,166 3,708,877,448 37,088,774
Other services 6,291,390 5,198,420
Issued share capital 12,425,007 11,286,516
Ordinary shares 4,732,516,571 47,325,166 3,708,877,448 37,088,774 Fee and commission expenses for
Settlement services (4,424,834) (2,998,989)
Outstanding shares in circulation
Treasury services (127,938) (119,558)
Ordinary shares 4,732,516,571 47,325,166 3,708,877,448 37,088,774 Telecommunication services (146,125) (136,648)
Entrustment and agency activities (21,587) (12,085)
All ordinary shares of the Bank have a par value of VND10,000.
Other services (865,423) (612,163)
(5,585,907) (3,879,443)
23. Interest and similar income
6,839,100 7,407,073

2021
26. Net gain from trading of foreign currencies
2022 VND million
VND million (restated)
2022 2021
Interest income from loans to customers 75,333,189 59,306,151 VND million VND million
Interest income from deposits 3,774,188 1,781,197 Gains from trading of foreign currencies
Interest income from trading and investing in debt securities 7,469,553 8,138,973 From spot currency to contracts 9,559,507 8,202,819
From currency derivative financial instruments 918,924 451,852
- from investment securities 7,366,362 7,980,833
From foreign exchange differences 8,842 371,356
- from trading securities 103,191 158,140
From revaluation of derivative contracts 168,965 669,968
Interest income from finance leases 355,970 307,677 10,656,238 9,695,995
Fees from guarantees activities 572,041 476,100 Losses on trading of foreign currencies
From spot currency to contracts (2,445,062) (3,357,381)
Other income from credit activities 607,759 611,859
From currency derivative financial instruments (1,932,701) (1,374,802)
88,112,700 70,621,957 From foreign exchange differences (372,565) (539,283)
From revaluation of derivative contracts (137,465) (49,709)
(4,887,793) (5,321,175)
5,768,445 4,374,820
204 205
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

27. Net (loss)/gain from trading securities 31. Operating expenses

2021 2021
2022 VND million 2022 VND million
VND million (restated) VND million (restated)
Income from trading securities 139,260 224,934 Tax, duties and fees 356,671 342,894
Expenses on trading securities (233,448) (68,636) Salaries and related expenses 10,704,534 9,586,008
Provision made for trading securities (Note 7) (21,006) (18,633) Of which:
(115,194) 137,665
- Salary and allowances (Note 36) 9,564,154 8,499,318
28. Net gain/(loss) from investment securities - Contributions based on salary 754,534 719,808
- Other allowances 6,381 5,882
2021 Expenses on assets 4,017,315 3,463,858
2022 VND million
Of which:
VND million (restated)
Income from investment securities 35,281 1,161 - Depreciation of fixed assets 1,345,198 1,413,738
Expenses for investment securities (40,359) - Administrative expenses 5,226,349 3,490,020
Provision reversed/(made) for available-for-sale investment securities Insurance expense for Customer deposits 802,452 711,257
86,673 (86,396)
(Note 11(a)) Provision for diminution in value of long-term investment (Note 12(d)) 42,999 -
81,595 (85,235)
Other expenses 100,192 71,888

29. Net other income 21,250,512 17,665,925

2022 2021 32. Provision for credit losses

VND million VND million
Other income 2022 2021
Income from recoveries of loans previously written off 2,394,744 2,912,230 VND million VND million
Income from interest rate swap transactions 217,602 - Provision for balances with and loans to other credit institutions
Other income 315,993 188,140 Provision made (Note 6) 6,887,219 2,952,781
2,928,339 3,100,370 General provision for loans to customers
Other expenses
Provision made (Note 10) 1,416,142 1,159,282
Expenses on interest rate swap transactions (221,584) (206,197)
Specific provision for loans to customers
Expenses on debts trading activities (52) (138)
Provision made (Note 10) 1,167,748 7,877,412
Expenses on social activities (316,342) (426,725)
Other expenses (336,400) (74,049) General provision for unlisted corporate bonds
(874,378) (707,109) Provision reversed for available-for-sale securities (Note 11(a)) - (193,478)
2,053,961 2,393,261 Provision reversed for held-to-maturity securities (Note 11(b)) (6,891) (317,799)
9,464,218 11,478,198
30. Income from capital contributions and equity investments

2022 2021
VND million VND million
Dividend income from equity investments (Note 33(a)) 117,241 93,953
- Dividend income from long-term investments 104,347 81,390
- Dividend income from trading equity securities 12,894 12,563
Profit from disposals of equity investments 69,582 3,927
Share of profits from equity accounted investments in joint-ventures
21,613 31,930
and associates (Note 33(a))
208,436 129,810

206 207
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

33. Corporate income tax 34. Basic earnings per share

(a) Reconciliation of effective tax rate (a) Profit used for calculating basic earnings per share

2021 2021
2022 VND million 2021 VND million
VND million (restated) 2022 VND million (previously
VND million (restated) presented)
Profit before tax 37,368,091 27,485,843
Net profit for the year 29,899,014 21,996,601 21,918,813
Adjustments:
Appropriation to bonus and welfare funds (*) (2,349,100) (2,299,162) (2,064,024)
Taxable income of subsidiaries (724,243) (972,084)
Profit attributable to the ordinary
Dividends received during the year (Note 30) (117,241) (93,953) 27,549,914 19,697,439 19,854,789
shareholders for the year
Share of profits from investments in joint-ventures and associates under
(21,613) (31,930)
the equity method (Note 30) (*) Bonus and welfare fund is appropriated at the year-end. Therefore, net profit after tax used for calculating
Tax exempt income from consolidation adjustments 12,876 (8,411) earnings per share for the years ended 31 December was not deducted the amount appropriated to
bonus and welfare fund for the respective year.
Non-deductible expenses 4,832,253 2,728

Adjustments for reductions (24,618) - (b) Weighted average number of ordinary shares

Reversal of non-deductible expenses of the prior year - (4,511,958)

2022 2021 2021
Taxable income 41,325,505 21,870,235 Number of shares Number of shares Number of shares
(restated) (previously
Corporate income tax rate 20% 20% presented)
Corporate income tax of the Bank (tax rate: 20%) 8,265,101 4,374,047 Issued ordinary shares at 1 January 3,708,877,448 3,708,877,448 3,708,877,448
Corporate income tax of subsidiaries 141,759 183,961 Effect of share dividends (i) 1,023,639,123 1,023,639,123 1,023,639,123
Income tax payable on profits received from overseas subsidiaries - 2,120 Weighted average number of outstanding
4,732,516,571 4,732,516,571 4,732,516,571
Current corporate income tax expense for the year 8,406,860 4,560,128 ordinary shares for the year

(b) Deferred corporate income tax benefit/(expense) (i) The restatement takes into consideration effect of shares issuance to pay dividends in accordance with
Resolution No. 609A/NQ-VCB-HDQT dated 9 December 2021 of the Board of Directors approving for
paying the share dividend of 2019 with the rate of 27.6%. The Bank completed the share issuance to pay
2022 2021 dividends on 6 January 2022.
VND million VND million

Deferred corporate income tax benefit/(expense) arising from deductible (c) Basic earnings per share
957,823 (908,882)
temporary differences
2021
(c) Applicable tax rates 2021 (as previously
2022 (restated) reported)
The Bank and its subsidiaries have an obligation to pay the Government income tax at the rate of 20%
of taxable profits, except for Vietnam Finance Company Limited in Hong Kong whose applicable tax Basic earnings per share (VND/share) 5,821 4,162 4,195
rate is 16.5% and Vietcombank Money Inc. which pays tax at the rate in the United States of America,
California and 23 other states where it operates. Corporate income tax computation is subject to review
and approval by tax authorities.

208 209
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

35. Cash and cash equivalents

Total
VND million

47,074

5,041,306

5,041,365

(59)

214,853

5,303,233
31/12/2022 31/12/2021
VND million VND million

Balance at 31/12/2022
Cash on hand, gold, silver and gemstones 18,348,534 18,011,766

Advances
VND million

(10,789)

(45,670)

(45,611)

(59)

(2)

(56,461)
Balances with the State Banks 92,557,809 22,506,711

Balances with and loans to other credit institutions

271,728,951 192,035,518
with original term not exceeding 3 months

Securities with a term of redemption or maturity not exceeding 3

29,600,000 -
months from the date of purchase

Payables
VND million

57,863

5,086,976

5,086,976

214,855

5,359,694
412,235,294 232,553,995

36. Employees’ benefits

Paid
VND million

(586,027)

(3,976,351)

(3,975,703)

(648)

(1,863,413)

(6,425,791)
2022 2021

Movements during the year

Total number of employees (person) 22,599 21,670

Employees’ income

Total salary and allowance (VND million) (Note 31) 9,564,154 8,499,318

Incurred
VND million

498,672

8,407,108

8,406,860

250

(2)

1,892,470

10,798,250
Monthly average income/person (VND million) 35,27 32,68

Balance at
1/1/2022
VND million
(restated)

134,429

610,549

610,208

398

(57)

185,796

930,774
- Corporate income tax of Vietcombank
Obligations to the State Budget

- Adjustments on tax of previous years

- Vinafico’s tax obligation in 2008

Current corporate income tax
Value added tax

Other taxes
In which:
37.

210 211
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

38. Assets and valuable papers for pledging, mortgaging, and discount, re-discount 40. Significant transactions and balances with related parties

Assets and valuable papers received for pledging, mortgaging and discount, re-discount (a) Significant transactions with related parties

31/12/2022 31/12/2021 2022 2021

VND million VND million Relationship VND million VND million
Income/(expense)
Deposits 167,169,560 138,879,634
The State Bank of Vietnam Representative of
Valuable papers 46,448,485 63,043,823
Interest income from deposits owner 122,037 107,034
Real estate 1,560,299,529 1,162,890,412
Interest expense on deposits and borrowings (76,435) (70,677)
Other collaterals 336,270,072 268,181,578 The Ministry of Finance
Related party of
2,110,187,646 1,632,995,447 Interest expense on deposits (1,477,093) (120,582)
owner
Interest expense on borrowings (14,360) (18,870)
39. Contingent liabilities and other commitments
(b) Significant balances with related parties
In the normal course of business, Vietcombank is a party to financial instruments which are recorded
as off-balance sheet items. These financial instruments mainly comprise financial guarantees and letters
31/12/2022 31/12/2021
of credit. These instruments involve elements of credit risk in excess of the amounts recognised in the Relationship VND million VND million
consolidated balance sheet.
Receivable/(payable)

Credit risk for off-balance sheet financial instruments is defined as the possibility of incurring a loss Representative of
The State Bank of Vietnam
because any other counterparty to a financial instrument fails to discharge its contractual obligations. owner
Deposits at the SBV 92,451,066 22,311,693
Financial guarantees are conditional commitments issued by Vietcombank to guarantee transactions of its Deposits and borrowings from the SBV (17,766,716) (1,773,842)
customers with third parties including loan guarantee, payment guarantee, performance guarantee and bid
Related party of
guarantee. Such guarantees expose Vietcombank to similar credit risk to loans to customers. The Ministry of Finance
owner

Commercial at sight letters of credit represent a financing transaction by Vietcombank to its customers Deposits at the Bank (49,548,100) (7,694,274)
where the customer is usually the buyer/importer of goods and the beneficiary is typically the seller/ Borrowings from the Ministry of Finance (707,141) (806,617)
exporter. Credit risk is limited as the imported merchandise serves as collaterals for the transaction.
Mizuho Bank Ltd., Japan Strategic shareholder
Deferred payment letters of credit contain the risk of customers not making payment to their beneficiaries
upon contract performance. When deferred payment letters of credit are defaulted by customers, Deposits at Mizuho Bank Ltd., Japan 5,743,851 1,910,189
Vietcombank recognises a compulsory loan to a customer and at the same time a corresponding liability Deposits from Mizuho Bank Ltd., Japan (2,018,199) (694,909)
representing the financial obligation of Vietcombank to pay the beneficiaries and to fulfil the guarantor
obligations.

Vietcombank normally requires margin deposits to support credit-related financial instruments as necessary.
The margin deposits ratio required varies from 0% to 100% of the value of a commitment granted
depending on the creditworthiness of customers as assessed by Vietcombank.

212 213
214
41.

Salary
Mr. Eiji Sasaki

Remuneration
Remuneration

Mr. Hong Quang

Ms. Dinh Thi Thai

Mr. Do Viet Hung

Mr. Le Quang Vinh

Mr. Dang Hoai Duc

Mr. Le Hoang Tung

Mr. Dao Minh Tuan
Mr. Pham Anh Tuan
Mr. Nguyen My Hao

Mr. Shojiro Mizoguchi

year were as follows:

Mr. Nguyen Viet Cuong

Mr. Pham Manh Thang
Mr. Pham Quang Dung

Mr. Nguyen Thanh Tung

Mr. Nguyen Manh Hung
Mr. Nghiem Xuan Thanh

Members of the Board of

Ms. Nguyen Thi Kim Oanh

Ms. Phung Nguyen Hai Yen

ANNUAL REPORT 2022

Management, Chief Accountant

Members of the Supervisory Board
Members of the Board of Directors
Title
for the year ended 31 December 2022 (continued)

Member
Member
Member
Member
Member
Member
Member
Chairman
Chairman

Deputy CEO
Deputy CEO
Deputy CEO
Deputy CEO
Deputy CEO
Deputy CEO
Deputy CEO
Deputy CEO

Chief Accountant
(until 03 July 2021)

(resigned on 23 April 2021)

(appointed on 26 April 2022)

Chief Executive Officer (“CEO”)

(retired on 01 December 2021)

(appointed on 30 January 2023)
(resigned on 01 December 2022)

Members of the Board of Directors

Supervisory Board and salary for members of the Board of Management
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

39,026
2,072
1,352
2,161
-
2,214
2,390
2,238
2,195
2,307
2,212
19,141
5,451
2,202
2,209
2,035
-
2,209
2,437
1,671
-
1,671
14,434
VND million
2022
Remuneration for members of the Board of Directors and members of the Supervisory Board and
salary for members of the Board of Management incurred and paid from the salary fund during the
Disclosure of remuneration for members of the Board of Directors and members of the

34,886
1,775
-
1,869
1,944
1,827
2,065
2,012
1,905
2,054
1,897
17,348
3,860
1,239
1,850
1,860
747
1,860
2,069
1,620
813
1,620
13,678
VND million
2022
dated 31 December 2014)
49/2014/TT-NHNN
(Issued under Circular No.
Form B05/TCTD-HN

42. Segment reporting

(a) Geographical segment

The Central
Year ended 31 December 2022: The North (*) and Highland The South Overseas Elimination Total
VND million VND million VND million VND million VND million VND million
1 Interest and similar income 114,061,990 20,398,788 60,797,388 100,745 (107,246,211) 88,112,700
2 Interest and similar expenses (93,298,802) (12,461,684) (36,317,251) (24,734) 107,236,249 (34,866,222)
I Net interest and similar income 20,763,188 7,937,104 24,480,137 76,011 (9,962) 53,246,478
3 Fee and commission income 8,974,411 890,715 3,405,801 115,801 (961,721) 12,425,007
4 Fee and commission expenses (6,217,860) (39,285) (116,644) (31,439) 819,321 (5,585,907)
II Net fee and commission income 2,756,551 851,430 3,289,157 84,362 (142,400) 6,839,100
III Net gain from trading of foreign currencies 3,700,231 246,348 1,821,560 306 - 5,768,445
IV Net loss from trading securities (112,280) - - - (2,914) (115,194)
V Net gain from investment securities 81,595 - - - - 81,595
5 Other income 1,273,917 634,594 1,000,022 19,806 - 2,928,339
6 Other expenses (654,431) (57,024) (161,695) (1,228) - (874,378)
VI Net other income 619,486 577,570 838,327 18,578 - 2,053,961
Income from capital contributions and
VII 208,436 - - - - 208,436
equity investments
Total operating income 28,017,207 9,612,452 30,429,181 179,257 (155,276) 68,082,821
VIII Total operating expenses (12,642,899) (2,315,148) (6,327,632) (107,196) 142,363 (21,250,512)
Net operating profit before provision for
IX 15,374,308 7,297,304 24,101,549 72,061 (12,913) 46,832,309
credit losses
X Provision for credit losses (4,678,225) (934,953) (3,832,540) (18,500) - (9,464,218)
XI Profit before tax 10,696,083 6,362,351 20,269,009 53,561 (12,913) 37,368,091
7 Current corporate income tax expense (3,077,096) (1,272,470) (4,053,513) (3,781) - (8,406,860)
8 Deferred income tax expense 957,823 - - - - 957,823
XII Corporate income tax expenses (2,119,273) (1,272,470) (4,053,513) (3,781) - (7,449,037)
XIII Profit after tax 8,576,810 5,089,881 16,215,496 49,780 (12,913) 29,919,054

(*) As at 31 December 2022, the Bank’s Head Office in the North made several payments of operating expenses for the entire system but did
not allocate such expenses to the units within the Bank.
215
216
42. Segment reporting (continued)

(b) Business segment

Banking Non-banking
financial financial
Year ended 31 December 2022: services services Securities Others Elimination Total
VND million VND million VND million VND million VND million VND million
1 Interest and similar income 194,231,573 473,911 591,529 61,898 (107,246,211) 88,112,700
2 Interest and similar expenses (141,618,712) (223,332) (231,413) (29,014) 107,236,249 (34,866,222)
I Net interest and similar income 52,612,861 250,579 360,116 32,884 (9,962) 53,246,478
ANNUAL REPORT 2022

3 Fee and commission income 12,642,080 9,235 462,359 273,054 (961,721) 12,425,007
4 Fee and commission expenses (6,234,218) (1,606) (94,112) (75,292) 819,321 (5,585,907)
II Net fee and commission income 6,407,862 7,629 368,247 197,762 (142,400) 6,839,100
III Net gain from trading of foreign currencies 5,761,004 7,441 - - - 5,768,445
for the year ended 31 December 2022 (continued)

IV Net (loss)/gain from trading securities (164,587) - 52,307 - (2,914) (115,194)

IV Net gain from investment securities 81,209 - 386 - - 81,595
5 Other income 2,896,517 10,980 19,928 914 - 2,928,339
6 Other expenses (799,091) - (75,283) (4) - (874,378)
VI Net other income 2,097,426 10,980 (55,355) 910 - 2,053,961
Income from capital contributions and equity
VII 195,542 - 12,894 - - 208,436
investments
Total operating income 66,991,317 276,629 738,595 231,556 (155,276) 68,082,821
VIII Total operating expenses (20,830,216) (139,317) (293,466) (129,876) 142,363 (21,250,512)
Net operating profit before provision for
IX 46,161,101 137,312 445,129 101,680 (12,913) 46,832,309
credit losses
X Provision for credit losses (9,464,489) 271 - - - (9,464,218)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

XI Profit before tax 36,696,612 137,583 445,129 101,680 (12,913) 37,368,091

7 Current corporate income tax expense (8,268,082) (26,974) (94,625) (17,179) - (8,406,860)
8 Deferred income tax expense 949,616 - 8,207 - - 957,823
XII Corporate income tax expenses (7,318,466) (26,974) (86,418) (17,179) - (7,449,037)
XIII Profit after tax 29,378,146 110,609 358,711 84,501 (12,913) 29,919,054
dated 31 December 2014)
49/2014/TT-NHNN
(Issued under Circular No.
Form B05/TCTD-HN

(a)
43.

Collateral disclosure

(b) Fair value disclosure

as at 31 December 2022:
default by the owner of the collaterals.
Disclosures of financial instruments

assets and financial liabilities for the purpose of comparing the carrying values and fair values.
Vietcombank does not hold collaterals which are allowed to be sold or re-pledged in the absence of

Circular 210 requires disclosures on fair value measurement method and related information of financial

The following table presents carrying value and fair value of Vietcombank’s financial assets and liabilities

217
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

43. Disclosures of financial instruments (continued)

Due to insufficient information for valuation techniques, fair value of these financial assets and liabilities without an active market is not reliably
Fair value

18,348,534
92,557,809

(*)

(*)
(*)
(*)
(*)

(*)

(*)

(*)

(*)

(*)

(*)
VND million VND million

(*)
(c) Risk management policies for financial instruments

The Board of Directors has the highest authority and responsibilities for Vietcombank’s financial risk
at amortised Total carrying
value

18,348,534
92,557,809

324,477,444

1,543,575
156,515
1,145,066,250
196,253,046

1,529,145

32,992,302
1,812,924,620

299,825,666

1,243,468,471

3,298

25,337,894
72,214,829
- 1,640,850,158 1,640,850,158
management to facilitate its sustainable growth.

Having taken those responsibilities, the Board of Directors appropriately promulgates risk management
policies and strategies for each period, establishes risk limits, directly approves high-value business
transactions in accordance with legal and internal requirements for each period, and determines
organisational structure and key personnel positions.
Recognised

cost

-
-

-
-
-
-

-
VND million

299,825,666

1,243,468,471

3,298

25,337,894
72,214,829
Risk management strategies and policies of the Board of Directors are adhered to Vietcombank’s charter
and General Shareholders’ Meeting resolution for each period.

The Risk Management Committee was established by the Board of Directors to assist the Board of
Directors in managing all risks that may arise from Vietcombank’s day-to-day business operations.
Available-
for-sale

-
-

-
-
-
100,739,670

1,529,145

-
VND million VND million

95,513,376 1,613,442,339 102,268,815

-
-
Carrying value - gross

The Asset and Liability Credit and Operational Risk Committee (“ALCO”) was established and chaired
by the Chief Executive Officer. ALCO members are key personnel of the Bank being in-charge of risk
management.
Loans and
receivables

18,348,534
92,557,809

324,477,444

-
-
1,145,066,250
-

32,992,302

-
-
-
ALCO is responsible for comprehensively monitoring and managing assets and liabilities in the consolidated
and separate balance sheet of Vietcombank in order to maximise profit while minimising losses arising
from negative market trends, manage liquidity risk and appropriately direct interest and foreign exchange
rate schemes.
Held-to-
maturity

VND million

-
-

-
-
-
95,513,376

-
-
-
Within its authority, ALCO has the authority to make risk management decisions.

(i) Credit risk

Vietcombank is exposed to credit risk, which is the risk of incurring a loss because its customers or
Disclosures of financial instruments (continued)

counterparties fail to discharge their contractual obligations. Credit exposures arise mainly in lending
Held for
trading

VND million

-
-

1,543,575
156,515
-
-

-
1,700,090

-
-
-

activities relating to loans to customers, and in investments in debt securities. Off-balance sheet financial
instruments, such as loan commitments, also contain credit risk. Vietcombank controls and manages
credit risk by setting up related policies and procedures, including the credit risk management policies and
operational risk management policy by the Risk Management Committee and Credit Committee.
estimated, and therefore is not disclosed.
Balances with and loans to other

Amounts due to the Government and

long-term

the SBV and deposits and borrowings

entrusted
Derivative and other financial assets

Vietcombank classifies loans to customers and other credit institutions, off-balance sheet commitments,
Cash, gold, silver and gemstones

investments and entrusted loans

Fair value disclosure (continued)

Balances with the State Banks

entrusted loans and unlisted corporate bonds in accordance with Circular 11 (Note 2(i)), and regularly
from other credit institutions

assesses credit risks of non-performing loans in order to have appropriate resolutions.

finance,
As at 31 December 2022

VI Other financial liabilities

contributions,

Valuable papers issued

XII Other financial assets

In order to manage credit risks, Vietcombank has established policies and procedures relating to credit risk
VIII Investment securities
VI Loans to customers

Financial liabilities

Customer deposits

management; established credit manuals; performed credit risk assessment; set up internal credit rating
IV Trading securities
Financial assets

credit institutions

systems and loan classification and decentralised authorisation in credit activities.

for
investments
Capital

Funds
IV
IX
III

V
II

II
I

I
43.

(b)

(*)

218 219
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

43. Disclosures of financial instruments (continued) 43. Disclosures of financial instruments (continued)

(c) Risk management policies for financial instruments (continued) (c) Risk management policies for financial instruments (continued)

(i) Credit risk (continued) (ii) Interest rate risk

Vietcombank’s maximum exposure amounts to credit risk as at 31 December 2022, excluding collaterals Interest rate risk is the risk that the future cash flows of a financial instrument will unexpectedly fluctuate
and credit risk mitigations as follows: due to changes in market interest rates.

The actual interest re-pricing term is the remaining term starting from the end of the annual accounting
Neither past Impaired and
due nor Past due but provision
period to the nearest interest re-pricing date of the items in the consolidated balance sheet.
impaired not impaired made Total
The following assumptions and conditions have been adopted in the analysis of actual interest re-pricing
VND million VND million VND million VND million
term of asset and liabilities items in the consolidated balance sheet of Vietcombank:
Balances with the State Banks 92,557,809 - - 92,557,809
» Cash, gold, silver and gemstones, capital contributions, long-term investments, and other assets
Balances with and loans to other CIs (including fixed assets and other assets) are classified as free of interest items;
313,477,444 - 11,000,000 324,477,444
– gross
» Trading securities being debt securities are classified as “Up to 1 month” items;
Balances with other CIs 283,727,719 - - 283,727,719
» The actual interest re-pricing terms of investment securities are subject to issuers’ terms and conditions
Loans to other CIs 29,749,725 - 11,000,000 40,749,725
on interest rate of issuing institution for each security type;
Trading securities - gross 1,397,467 - - 1,397,467
» The actual interest re-pricing term of balances with and loans to other credit institutions, loans to
Trading securities - gross 1,112,933,704 11,675,599 20,456,947 1,145,066,250 customers, amounts due to the Government and the SBV, deposits and borrowings from other credit
institutions, Customer deposits, funds for finance, entrusted investments, entrusted loans and other
Investment securities – gross 196,253,046 - - 196,253,046 liabilities are identified as follows:
Available-for-sale securities 100,739,670 - - 100,739,670 » Items with fixed interest rate during the contractual term: the actual interest re-pricing term is
Held-to-maturity securities 95,513,376 - - 95,513,376 based on the contractual maturity date subsequent to the end of the annual accounting period;

Other assets 32,980,082 - 12,220 32,992,302 » Items with floating interest rate: the actual interest re-pricing term is based on the nearest
re-pricing term subsequent to the end of the annual accounting period.
1,749,599,552 11,675,599 31,469,167 1,792,744,318
» The actual interest re-pricing term of valuable papers issued is based on valuable papers’ maturities
Description and the carrying value of collaterals held by Vietcombank at the reporting date are described and the Bank’s interest rate for each issuance.
in Note 39.
The following table presents the interest rate re-pricing terms of Vietcombank’s assets and liabilities
as at 31 December 2022:

220 221
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

43. Disclosures of financial instruments (continued)

(c) Risk management policies for financial instruments (continued)

(ii) Interest rate risk (continued)

From over 3 From over 6 From over 1

From 1 to months to months to year to Over
Overdue Free of interest Up to 1 month 3 months 6 months 12 months 5 years 5 years Total
VND million VND million VND million VND million VND million VND million VND million VND million VND million

Assets

I Cash, gold, silver and gemstones - 18,348,534 - - - - - - 18,348,534

II Balances with the State Banks - - 92,557,809 - - - - - 92,557,809

III Balances with and loans to other CIs – gross - 13,150 281,812,168 25,430,230 13,202,981 4,018,915 - - 324,477,444

IV Trading securities – gross - 146,108 1,397,467 - - - - - 1,543,575

V Derivative and other financial assets - 156,515 - - - - - - 156,515

VI Loans to customers – gross 19,037,969 - 215,577,212 392,329,073 346,304,304 81,161,689 87,530,802 3,125,201 1,145,066,250

VII Investment securities – gross - - 32,268,369 20,984,364 17,028,782 17,478,351 78,252,955 30,240,225 196,253,046

Capital contributions, long-term

VIII - 2,311,534 - - - - - - 2,311,534
investments – gross

IX Fixed assets - 7,985,400 - - - - - - 7,985,400

X Other assets – gross - 60,990,421 - - - - - - 60,990,421

Total assets 19,037,969 89,951,662 623,613,025 438,743,667 376,536,067 102,658,955 165,783,757 33,365,426 1,849,690,528

Liabilities

Amounts due to the Government and the

I SBV and deposits and borrowings from
other credit institutions - - 281,551,209 11,942,445 6,307,800 24,212 - - 299,825,666

II Customer deposits - 125,370 677,536,375 162,631,235 165,568,831 216,316,746 21,274,574 15,340 1,243,468,471

Funds for finance, entrusted investments

IV
and entrusted loans - - - - 1,473 - 1,825 - 3,298

V Valuable papers issued - - 905 11,000,000 3,000,000 5,282,869 4,180,000 1,874,120 25,337,894

VI Other liabilities - 108,826,615 - 707,141 - - - - 109,533,756

Total liabilities - 108,951,985 959,088,489 186,280,821 174,878,104 221,623,827 25,456,399 1,889,460 1,678,169,085

Interest sensitivity gap – on balance sheet 19,037,969 (19,000,323) (335,475,464) 252,462,846 201,657,963 (118,964,872) 140,327,358 31,475,966 171,521,443

222 223
224
(c)

(iii)
43.

USD/VND

EUR/VND
Currency risk

within established limits.

ANNUAL REPORT 2022

for the year ended 31 December 2022 (continued)

were converted into VND as at 31 December 2022:

Disclosures of financial instruments (continued)

Risk management policies for financial instruments (continued)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

25,280
23,570
31/12/2022
The followings are the major exchange rates applied by Vietcombank at the reporting date:

Exchange rate as at

25,969
22,780
31/12/2021
The major currency in which Vietcombank transacts is VND. Vietcombank’s loans to customers are mainly

its internal risk management system and relevant statutory requirements stipulated by the SBV. Currency
currencies other than VND, USD and EUR. Vietcombank has set limits on currency positions based on
dated 31 December 2014)
49/2014/TT-NHNN
(Issued under Circular No.
Form B05/TCTD-HN

The following table presents Vietcombank’s assets and liabilities denominated in foreign currencies that
positions are monitored on a daily basis and hedging strategies used to ensure positions are maintained
denominated in VND, USD and EUR. Some of Vietcombank’s other assets and other liabilities are in
exchange rates. The Bank was incorporated and operates in Vietnam, with VND as its reporting currency.
Currency risk is the risk that the value of financial instruments will fluctuate due to changes in foreign

43. Disclosures of financial instruments (continued)

(c) Risk management policies for financial instruments (continued)

(iii) Currency risk (continued)

Other
VND USD EUR currencies Total
VND million VND million VND million VND million VND million

Assets

I Cash, gold, silver and gemstones 14,830,007 2,696,454 381,973 440,100 18,348,534

II Balances with the State Banks 52,889,251 39,664,439 - 4,119 92,557,809

III Balances with and loans to other CIs – gross 217,413,144 79,738,132 7,690,049 19,636,119 324,477,444

IV Trading securities – gross 1,543,575 - - - 1,543,575

V Derivative and other financial assets 2,781,061 (2,524,061) (106,082) 5,597 156,515

VI Loans to customers – gross 1,032,573,071 110,215,376 1,568,983 708,820 1,145,066,250

VII Investment securities – gross 172,636,517 23,616,529 - - 196,253,046

VIII Capital contributions, long-term investments – gross 2,311,534 - - - 2,311,534

IX Fixed assets 7,943,168 34,440 - 7,792 7,985,400

X Other assets – gross 57,869,872 3,020,511 159 99,879 60,990,421

Total assets 1,562,791,200 256,461,820 9,535,082 20,902,426 1,849,690,528

Liabilities

Amounts due to the Government and the SBV and

I 194,328,222 83,852,681 4,519,700 17,125,063 299,825,666
deposits and borrowings from other credit institutions

II Customer deposits 1,067,136,828 168,149,119 4,908,069 3,274,455 1,243,468,471

IV Funds for finance, entrusted investments and entrusted loans 3,298 - - - 3,298

V Valuable papers issued 25,337,849 45 - - 25,337,894

VI Other liabilities 106,377,208 2,979,690 19,020 157,838 109,533,756

Total liabilities 1,393,183,405 254,981,535 9,446,789 20,557,356 1,678,169,085

Currency position on balance sheet 169,607,795 1,480,285 88,293 345,070 171,521,443

225
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

43. Disclosures of financial instruments (continued)

Total
VND million

18,348,534
92,557,809

324,477,444

1,543,575

156,515

1,145,066,250
196,253,046

2,311,534

7,985,400
60,990,421
316,757,533 1,849,690,528

299,825,666

1,243,468,471

3,298

25,337,894
109,533,756
1,678,169,085
171,521,443
(c) Risk management policies for financial instruments (continued)

(iv) Liquidity risk

Over 5 years
VND million

-
-

266,890,375
39,570,224

2,311,534

7,985,400
-

748,480

231,810,765

8,548,239
707,141
241,814,625
74,942,908
Liquidity risk occurs when Vietcombank fails to fulfil its financial commitments with customers or
counterparties due to unavailability of funds or liquidity.

The maturity of assets and liabilities represents the remaining terms of these assets and liabilities from
the end of the annual accounting period to the maturity date according to the underlying contractual

From over
1 year to 5
years
VND million

-
-

1,672,485

165,697,081
61,778,954

-
-
229,148,520

2,365,117

105,562,877

1,825

2,788,750
1,879,005
112,597,574
116,550,946
agreements or term of issuance.

The following assumptions and conditions have been adopted in the preparation of Vietcombank’s assets
and liabilities maturity analysis in the consolidated balance sheet:

From over 1 From over 3

months to
12 months
VND million VND million

-
-

15,549,411

351,068,995
50,203,497

-
-
416,821,903

3,413,142

425,516,493

1,473

3,000,000
8,690,321
440,621,429
(23,799,526)
» Balances with the SBV are considered as current accounts with maturity less than one month,

Current
including the compulsory deposits;
» The maturity of trading securities is considered to have maturity of less than one month because they
are held in the short term for profit taking on price differences;

month to 3
months

-
-

25,430,232

156,515

243,053,252
14,800,365

-
60,990,421
523,493,818 344,430,785

11,897,138

183,110,651

11,000,000
70,022,229
276,030,018
68,400,767
» The maturity of investment securities is based on maturity dates of each securities established by the
issuers of these financial instruments;
» The maturities of balances with and loans to other credit institutions and loans to customers are based
on the contractual maturity date. The actual maturity may vary from the original contractual term

Up to 1 month
VND million

18,348,534
92,557,809

281,825,316

1,543,575

99,318,578
29,900,006

-
-

281,401,789

297,467,685

905
28,235,060
607,105,439
(83,611,621)
when the loan/deposit contract is extended;

Risk management policies for financial instruments (continued)

» The maturity of capital contributions, equity investments is considered to be over five years as equity
investments have no specified maturity; and
» Deposits and borrowings from other credit institutions, Customer deposits, funds for finance, entrusted
investments and entrusted loans, and valuable papers issued are determined based on either the

Up to 3
months
VND million VND million

-
-

14,728,836
-

-
-
14,728,836

-
-
-
14,728,836
nature of the loans, deposits and valuable papers issued or their contractual maturities. For example,

Disclosures of financial instruments (continued)

demand deposits of other credit institutions at Vietcombank and current accounts of Vietcombank
at other credit institutions paid upon customers’ demand are considered to be demand deposits, the

Overdue
maturity of term deposits and borrowings is based on the contractual maturity date. In practice, such

Over
3 months

-
-

4,309,133
-

-
-
4,309,133

-
-
-
4,309,133
items may be rolled over and maintained for longer period.

The following table analyses the remaining terms to maturity of Vietcombank’s assets and liabilities from
31 December 2022:

investments and entrusted loans

Cash, gold, silver and gemstones

other credit institutions – gross

Government and the SBV and

Balances with the State Banks

deposits and borrowings from

Capital contributions, long-term
Derivative and other financial

Investment securities – gross

Loans to customers – gross

Funds for finance, entrusted

Balances with and loans to
Liquidity risk (continued)

Trading securities – gross

other credit institutions

Valuable papers issued

Other assets – gross

Amounts due to the

investments – gross

Customer deposits

Net liquidity gap

Total liabilities
Other liabilities
Total assets
Fixed assets

Liabilities
Assets

assets

VIII
VII
IV

VI

IV

VI
IX
III

V
X
II

II
I

I
43.

(iv)
(c)

226 227
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

44. Comparative figures (ii) Impact on total liabilities and shareholders’ equity:

The Bank has revised some corresponding figures on its separate financial statements for the financial 31/12/2021 31/12/2021 Difference
year ended 31 December 2022 in accordance with the conclusion of the State Audit of Vietnam in the VND million VND million VND million
Financial Statement Audit Report for fiscal year 2021 attached to Notification No. 553/KTNN-TH dated (restated) (initial figures)
9 September 2022. Details are as follows:
Other liabilities 33,854,570 33,609,934 244,636
(i) Impact on total assets:: Accrued interest and fee payables 9,326,371 9,326,334 37
Other liabilities 24,528,199 24,283,600 244,599
31/12/2021 31/12/2021 Retained earnings 48,502,536 48,433,500 69,036
VND million VND million Difference
Previous years’ retained earnings 31,826,451 31,826,728 (277)
(restated) (initial figures) VND million
Current year’s retained earnings 16,676,085 16,606,772 69,313
Balances with and loans to other credit institutions 225,811,765 225,764,546 47,219
Overall impact 313,672
Balances with other credit institutions 181,036,981 181,036,981 -
(iii) Impact on off-balance sheet items:
Loans to other credit institutions 48,727,565 48,727,565 -

Provision for balances with and loans to other

(3,952,781) (4,000,000) 47,219 31/12/2021 31/12/2021 Difference
credit institutions
VND million VND million VND million
Trading securities 2,799,649 2,766,098 33,551 (restated) (initial figures)

Trading securities 2,856,082 2,822,531 33,551 Other guarantees 51,543,638 51,576,893 (33,255)
Provision for trading securities (56,433) (56,433) -
(iv) Impact on operating result:
Loans to customers 935,009,671 934,774,287 235,384

Loans to customers 960,749,955 960,749,955 - 31/12/2021 31/12/2021 Difference

Provision for loans to customers (25,740,284) (25,975,668) 235,384 VND million VND million VND million
(restated) (initial figures)
Investment securities 170,596,896 170,604,700 (7,804)
Interest and similar income 70,621,957 70,749,002 (127,045)
Available-for-sale securities 71,114,698 71,122,502 (7,804) Net interest and similar income 42,272,572 42,399,617 (127,045)
Held-to-maturity securities 99,657,595 99,657,595 - Net gain from trading securities 137,665 104,114 33,551
Provision for investment securities (175,397) (175,397) - Net loss from investments securities (85,235) (85,126) (109)

Fixed assets 8,636,306 8,626,043 10,263 TOTAL OPERATING INCOME 56,629,966 56,723,569 (93,603)
TOTAL OPERATING INCOME (17,665,925) (17,574,188) (91,737)
Tangible fixed assets 5,562,887 5,552,624 10,263
Net operating profit before provision
Cost 13,736,855 13,725,160 11,695 38,964,041 39,149,381 (185,340)
for credit losses
Accumulated depreciation (8,173,968) (8,172,536) (1,432) Provision expense for credit losses (11,478,198) (11,760,801) 282,603

Other assets 28,964,117 28,969,058 (4,941) TOTAL PROFIT BEFORE TAX 27,485,843 27,388,580 97,263
Current corporate income tax expense (4,560,128) (4,547,363) (12,765)
Receivables 15,803,945 15,796,141 7,804
Deferred corporate income tax expense (908,882) (902,172) (6,710)
Accrued interest and fee receivables 7,147,524 7,149,313 (1,789)
Corporate income tax expense (5,469,010) (5,449,535) (19,475)
Deferred tax assets 349 7,137 (6,788) NET PROFIT AFTER TAX 22,016,833 21,939,045 77,788
Other assets 6,016,319 6,020,487 (4,168)

Provision for other assets (4,020) (4,020) -

Overall impact 313,672

228 229
 ANNUAL REPORT 2022

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Form B05/TCTD-HN
(Issued under Circular No.
49/2014/TT-NHNN
for the year ended 31 December 2022 (continued) dated 31 December 2014)

45. Changes in comparative figures due to changes in accounting policies 48. Other assets and documents

In compliance with Circular No. 27/2021/TT-NHNN dated 31 December 2021 of the Governor of the 31/12/2022 31/12/2021
SBV, effective from 1 April 2022, to ensure comparability, the Bank supplemented and restate some VND million VND million
indicators as at 31 December 2021 as follows:
Other assets in custody 328,556,825 239,952,480
Off-balance sheet items: Outsourced assets (*) (*)
The collateral is accepted as a substitute for the performance of the
8,530 8,530
31/12/2021 31/12/2021 Cause obligation of the guarantor pending
VND million VND million Other valuable documents in preservation 192,699,143 109,344,069
(restated in (previously
521,264,498 349,305,079
accordance with presented)
Circular No. 27 and
SAV’s adjustment) (*) The Bank did not assess the value of this item because of a lack information, as well as no guidance
on valuation according to the Vietnamese Accounting Standards System and the Vietnamese Accounting
Off-balance sheet items
System for Credit Institutions issued by the State Bank of Vietnam.
Uncollected interests and fees receivable
2,317,333 Not disclosed
collected 49. Subsequent events
Supplemented
Bad debts written-off 55,457,529 Not disclosed under Circular
Other assets and documents 349,305,079 Not disclosed No.27 There was no significant event subsequent to 31 December 2022 that may have material effect to financial
position of the Bank and require adjustments or disclosures in the consolidated financial statements for
46. Uncollected interests and fees receivable the year ended 31 December 2022.

50. Approval of the consolidated financial statements

31/12/2022 31/12/2021
VND million VND million
The consolidated financial statements were approved by the Board of Management of the Bank on 31
Uncollected interests 1,301,116 2,317,076 March 2023.
Uncollected fees receivable 352 257
1,301,468 2,317,333
Ha Noi, 31 March 2023
47. Bad debts written-off
Prepared by: Approved by:

31/12/2022 31/12/2021 Ms. Nguyen Thi Thu Huong Mr. Le Hoang Tung Ms. Phung Nguyen Hai Yen
VND million VND million
Principal amounts of bad debts written-off is under monitoring 29,780,833 28,160,107
Interest amounts of bad debts written-off is under monitoring 30,420,568 27,293,959
Other bad debts written-off 12,528 3,463
60,213,929 55,457,529

Deputy Director of Chief Accountant Deputy CEO

Financial and Accounting
Policy Department

230 231
JOINT STOCK COMMERCIAL BANK
FOR FOREIGN TRADE OF VIET NAM

Address 198 Tran Quang Khai Street, 198 Tran Quang Khai Street
Hoan Kiem District, Ha Noi City, Viet Nam
Tel: (+84) 24 3934 3137
Fax: (+84) 24 3826 9067
Swift: BFTV VNVX
Web: www.vietcombank.com.vn