Co-opBank - 30 years of perseverance for the development of the people's credit fund system

Over the past 3 decades, Co-opBank has always strived to affirm its position as the leading bank of the people's credit fund system - an important component in the microfinance and collective economic ecosystem in Vietnam.

Co-opBank leaders received a Certificate of Merit from the Governor of the State Bank of Vietnam for their outstanding achievements in contributing to the completion of the Bank's tasks, presented by Mr. Doan Thai Son - Deputy Governor of the State Bank of Vietnam at the ceremony celebrating the 30th anniversary of Co-opBank's establishment.

Mission is the pillar of the cooperative financial system

On August 5, 1995, the Central People's Credit Fund - the predecessor of the Cooperative Bank of Vietnam (Co-opBank) was established under Decision No. 162/QD-NH5 of the Governor of the State Bank.

In the context of the country's transformation towards innovation, the People's Credit Fund (PCF) model was born to provide legal and safe credit capital for rural people, households and cooperatives. However, to operate effectively, PCFs need a focal organization to link, regulate capital and lead the entire system, which has been the mission of Co-opBank for the past three decades. With a network of Headquarters, 32 branches and 66 transaction offices, Co-opBank not only plays the role of a "companion" but also a driving force for the sustainable development of nearly 1,200 PCFs with many core tasks such as regulating capital, supporting liquidity, inspecting and supervising, training, sending staff to restructure weak PCFs... contributing to stabilizing the system and improving the safety of credit activities in rural areas.

Leaders of the State Bank of Vietnam, former leaders of the State Bank of Vietnam, Co-opBank's Board of Directors, former leaders of Co-opBank took souvenir photos at the 30th anniversary of Co-opBank's establishment.

Innovation - modernization - digitalization

In recent years, Co-opBank has actively implemented digital transformation, modernizing banking products and services towards QTDND such as developing modern business software systems, connecting nearly 1,000 QTDND to the inter-bank payment network, issuing Co-opBank Napas chip cards, providing 24/7 money transfer services, digital banking Co-opBank Mobile Banking...

In particular, the trio of digital platforms designed specifically for QTDNDs by Co-opBank not only helps QTDNDs improve operational efficiency, but also creates a shift in management thinking and access to technology in the modern financial environment. These efforts have helped Co-opBank be honored by the World Association of Credit Union Confederations (WOCCU) as the “Digital Transformation Organization of the Year” (2023).

Officers of the Ninh Giang People's Credit Fund, Ninh Binh province are introducing Co-opBank's 24/7 money transfer product to members of the Fund.

Co-opBank, together with the National Defense Fund and the National Defense Association, built a new brand identity, helping the National Defense Funds enhance their professional and modern image, creating sustainable trust in the local community, where each National Defense Fund is both a bank and a "Fund for every family".

The driving force behind the numbers

In the past 10 years, the QTDND system with the support of Co-opBank has made remarkable progress: Charter capital of QTDND increased by 165.2%; Total assets increased by 156.7%; Growth rate of outstanding loans of QTDND increased by 190.5%; Capital mobilization increased by 173.8%, bad debt ratio 0.85%.

Co-opBank alone, from a modest scale in 1995, has now reached nearly 70 trillion VND in total assets, mobilized capital of nearly 64 trillion VND, outstanding loans of approximately 39 trillion VND, and bad debt of 0.36%. These figures, more than financial growth, are also a measure of trust, companionship and attachment to the cooperative economy .

Journey "Steady steps to reach far"

Entering a new development phase, Co-opBank clearly defines its strategy to become a leading bank in the field of microfinance for the community with key solutions: Increasing charter capital, strengthening financial capacity; Developing financial products and services, especially those specifically for the People's Credit Fund, People's Credit Fund members, cooperatives, households, small and micro enterprises in rural, remote and isolated areas; Improving the quality of organization and human resources; Promoting comprehensive digital transformation from infrastructure to services; Completing the risk control and prevention system; At the same time, expanding international cooperation to access preferential capital sources and modern management experience.

Today, Co-opBank is not only a bank for the People's Credit Funds, but also a connecting, leading and spreading factor in the spirit of cooperation, contributing to building a strong, modern and humane microfinance system for the community in Vietnam.

Bich Dao

Source: https://vietnamnet.vn/co-opbank-30-nam-ben-bi-vi-su-phat-trien-cua-he-thong-quy-tin-dung-nhan-dan-2428595.html