9 months 2024, ACB high credit growth

By the end of the third quarter of 2024,ACB achieved business results with well-maintained financial indicators, affirming its position as one of the most effectively operating joint stock commercial banks in the market.

Maintaining advantage in the retail sector - Photo: ACB

Maintain dominance in retail sector

As of September 30, ACB's credit reached 555 trillion VND, mobilization reached 512 trillion VND, growth compared to the beginning of the year recorded at 13.8% and 6.1% respectively. Notably, the credit growth rate was 1.5 times higher than the industry average and was the highest net increase in the past 10 years.

This also shows that ACB continues to maintain its advantage in the retail segment and implements a balanced growth strategy between individuals and businesses quite well when recording a cumulative credit growth rate of more than 15% in the business segment in the past 9 months.

Regarding CASA, the bank has promoted solutions to attract deposits through increasing customer benefits such as implementing the Smart Ally campaign - providing solutions and store management benefits for business households; upgrading high-end financial services for priority customer groups.

Thanks to that, demand deposits reached 114 trillion, up 24% over the same period in 2023, continuing to be one of the retail banks with the highest CASA ratio in the market at 22.2%.

Pre-tax profit in the first nine months of the year was VND15.3 trillion, up slightly by 2% year-on-year, mainly from credit growth, service fees and effective cost management.

The bad debt ratio in the third quarter was at 1.49%, among the banks with the lowest bad debt in the market. The provisioning cost in the third quarter was lower than the average provisioning level in the first two quarters of the year.

ACB's ROE remains high at 22.2%, continuing to be among the industry's leading groups - Photo: ACB

Regulations on liquidity safety ratio as prescribed by the State Bank of Vietnam were strictly followed with LDR ratio of 82.4%, short-term capital for medium and long-term loans accounting for 20.7%. Capital safety ratio (individual) by the end of the third quarter was at 11.3%, far exceeding the level prescribed by the State Bank of Vietnam. In addition, the bank has made efforts to control well and optimize operating costs at 8.2 trillion VND, a slight increase of 3.8% over the same period. CIR ratio was maintained at a low level of 32.7%. ACB's ROE remained at a high level of 22.2%, continuing to be among the leading groups in the industry.

Regarding ACBS, in the third quarter, it continued to record good business results with pre-tax profit growing more than 44% over the same period.

Accumulated in the first 9 months of the year, pre-tax profit increased by 67% thanks to the growth in income from ACBS's main business activities, including a 3-fold increase in margin lending interest income, a 44% increase in revenue from proprietary trading activities, and a 14% increase in revenue from brokerage activities over the same period with a market share of 2.68%, an increase of 0.24%.

Promote digital banking

Following the Government 's orientation on green growth 2021-2030, the bank is implementing business activities in line with the banking industry's sustainable development action program, contributing significantly to positive business results in the first 9 months of the year.

ACB ONE Digital Banking products and services have been promoted. By the end of the third quarter, transaction turnover and the number of online transactions increased sharply, up 32% and 57% respectively compared to 2023. ACB ONE is highly appreciated by customers for its convenient experience, a program to accumulate transaction points to exchange for thousands of rich gifts and is very suitable for the diverse needs of customers.

ACB ONE Digital Banking Service is being promoted - Photo: ACB

In the third quarter, the bank increased the Green/Social credit package limit from VND2,000 billion to VND4,000 billion with an interest rate of only 6%/year, preferential terms of up to 24 months. By the end of September, ACB had disbursed 73% of the Green/Social credit package, accounting for VND2.9 trillion. Previously, the bank announced the Sustainable Finance Framework, creating standards for activities in the green finance sector.

Most recently, in the event "Unblocking capital, welcoming opportunities" connecting banks and businesses organized by the State Bank, Mr. Tu Tien Phat - General Director of ACB - said that the Bank currently allocates about 5,000 billion VND to finance capital for small and medium enterprises, meeting the needs of production, business and import-export. This credit package can increase to 10,000 billion VND or 20,000 billion VND if businesses have a need for green credit capital to meet the requirements of foreign partners.

Actively carry out social responsibility

In the third quarter, the bank accompanied local and central agencies in social security activities to improve and enhance people's quality of life, such as donating 80 billion VND to support the program to support the elimination of temporary and dilapidated houses nationwide launched by the Government; contributing 2.2 billion VND to join hands with the banking system to help people in some northern provinces affected by storms and floods; spending nearly 4 billion VND to sponsor educational activities and care for people in difficult circumstances through a series of community activities called "Journey of I Love Life" in many localities across the country.

On October 19, the bank donated 10 billion VND to the Ho Chi Minh City People's Committee to sponsor social security programs in Ho Chi Minh City.

ACB Chairman gives support to Dak Lak province - Photo: ACB

Through community support activities, the bank is contributing to creating sustainable social values ​​under the letter "S" (Society) in the ESG (Environment - Society - Governance) sustainable development strategy as well as in its pioneering role in building a sustainable and responsible financial system. In 2023, the bank contributed VND 5,214 billion to the State budget.

Source: https://tuoitre.vn/9-thang-2024-acb-tang-truong-tin-dung-cao-20241025160757694.htm